WARNING: THIS POST GIVES A HEAVY DOSE OF REALITY! PROCEED WITH CAUTION.
Being a business owner in the invention industry, and an inventor myself, I felt I needed to voice – eh hem – vent, some fallacies that are prevalent in the industry. Here is a short list of common misconceptions of people, businesses, and general issues in the invention industry:
- Fallacy: People and Businesses are out to “steal” your idea. The truth is, it takes a lot more than an idea to have a successful product. Talk to any successful inventor and they’ll tell you the idea was just the start. Business savvy, determination, marketability, money, management team, and execution – that’s how you make your great idea successful. In fact, don’t take my word for it, listen to Paul Graham (a very very successful tech entrepreneur).*Note: This advice is for the US. China, Vietnam, etc. will copy your product no matter what.
- Fallacy: All companies in this industry are scams. In fact, out of the hundreds of thousands of patent attorneys, product developers, and marketing firms, only a few dozen companies and individuals are suspected scams (as counted on inventnet.com’s list of suspected scams). The reason we often hear of the “scams” is because they’re the ones advertising on TV & radio, and the ones with the biggest wallets. So 99.9% of service providers and individuals in this industry are ethical human beings. So how do you distinguish the handful of bad apples from the good ones? The quality of their work and their references. Ask for samples and check InventorEd for the latest news on scams.
- Fallacy: I can invent successfully without spending much money. Inventors and small business owners around the world wish this were true. Unfortunately, it’s going to cost money, most likely your money. Most inventors and entrepreneurs finance their invention on piles of credit card debt (85% according to Entrepreneur Mag). The trick of inventing is to know where it’s smart to spend money, and where it’s NOT smart to spend money. You need to think of inventing more like a business. Of course, you can always get creative and cut your costs, but at a minimum it’s going to cost tens of thousands of dollars to get your invention to a point where retailers want to even talk to you.
- Fallacy: Wal-Mart will buy my idea and Venture Capitalists will invest in my idea. Wal-Mart doesn’t buy ideas, they buy already manufactured products that have a proven track records of sales. Very few Venture Capitalists invest in inventions, because the success rate is so low, and admit it, we inventors can be difficult to deal with. Be prepared to spend your money and get family & friend investors instead of VCs. Don’t worry, as mentioned before your in the same boat with 85% of entrepreneurs.
- Fallacy: If I get a patent, my invention will make millions. Not to be the bearer of bad news (again) but according to an MIT study 97% of patents never become commercially viable. Too often inventors focus too much on the patentability and not enough of the marketability of their invention. Not to undermine patents, they are good, but they shouldn’t the only thing on your mind.
So I gave you the straight juice tonight. I don’t mean to discourage anyone from inventing or starting a business, but point out some hard facts that you will be up against. That’s where the persistence & determination comes in handy.
Bryan Daigle
President & Founder of ideatango.com – the #1 site for inventors & invention ideas
For more good info & advice, check out the official IdeaTango Blog.
