Should You Sell Or License Your New Product Or Idea?
By Dan Stalfire
Patent Selling: Why Sell:
A patent is your property and as such you have the legal right to do with it as you wish. Generally you would choose to sell your patent if you would;
1. Focus your attention on other ideas.
2. Turn over the entire rights to your patent and be done with the venture.
3. Generate a quick income from the sale.
A patent owner has 4 basic choices they can make with their invention:
License Your Patent:
By far the most profitable. This allows you to maintain ownership of your idea, while allowing another company to build and market the idea. This is what InventorsIPO specialize in. We find a company to build, market, and pay you a fair market value for the use of your idea.
Build and market the product yourself:
You can build, market, and do the legal work yourself. This is a complicated process that requires a large amount of capital, time, and knowledge of the market.
Sell the Patent:
All patent owners have the right to sell their idea. This process requires the ability to find a buyer, a lawyer, and understand what the market value of their idea is.
Believe it or not, the vast majority of patents granted by the U.S. Patent Office have never been acted upon. About 90% off all patents are never commercialized!
Why License Your Idea?
Licensing your idea to an established company has many advantages.
Your product will carry the label of a company that has a well known and respected name. Most individuals cannot, and should not approach large companies like Wal-Mart, Target, etc. They usually will not look at people who only sell one product, they prefer vendors with multiple products.
Most larger companies have a complete marketing and Public Relations department. Larger corporations have the capital and resources available to launch a product properly. By allowing another company to build and market your product they generally assume the liability also. Thus if for some reason something happens that has legal ramification they will usually handle it.
You get paid royalties for doing nothing. Of course it is your idea, you did invent it and file the appropriate patent application. But what we mean is that you will get paid, while they build it, market it, promote it, and do all of the ground work.
Dan Stalfire is the president of InventorsIPO.com, SEO ONE, inc. and Internet Marketing Images, Inc. Dan has over 20 years experience in inventing and intellectual property. Mr. Stalfire is actively involved in inventing and marketing. Holding a US. Patent and a Federal Trademark he has assisted numerous inventors with their marketing and product launches. For more information visit www.inventorsipo.com.