AboutPenny Ballou Expertise The Invention Process; Royalties; Licensing Inventions/Products; Pricing; Direct to Market; Marketing/Promotions; Patent Searching; DIY patent writing; Types of patents/costs/how to's; Funding (grants and Angel investors); Prototyping; Off-Shore sourcing.
Experience I am founder of an inventors group; Advisory Board President of www.inventored.org; former Licensing Executive Society member; researcher for www.piausa.org and a consultant; plus moderate and contribute to several online inventor discussion groups.
Publications Enter my email address into any search engine to find them.
Education/Credentials Invention development: well-studied and applied in all aspects of the process and an inventor myself with one invention in patent pending and others ramping up. Lived and attended schools in Mainland China and the UK.
Question I have a new product that I have patented, prototyped and am now starting full scale production. However, I see this as only part of its potential. I think it would be very valuable to other companies to be incorporated into their existing products. I have contacted a few companies, but have not heard anything back. What is the best way to find and contact people that would be interested in licensing my idea?
Answer Hi Cliff,
Nice to hear from you. So let's see what you have for me:
1. YOU STATED: I have a new product that I have patented, prototyped and am now starting full scale production. However, I see this as only part of its potential. I think it would be very valuable to other companies to be incorporated into their existing products.
a) Understandable which would mean you're after a non-exclusive licensing arrangement with several around the country (demarcation by territory thereby giving it exclusivity in the area/regions they already operate in).
2. I have contacted a few companies, but have not heard anything back.
a) How well have they been pre-qualified would by my issue as well as what is the size of their distribution base? They may be too small or too large. It could be your product might compete with their contracts? It could be your product is not in their quota range. It could be any number of things.
b) Is it "market-ready"? (packaged for sale and shipment?)
3. What is the best way to find and contact people that would be interested in licensing my idea?
a) The $64K question everyone wants the answer to. It really depends on many factors. The bottom line is lining up potential non-exclusive licensees as you are doing and getting their situation or learning about them before wasting time going into what you've got.
b) Monies are tight and/or they may have spent this year's new product development allocation---- very likely) so you find out when typically they start looking at new products (what's their forecast for next year or the year after or are hatches shut at this point?) Companies typically budget years ahead. It could the choice is to re-brand or spruce-up existing lines or provide new packaging in an effort not to incur debt since consumer/end-user markets are generally feeling pressure from economic and political forces at work
in the U.S.
