3 Ways To Make Money From Your Patents.
I am always hearing from potential clients. How does one succeed in the U.S.? The answer that I usually hear is: Work hard, get an education, and start a company. If you plan on starting a company, you must have a product to sell and if you developed the product, you need to own it. To own the product, you need to get a patent.
Once you have filed your patent, then you have options.
1. Manufacture and sell your invention
One way to make money from a granted patent or patent application is to commercialize your invention. The typical way to sell a product is by creating a company, producing, and marketing your product, and then selling it.
Once issued, the U.S. patent allows you to prevent others from using, making, or selling your invention. An issued patent is a powerful tool. It can provide you with the financial and competitive edge required to become a market leader.
The label "patent protected" or "patent pending" makes products more desirable to customers because they involve new technology.
2. License your patent rights
A second way to secure a financial reward from your patent is to license your patent rights.
A patent licensing agreement is a contract between the patent owner and a company/individual who wants to use some or all of the patented invention for business purposes. A patent licensing agreement typically allows the licensee to use some or all of the protected features of the patent for financial compensation. The payment can be as a fixed one-off payment, payments per unit manufactured, or a percentage of royalties as non-limiting examples.
The licensor may grant a license exclusively to a single licensee or several licensees using a nonexclusive license. A license may also limit the licensee to a specific country or territory.
3. Sell your patent right
If you lack the resources to manufacture and commercialize your invention. You may prefer to sell your granted patent to an acquirer.
There are many established digital marketplaces that you may use to sell your patent.