Should You License Your Invention or Launch It Yourself?

There’s a moment that every inventor eventually faces — maybe after you’ve pitched your idea, maybe after someone shows interest.

It’s the moment where you ask yourself:

“Should I license my invention to a company — or should I launch it myself?”

There’s no one-size-fits-all answer. But over the years, I’ve helped thousands of inventors make this decision confidently, and that’s what this post is all about.

We’ll break down what both paths look like, what’s expected of you, and the questions to ask yourself before taking the leap.

1. Licensing vs Launching: What’s the Difference?

If you’re here, it probably means your invention is taking shape — maybe you’ve got a provisional, utility, or design patent filed (or even granted). Maybe you’ve got a “works like” or “looks like” prototype. Or maybe that big idea is still just in your head and you’re finally starting to pitch it.

And now comes the big question:

It’s one of the most important decisions you’ll make as an inventor. And the truth is: there’s no wrong answer — but there is a right answer for you.

Let’s break it down:

Licensing Your Invention

If you go the licensing route, you’re partnering with an established company to bring your idea to market while you keep ownership of your IP. You’ll focus on the concept; they handle the heavy lifting. We’ll unpack the formal definition and mechanics in a minute.

• ✅ You bring the idea. They bring the resources.

• ✅ Lower risk, less time, and fewer upfront costs for you.

• ✅ Focus stays on inventing, not managing inventory, marketing, or fulfillment.

But keep in mind…

• ⚠️ You’ll have less control over how your invention is marketed, packaged, or priced.

• ⚠️ You need to find the right partner — and negotiate a deal that works.

Launching It Yourself

Launching your invention means you become the company.

You handle manufacturing, packaging, pricing, marketing, fulfillment — or you hire people to help you do it.

• ✅ Full control over your product, your brand, and your profits.

• ✅ Potential for higher income if you scale successfully.

• ✅ Learn how to build a business around your invention.

But with that comes…

• ⚠️ Higher risk and more responsibility.

• ⚠️ More time, money, and energy needed up front.

If you’re not sure which path is right for you — that’s okay.

That’s exactly what I help inventors figure out every day.
📞 Schedule a strategy session with me at brianfried.com/invention-help or join the Inventor Smart Community App to connect with others facing the same choice.

Up next, we’ll explore the real-world pros and cons of licensing — so you can start to see which direction feels right for your idea, your lifestyle, and your goals.

2. What Licensing Really Involves (Pros + Cons)

Licensing sounds simple: you come up with the idea, and a company runs with it.

But there’s a little more to it than that, and understanding the real process is the first step to making smart moves.

Here’s what you need to know:

What You’re Really Doing When You License

Licensing means finding a company already established in your industry — a company with the manufacturing, distribution, and sales channels already in place — and offering them the rights to your invention in exchange for royalties (typically a percentage of the wholesale price).

The inventor (that’s you) is called the licensor. The company you pitch to is the licensee.

In exchange, you typically receive:

• Royalty payments, usually a percentage of the wholesale price—not retail. Many deals land in the 3–10% range depending on the category, margins, and leverage.

• A licensing agreement that clearly outlines each party’s responsibilities, rights, and protections.

• The ability to stay hands-off — you’re not managing inventory, fulfillment, or customer service.

• Time back to focus on inventing your next idea (or enjoying the passive income from this one).

This can be incredibly attractive if you’re a creator at heart and don’t want to become a full-time entrepreneur.

📌 In my book How to Make Money with Your Invention Idea, I talk about how licensing can let you earn recurring income while someone else handles the heavy lifting.

The Pros of Licensing Your Invention:

✅ Lower Financial Risk
You don’t need to invest in manufacturing, inventory, or marketing.

✅ Passive Income Potential
If your product does well, the royalties can add up — even while you sleep.

✅ Stay Focused on Inventing
You can license multiple products, building income streams while staying in your zone of genius.

✅ Built-In Distribution & Retail
Your licensee likely already has relationships with buyers, reps, and retailers.

The Cons of Licensing (and What to Watch For):

⚠️ You’re Not in Control
The company decides how the product looks, feels, and gets marketed.

⚠️ You’ll Need to Negotiate Terms
Everything from royalty rate to payment structure is negotiable — and you need to know what you’re agreeing to.

⚠️ Royalties Take Time
Even once you sign a deal, it could take months or longer before the product hits shelves and you start seeing checks.

