Reply to post: Refundable reservation deposits

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MachDiamond Silver badge

Refundable reservation deposits

The current tactic with new products these days is to create a buzz, cobble up a prototype, take very dramatic photos and create some virtual videos showing what the product will do when finished and then announce that you are accepting advance deposits to hold a place in line for the first production run. After all of that is done, you finish (or start) the engineering. You don't invite in members of the press for what they believe will be a test drive or to allow them a very close look at the prototype. Some of them may have a built in immunity to Hype. Getting a bunch of deposits should fund the product. If it doesn't, you either do some back filling until more dosh comes in, send everybody their money back with a lame excuse or BK the company and move to Monaco.

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