Can we finance our pension fund with IP assets?
My CEO saw that Diageo has added whisky to its pension fund. He is keen to explore ways of plugging our own pension funding hole with non-traditional assets such as IP. What advice do you have?
You need to think about what both the trustees of the
pension plan and the company are trying to achieve. The
trustees will be looking for additional security so the asset
needs to have a value if there is an orderly disposal of the
business, or potentially if the company ceased to exist. They
will consider what it is worth in these circumstances, rather
than the value shown in the company accounts. This value is not
easy to calculate even with more traditional assets such as
property. If you are the trustee of the Marks & Spencer
pension plan where a number of M&S shops have been provided
as security, for example, what is the value of the shops if
M&S no longer existed?
It is even harder to think about the value of IP if there is
an orderly disposal of the business or the company...
Please log in
to read the rest of this article. New to Managing Intellectual Property?
Take advantage of one week’s FREE access
and become a Managing IP member today. It’s free to join and the benefits start straight away.
Please make sure you log in to read the rest of the article.
Join us nowGain 7 days FREE access when you register now.