Invention promotion firms might mention trade shows at which they purportedly will display an idea, or special relationships they have with manufacturers who might be interested in producing it. According to the consumer education materials released today, inventors should know that there are different kinds of patents and that, while many ideas are patentable, very few have real commercial potential. A utility patent, which grants the inventor of any new and useful process or machine exclusive rights to the invention, may offer more protection than a design patent, which grants to any new ornamental design for an article of manufacture. If a firm is enthusiastic about your idea, but insists on a substantial up-front fee, take your business elsewhere. A firm that claims you need to hurry and patent your idea quickly before someone else does is engaging in high pressure sales tactics, a red flag for fraud.
Many firms claim to have a great record licensing their clients' inventions.
Ask the firm to disclose its success rate, the number of clients who made more money from their inventions than they paid to the firm for its services. Also ask for the names and telephone numbers of recent clients. Check the references, and check with your state Attorney General's office to determine whether state law requires success rate disclosure. Lists of manufacturers that come from classifying your idea with the SIC usually are of limited value. The FTC received assistance in these cases from the Pennsylvania and Florida Attorneys General, and the U.S. Attorney's Office in New Jersey.