All people are different.
Someone is good at generating ideas and concepts.
Another person is keen on thrashing out plans.
Somebody else can systematically, step by step implant those plans.
That’s why the question of how to sell an idea is topical not only for those who look for the project’s investment.
Actually, an original concept, a fresh look and an innovative decision of the old problem can bring high income.
Only under one condition: there will be someone, who will bring it all to life.
Nevertheless, you should not try to sell your idea just to make some money; it’s much more important to create a unique value, which no one else will be able to produce.
Steps of how to sell an idea
Know your product.
You must have a clear image of your product, if you actually want to sell it successfully.
Make up the list of concepts and details, which relate to your product or theory and can be put in one page.
This list must include the key functions of your idea, its advantages and benefits and reasons why it differs from all those things, which have already been created.
It will help you to sell your idea efficiently and in the shortest term.
Do not make any preliminary payments.
Very often the inventors try to sell their concepts with agents’ help, who demand upfront money for the work of representative and for selling your idea.
Similar services very often undergo fraud and, eventually, inventors either get poor results or do not receive anything at all.
Advertise your idea on your own or find a professional and sign a contract with him.
Learn how to patent before you sell your idea.
Some inventors advertise their idea and protect it from fraud with the help of a patent, but it may be a very expensive process.
Others choose to sell during the status “waiting for the patent grant”, which allows maintaining patent on the idea, while it is on sale.
Learn all details about the possibilities that a patent provides, all details about the process itself and choose a method how to protect your idea before you sell it.
Be realistic in your expectations.
Selling your idea you should have realistic expectations, lest you were disappointed or lost your illusions.
Do not expect giant responses and fantastic profit from the very beginning.
Selling your idea takes some time and huge work in order to promote it in the best way.
Test your idea before you sell it.
Before you start your marketing campaign for selling your invention, test it on a small group of people or on your family members.
Get the feedback, which concerns the effectiveness of the idea, its appearance and how attractive it is from the point of you of trade.
This is a low-cost way to make sure your plan and selling methods correspond to the customers’ demands.
Study your competitors.
No matter how innovative your idea is, there is a great chance that a similar product with similar characteristics is already on the market.
Conduct a research concerning the products, which may potentially be competitive to yours.
It is sure to help you make a better advertising campaign of your product and to leverage your competition.
Read also: Business Ideas for Teens
3 effective ways how to sell an idea
The investor’s search.
The first way is to look for an investor or a partner.
You can put your advertisements on the special portals, on common boards and even in the newspapers.
It is implied that you’ll either create a common enterprise, or give a definite percentage from the deal or a kind of franchising.
There is a more difficult and painstaking way how you can sell an idea – you must create an offer for the potentially interested people.
You should send them this offer, but it’s important you do not reveal the whole essence, but only generally describe the concept.
Otherwise, you can be 100% sure this concept will be stolen and you won’t get a dime.
Partners’ reliability and trustworthiness are the key moments here.
Many businesses crash and burn only because everyone starts to hog the blanket.
That’s why you should pick those, whom you can entrust with your idea.
It’s natural that you’ll devote much time to making your choice.
If you are looking for a way how to sell your idea, you can take part in different competitions and biddings.
For example, many organizations promise to finance the most interesting and innovative projects.
Consequently, if your invention triggers many responses, you may count on the fact that someone will want to invest in it.
Another question is how you share responsibility and what structure your business has.
It means that you should learn whether the author of the concept will be only the third-party consultant, the partner or the leader.
Everything depends on who organizes the grant competition and on what conditions.
Various auctions for projects have appeared lately, where different mechanisms of evaluation and matching of investors and inventors of “intangible assets” are implemented.
One may look for such sites and learn how to sell an idea with their help.
You should always remember that any “intangible assets” – knowledge, skills, projects, know-how, concepts, brands – also cost money.
Moreover, they cost a lot, and not only at the very beginning, but on every step of enterprise’s functioning.
That’s why it’s better to patent the idea (if possible) or sign the agreement about author’s rights from the very beginning.
Creating informative product.
The third, rather widespread way of how to sell your idea is to create the informative product.
This may be an e-book, a video or a software program.
As a kind of such product you can promote training program, course or seminar materials.
You must offer something that is likely to interest other people, who are ready to put the idea into practice and invest in business.
As soon as your product is ready, the question of how to sell the idea will be easily solved.
You can do it on your website, by mail-out or with the help of special shops of virtual content.
Another option how you can sell ideas is to take part in different affiliate programs, or to write an article to the specialized magazine.
Though, in this case you may be paid only for the text, but not for the idea, the successful implementation of which can bring huge profit.
How to present the idea in order to sell it?
So, it’s your hour of triumph and you must present your idea to the customers in the best possible way.
You are going to the interview and do not know where to start.
Firstly, think over the advertising campaign of your innovation and your appearance.
They say, first impressions are half the battle.
Secondly, you should speak not about the idea itself – how wonderful, complicated, original it is, but to emphasize its practical value, benefits of its implementation.
The customer must understand why he needs your ideas.
Thirdly, you must explain why your idea is the one that is topical right now and why it will work.
Can your competitors easily take your theory and succeed in this sphere?
- Fourthly, find out why you need it.
Why are you trying to persuade someone in the efficiency of your device?
How much are you going to earn from this?
Decide on which step you are going to stop – either you sell the idea itself, or you are willing to take part in its implementation, and under what circumstances.
- Finally, you must think over how much you want to receive and speak about the prospects of the price growing on your product (if it is possible) in the future.
Interesting: Selling Baked Goods from Home
One more important moment, which may put your project in a favorable light, is to see to the potential risks and the ways how to retreat and upgrade the idea to the existing circumstances.
For example, if the implementation of the plan does not bring the expected results, you should know what to do next in order to adjust this innovation to the existing market or how to create the market for your idea (which is more difficult, though possible).
How to define the price for idea’s sale?
The most famous techniques of price determination: by its analogues, by the company’s tariffs and conditions or by the percentage from the profit.
Usually the price is formed spontaneously.
A manager tries to sell the idea judging by the company’s size and its profit, and the customer tries to define the cost by the client’s appearance (clothes, watch, shoes, and accessories), his declamatory skills or way of discussing business deal.
Do not forget that not all customers are honest.
There are plenty of people in this sphere, who want to sponge.
That’s why they lower the price and value of ideas in order to spend minimum money and get maximum profit.
Mind the main principle – the price depends not only on its originality and efficiency, but on the volume of the sold rights.
On a note: Best Home Based Business Ideas
The options of making money after you sold your idea:
The so-called “royalty”, i.e. you receive percentage from the income, when your idea is brought to life and sold.
For example, you come up with the new vacuum cleaner model.For every sold item you are going to receive some money from the company’s income.
One more way is to start business on your idea, for example, Mark Zuckerberg invented Facebook social network and was named The Person of the Year 2010 by the Forbes magazine.
Bring your idea to life, but this may take a while.
Moreover, it requires many efforts and money.
Less profitable way than royalty is to sell the rights on your idea.
In this case you receive compensation and then you may forget about your invention and life-long income.
Still, you may sell the rights on the idea only partially.
The price will be much lower then.
The history, in particular the history of engineering development or art, few people managed to promote and realize their ideas.
Though there are plenty of examples of hard and complicated development and promotion.
If you decide to promote your ideas, it’s unlikely to be easy.
At first, you’ll only learn how to sell an idea and only then you’ll start acting.
Make a sober estimate of your possibilities and if you have enough strength – go ahead!