Getting your product development idea (invention) funded is difficult today, but not impossible. You must be creative in the way you secure the funds to get your product to market.
I have said this many times before. Do your research and do not invent products you want yourself.
Instead I have found that it is better and makes more economic sense to invent products a buyer for a company already in the business would need. And this certainly is the easiest way to get funding.
For instance, suppose a person worked in a company using what they felt was an obsolete product. They would generate an idea for a new product. The company they work for, or the company that originally produced the obsolete product, might help with financing if they can be shown the value of the new product.
So before you are ready to approach any funders, you need to know exactly what your product will look like, estimate how much it will cost to produce, and know about how much profit it will generate for the company. You don’t need previous experience with these important questions. You can find help from many sources.
You should first develop a complete “how-to” plan on paper, then build your product in model form using any material that will give a potential buyer an idea of what the finished product will look like and how it will function. This is important.
If you don’t work for a particular company that will fund your product, there still are many sources for funding. Some large companies have foundations that make grants. There are special interest grant-making organizations, venture capitalists, professional associations, the U.S. government, and others. Local libraries have a number of directories you can check.
Another good idea is to look for companies that are actively seeking new products. A good place to do that is through http://www.inventorsdigest.com/ on the Internet. They also offer inventors a venue for offering products for sale or license. The http://www.inventionconvention.com/ site offers a “cyber show,” an “on-line networking service linking technology with industry – investors, entrepreneurs, and licensees,” according to their cyber show page.
Products can also be developed in stages to save money. After you have your initial thoughts down on paper and perhaps a working model, you will need to apply for a patent. As I’ve said before, seek out a specialist in this area.
When you are “patent pending” you can begin trying to sell or license your product. This start-up time period can allow you to find out if there is truly a market for your product.
If after a year, you do not have any buyers, you should realistically decide if you want to pursue the patent and incur further costs.
Remember, look for sources of funding with the same diligence you put into developing your invention!
Article © Copyright 2001 Stanley I. Mason. Syndicated by Paradigm News, Inc.
