Invention Business Plan

It is a highly effective planning tool because it often reveals unknown information to you. It helps to identify strategic flaws in why you think your invention will be successful.

As an example, I prepared a business plan for one of my inventions. I estimated sales based upon my market research and methods of distribution.

My estimates were conservative and growth was related to the expansion of distribution. I projected my sales over a three year period and then calculated the manufacturing costs and expenses over that time.

When I projected these costs and expenses, it indicated that I was going to have a problem with the manufacturing capacity in the third year.

Since my invention required a certain amount of assembled labor, it meant that I would need a manufacturing facility for thousands of assemblers.

This was going to be a problem since a facility capable of organizing thousands of assemblers is not only expensive, and difficult to find, but it would also substantially reduce my profits.

This meant that I had to rethink how to maintain profitability by dealing with this manufacturing dilemma.

I could have outsourced manufacturing overseas but that would mean everything would start elsewhere. I would need a high volume of sales in order to secure desirable pricing, delivery and shipping, which I didn't have since I was a new start-up.

It also meant that I would need to send someone overseas to supervise the making of my invention. So I needed to find a way to have my invention assembled locally without increasing assembly costs.

Invention Business Plan Software