Jim,

I think it all depends on the skill level and knowledge of the inventor.

I also think the more an inventor puts into their invention the less they will have to pay someone else.

I know that there are some areas where an inventor just has to get help.

For me when I am researching I find it hard to try to think about the cost of manufacturing, because I do not really know what the material cost will be.
I purchase materials at retail and try to base things on that price. That is not realistic because most retail mark ups vary, so it is not a good way to gauge prices.

So again I guess it falls into the learning process, we have to learn about it all before we can be successful.

Hi Jim,
I think it depends on few factors, like what type of a product this is, or what material it is made of. Obviously to make let say a new design of a doggie collar will cost much less than solar powered wind mill…And still it is a lot of money to be spent, in any case – tens of thousands of dollars. It is a very costy process and a very bumpy and risky ride. That is why many people are trying to sell the license to a manufacturer.

Good thoughts Sally!

I have always encouraged inventors to do what they can on their own and “get in the trenches” as how else can you truly learn the process. However, reaching out for help is usually necessary if at the very least to avoid costly mistakes.

Hi Irina!

This is true….but with risk comes potential rewards. Licensing is a good option for those that do not want to take the bigger risks and don’t have the financial means to run a business and pull in inventory but for those that do the financial rewards can be significant! It is also important to remember that getting a licensing deal is not easy and then from there you must make sure you sign a solid agreement that allows you to get paid the royalties you agree to. No easy roads….just some are easier than others!

jim – very true. I am the one who tried to “do it myself” and lost a lot in the very beginning of the process. I underestimate the cost, so I had to stop before I went into deep debts. Some people do it themselves – good for them, some people like myself say NO WAY, too much of everything, too much money, too much risk, too much dedication, too much work, too much time (not everyone wants to make it full time 60 hours a week job)

Once I hired a manufacturer and ordered the yardage wholesale, my costs were easier to figure. When I added in the cost per unit for the woven satin label, the little instruction booklet and the packaging, my cost per unit was really high and I knew I couldn’t triple my costs in order to sell wholesale. Therefore, I no longer include the label, booklet and packaging but still include the freight to get the goods from MA to AZ. I add the freight to the the per yard cost and then divide by the total number of yards. My costs are still fairly high but that is the cost of doing business in the USA and not going off-shore.

I am just not making any cold calls anymore – too stressful.

Hey girls….just don’t give up! Sometimes it is a good idea to take a break from your invention for a week or sometimes more to clear your head and figure out next steps. However, in the end, making sales is what the end game is and why most inventors start this journey to begin with. Learning how to sell is much about learning how buyers operate and what is important to them and not what is important to the inventor. Experienced or not it can be done! Believe me – when I started back in the 90’s I did not know how to approach retailers correctly but I was gung-ho and had a great attitude. It took me a few years but eventually I was selling millions a year to the likes of Target, Costco, Michaels, etc, etc….I learned the hard way but now I help those who need it so they don’t have to go through what I went through……Jim