Dutch Patent Value Estimator (NL) — Working

Dutch Patent Value Estimator (NL)

A working, single-file estimator: choose Profit uplift or Royalty, then press Calculate.

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Inputs

years
% / yr
% / yr
years

€ / yr
%
%
€ / yr

Benefit = (Revenue × Margin × Attribution) + Savings.

€ / yr
%
€ / yr

Benefit = (Base × Rate × Scope) − Admin.


%
%
%
€ / yr
%

How to use this Simplified Dutch Patent Value Estimator

This tool provides a practical, first-pass estimate of the economic value of a Dutch patent by calculating a risk-adjusted net present value (NPV) of expected future benefits. It is meant for quick scenario testing (e.g., “what if we license?”, “what if enforcement is uncertain?”), not for a formal valuation.

Step 1: Choose a valuation method

Select the approach that best matches how the patent creates value:

  • Profit uplift: Use this when the patent supports your own product or process (e.g., higher margin, higher sales, lower costs).

  • Royalty (licence): Use this when value comes from licensing the patent to others based on sales and a royalty rate.

Step 2: Enter time and discount assumptions

  • Remaining term (years): How long the patent is expected to remain relevant and enforceable for cashflows. This can be less than the legal term if the market will move on sooner.

  • Discount rate: Reflects the cost of capital and risk (higher = lower present value).

  • Growth of benefit: Expected annual growth (or decline) of the annual benefit.

  • Time to enforce: If you expect enforcement or negotiation to take time, enter a delay before benefits are realized.

Step 3: Enter benefit inputs (depends on the method)

If you chose Profit uplift

  • Annual sales (NL): Yearly sales revenue related to the patented product/process in the Netherlands.

  • Gross margin: The gross margin on those sales.

  • Patent attribution: The share of profit that is genuinely caused by the patent (not brand, distribution, other IP, etc.).

  • Cost savings (optional): Any annual cost reduction enabled by the patented technology.

The tool estimates:
Annual benefit = (Revenue × Margin × Attribution) + Cost savings

If you chose Royalty (licence)

  • Royalty base: The licensee’s annual sales in the Netherlands that the royalty applies to.

  • Royalty rate: The percentage of sales paid as royalty.

  • Licence scope/leverage: A multiplier reflecting negotiating power (e.g., non-exclusive vs. “must-have” tech).

  • Admin cost (optional): Annual cost to manage and monitor the licence.

The tool estimates:
Annual benefit = (Base × Rate × Scope factor) − Admin cost

Step 4: Enter risk and cost inputs

The tool applies a simple risk adjustment by multiplying three probabilities:

  • Probability of validity: Chance the patent would hold up under challenge.

  • Probability of adoption/infringement: Chance there is real market use/value to capture.

  • Probability of enforcing/settling: Chance you can realistically enforce or reach a settlement/licence.

It also subtracts:

  • Annual maintenance fees (renewals)

  • One-off legal/enforcement budget (expected costs)

Step 5: Press Calculate and interpret the results

The tool shows:

  • Base case value: The estimated risk-adjusted present value today.

  • Low/High range: A simple range around the base based on your selected “Range width”.

If the base case is low or negative, try sensitivity testing:

  • Increase/decrease patent attribution or royalty rate

  • Adjust enforceability (often the biggest driver)

  • Review remaining term and discount rate

Disclaimer (Not legal advice / not a formal valuation)

Disclaimer: This tool provides an indicative estimate for general informational and planning purposes only. It does not constitute legal advice, financial advice, or a formal patent valuation, and it should not be relied upon as legally valid guidance. Patent value depends on many case-specific factors (including claim scope, prosecution history, validity risks, infringement analysis, jurisdiction, evidence, and enforcement strategy). For decisions with legal or financial consequences, you should consult a qualified Dutch patent attorney and/or valuation professional.