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What can I do with my idea & create tangible and intangible assets

posted Feb 19, 2017, 10:37 AM by David Khorram   [ updated Feb 19, 2017, 5:45 PM ]
If you are not embarrassed by the first version of your product, you’ve launched too late.
Reid Hoffman (Linkedin founder)


Your idea, the Aha moment, what is next

You took a shower and the light bulb above your head start glowing so bright that you could not wait to finish it. Entrepreneurship is a seizure. You need to careful.

First, you need to know if you are a technician or an entrepreneur. The road ahead is bumpy and uncertain however is rewarding. Which one are you:

  1. True entrepreneurs make the transition or change from working for a company or someone else to working on their own much differently.
  2. Entrepreneurs invent the process, step two step ahead of competitions and build new businesses that work without them. 
  3. Entrepreneurs make the process easy and scaleable. Sharing knowledge and delegation with control is their true power.
  4. Technicians build or create businesses that work because of them. The knowledge is their power and how close they keep it is their control.
  5. The entrepreneurs escape from "comfort zone, ” and the technician becomes a slave to it. 
  6. In the entrepreneur’s case, the business works. In the technician’s case, the technician works. 
  7. Entrepreneurs live a few years of their life like most people won’t, so that you can spend the rest of their life like most people can’t.

Time is the most valuable asset in your life which can not be replaced or bought for any price. You should know from the start most of the 500,000 new businesses that are started every month in the U.S.A. will fail.
According to a recent study done by the Kauffman Foundation, 81% of all businesses in the US employ no people besides the owner. They’re sole proprietorships. True entrepreneurs are never sole proprietors.

What should you do with your ideas?

Before you start telling your idea to anyone, you need to research it. "Google patent search" is a good place to start.

You have two ways to go;
  1. Produce and market your invention yourself or;
  2. License it to another company

The process

Step 1: Document It and contact us

  1. Having an "idea" in your head is worthless, you need to have proof of when you came up with the invention ideas. Get a notebook and start documenting and dating it. 
  2. Document, draw, calculate and document more 

Step 2: Research It. 

  1. You will need to research your idea from a legal and business standpoint.
  2. Read through Google search Bodleian and operands, Get good at it. Search and get few results for your search rather than thousands

Step 3: Do not be disappointed 

  1. You will find many documented ideas the same or close to yours. Your job is to improve and solve the problems that they could not or did not.
  2. Size of your competitions from the past or at the present;
    1. About 108 billion people have been born on earth; presently there are 7 billion people on this earth. Even one-fiftieth of those living people are somewhat “business smart.” Then let’s say, for the sake of discussion, that one-tenth of those business-savvy folks have access to at least some money (either personally or through their employer).
  3. None of these were new ideas or even implementations;
    1. AirB&B and Uber ideas and services were and are in 1st page of Craigslist 
    2. Oracle wasn’t the first relational database.
    3. Facebook wasn’t the first social media site. 
    4. Disney wasn’t the first amusement-park company. 
    5. iTunes the first source of MP3 music. 
    6. Sam Adams the first craft beer.
    7. Foursquare the first location-based mobile couponing service.
    8. Prius the first fuel-efficient car.  

Step 4: Make a Prototype.

There are many choices when it come to prototyping 
  1. Virtual model
  2. Website model
  3. Working Model
  4. Representational (non-working) 
  5. Model Miniature  / Scale Model 
  6. Factory Sample 
  7. Video or photo demonstration 
  8. Faux Prototype
  9. Architectural Animation
  10. Concept Art 
  11. Demo 
  12. Evolutionary Prototype
  13. Form Study
  14. Functional Prototype
  15. Horizontal Prototype
  16. Low Fidelity
  17. Minimum Viable Product
  18. Mockup 
  19. Paper Prototype 
  20. Proof Of Concept 
  21. Proof Of Principle 
  22. Rapid Prototyping
  23. Scale Model
  24. Simulations 
  25. Sports Prototype
  26. Static Prototype 
  27. Storyboard 
  28. Throwaway Prototype
  29. Vertical Prototype
  30. Wireframes

Step 5: File a Patent

  1. Filing a Patent Without an Attorney.
    1. Make sure your invention qualifies for a patent, and
    2. Be able to describe all aspects of your invention.
  2. Steps to Filing a Patent Application.
    1. Keep a Careful Record of Your Invention.
    2. Make Sure Your Invention Qualifies for Patent Protection.
    3. Assess the Commercial Potential of Your Invention
      1. Applying for a patent is a business decision. Even without a patent attorney or the use of professionally prepared patent drawings, it costs approximately $1,500 in fees to file and obtain a patent from the USPTO. 
    4. Do a Thorough Patent Search.
    5. Prepare and File an Application With the USPTO.
  3. Provisional patent application (PPA): A PPA is not an actual application for the patent itself. Filing a PPA simply allows you to claim pending patent status for the invention and involves only a small fraction of the work and cost of a regular patent application.
    1. All that is required to file a PPA is a fee ($65 for micro-entities, $130 for small entities and $260 for large companies), a detailed description of the invention, telling how to make and use it, and an informal drawing. Then, you must file an RPA within a year of filing the PPA. If you don't, you can no longer claim the PPA filing date.

Step 6: Market Your Invention

  1. Marketing your idea as important or ven more important as the idea nd its innovation. Why? You could have the best mousetrap in the world but no one knows about
  2. Your concept and idea validation or so call product or service "market fit" is based on what would be it public traction and commercial value. 
  3. You can Patent your idea, build a fantastic prototype, produce 1X, 10X or 1000X and then find out there is no market for it either due to its usage or pricing.
  4. Pre-order marketing ( so called CrowdFunding) allows you to vet your idea, improve it and find a market for it.
    1. How to get from zero to two million and then to two billion - Oculus Rift story

Step 7: Build assets around your idea

  1. Most of the times investors are not willing to reimburse founders for the number of hours they spent to perfecting their idea. It doesn’t matter how much blood, sweat, tears, time and money you’ve put into your idea, 
  2. To investors, past efforts don’t count, only results.
  3. Your startup’s worth is established by the investor’s belief in you and your idea. So make sure you have something of value to offer before you ask for funding. 
  4. Most of the startups and entrepreneurs at the pioneer stage do not have sizable revenue or even no revenue.But they can create virtual assets or so-called Intangible assets 
  5. These will allow investors size the idea validation. For example;
    1. Website conversions and analytics.
    2. User adoptions.
    3. The size of the fund raised in the pre-seed phase that could show proof of concept and community trust.
    4. Domain name
    5. Brand name
    6. Patenet
    7. Formula and algoritem
    8. ....etc.