The beginnings of a passionate inventor
As a child, Alex Cloutier had a natural curiosity that led him to enjoy taking apart everything around him—much to the despair of his parents! As an adult, his work as a general contractor allowed him to seek a deeper understanding of how things work, always aiming to maximize the use of his tools to make them more efficient. His handiness became the foundation to build his own company, InnovaTools, which specializes in manufacturing aluminum siding brakes and accessories for the construction industry. He developed a modular bending brake, a tool used to bend sheet metal—which is especially helpful on construction sites where workers need custom-shaped metal for things like roofing edges. He also created several accessories to facilitate and increase efficiency of its use. The first accessory prototype was brought to market in less than a year by manufacturing and packaging in his home garage—an impressive achievement in itself. The positive feedback came quickly, with many contractors confirming how much more efficient they were thanks to this new accessory. That moment was a true epiphany for Alex—he made it his mission to constantly improve and commercialize new tools to revolutionize the market for bending brakes and construction altogether. Today, his products are still manufactured by his company in its own factory in Eastern Ontario and are sold all over the world.
The strategic role of patents at InnovaTools
By continually improving, InnovaTools now holds about a dozen patents, mostly in Canada and the United States, since North America accounts for 85% of the company's sales. As Alex puts it, reverse-engineering is fairly easy to do, so patenting his work is highly important to prevent intellectual property (IP) infringement. In addition, a product with IP protection helps owners stand out in the market and build consumer trust. It opens up opportunities for licensing, partnerships and increased business valuation. Looking back, he recalls thinking that once his first invention was patented, everyone—including competitors—would buy the accessory and it would be an automatic commercial success. The reality was quite different! The real work of actually selling the products was only just beginning. He decided to seek out buyers and customers himself, and owning patents helped him promote his new equipment. As he says, a patented technology becomes much more attractive, both in the eyes of clients and investors.
A gradual learning of intellectual property
Like many new business owners, his knowledge of IP, especially patents, was limited and he didn't know any professionals in the field. After researching and hiring different IP firms as his inventions came to life, he found the right one (Arcade IP Law) and still works with the same patent attorney 12 years later. Collaboration with an attorney is key and must be based on mutual trust and understanding. Alex points out that no agent or attorney knows or understands the invention as well as the inventor. That's why discussions with an agent or attorney are essential so that the patent application accurately reflects what was invented and what can be protected. Today, this attorney knows Alex and his company very well, which cuts down on the time it takes to submit applications.
For InnovaTools, patents, as well as trademarks, hold real market value. But it's not easy to assign an exact value to an IP right. According to many entrepreneurs, including Alex, the full value of IP such as its strategic benefits and brand credibility are valuable from the outset, but you may never appreciate its full protection until it is challenged in court. In fact, other parties have challenged InnovaTools over patents and trademark infringement, but the 2 separate lawsuits were settled through mediation after more than 2 years of litigation.
A protection strategy adapted to target markets
Regarding its patent strategy, InnovaTools used the Patent Cooperation Treaty (PCT) process to protect the modular aspect of the tool since it is sold internationally. The PCT process also helps delay certain expenses, which is a major advantage. For the various accessories, protection is limited to Canada and the United States. Even though the bending brake is sold globally, InnovaTools doesn't have a worldwide distribution network. Rather, the company still prefers to sell directly to customers through its website.
Invention, protection… and especially commercialization!
Finally, Alex reminds us that inventors are dreamers, but that patents aren't granted to those who have simply thought of a solution to a specific problem. Remember that usefulness, meaning, offering a solution, is only one of the 3 criteria for patentability, alongside novelty and inventiveness. His words of wisdom? Don't invest everything in patent-related expenses––you also need to be able to commercialize the invention. Making sure to actively find clients and buyers, instead of relying on your patent's attractiveness, is key to developing a solid commercialization strategy.
The team showing off our new brake at JLC Live 2023
