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What is an IP audit?

A key part of an IP audit is understanding what IP your business actually owns or relies on: identifying patents, trade marks, designs, copyright and know-how, then assessing how these support your business. The exercise includes reviewing both registered and unregistered rights, as well as any third-party rights, that may be relevant. An IP audit can help you build a clear picture of your IP position and to help ensure that your key IP assets are appropriately protected and aligned with your business strategy.

Another important element of an IP audit is assessing risk, including identifying if there are any gaps in protection or potential infringement issues. You would not want to invest in developing or launching a product only to discover legal or commercial barriers that could have been mitigated at an earlier stage. Identifying such risks early lets you address potential legal obstacles before you incur significant time or expense, and take mitigating steps, whether by strengthening your protection, adjusting your approach, or putting appropriate agreements in place.

An IP audit can also identify opportunities to generate value from your IP. This can include uncovering underused or previously unrecognised assets, exploring licensing or collaboration opportunities, and ensuring your IP portfolio supports investment, growth or future exit plans. A well-structured IP audit provides a strong foundation for building a commercially effective IP strategy.

 

When should you consider an IP audit?

An IP audit can be valuable at many stages of your business. You may wish to consider an IP audit:

  • before raising investment or undergoing IP due diligence;
  • when expanding into new markets or launching new products;
  • during periods of rapid growth or strategic change;
  • when reviewing or developing your IP strategy; and
  • as part of ongoing portfolio management and optimisation.

 

Understanding your IP position at these points can help reduce risk, strengthen your commercial position and ensure you are making the most of your IP assets.

 

IP audit services

Reviewing your IP is valuable, but you must ask the right questions and focus on what matters most to your business. Many businesses hold a mixture of registered (e.g. patents) and unregistered (e.g. know-how) IP rights. Without a structured assessment, it can be difficult to understand the scope of these rights, their ownership and value to the business.

The breadth and complexity of IP means that without expert guidance it is easy to overlook key IP assets or risks. An IP audit can seem like a significant undertaking, but a structured and proportionate approach ensures that the process is both manageable and commercially relevant. At Keltie, we have a wealth of experience in providing IP audits, and our attorneys can skilfully guide you through the process and ensure that the outcome is clear and actionable.

We focus on understanding your business and its objectives from the outset. The scope of an IP audit will often evolve as we learn more about your business plans. With our support, the IP audit can be tailored to your priorities and budget, ensuring that you receive meaningful insights and practical recommendations that will support your business goals.

 

Funding for IP audits (UK)

UK-based start-ups and SMEs may be eligible for government-backed funding towards the cost of an IP audit through schemes such as IP Advance.

Under the scheme, the cost of an IP audit is typically fixed at £3,000, with eligible businesses receiving a grant of up to £2,250 towards this cost, leaving a contribution of £750 to be paid by the business. Applications must be submitted via one of the UKIPO’s partner organisations, including Innovate UK Business Growth, Scottish Enterprise, Highlands and Islands Enterprise, or the Welsh Government.

Keltie can advise on eligibility and guide you through the application process, ensuring you gain maximum value from both the IP audit itself and any available funding support.

 

IP audits: the Keltie difference

At Keltie, we combine technical knowledge with commercial insight to deliver IP audits that go beyond simple asset identification. Our attorneys take a holistic view of your IP, considering how it is used within your business and how it can be strengthened to support future business growth.

We know it is essential to take the time to understand your business, ask the right questions and ensure that the IP audit focuses on what’s most important to your business. Our approach is collaborative and pragmatic, providing clear conclusions and prioritised next steps rather than merely theoretical analysis that you’re left struggling to understand. The result is an IP audit that is aligned with your business objectives and designed to deliver real commercial value.


Frequently asked questions

What is an IP audit?

An IP audit is a structured review of the IP owned or used by your business. It helps you to identify IP assets, assess their protection, understand IP risk and develop a clear path forward.

 

How much does an IP audit cost?

The cost of an IP audit will vary depending on the scope and complexity of the review. In some cases, UK SMEs may be eligible for partial funding through government-backed schemes.

 

How long does an IP audit take?

The timing will depend on the size of your business and the scope of the audit. It is designed to be a focused and proportionate exercise that delivers clear, actionable outcomes, and the timing of the audit will reflect this.

 

Do start-ups need an IP audit?

An IP audit can be particularly valuable for start-ups, helping to identify key IP assets early, to support investment and ensure a strong foundation for growth.

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