Develop a Business Plan

Once the patent application is filed it is time to develop a sound business plan. A business plan offers plenty of advantages by focusing on goals and timelines, identifying strategic flaws and evaluating the market and your product’s earning potential. A good business plan serves as an excellent planning tool which can be used during various stages of the production and marketing process.

Competition in the marketplace is stiff. Create a concise and professional, but detailed, business plan that includes the following:

• A detailed summary of your product – what it does, what makes it unique, and its current patent status
• A thorough marketing analysis which includes market opportunities and competition
• A well researched presentation of projected sales, pricing and distribution
• Production plans, methods, costs, capacities and implementation timeline
• A organizational chart of management personnel
• A financial statement, cash flow budget, suggested wholesale and retail prices and,
• Projected profits.

Raising capital presents a challenge to the entrepreneurial inventor. Begin with a solid business plan and explore a variety of money-raising strategies. To find partners or potential investors, consider running an ad in a newspaper, such as The Wall Street Journal or contact investors’ organizations, which offer material support of all kinds. Banks and other traditional lenders may be willing to finance your enterprise.

Other funding sources include local, state and federal government programs that provide businesses with financial assistance. Venture capital, procured through individual investors, financial institutions or venture capital funds are also viable options. Financial agents, who work for a finder’s fee plus reimbursement of out-of-pocket expenses, may be able to connect you with reliable potential investors.

License

Index