One of the most common questions that we receive as an inventor support company is “will I need to pay for this?” The answer, in most cases, is yes.
Now, don’t let that detract you. As an inventor, you absolutely need to come to the conclusion that this process will cost money. Having a fantastic idea will only get you so far.
From our experience, here are a few things we’ve heard from inventors.
I have an idea, and I want to license it.
As we’ve pointed out in other articles, licensing is hard to accomplish without a working prototype, drawings, manufacturing sourced, etc. You won’t get very far with just an idea and a heartwarming pitch. You need to show the possible licencors that they will make money if they buy your product. That’s all they’re looking to do.
If you (manufacturing company) will produce my product, I will give you a portion of the proceeds from the sales.
This is highly unlikely to work. Manufacturers are typically presented with a slew of products every year, and propositions to become business partners. It just won’t happen. Manufacturers and design companies can’t rely on your product selling so they make a profit as well as break even on the cost of production.
I’ll crowdfund to make my money!
Crowdfunding before your product is feasible is a dangerous thing to do. Most successful Kickstarter and Indiegogo Campaigns have been successful due to a professionally constructed pitch. Most products that have received funding were already prototyped, tested, and manufactured in a small-run fashion. If you only take one thing away from this article today, it should be this: never attempt crowdfunding before you have the product finished.
The best option that you have is to save your money and do it right. You could finance the product through a lender (get a loan), take out a new line of credit, ask friends and family, or even take on a small part time job. If you have the passion to get it done right, don’t let your idea fall into the wrong hands. Protect yourself, save your money (and never pay up front without getting a solid plan in place with your invention production company), and live your dreams!
