Licensing vs Manufacturing

Hello,
I have gained interest from a couple of major plumbing distributers for my product. Its been patented since 2004.
I am being asked if the product is readily available and do I have current distributers in place and what is the cost. I do have some inventory, but currently updating my costs. At this time I would be more interested in licensing the product to them rather than being the supplier. Am I thinking correctly on this? If so, what would be an effective way to get them to consider a license agreement?
Thank You
AR

If the companies you have contacted are primarily distributers and not manufacturers they will have no interest in licensing since they are wanting your business as the supplier and them the distributer. If you are wanting to get a license you will need to seek out a manufacturer in that particular target market. Do not seek out a Invention Submission Company as your first choice. They make the majority of their money selling you services and not getting the product to market.

Distributors, wholesalers and retailers are rarely, if ever, good licensing prospects. Even manufacturers need to be researched well to determine the right fit for an inventor's specific product. For example, just because you have created a revolutionary product for a vehicle that has to be installed during the manufacturing process, does not mean the automobile manufacturer is the potential licensee. This is a big reason why the success rate of "invention submission companies" is dismally low. Blind mailings to lists simply do not work. Nevertheless, inventors continue to fall for the high pressure sales pitches.

Bonnie, you make a great point. Inventors need to broaden how they look at companies and products and do more research to find out exactly who the real target is. As you said, the company selling the car and assemblying it does not make all the parts that go into the car. Then you also have the people who make all the aftermarket products for the car. They are another set of companys that the Inventor needs to research.

If the companies you have contacted are primarily distributers and not manufacturers they will have no interest in licensing since they are wanting your business as the supplier and them the distributer.