Read this tip to make your life smarter, better, faster and wiser. LifeTips is the place to go when you need to know about Invention Services and other Invention topics.
One way you can make money on your patented idea is through invention licensing. While you might be leery of giving up some control over what happens to your new product, keep in mind that finding a seller, manufacturer and buying public all on your own will be costly and time consuming. You may simply not want to go through all that, especially given there is no guarantee you will earn a profit in the end. There is no guarantee a licensee of your product will earn you profit either but there's a good chance--if you negotiate wisely--you could become quite successful as someone else will be taking on a majority of the expensive and time consuming work of launching a product. There are two types of basic license agreements: exclusive and non-exclusive. In an exclusive agreement, only one licensee has the power to manufacture, use and sell the product, while a non-exclusive license allows for more than one to do so. Even big corporations obtain non-exclusive licenses to help them earn money on their inventions. But which one is best? It truly depends on the circumstances and the strength and talent of the licensee. You should gain assistance from a patent law firm or another qualified invention services company before you agree to license your product. Having more than one licensee might create competition which may yield more profitable outcomes for you, but that means you have more administrative burden to keep track of your invention ideas. You could make more money if you have multiple licensees but, then again, if you find the right licensee--who can successfully market your product all over the world, that might be the better option. Learn all you can from professionals, the Internet and the library about licensing agreements before you decide it's the best decision for your newly invented product.