- White Belt
- Posts: 31
- Joined: Tue Jun 05, 2007 7:01 am
Wow, that's a big, important and complex decision. To truly help you with this, we'll probably need a few pages of posts, so hold on to your hat Both are very good options for very different reasons. This will take some soul searching. One of the biggest questions is... what do you want to do when you grow up? Let's say all things being equal (and right now, I don't know if that's the case as I don't know your product, industry and market demand for your invention) but lets just say that it is a fantastic product and that both customers and licensing partners are beating down your door. (The reason I'm taking this angle is because in the end, regardless of the success or failure of your product, you have to love what you do, or no money in the world will make it worth it)
Okay, so you have manufactures lined up to license your wonderful widget! Are you ready to let go of your "baby" and let it out into the world? Have you had about enough of this particular product and are ready to move on to other things and another chapter in your life? Are you ready to sit back and collect your 2-5% per quarter and be done?
On the other hand, you choose to manufacture yourself. Your journey has JUST BEGUN! Are you ready to immerse yourself in a new business and a new career? Are you ready to be the President, Founder, CFO, Accountant, and Janitor? Are you ready to be it for the long haul? Are you ready to collect 100% of the profit?
In a nut shell, it all breaks down to.... where do you see yourself in 5 years? With licensing, the good news is there is a lot less risk, the bad news is there is a lot less reward. With manufacturing the bad news is, itâ€™s all on youâ€¦the good news isâ€¦ itâ€™s all on you!!
Personally, one of the biggest reasonâ€™s I went with manufacturing was because I just wasnâ€™t ready to call it a day. I could see myself building something my children could be proud of and maybe one day take over. I am still very much in love with my product and I just can't let it go. This is such a personal choice for such individual reasons, I hope in all my babbling I have at least given you some questions that when answered can give you a direction in which to lean. What are your concerns and thoughts with licensing vs. manufacturing? I would love to hear more about your product and your situation.
Leslie Haywood, Founder and President, Charmed Life Products LLC <a href="http://www.grillcharms.com/">www.grillcharms.com</a>