Do you know what the rise of technology has unlocked? The answer is the endless flow of ideas. Now more than ever, people can turn their ideas into reality. Unfortunately, it has also made stealing someone’s ideas and passing them as their own easy. That’s why most inventors decide to patent their products or inventions as a form of protection. At some point, they start looking for an opportunity to sell that patent and earn some money. The process of getting a patent is just as consuming as the selling process. If you ever wondered how people sell patents or you even have a patent of your own for sale, then you’ve come to the right place. Continue reading to find out.
Determining the Patent’s Value
All those interested in knowing how the sale of patents works are fairly disappointed when they uncover a harsh truth about the patents — they hold no value. Given the time and effort put into obtaining the patent for an invention or product, no wonder it comes as a huge shock. All the more so because achieving the profit is what usually drives inventors and entrepreneurs to apply for the patent in the first place.
However, not all patents are worthless per se. They hold a certain value, and the first step in selling the patent is determining its value if possible. The easiest way to do this is by understanding what type of patent the invention has. This is important because not all inventions, such as designs or manufactured goods get the same type of patents. Hence, the specific patent type determines the patent’s value to some extent.
When thinking about how people sell patents, one thing surely comes to mind. Those are prototypes. By getting the patent, inventors have protected their idea but to woe the investors and sell the patent, they have to develop prototypes. This is something that inventors that have been in the game for quite a while always usually advise up-and-coming colleagues.
Attracting investors isn’t the only reason for building working prototypes. Prototypes combined with experts’ opinions lead to feedback. Based on their profound insights, people can shape their prototypes accordingly and turn them into marketable output that ultimately sparks investors’ interests.
New inventors start testing different types of prototypes to test performance or play around with the design. Although it might take a while to achieve the perfect blend of quality and production, once they do, the chances of selling the patent and reaping profit increase greatly.
Apart from offering potential investors the prototypes, inventors should create a proper sales presentation as well. The presentation should demonstrate the patent they’re selling is a wise investment and the profit it will bring to the investors. Also, it’s supposed to justify the price the inventor is asking for the patent. With the presentation and the prototype, the investors don’t have to rely on their imagination to grasp the whole idea.
Contacting a Patent Attorney
People interested in selling their patent should contact an attorney specializing in patent law. Since they already have a patent, chances are most of them have patent attorneys by their side. If that’s not the case, then hiring one is highly recommended. Why? Because patent attorneys know how to sell patents the best way. This means the selling party gets the most out of the selling process.
Attorney’s first-hand experience serves as guidance especially to those inventors selling their patent for the first time. Not only are they familiar with the procedure, but can also offer valuable advice on which markets to capture, how to get a fair selling price, and discern attractive offers from worthless ones.
Finding the Buyers
One of the most dreadful parts of the selling patent process is finding the investors interested in buying what inventors have to offer. Finding the buyers largely depends on the market and the industry to which the patent belongs. Some of the ways people find potential investors include:
- Sending sales offers to companies from relevant industries
- Advertising the patent sale through the agency in charge of patents and trademarks
- Visiting trade shows and networking
If investors decide to contact companies and send them sales offers, they have to be ready to receive rejection letters as a reply. Not all entrepreneurs are willing to risk their business. However, they never know who might find their patent a great opportunity to offer something original and innovative to their clients. Similarly, attending trade shows is a great way for innovators not only to connect with people from relevant industries but also to get a general idea of how much patents are worth in the market.
Listing the Patent for an Online Sale
There’s also another easier way to sell patents. People can use the Internet to list their patents for an online sale. By advertising their patent sale, inventors can reach larger audiences and find investors faster. Such websites allow inventors to list their patents and check out the prices for a particular patent type.
How to sell patents online? First of all, people have to find a relevant but above all trustworthy patent listing site. It’s important because such websites require registration which means they need to provide confidential information about the patent and its owner. If the seller and the buyer come to terms, confidential financial information is required. Therefore, inventors have to be particularly careful not to get scammed. Once they upload all the information necessary, inventors can wait for the offers to start coming in.
On the whole, if there’s one thing, technology has enabled people it’s to turn their ideas into reality and keep them secured by patenting them. However, if inventors don’t want to use the patent in their business or would like to share it with others, they may decide to sell it. How people sell patents vary from inventor to inventor. Some may contact companies by themselves, while others may attend trade shows or list the patent for sale online. Either way, they achieve their goal of selling the patent sooner or later.
You may also like: A Guide to Patents, Copyrights, Trademarks and Trade Secrets
Image source: Rawpixel.com