You appear to be surprised by the development costs associated with designing, fabricating, testing and producing a prototype with packaging. We encourage you to contact prototype companies in your local area, or through the internet, to establish a basis to compare our pricing to. You will find their pricing to be substantially higher than ours. Our strategic capital equipment purchases have created reduced over-head costs – these cost reductions create savings for some of our clients.

Please consider some advice when approaching the business community-- try to look at a potential business arrangement from both sides. You have limited your focus on the costs associated with developing a prototype with packaging. Rather than take the effort to price our services on the open market, you complained.

All services are offered on a written contractual basis. In addition, each client must acknowledge, by actual or electronic signature, an affirmative disclosure notice which outlines the risks associated with inventing. We also provide the American Inventors Protection Act (AIPA) disclosure to all potential clients prior to our staff taking on a project. The AIPA disclosure further outlines the risks associated with new product development and describes all of our services and anticipated fees. As well, each contract describes what services will be provided and the price for those services to be completed.

Obviously, our staff must be compensated for their time and we must also cover any additional general expenditures to create what the client finds necessary. We did not invent your product and we did not force you to purchase our services. If you hired us, it was under written contractual arrangements to perform specific service.

We are certain that you would not have complained about costs if we offered to absorb the expenses related to developing your idea in exchange for future royalties or some form of ownership in your idea? In other words, you want no out of pocket expenditures on your part while our staff members essentially work for free on your idea for you – possibly for years. If this was the case, then we’d have to expect our staff and their families to anticipate not being compensated for their efforts and if they were to get paid from future royalties it may not be for an extended amount of time. To take it a little further, I wonder if a local government would mind holding onto a property tax bill until you get paid royalties on your idea. Would you complain that McDonald’s wouldn’t give you a franchise if you didn’t have the money to pay for it until after it made money? Inventing is a business. Businesses pay for product development and we get paid for our development efforts, too, and in due course our staff, taxes, vendors and general expenditures are paid.

We are here to help so if you have questions we ask again for you to contact us.

Sincerely,

CCA