There have been some posts around how much cost to allocate on a DD exercise. As IP DD can be quite technical (esp for patents) and extensive depending on the type of IP in question, I’m keen to understand if anyone can share how much of that 1-5% of the transaction value have you allocated for IP DD and how deep/wide have you gone with the exercise.
While I haven’t experienced IP DD personally, there has been related valuations work engaged during the DD process. The cost of IP due diligence can range from a few thousand dollars for smaller deals to hundreds of thousands or more for larger and more complex transactions. It’s essential for parties involved in a deal to carefully consider the potential risks and benefits associated with the IP and allocate an appropriate budget for due diligence to make informed decisions.