Research. That’s the short answer to that question.

Use Google or Duck Duck Go to look online for your product or service idea. Does it exist? Who is the competition? What are the competitions’ strengths and weaknesses? That’s your first, no-cost step.

Is you idea still non-existent? Time to get excited, although, don’t get too emotional. Don’t allow visions of grandeur to fog your thinking. Think pragmatically. How big can this get? What is the upside? What is the downside? If up is bigger than down, that’s exactly the way to go. Think big.

Now shop for a Patent Attorney. Initial consultations are usually free but the patent search, if done by an attorney, can cost $2,500. You can conduct your own patent search for free, at uspto.gov The search criteria is critical. Search for all aspects, concepts and features of your invention idea. This costs you nothing but time.

A patent is possible? Good! Expect to spend at least $5,000 on that patent. There are two types of patents available: (1) A Utility Patent with a number of claims thoroughly covering all aspects and details of your idea. The more complex your idea, the more the patent will cost. Simplicity is cheaper and most often desired in a new idea. (2) A Design Patent is much less expensive because it’s based on the simple “look” or appearance of your idea. Once applied for, you can start showing your idea to all and anyone who might help selling or manufacturing your idea. Before you do that, though, it’s important to have a Non-Disclosure Agreement (NDA) as a means of protection; anyone with whom you share your idea will have to sign that in advance of your conversation. It costs you nothing.

Build a prototype. Make certain it works. Doesn’t have to be pretty but it does have to be functional. Upon noting the components, you have to consider the manufacturing process. How can this product be built in massive quantities? Should you get this product into a Home Depot-like monster outlet, you’ll have no choice but to seek manufacturing expertise. If you find someone who can do the complete job, get at least two more estimates from others to keep them honest. By the way, I know of many inventors who have made deals with a manufacturer whereby they include manufacturing, warehousing, and shipping all for a percentage of sales. No upfront costs to you, the inventor.

Now the hard part: Marketing. I was fortunate enough to partner with a distributor who loved my invention. After showing them my $250 prototype, we struck a deal allowing them to have the exclusive rights to sell my idea. In exchange, they gave me an office, warehouse, secretarial assistance, and paid for all marketing costs including trade shows and advertising. Not a bad deal considering it only cost me $250. Then and only then did I spend the $55,000 for a mold to make my product. Seemed like a safe bet.

For another invention we decided to jump into the world of manufacturing ourselves. We hired a number of businesses to make various parts of our product and then we assembled them ourselves. The only problem was we couldn’t get the costs down to where we believed the retail price had to be. China was our only hope. We had already been manufacturing and marketing our product for just under a year when we received a call from our #1 distributor, asking for exclusive licensing rights. Considering we were too small of an operation for a giant like Home Depot with over 2,400 stores to properly supply, we decided to license out the product. Even though we received less money via royalties, we never had to spend another penny. Product Liability Insurance alone cost us $30,000 per year.

Understand, you most likely will not receive a licensing deal or a buyer for your idea without proving the product can sell. Watch Shark Tank. Having a track record of sales is critical, unless your idea is such a unique bombshell, the investors are drooling to buy it. That’s rare, but does happen.

Licensing lasts only as long as your patent expiration, which is usually a 20-year period. Manufacturing yourself allows you to stay in business indefinitely and allows for higher income—of course, with higher expenses and responsibilities.

Selling your business is another way to cash out, although beware. I sold one invention business with a nice, upfront amount of cash but the real payoff was going to be royalties forever or “In Perpetuity.” I (and my grandkids!) would have been set for life and there after! There was only one problem with that plan….  Read my blog Licensing vs. Selling to learn what happened.

I’ve made every mistake of an aspiring inventor and entrepreneur can make. I want you to learn from my mistakes, my successes, my experience. That goal is the entire purpose of my website because I believe inventors and entrepreneurs keep this country strong and free. I’ve been fortunate. Now it’s time for me to give back and help the next set of big thinkers.

Bottom line, what it takes to be successful is a vision, a mission statement, a willingness to work hard, a willingness to take calculated risks, the ability to find good people to work with, the art of salesmanship, and pragmatism.

Oh, there’s one more thing: Always keep a positive mental attitude (don’t dwell on what can go wrong, instead focus on doing what needs to be done for success). Persevere! As Winston Churchill said, “Never, Never, Never Give Up!”

Godspeed!

Your fellow-dreamer and doer,

Bruce D. Clark

If I can do it, anyone can!