How to Sell a Business Idea | How Can I Legally Protect my Business Idea?
How to Sell a Business Idea
Let’s be honest, selling a business idea is never easy. You may have thought of an amazing product or service that you want to bring to the world but convincing others can be tough.
In today’s competitive business world, it is more important than ever to have a unique idea that will help your company stand out from the rest.
It is easy to come up with a business idea, but it takes more to create a successful business.
If you have an idea for a business that you need to make happen, then you’re in good company. Ideas are as plentiful as people, but executing an idea is another matter entirely.
Whether you’re just turning your idea over in your head or you’re hard at work planning the launch of your business, selling your idea is an important step.
To sell your idea, you need to make someone a believer. Who are you selling to? Investors? Employees? Customers?
The answer to this will inform how you sell off your idea. For example; Investors want to see evidence of demand and scale, and you’ll need to show them easy ways to generate revenue and profits.
Steps in Documenting your Business Idea
There are many steps involved in this process, the more of them you complete the more likely you are to succeed.
First, research your idea for viability. Can it generate enough revenue? Does your target audience need it?
The more research you do the more likely the success of your idea. In order to successfully sell your idea, your potential buyers need to know what they are buying.
Describe the idea’s benefits and why they should buy it. It’s also important to have a detailed plan for implementing your idea.
How much time will it take to start generating a revenue stream? What are the costs before your idea starts being profitable?
Prepare a solid business proposal with a clear overview of the market, a description of the offer, the benefits and features of the product and service, the company’s competitive advantages, the target audience, and a detailed plan for the future.
Tips to a Successful Selling of Business Idea
The key thing is to make sure your idea has commercial viability – meaning there are no similar products or services currently available on the market that offer what yours does better than it does.
The second one is to find out if anyone else in the industry knows about your idea and has been using it to generate sales.
One of the best ways to find this information is to speak with other businesses in the industry that are in a similar stage as you.
The last point is to realize that your idea is only valuable if you can actually execute it and make it work for your business and its customers.
To do this, you’re going to need to build out a solid marketing plan – one that will help your prospects see how your product or service offering will create value for them.
Pitching your business idea is only the beginning of your story and should have a well-written proposal.
Proposals are typically written as a letter, which is sent to the company and to other companies that could potentially be interested in the idea. This letter will detail your idea, what makes it new and different, who the target market is, what you plan to do with the money in terms of research and development, marketing, and so on.
It is then up to the potential buyers and investors to respond with something like “we love it” or “we don’t see a market for it”.
When you have made a substantial amount of money from your first idea you can expand upon this by looking into new ideas or ways to make the original idea better.
How Do You Sell an Idea to a Company Without Them Stealing It?
Many people have great ideas for products or services, but few actually take the steps to make them a reality. One of the main reasons is that they are afraid of how their idea will be treated by potential investors and other interested parties.
The fear of their idea being stolen is very real and can keep many from taking those next steps to make it a reality.
Many entrepreneurs are afraid of pitching their idea to a company because they fear the company will steal them. There are plenty of stories out there about entrepreneurs who have had their ideas stolen by large companies.
How do you sell an idea to a company without them stealing it? The truth is that most companies don’t want an idea if someone else has already taken care of it.
Good marketing entrepreneurs will try to find out how the company works before pitching new ideas or campaigns in order to better tailor their approach – but even then, a lot of companies prefer originality over anything else!
One way is to set up contracts and agreements that state the company can use your idea as long as they pay for it. Another way is by putting patent protection on your idea so they don’t use it.
Patents are good but they also take a long time to get. You should patent your idea as soon as possible but be aware that the average patent process takes over a year to complete. In some areas of the world, you might have to wait longer than that for your patent to be granted.
The average time to obtain a patent, according to the United States Patent and Trademark Office (USPTO), is around 25 months. If you want to speed up the process, you can pay an extra fee to the USPTO ($1000-$4000) to get prioritized review utility patents, which can cut the time down to 6 to 12 months.
The good news is that you can file for a provisional US patent in just three months if you know who you’re working with and are able to draft up a solid application.
The idea is to keep your patent pending status as long as possible. As long as you have that status, nobody else can patent your idea or take credit for it. It all depends on how fast you want to get the patent granted, and how much you’re willing to pay for it.
There are many problems with patents. First problem is that they don’t protect against someone taking your invention and making a cheaper version of it (copycat product). However, depending on the market you’re selling into, it’s expected for a company to try and copy your product.
Another problem with patents is that they cost a lot of money. Filing for a patent in the US can cost north of $15,000. In some countries, it’s even more than that. But the price depends on where you want to get your patent filed. In some country’s patents are cheaper to file than others.
The reason why patents are so expensive is that they have to go through a thorough process before they’re granted. Patents have to go through a screening process where they’re judged on whether or not it’s new, useful, and non-obvious.
Very few patents pass these three criteria. Only a small percent of patents pass this process. In fact, there are many patents that have been filed but never granted because they don’t qualify for any of the three criteria.
I know of people who filed patents for a product and paid more than $15,000 dollars to get the patent. The problem is the product never went anywhere and they never sold any units. Why? Because it’s boring. It’s a crappy product that nobody wants to buy. This means they’ve wasted their money on a patent that has no value.
So, what’s the solution? You need to make sure that your product is something people want to buy before you file for a patent. This will save you thousands of dollars and countless delays from getting your patent granted.
The time and money you spend on filing for patents are better spent developing new products that create value for customers.
With products like piracetam, nootropics, and other similar drugs, it’s possible to file for a patent on a serious drug and sell your product for $1.00 or more per capsule. The problem is that nobody wants to buy sno-Pax because it has no benefits to the brain. It’s not something people are interested in taking.
In the end, your business will fail, there will be lawsuits filed against you, and you’ll lose all of your money. So how do you get around this? You create a product that’s interesting and valuable so people want to buy it.
In the case of nootropics, people want to buy nootropics because they do work. They help people concentrate, think faster, and are a general brain stimulant.
These types of products are what you need to focus on building instead of focusing your time and money on getting one patent granted.