⚠️ Some Products Aren’t License-Friendly
Not all inventions are good candidates for licensing — especially if they’re hard to explain, difficult to manufacture, or require consumer education.

📞 Want help reviewing a license agreement or preparing to pitch?
I’ve negotiated licensing deals and guided inventors through contracts for over 20 years. Let’s talk and make sure you’re set up for success.

Next up, we’ll walk through what it looks like to launch your invention on your own — including the real-world costs, effort, and upside of going the DIY route.

3. What It Takes to Manufacture and Sell It Yourself

Sometimes, you don’t want to hand your idea over. You want to own it. Build it. Sell it. Grow it.

That’s what happens when you choose to manufacture and bring your invention to market yourself.

It’s a bigger commitment — and it’s not for everyone. But it can be incredibly rewarding if you’re up for the challenge.

The Big Picture: You’re Starting a Business

When you manufacture and sell your invention, you’re not just an inventor anymore — you’re a business owner.

Here’s a real-world view of what you’re taking on:

The Manufacturing Path: What You’ll Need to Do

✔️ Product Sourcing or Production
You’ll need a reliable manufacturer. That might mean working with a factory (domestic or overseas), negotiating MOQs (minimum order quantities), and reviewing prototypes until everything is right.

✔️ Quality Control
Someone has to make sure the product matches your specs and stays consistent. That’s you.

✔️ Packaging Design
It’s not just about what’s inside — packaging matters. Think about retail requirements, unboxing experience, and protection during shipping.

✔️ Fulfillment and Warehousing
Where are you storing inventory? Are you shipping it yourself or using a fulfillment partner like Amazon FBA, ShipBob, or a 3PL?

✔️ Ecommerce and Website
You’ll need a platform (like Shopify), a way to take payments, product photography, and a marketing plan.

✔️ Customer Service
Returns. Questions. Complaints. You (or someone you hire) will be handling them.

✔️ Marketing and Sales
From ads to influencers to trade shows — this is the engine that drives your success.

The Pros of Launching Your Own Product

✅ You’re in Control
From design to branding to pricing — it’s your call.

✅ Keep More of the Profit
Instead of a small royalty, you get the full margin. More work, but more reward.

✅ Build a Brand
This could be the start of something bigger — a product line, a company, or even an acquisition.

✅ Direct Customer Feedback
You’ll get to hear directly from your buyers and iterate in real time.

The Risks to Consider

⚠️ Higher Financial Risk
Inventory costs money. Marketing costs money. If it doesn’t sell, you eat that cost.

⚠️ Longer Timeline
Manufacturing, shipping, and setting up operations takes time. Expect delays.

⚠️ Steeper Learning Curve
You’ll need to wear multiple hats, and mistakes can be expensive.

💡 In Inventing Secrets Revealed, I share case studies of inventors who took this path — and how they succeeded by building smart systems, not just hoping for sales.

📌 “Ask Yourself” list:

• Do I have the time and money to invest in a business?

• Am I willing to take on the risk?

• Do I enjoy the process of building, marketing, and selling?

If you answered yes — or even maybe — then launching your invention yourself could be the right move.

🧭 Need a sounding board? I offer 1-on-1 strategy calls to help inventors map out this path — including sourcing, marketing, and funding strategies. Don’t guess. Let’s plan it together.

Next up, we’ll look at the questions I ask every inventor before they choose a path — and how your answers might surprise you.

4. How to Know If Your Invention Is License-Ready

Every inventor thinks their idea is the next big thing.

But when it comes to licensing — the truth is, companies don’t care how much you love it. They care if it fits their brand, fills a need, and makes money.

That’s why one of the most important questions I help inventors answer is:

Let’s walk through my license-readiness checklist, based on what companies actually want to see when you show them your invention.

✅ The License-Ready Checklist

Think your invention might be license-ready? Here’s what I look for before I ever say “Let’s pitch it.”

1. Does it solve a real problem?
This is non-negotiable. Companies license solutions. Your invention should clearly address a pain point or unmet need — even if consumers don’t know they need it yet.

2. Is it simple to understand?
If a potential licensee can’t “get it” in 30 seconds, they’re out. You should have a:

• 1-page sell sheet with clear benefits and visuals

• Short animated demo or prototype video

• A quick, confident explanation of what it does and why it matters

3. Have you filed for IP protection (or have a plan to)?
A provisional patent application is usually enough at this stage — but you need to own your idea before you pitch it. That makes you the licensor, and the company you're pitching becomes the licensee.

