Finding a price point for my patent and prototype.

Aloha all!

 

I'm an inventor and trying to obtain an idea of some numbers for a project I've been working on. I'm the creator of a life saving device that myself and others in the field that this device will be sold in believe may save hundreds if not thousands of lives a year. The device could be manufactured for $210 and sold for $700 or more. At a conservative estimate, the company could make more than 5 million dollars a year in profit, from the estimates I have done-maybe even more. I have a working prototype and will be showing it to a company that grosses $300M a year in sales, possibly more. My question, and I'm asking because the people in the field I've shown the device to are not in sales or business, is how much should I sell my prototype and patent for? Now, I know others will chime in and say that I should ask for a yearly royalty, but honestly, I believe that I have something big here that will change this market forever. It's never been done before and I've done a lot of R&D although more will be needed to perfect it. Does anyone have any advice as far as how much I should price my prototype and patent for?

 

Mahalo!

 

Ian

 

How long is a piece of string?

 

You will need to provide a lot more info if you don't want the respondents to guess, I understand it will be difficult because you can't disclose a lot more than you did.

 

Sounds like a fantastic opportunity I wish you nothing but the best! Looking forward to seeing the outcome!

From what you described, a licensing deal would be the direction I would go, but as Fortis noted, it is difficult to say what the right direction is without all of the cards in my hand.

Can't give you any numbers but can tell you that if you want to sell a patent without a sales track record you probably will not be very happy with the valuation.

I understand that you don't want a royalty or license agreement but am afraid that is probably the way it will end up, the license will also give you the ability to negotiate certain things like min sales per year, patent defence and a host of other safe guards for you.

Good luck with what ever you end up doing.

I'll offer you the deal of a lifetime right now to sign all rights to me:

 

$100 upfront and $1.00 for the rest of your life.

 

My offer stands for 24 hours.

 

Josh

Can't give you any numbers but can tell you that if you want to sell a patent without a sales track record you probably will not be very happy with the valuation.

I understand that you don't want a royalty or license agreement but am afraid that is probably the way it will end up, the license will also give you the ability to negotiate certain things like min sales per year, patent defence and a host of other safe guards for you.

Good luck with what ever you end up doing.

 

This

And I would not show anything to any third party till your patent is in place, I assume it is patentable . Get a good patent lawyer if you don't have one already and, based on my last experience with patents, I believe you need to get patents in all countries that matter . I don't believe there is a world wide patent but I could be wrong . Lawyer will advise you .

Even though you can and should get NDA's from interested parties , they usually mean shit as they can be circumvented , so move slow and do it right.

I have companies that would look at it as it is down my alley , so if you like give me a call when you have some time . I sent you a text already

 

 

hows the process going so far?

hows the process going so far?

 

 

Aloha, Capitalista!

 

It is very good. I know I have dragged things out over two years, but I'm 2 weeks to being done and ready to show this to someone. I had so many setbacks. I taught myself so much in order to be able to build this and still have very far to go. I kept doubting my abilities and then would try and try again at something I had zero experience at and then learn it and perfect it. I've had to start over with building twice, but for good reason. I really hope it sells before the end of the year. I've had so much good advice and motivation/inspiration from members here that I've gotten further than I thought I would and I can't say thank you enough.

 

In the meantime, I've started a business with two friends from LPower. We created an app with another member from LPower. We're still tweaking said app, but it's a work in progress and we believe we're so close to hitting the right note.

 

I just provisionally patented another device 3 days ago. I have faith that this will be HUGE! I have a team of engineers and programmers working with me and my team on it along with another buddy from LPower. It's really going to be exciting to reveal it to everyone. Stay tuned.

 

Also, tomorrow will be a huge day for me. Not as far as selling or producing anything, but motivation wise. I'll keep you guys posted.

Doc I am very happy for you, keep at it

Aloha, Capitalista!

 

It is very good. I know I have dragged things out over two years, but I'm 2 weeks to being done and ready to show this to someone. I had so many setbacks. I taught myself so much in order to be able to build this and still have very far to go. I kept doubting my abilities and then would try and try again at something I had zero experience at and then learn it and perfect it. I've had to start over with building twice, but for good reason. I really hope it sells before the end of the year. I've had so much good advice and motivation/inspiration from members here that I've gotten further than I thought I would and I can't say thank you enough.

 

In the meantime, I've started a business with two friends from LPower. We created an app with another member from LPower. We're still tweaking said app, but it's a work in progress and we believe we're so close to hitting the right note.

 

I just provisionally patented another device 3 days ago. I have faith that this will be HUGE! I have a team of engineers and programmers working with me and my team on it along with another buddy from LPower. It's really going to be exciting to reveal it to everyone. Stay tuned.

 

Also, tomorrow will be a huge day for me. Not as far as selling or producing anything, but motivation wise. I'll keep you guys posted.

 

 

Awesome! I am going through the same process here. I'll be submitting my provisional patent application by next week for my apparatus. It's crazy how fast time flies, so its now or never!

 

Also, tomorrow will be a huge day for me. Not as far as selling or producing anything, but motivation wise. I'll keep you guys posted.

 

Spill it!

 

 

Glad to hear things are progressing for you bud!

It is a challenge. I recently started a company to make aftermarket accessories for electric cars. A year of development along with patenting. I just hit my break even this last month pretty much all profit going forward. What a kick, it is so much fun watch the struggles and finally seeing it happen. Good luck!