IP Factoring and Royalty Trusts

iploit acts as a structurer or agent for factoring programs using the license revenues as underlying. Factoring serves the short-term financing of a company's turnover. The factor buys the actual and future license income (receivables) stemming from the licensing debtor. The seller of the receivables gets paid by the factor in the amount of the license income minus a discount for the services of the factor (financing, default risk, debtor management). A part of the sales price will be paid to a blocked account to secure the risk of moral hazard until all payments are made by the debtor.

iploit also acts as a structurer or agent for the establishment and/or management of royalty trusts. A royalty trust is a special purpose entity furnished by the sale of IP into this entity. The trust's only purposes are those of collecting royalties, maintaining the estate of IP and distribute the proceeds from the royalties after the deduction of a management fee.

Both services serve companies that have an immediate need to find additional financing of their balance sheet or their turnover but are in a healthy condition. Please contact iploit to inquire these opportunities.