7 Simple Ways You Can Protect Your Idea From Theft

 

Avoid Revealing Too Much

One of the best ways to secure your idea is to only reveal what is absolutely necessary. If you’re pitching an idea to a potential client, give only the details necessary to convey the idea. It’s not necessary to share every detail of how your product works, for instance, when you can get the same information across by revealing the need your product or service fulfills. One exception to this may be when you’re pitching to investors or lenders, who will likely want to know everything about your product before taking a financial risk on it.

Use Non-Disclosure Agreements

A non-disclosure agreement can help protect your idea before revealing it to workers or other associates. However, it’s important to note that many investors will balk at signing an NDA before you speak with them. Since the balance of power is in their favor, this may be something you’ll have to give up if you want investors. The same holds true for potential clients. Instead of requiring a signature, consider simply printing a confidentiality statement on your business plan.

Apply for a Provisional Patent

A patent can incur far more expense than a startup is able to pay. During the process of shopping your idea around, a provisional patent can protect your idea for the first year. After twelve months, the provisional patent expires, however, with no option of being extended.

Trademark Your Name

A trademark can provide an additional layer of protection, since a company’s name is often tied closely with its idea. Also, by establishing a trademark, you also have added protection in the event a legal issue should arise. The documentation required to register a trademark can serve as written proof that your business idea was in the works at a specified time. These dates will be crucial in establishing the exact date your idea was in the works in the event someone else tries to dispute this fact.

Research the Recipients

Whether you’re revealing an idea to a potential investor, a possible client, or a contractor, do your part in researching that person or company prior to your appointment. Information is so easily available now, a business owner can determine someone’s reputation before deciding to do business with that person. Look for any disputes with previous business partners and make sure the person has established a positive reputation in his or her chosen field.

Follow Your Instincts

Coupled with the research you can conduct are your own natural instincts. Often alarm bells go off when you’re in a situation that could present some danger. If someone has taken a particular interest in hearing every possible facet of your creation, ask yourself what that person’s motive could be. Is it to invest? Is it mere curiosity? Or is it possible that the person has money burning a hole in his pocket and all he needs is a good idea to get moving? This is where experience comes in. If you’re interacting with someone who has logged years of experience in the business world and has a portfolio of great companies of his or her own, that person likely has no need to steal anyone else’s idea. If you’re speaking to a newcomer, though, you may want to reveal as little about your business as possible until you can determine that person’s motive.

Document, Document, Document

Put as much in writing as possible and save that documentation. By creating a paper trail, you’ll have proof of your concept if it does go to court. Keep a log of every discussion you have where details of your business are disclosed. This log could come in handy if you find one of those conversations go somewhere.

In truth, the odds that your idea will be stolen are very small. By living in fear of that theft, you’re actually inhibiting your ability to sell that idea. An investor or client who declines to work with you may actually know someone else in the industry who is looking to work with someone who is offering exactly what you’re offering. If you prevent that interaction from occurring, you could be missing a great opportunity.

SOURCE:forbes.com