10 Ways to Make Money with a Patent, How Patents Work
Filling for and getting a patent has usually come with a fare few misconceptions attached to it. There are those that believe that a patent is a guarantee of one making money from it. Another misconception is when people believe that patents guarantee no one else will profit from their invention. While this may be true on paper, one still has to work hard to enforce the patent and ensure that they alone reap the benefits of the patent. This article will look to shine the light on some of the nuances of patents and highlight ways in which one can make money with a patent.
- Top of the list in ways to make money with a patent has to be producing the invention for which the patent was taken out and selling it in the market. A prototype with a patent doesn’t translate to money and you will still have to create the product and sell it to be able to get financial gain from your invention.
- Another way to ensure you make money with your patent is through patent licensing. This is especially crucial if you may not be in a position to come up with the resources to take your invention into production. Licensing enables a licensee to obtain the rights to the patent for a certain period of time as is agreed while the patent still remains the licensor’s own intellectual property. The patent holder is able to side step production expenses and risks that come with it while still making money and seeing their product go into market. There is a lot more on patent licensing to be found on runrex.com.
- Another way that you can ensure that you get financial gain from a patent is by simply enforcing said patent. This just basically means taking legal action against those that you perceive to have infringed on your patent. If your suit is successful, you may end up being awarded a handsome amount as damages by a court of law or the accused may decide to settle out of court. Either way you will definitely get paid and make money with a patent.
- Sometimes you may come across other patent holders with products related to yours that it makes sense to come up with a mutual business arrangement that will benefit the both of you. This is where patent pooling comes in and is one of the ways that will enable you make money with a patent. It is however important to come up with terms and conditions that are acceptable to all parties to avoid conflict when creating a patent pool. For more on this please make sure you visit runrex.com.
- Another way to make money with a patent is by selling it. This may be necessary if the patent holder is not in a position to go into the manufacturing of his product and all that comes with this process. Selling the patent will enable one to continue with development and research in the creation of more new products. The may be a daunting task, knowing where to sell one’s patent that is and the good folk at runrex.com are prepared to provide you with the requisite information to help you with this process.
- Other than licensing, one can try attracting investors to help you with the manufacturing and distribution of your product. If your product has great marketability potential and you have an air-tight, professional-looking patent then getting investors should definitely be the easiest part of all it all.
- For those that have patents for products that may be free in the market then coming up with what are referred to as a “tying arrangement” to enable one to make money even from their free products. This is basically tying together their free product with a paid one for a complete package. This are referred as freemium products and they are common in the tech industry especially for smartphone apps.
- Another way specific to the medical industry, in which you can make money with a patent is by making your patented product available for research. You might have a product that is crucial in the research and consequent production of another product and in this case you may want to come to an arrangement with the research company that will see you provide them with the product in exchange for financial gain.
- Certain patents are extremely incentivized to ensure investment and innovation in certain fields. This include areas like green technologies where governments are doing whatever is necessary to encourage innovation in this field to protect the environment. If you have a patent in this field, then making money from it is almost a guarantee given all the incentives that come with such patents.
- Another way to make money with a patent is by going into patent research. This involves doing research for companies and patent holders who may have gotten into legal issues due to their patents, either by being sued or by having their patents infringed. A knowledge of patents and patent law will be crucial here.
From the above you can make money from patents either directly or indirectly, while you can still make money from patents without having a patent yourself. This just shows how lucrative the patent business is. Employing the above tactics should see you make money with patents in no time if done well. As usual for more on this and other topics ensure you visit runrex.com.