A candidate manufacturer may be the one without the latest technology. These candidates should be contacted on an anonymous basis to allow a second entry if the situation warrants. These are the best U.S. prospect to be interested in distributing your device and paying you for that privilege. Candidates companies may consider acquiring/ distributing this device in the U.S. to avoid eroding their customer base to competitors. They do not have a product. They have not developed a product. They have an established distribution network. You have the product but no distribution.

Before you consider building a U.S. distribution network you should discover the cost, schedule and requirements necessary to build a proprietary single product distribution system in the U.S. A partnership may start appearing very attractive to you.

For almost no investment, you could be compensated for some of your development costs, you could be ready to sell in a matter of months in all territories with skilled people familiar with the target market.

The U.S. medical device health care industry distribution network consists of salesmen who have an established relationship with either physicians or know the purchasing agents at stocking sources. These salesmen are calling on possible buyers each day and want to have the latest technology to offer. If the manufacturers that these salesmen represent cannot develop a new device, the manufacturers may be willing to acquire the rights to offer such a device. Otherwise, the salesman will not make a sale and their competitor will make the sale. The salesman will lose both customers and revenue. The manufacturers will lose salesman. The manufacturer is “desperate” to repair this problem.

Conglomerate who has not kept up with R & D is an ideal candidate. This is an established manufacturer (let us refer to them as XYZ) who has a product that is out of date. XYZ has been selling a medical device for over a decade and has developed a considerable distribution network. XYZ is hearing their salesman complain that other companies have a more state of the art product and XYZ will lose sales unless they develop a new product.

When a fictitious company we will refer to as: XYZ, considers the R&D cost, XYZ understands that an investment of $350K-$500K is necessary to fund a new development. XYZ is a desperate company. They must spend money or watch their market share be reduced to a fraction of its current level.

XYZ can spend possibly $200,000 U.S. to immediately sign up with you as having a viable product ready for sale in the U.S. But, they cannot spent $350K-$500K and wait 6-9 months to develop their own product. They need a product now.