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Patents

Filed in archive Entrepreneurship on May 13, 2007

Patents
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This issue was also covered by Harry Goldburg, another commenter who was convinced both Dane and I were off our collective rockers. More on Harry's other great feedback later...

Certainly, Shelli Styles, founder of Strappity-do-da, a company specializing in handmade beaded bra straps from South America sought a patent for her product, but she and her mostly volunteer sales force didn't wait to try to get the unique item into numerous boutiques in Ohio until doing so.

Again, the focus here is on starting a business.

While patents and other intellectual property rights may be crucial once you've proved your business model to prevent imitators from flooding a market you've already created, the scenario of a larger company stealing a great idea is not as common as many entrepreneurs assume.

This is because many large firms would rather acquire an existing start-up, marketing channels, sales expertise and all, than steal the technology and have to start from scratch simply because of the time saved in getting an existing product to market.

As Don Dodge, Director of Business Development for Microsoft's Emerging Business Team explains:

The "barriers to entry" are most often market position, not technical brilliance...Most technologies can be replicated by a talented engineering group within a year or less. Many times a similar technology can be licensed immediately and a new product shipped within months.


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