4. Have you done basic market research?
You don’t need to be a data scientist — just know:

• Who your ideal customer is

• What existing solutions are already on the market

• How your invention is better, faster, cheaper, or more appealing

5. Does your invention give a competitive advantage?
Would licensing your invention give a company an edge in their category? If the answer is yes, you're on the right track. Licensing is about helping companies stay ahead of the competition.

6. Is there a company (or companies) this fits perfectly?
You’re not throwing darts. Licensing is targeted. Make sure your invention aligns with the product line, mission, or brand identity of the companies you're pitching.

7. Do you have a presentable prototype or proof of concept?
This doesn’t have to be fancy — but it needs to be real. Ideally, you have:

• A works-like or looks-like prototype

• A CAD file or 3D rendering

• A simple demo video or animation that shows the concept in action

8. Can it be manufactured affordably and at scale?
You don’t need a full quote yet, but ask yourself:

• Is it physically feasible?

• Are the parts and materials available?

• Would the price make sense at wholesale?

If it’s overly complex or expensive, licensees won’t bite.

🧠 Real Talk: It’s Not Personal

Sometimes your invention isn’t license-ready yet. That doesn’t mean it’s a bad idea — it just means you might need to develop it further or explore launching it yourself first.

💬 Need Honest Feedback?

I’ve coached inventors through hundreds of licensing pitches. If you want to know if your invention is really license-ready, let’s talk.

👉 Schedule a session and we’ll walk through your idea together.

No fluff, no sugarcoating. Just real advice to help you make the right call.

Next, I’ll show you the exact questions I ask inventors — to help them figure out which path is right for them: licensing or launching. You’ll want to sit with these.

5. 5 Questions I Ask Inventors Before They Decide

When I coach inventors, I never tell them what to do.
I ask the right questions — the kind that bring clarity.

Because whether you choose to license your invention or launch it yourself…
you’re building a future, not just a product.

Here are the five questions I ask in nearly every strategy session:

1. What do you want your life to look like?

Are you excited about running a business — or does the thought of managing inventory, websites, and customer service give you a headache?

Be honest with yourself. This is about your lifestyle, not just your product.

2. Do you want to build a brand… or a royalty stream?

Licensing is often about letting go — the company takes over your idea, and you collect a royalty.
Launching is about ownership — you're building a brand, and every decision is on you.

There’s no right answer. But they’re very different outcomes.

3. How much time and money are you actually willing to invest?

Launching requires startup capital and ongoing effort.
Licensing usually costs less upfront — but takes longer to land a deal.

If you're hoping to "get rich quick," let me save you some time: this isn’t that.

4. How far along are you right now?

Be real. Do you have:

• A working prototype?

• A one-pager and demo video?

• IP protection filed or in the works?

If not, it’s going to be hard to get licensing interest or manufacturing quotes.

That’s why I often help inventors get ready before they pick a path.
👉 Let’s get you prepared

5. Are you emotionally attached — or strategically focused?

This one’s tough.

If you can’t hear feedback without getting defensive, or if you’re stuck on your idea being “your baby”… licensing may be challenging.
Companies want partners who are coachable and collaborative.

🧭 You Don’t Have to Decide Alone

The best inventors know when to ask for help.

If you’re wrestling with this decision, I’ll help you weigh the pros and cons based on your situation — and give you clear, honest advice on what to do next.

👉 Book a strategy session with me and let’s walk through it together.

No pressure. Just clarity.

6. Real Examples from Inventors I’ve Coached

I’ve coached thousands of inventors — and no two journeys look the same.
But the right path tends to reveal itself when you have clarity, support, and real-world information.

Let me introduce you to two inventors who chose different directions — and found success their own way.

💼 Meet Tom: The Licensing Win

Tom had a clever kitchen product — a simple, elegant solution to a common problem.
He didn’t have a business background, and the idea of manufacturing overwhelmed him.

We worked together to:

• Refine his pitch

• Create a compelling one-pager

• Protect his idea with a provisional patent

• Identify the right companies to approach

He licensed his invention to a national housewares brand and now receives royalty checks — without ever setting up a warehouse or hiring employees.

