Contacting companies for the first time can be scary and uncertain for Inventors. You want to do it right and get the company interested in your product and see it on store shelves. My invention submissions have resulted in licensing deals in toys, tools, eyeglass products, kitchen utensils, and even a device used in the nuclear industry. I did it spending less than $100 on each and some as little as $8. I utilized an NDA and Sell Sheet only, no patent or PPA. My major investment has been my time.
I have been a serial Inventor, a licensing agent and reviewed thousands of Inventor’s products. In short, I see and hear all sides of the inventing process. What I’ve discovered is sometimes inventors can be their own worst enemies. Here’s a list of do’s and don’ts when it comes to submitting pitches or new products to companies that can help you make a better first impression:
1. Don’t send hand-written submissions. Even if you don’t own a computer most libraries have one you can use for free. If a library isn’t an option, go to a FedEx Office (formerly Kinko’s). If you send your submission via snail mail, include a self-addressed stamped envelope. Don’t assume your target company will pay postage.
2. Do put your contact information on each piece of paper you send. That includes samples and prototypes.
3. Don’t waste a product reviewer’s time detailing how you came up with your idea. Focus on the benefits of your product/technology and why it will make the company money. Companies don’t care if your second cousin twice removed worked on your project for two years once he got out of prison.
4. Don’t use the phrase, “My idea is worth millions.” Let the company decide that.
5. Don’t use the phrase, “There is nothing else out there like my idea.” Most of the time you will be wrong.
6. Don’t say you have researched your product idea thoroughly when all you did was walk into a Walmart and didn’t see it on the shelves.
7. Don’t use the phrase, “Everyone will buy one.” This gets back to being realistic about the size of your market. Know who the target customers are. (See Rule #6)
8. Don’t send a prototype to a company unless they asked you to and are expecting it. Companies do not want to keep track of or be responsible for items they did not request in the first place.
9. Do be realistic about your expectations. Understand licensing royalties usually are about 2% to 5%. Greed can kill an otherwise profitable deal.
10. Do read and re-read everything a company sends you to make sure you understand everything in the documents. Don’t assume everything is fine and sign it. I send people my two-page non-disclosure agreement to read and sign prior to sending me anything for review. I have to include in my email an explanation to make sure they fill in their address on the top of the first page, because so many people don’t do it. This is in the first two paragraphs of the first page. So, if they are missing that what else are they missing in a longer document?
11. Don’t write a novel to explain your invention. Be concise and factual. No one wants to read a novel to get your idea. Be able to explain your invention over the phone or in person in 30 seconds or less. Practice your pitch until you can say it in your sleep. Look at the short blurb on the back of a book. It gives you an overall idea of the 300 page book. Your pitch needs to be that short.
12. Make sure you know your product. You should be the expert on your product. Never assume companies will just “Get It.”
13. Don’t send your submission to a company on Monday and call Tuesday to ask when they will be sending you a contract.
14. Do your research before submitting anything to a company. Make sure your submission actually fits their target market. Don’t submit a lawnmower idea to a soap company.(this happens more than you think)
15. Don’t send your invention submission in care of the general bulk mail of a company. Get a specific person’s name in charge of that department – new product development, marketing, inventor submissions, inventor relations, etc. Don’t send “To Whom it may concern.” The most likely place it will find is the trash basket.
16. If you call a company asking for the person in charge of invention submissions, make sure you are ready if you’re put through. This is not the time to forget pen and paper or fumble your pitch. If you get voice mail, leave a short intelligent message with your call-back number.
17. Make sure you know the time zone difference of the location you are calling.
18. Don’t send a company any package that has special storage requirements, contains a live animal or flammable liquids. Real example: An Inventor sent his new food-sealing device with samples of food sealed inside. It was not opened until a week later, by security due to the smell of the leaking packages.
19. Don’t send a company anything you can’t afford to lose. Accidents happen and things can get misplaced. If it’s a one-of-a-kind item, you may want to send a DVD or link to a video showing the product in action. If you post it on Youtube and you have not filed for any patent protection make sure it is set on Private and not Public.
20. When sending email attachments to companies, do make sure it is in a program they have installed on their computers. Not everyone has Filemaker Pro or Microsoft Office 2016. Ask if the company has a size limit on attachments. Moreover, some software automatically kicks out any email with an attachment that is not on a safe email list.
The more you do upfront to make sure you are prepared the better your chances of success.
Apply to present at the upcoming 2016 Florida VentureTech Showcase
at CAMLS (Center for Advanced Medical Learning and Simulation), in downtown Tampa on November 1st from 1:30 P.M. – 6:00 P.M.
The showcase is a capital acceleration competition and business-networking event co-hosted by Space Florida and the Florida Venture Forum. The event will feature presentations by some of Florida’s most promising growth-stage companies. Additionally, a cross section of investors will be in attendance. Troy Knauss, instructor, with the Angel Resource Institute, will be the special guest speaker!
Presenting companies will compete for the
Space Florida Accelerating Innovation Awardtotaling
$100,000 for the Winner and $50,000 for the 1st Runner Up!
Presenters will be chosen from a pool of applicants by a selection committee evaluating growth-stage companies from throughout the state of Florida. Selection criteria for growth stage companies are listed on the Forum’s website. Selection preference will be given to those growth stage companies in information technology and health technology, knowledge-based services, space transportation and advanced aerospace platforms, satellite systems and science payloads, ground and operations support systems, agriculture, climate/environmental monitoring, civil protection and emergency management, International Space Station and human life science (including medical research), communications, cyber security & robotics, adventure tourism, clean /alternative energy applications, advanced materials and new products.
FINAL PRESENTER APPLICATION DEADLINE:
Friday, October 14, 2016
You have, what you think, is a fantastic idea that will make millions and be perfect for Shark Tank but you don’t know what to do or where to start. Here is a list of the first things to do:
After starting the process, you will see that there is a lot to do before you spend money on a patent or on prototypes. There is help available and it will take time. Just Keep Inventing Daily!