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Intellectual Capital - the Bigger Picture

In simple terms the Intellectual Capital of a business is a combination of its Intellectual Property, and its Intellectual Assets.


To simplify this further, you can consider the Intellectual Property to be those aspects of the business which can be protected through legal processes (e.g. patents, trademarks, copyright, registered designs, etc.)
What is IP
Protecting IP
However, businesses have many other intellectual aspects which are valuable to the business, and which cannot be formally protected.  In many instances these assets are very confidential, and thus a business would not want them to become known to competitors through a formal IP protection process (where you must identify what you are protecting).  Quite often these assets allow businesses to have a competitive edge over competitors, and/or allow them to do what they do.  These assets, which typically comprise knowledge, skills, and experience, are Intellectual Assets.

Intellectual Property often represents the core products and technologies that your business is about.

Intellectual Assets often represents the skills, expertise, confidential information, and knowledge that your business relies on to DO what it does.


Unfortunately, while Intellectual Capital is often key to a business, and may represent the bulk of value of its true assets, they are very difficult to measure in monetary terms.  Hence it is very rare for them to appear on any asset or balance sheet.  Consequently, many businesses are unaware of them and fail to use one of their most important business tools for growth

Intellectual Property represents what your business is about.


Intellectual Assets represent what enables your business to do what it does.


Intellectual Capital is the combination of both and represents a key business tool for any business.


Most businesses are unaware of their Intellectual Capital, and fail to use it to their advantage.

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Information on this site should never be substituted for professional advice
  • Home
    • News & Articles >
      • McLaren Tech
  • Contact
    • About us
  • Why use IP?
    • IP is a Business Tool
    • Key Benefits of IP
    • IP is Useful
    • IP has Value >
      • Intellectual Capital
      • Intellectual Capital - You've Already Got It
      • Intellectual Assets (IA)
      • IC - Put It to Work
      • Step it Up a Level
      • Goodwill
    • Registered IP Process >
      • Patent Process
  • What is IP?
    • The Invention
    • The Industrial Design
    • The Artistic Work
    • The Trade Mark
    • Get-up & Trade Dress
    • Urban Myths
  • Protecting IP
    • Protecting IP
    • Patents >
      • Novelty >
        • Disclosure
      • Inventiveness
      • Patentability
      • Specification
      • Patent Claims >
        • Reading claims
      • Patent Filing Process >
        • Priority Date
        • Provisional Spec
        • Overseas appln >
          • International PCT
        • Complete Spec
        • Examination
        • Opposition
        • Grant
    • Reg Designs
    • Copyright
    • Trade Marks
  • Resources
    • IP enables ... >
      • Transfer & Assignment
      • Licensing
      • Franchising
      • Partnerships
      • Venture Capital
      • Market Lead In
      • Easing in Products
      • Sideways expansion
      • Overseas expansion
    • Traps for the Unwary >
      • Commissioning
      • Confidentiality Agrmt
      • Unregistered TMs
      • Freedom to Operate
      • Employees
    • Exporting
    • Complementary TM
    • Conflicting Values
    • Conflicting Co-brands
    • Infringement
  • Coming...
    • Services we Provide
    • Protecting IA
    • Searching >
      • Prior Art