👉 If licensing feels like the right fit for you, let’s get your materials ready and start those conversations:
brianfried.com/invention-help

🏗️ Meet Lisa: The Launch and Grow Story

Lisa had a personal care product inspired by her own experience.
She wanted full control and dreamed of building a brand.

We:

• Developed her prototype

• Filed for a design patent

• Found a U.S.-based contract manufacturer

• Built an ecommerce site

• Launched with a small ad budget and influencer outreach

Within the first year, she broke even. By year two, she had repeat customers and retail interest.

👉 If launching and growing a brand sounds like your vision, let’s map out your game plan together:
brianfried.com/invention-help

The takeaway?
There’s no right way to succeed. There’s only the right way for you.

And if you’re not sure yet which path to take — I’m here to help you figure that out.

7. My Advice If You’re Still Not Sure

If you’re reading all this and still thinking:

Let me stop you right there.

This uncertainty is normal. It means you care.

You’ve come this far — you’ve protected your idea, maybe even prototyped it, and now you're standing at a fork in the road. License? Or launch? It’s one of the biggest choices you’ll make as an inventor.

And here’s the truth:

Start With Where You Are

If you're unsure, ask yourself:

• What’s my current bandwidth — time, energy, money?

• Do I want to be the face of this product, or stay behind the scenes?

• Would I be happier with a royalty check, or building a business I control?

No judgment either way. Both are valid. Both can work.
But the answer depends on you, your goals, your life, and your comfort zone.

Let’s Talk Through It Together

If you’re feeling stuck or overwhelmed, that’s exactly why I offer personal coaching.

When we talk, I’ll help you:

• See the full picture clearly

• Understand the real pros and cons based on your specific invention

• Avoid analysis paralysis

• Get you moving again with the right next step

👉 Book a session with me here:
brianfried.com/invention-help

We’ll walk through it together, step by step. I’ve done this with thousands of inventors — you’re in good company.

8. Wrapping Up: Pick the Path That Fits You Best

At this stage, it’s not about what’s right or wrong — it’s about what’s right for you.

Licensing and launching are two powerful, proven paths to success. Each has its own challenges, rewards, and learning curves. I’ve seen inventors thrive on both sides — and I’ve seen others burn out because they chose based on pressure or hype instead of alignment.

So here’s what I recommend:

• Know your strengths — Are you a builder, a marketer, a negotiator, a delegator?

• Look at your life — Do you want a hands-on business, or mailbox money?

• Make an informed choice — Use what you’ve learned here. Ask for help when needed.

The stakes are real. The rewards are real. But you don’t have to rush.

👉 If you need a sounding board, that’s what I’m here for.
Book a session at brianfried.com/invention-help

Whether you license or launch, this is a defining moment in your invention journey. I’m proud of how far you’ve come — and I’m even more excited for what’s next.

9. Final Thought

The best decision is the one that moves you forward.

No path is perfect. No moment is ever “just right.” But when you keep going, keep learning, and keep believing in your invention, you’re already ahead of 99% of people with an idea.

Let’s take the next step — together. 💡

10. What’s Coming Next: Licensing Deals 101

So you’ve decided licensing might be the right path.

But before you sign anything — or even enter into serious talks — you need to understand what you’re actually agreeing to.

In the next Invention Playbook post, I’ll break down:

• What’s in a licensing agreement (and what each part really means)

• What to negotiate — and what’s usually non-negotiable

• How royalties are calculated (and what’s fair)

• When to bring in legal help — and what kind

• How to avoid rookie mistakes that cost inventors real money and control

If you’re even thinking about licensing, this next post is a must-read.

📩 Want to make sure you don’t miss it?
Join the free Inventor Smart Community at app.inventorsmart.com — and you’ll get it delivered directly to your inbox the moment it’s live.

Inventively yours,
Brian Fried
Inventor Coach | Product Licensing Expert | Founder, Inventor Smart

P.S. Missed the last issue? It’s a must-read if you’re getting any kind of attention on your invention:
👉 What to Do When Someone Is Interested in Your Invention
Not all interest looks the same. I break down how to stay protected, present your idea clearly, and keep the conversation moving in the right direction — no matter who’s reaching out.

If you're finding these tips helpful, share The Invention Playbook with a fellow inventor — and make sure you're subscribed so you never miss an issue:
👉 inventionplaybook.com/subscribe