Introduction

As a registered patent agent and an engineer for the Missouri Product Assistance Lab (MoPAL) at Central Missouri State University, I work with about 100 new product developers each year.

As a not-for-profit entity we try to help inventors and manufacturers get their product ideas to market in ways that make sense. Getting a new product to market usually means developing an overall plan of action and strategies for intellectual property (patents, trademarks, etc), marketing/evaluation, business planning and technology/prototyping. Let's take a look at each of these areas in more detail below.

Associated Documents (letters, forms & information):

Preliminary Patent & Trademark Search |Confidential Disclosure Agreement
Patent Disclosure | Secrecy Agreement | Road Map to New Product Success

Plan of Action:

As I meet with new clients starting down the road to develop a new product most ask me about the steps required to be successful with a new product. In truth there is no one path to follow to become successful. The type of product and the personality of the entrepreneur alone dictate a different strategy for every entrepreneur I have ever met. So you must develop your own action plan, think of it as your individual "Roadmap to Success." To start your own roadmap to success, refer to this document. There you will find a series of factors. With your situation and your product in mind, write a comment about each factor in the space provided or on a separate sheet. If there are items that you have not thought about or you are not sure of what to write, then these are probably areas where you need to begin your research. When you have completed the process you should have the beginning outline for a plan of action for your product. Keep the plan up-to-date as you work through the different steps.

Patents and Intellectual Property:

If you have a product idea, it normally is wise to conduct a patent search before going very far. I can do the search for you through our preliminary patent search service. The fee for us to do this is $250 in Missouri; $300 for out of state; and the results will help you clarify if you are the first to have this idea, if the idea infringes an existing patent and if the idea is patentable. You can conduct a preliminary patent search of your own at a patent depository library like Linda Hall Library in Kansas City. It will take 10 to 20 hours to do your own search, depending on how much help you get and what your idea is. You also can begin the protection process by participating in the Patent and Trademark Office's Idea Disclosure program. See the patent office web site at www.uspto.gov.

We do trademark searches as well. This service is $150 and is designed to help you avoid trademark infringement and help you assess if you should trademark the name of your product or service.

Copyrights protect written material, artwork, computer programs and sound recordings. If you want information on copyrights call the Copyright Office at (202) 707-3000 or visit their web site at lcweb.loc.gov/copyright.

Marketing/Evaluation:

Marketing is the process used to get your product in the hands of customers. If you are at the idea stage, marketing is the process of trying to determine if there is anyone who wants your product and if your product fills the needs of these customers. You should design your product with a specific customer in mind and in most cases you need to know your customer very well. The Wal-Mart Innovation Network (WIN) program can help by providing a commercial feasibility evaluation. The cost for this service is $175 and is available through Southwest Missouri State University (phone 417-836-5685). WIN is very good, particularly for consumer products.

Another way to get market information is to show the idea to people that you consider to be potential customers and try to get their unbiased opinions about how they like the product, what they would expect to pay, where they would expect to buy the product and what they would change about the product. The problem here is that you don't yet have a patent so you run the risk of losing the product. You can use a secrecy agreement, also called a non-disclosure agreement to help here. A patent attorney can design a document to fit your particular need.

Another approach to marketing is to license your idea to an existing business or to partner with a business or person with detailed knowledge of your market. This can be difficult and risky even if you already have a patent.

The point of marketing before you have a product is to reduce your risk. Don't mislead yourself by thinking, "I know this product will sell," and using this as an excuse to ignore marketing issues. You should be able to describe on paper who will buy your product, why he will buy it, how much he will pay, how you will distribute, who your competitors are and the details of their product offerings. Know your target customer as well as you know your product.

Business Planning:

You need to start thinking about the business that will support your product. It doesn't make a lot of difference whether this company is going to be yours or not. In most markets a company with only one product is not viable long term.

A critical element that falls under the business side is financing your idea, its development and marketing. In most cases introducing a new product to the market is an expensive and time consuming process, yet banks and venture capital firms won't loan you a dime on just an idea. So financing your idea, in the beginning, relies on your resources. I will assume you don't have a lot of spare cash. If the idea is a particularly expensive one to get on the market this may be a back breaker. One way to raise a little money is on personal credit and on loans from friends and family. I have had dozens of clients raise over ten thousand dollars just on personal assets and credit. You need to be smart about finance and if you don't know a lot about business planning you may want to attend a workshop or seminar on starting your own business. Our center, as well as many SBDCs located throughout the country, regularly offer "Starting Your Own Business" and "Financing Your Business" workshops. Just contact your local office to find out when the next class is scheduled, and also remember that the SBDC in your area offers similar business and finance courses.

You need to pay careful attention to the specific laws regulating how you can legally raise money and issue stocks for your business. Also you need to evaluate the risk before you start going into debt to start a new product.

Technology/Prototyping:

You will need to get a functional prototype if you can. If you can do this yourself, that's great. You won't get very far with any of the other functional areas without a working prototype. We can develop a prototype for you (call for details). We maintain a database of prototyping companies as well.

Once you have a functional prototype, you need to figure out how to manufacture the product. There are many manufacturers that would love to make your product for you at a price. For instance, if your product were plastic you could get an existing company to make it for you if you are willing to pay for the product specific tooling and so much a piece for the product. You can locate manufacturers in your area by looking in the phone book, in the Thomas Register (the big set of green books at the library) or through the Harris Directory for your state. The Center for Technology, here at Warrensburg, has these resource books and you are welcome to make an appointment to come in and use them.

Don't forget the packaging in your design process. For consumer products the packaging is often the first thing the customer sees and is a critical element in your product marketing. In some cases the package costs as much or more than the product.

With a little assistance you can get through these steps and get your product developed to a critical decision point. When you spend money on patenting, tooling, production and advertising you will be committing yourself to a large investment of resources. The outlined four-step process is designed to give you the information to make sure this investment is not a mistake.

To Obtain Assistance:

Fill out and return the Request for Counseling form, as well as, the Action Agreement to receive any of our services. Once you have completed the four steps of Intellectual Property, Marketing/Product Evaluation, Business Planning and Technology/Prototyping then we will be able to provide additional services to meet your specific needs.

 

Rothenburg cheap hotelsAuthor: Mark Manley, Consulting Engineer
Source: Central Missouri State University Center For Technology And Small Business Development
Description: Patent Package Information << http://153.91.1.141/SBDC/Patent%20Packets/PatentPkg.HTM >>

 

CONTACT FOR INFORMATION: Mark Manley, Consulting Engineer; Bill McKnight, Consulting Engineer - Center For Technology And Small Business Development (660) 543-4402 or 543-8162 (Call to request a hard copy of the forms above) Central Missouri State University Small Business Development Center Center for Technology and Small Business, G-009 Warrensburg, MO 64093 Phone (660) 543-4402 or (660) 543-8162 FAX (660) 543-8159