r
than to retain the patent and work it himself, in case he has the
ability to do so. If he cannot conduct the manufacturing alone, he may
be able to secure a partner with just sufficient funds, and equal common
sense and business acumen, to add the necessary elements to the firm to
achieve success.

In some cases, if the patentee does not wish to retain the whole patent
for his own use, an excellent plan is to commence the manufacture of the
invention in a suitable locality, and after the business is so far under
way as to show progress and profit, then sell out the business with
license under the patent. To illustrate: a gentleman in Illinois, having
obtained a patent on a farming implement, succeeded in interesting a
party in his own neighborhood to join with him in its manufacture, which
soon proved successful and remunerative, and in a short time he was able
to sell out his interest in the business to his partner, with license
under the patent, after which the patentee started its manufacture in a
number of places elsewhere, and, at the same time, granting licenses and
selling territory in still other sections, where he was unable to work
the invention. In this way he made a fair fortune from his invention,
realizing about as much from each business established as he could have
probably obtained for the entire patent if sold outright at first.

In this manner the patentee, with a valuable patent on an article of
general usefulness, could go on and establish its manufacture in any
number of places, and sell out with license under the patent. If the
first experiment is successful, it is an easy matter to carry the method
out in other places, and the business can be readily disposed of
anywhere, if it can be shown to be on a paying basis.

[Sidenote: To Organize Stock Companies]

In recent years many inventors have been quite successful in organizing
stock companies on the basis of their patents. This is considered one of
the best ways for handling patents for large and promising inventions,
and it is a method that any patentee, with ordinary business ability,
should be able to carry out successfully, providing his invention is of
sufficient merit and importance to form a suitable basis for a
successful stock company.

Many stock companies are incorporated under the laws of New Jersey, but
it is believed the State of West Virginia is also very favorable to
corporations. The entire expense for incorporating a comp