If you’re in the business of developing original ideas for new products or services, you’re probably facing a dilemma. How do you pitch an idea to potential investors and clients without giving away too much information, risking it being stolen? Here are some practical steps to help you deal with this issue.
1. Keep your idea secret before the pitch
Don’t show, brainstorm or disclose information to anyone prior to the pitch just because you think your idea is great. Only disclose information when there is a clear need to do so, and the benefits of disclosure clearly outweigh any of the risks.
2. Be careful selecting companies to pitch to
Do a background search on potential clients, contractors or investors. What does their work portfolio look like? Why would they want to get into business with you? Are they a competitor? Check their reputation before you give away any vital information and get recommendations from others in the industry if possible.
3. Reveal only what you must and nothing more
If you’re pitching an idea to a potential client, give them only the information necessary to convey what your product or service delivers. Don’t bare it all if it’s not required to seal the deal. If you’re pitching to investors or lenders, they may ask you to disclose more information, as they will likely want to know more about your idea before committing financially to it.
4. Create and document an extensive paper trail
Record your idea or concepts in writing as much as possible, and keep detailed notes of discussions and conversations where you’re disclosing information to other parties. The more details you keep in these records, the more useful they can be if someone challenges your ownership in court.
