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I have a project right now that I am thinking of building a prototype for on my own time and pitching to my company, because the company will basically have to sell the idea to another business. Why would I do this? Because then I can say how much I want to be compensated for my idea getting the company new business.

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I honestly wish you all the best, and hope that works for you.

Just please be aware that after you've delivered, you loose power for negotiation. Therefore I would probably rethink the timeline choosen for agreeing on a reward "then I can say how much I want to be compensated for..".

I certainly do not intend to deliver anything that works before asking for compensation, I intend to show something that works and then negotiate how much it is worth.

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