On May 11th of 2011 my patent attorney filed a Provisional Patent for my invention. This filing locked in the starting date that the intellectual property was patent protected and made it Patent Pending. Once the provisional is filed, you have exactly one year to decide if you want to pursue a Utility Patent. The Utility Patent application was filed on May 11th, 2012. The process from beginning to end takes between two and three years depending on the complexity of the patent and how busy the patent office is. This Tuesday, November 12th my Utility Patent is finally being issued!
When you file a U.S. Provisional Patent application the clock starts ticking towards the deadline to file for international patents. The 30 month deadline was this month so I recently wrote a big check and applied for patent protection in Australia, Canada and Europe. Within a few weeks, my invention will be Patent Pending in those countries.
Three weeks ago I started a live test of the system and will comment on that next.
Thanks for your interest.
Bob
Sunday, November 10, 2013
Monday, November 4, 2013
Kunoo, how it works...
The system consists of two components, a consumer storage device (CSD) and a merchant terminal that interact with each other. The two devices communicate using radio frequency identification or RFID for short. Another term used for this is NFC or near field communication. All of the "touch to pay" systems out there use some variation of this technology. The current test we are conducting is using an RFID key fob for the CSD so that is how I will refer to it here.
The key fob stores a digital value of change that ranges between a minimum of $0.00 and a maximum of $2.00. Upon each coin-less transaction the value of the key fob is read, processed and then replaced with a new value.
As you read this please remember this system only comes into play after you have paid for your purchase with whole dollars in an amount greater than your purchase total. The amount you give the cashier is entered normally as the "amount tendered" and then the cash register displays the "change due". Returning this change due back to you without the need for physical coins is sole purpose of Kunoo.
There is a fee of 1 cent each time a consumer uses the system. After 100 uses they would have paid $1.00 in fees and not had to hassle with approximately 400 coins.
For the following explanation of how the system works and the examples, we are going to use a change due amount of $3.40. So you are at the store, you have made a purchase that totaled $1.60 and you handed the cashier a $5.00 bill. The register now shows a change due amount of $3.40.
At this point you touch your Kunoo key fob to the Kunoo terminal and in a fraction of a second, the display shows your new change due (the physical portion) which will be $3.00 or $4.00. The cashier gives you this amount and you are done with your first coin-less transaction.
If your new change was $3.00, the difference of $.60 was added to the beginning value of your key fob less the 1 cent fee. So if your key fob had $1.00 on it when you arrived it would have $1.59 on it when you left. Reducing your change down to $3.00 is only possible if there is enough room on your key fob to accept the difference without exceeding the $2.00 limit.
If your new change was $4.00, the extra change of $.40 beyond what you were owed, is deducted from the beginning value your key fob plus an extra cent for the fee. So if your key fob had $1.00 on it when you arrived it would have $.59 on it when you left. Increasing your change up to $4.00 is only possible if there is enough value on your key fob to deduct the difference without the key fob going negative (below $0.00).
You may have noticed in the examples above that in both cases the change adjustment could have gone either way. This occurs about 1/3 of the time and is what gives the system the ability to keep the merchants cash drawer in balance. The need for this balancing feature is the reason the maximum key fob value is $2.00. Each time the physical change due is adjusted down, there is a matching increase in the cash drawer balance and the reverse is true when the physical change is adjusted up.
The truly amazing thing about this invention is the system's ability to self balance. Regardless how many millions of terminals and key fobs are out there, at the end of the day every penny is accounted for!
Thanks and I look forward to any questions or comments.
The key fob stores a digital value of change that ranges between a minimum of $0.00 and a maximum of $2.00. Upon each coin-less transaction the value of the key fob is read, processed and then replaced with a new value.
As you read this please remember this system only comes into play after you have paid for your purchase with whole dollars in an amount greater than your purchase total. The amount you give the cashier is entered normally as the "amount tendered" and then the cash register displays the "change due". Returning this change due back to you without the need for physical coins is sole purpose of Kunoo.
There is a fee of 1 cent each time a consumer uses the system. After 100 uses they would have paid $1.00 in fees and not had to hassle with approximately 400 coins.
For the following explanation of how the system works and the examples, we are going to use a change due amount of $3.40. So you are at the store, you have made a purchase that totaled $1.60 and you handed the cashier a $5.00 bill. The register now shows a change due amount of $3.40.
At this point you touch your Kunoo key fob to the Kunoo terminal and in a fraction of a second, the display shows your new change due (the physical portion) which will be $3.00 or $4.00. The cashier gives you this amount and you are done with your first coin-less transaction.
If your new change was $3.00, the difference of $.60 was added to the beginning value of your key fob less the 1 cent fee. So if your key fob had $1.00 on it when you arrived it would have $1.59 on it when you left. Reducing your change down to $3.00 is only possible if there is enough room on your key fob to accept the difference without exceeding the $2.00 limit.
If your new change was $4.00, the extra change of $.40 beyond what you were owed, is deducted from the beginning value your key fob plus an extra cent for the fee. So if your key fob had $1.00 on it when you arrived it would have $.59 on it when you left. Increasing your change up to $4.00 is only possible if there is enough value on your key fob to deduct the difference without the key fob going negative (below $0.00).
You may have noticed in the examples above that in both cases the change adjustment could have gone either way. This occurs about 1/3 of the time and is what gives the system the ability to keep the merchants cash drawer in balance. The need for this balancing feature is the reason the maximum key fob value is $2.00. Each time the physical change due is adjusted down, there is a matching increase in the cash drawer balance and the reverse is true when the physical change is adjusted up.
The truly amazing thing about this invention is the system's ability to self balance. Regardless how many millions of terminals and key fobs are out there, at the end of the day every penny is accounted for!
Thanks and I look forward to any questions or comments.
Sunday, November 3, 2013
Kunoo, what it does and doesn't do
Before explaining how the system works, I thought I should explain some of the basics that will make it easier to understand how it works.
The system:
As you can see, this system was designed with only one purpose, TO ELIMINATE THE EXCHANGE OF COINS IN CASH TRANSACTIONS.
The system:
- Does not have anything to do with credit or debit card transactions
- Does not affect those who always have the correct change on hand
- Does not provide a means to save your change for vacation
- Does not allow you to purchase things with your digital change
- Does not require your identification
- Does not connect to any bank or clearing house
The system:
- Does allow consumers who pay in whole dollars to get their "change due" back without physical coins!
As you can see, this system was designed with only one purpose, TO ELIMINATE THE EXCHANGE OF COINS IN CASH TRANSACTIONS.
A better mouse trap?
Many people I have shared my invention with look puzzled and want to ask why? If coins were the mouse trap, why try to improve it when it works just fine? This is a question I continue to struggle with. There are many people who like me use cash for small transactions and hate dealing with the resulting coins we accumulate, but we are in the minority. I have learned that most people accept the use of coins for what it is and don't see the need to even consider a better way or, they just never gave it any thought.
The idea that everyone would use my system is far fetched but trying to convince those who might use it why they should is one of my biggest challenges. In the three years I have been working on this I have discovered some very compelling reasons why I think the world needs this but ultimately you will be the judge. I will share what I have learned about the use of coins in some future posts but in the meantime, I ask you to keep an open mind.
The idea that everyone would use my system is far fetched but trying to convince those who might use it why they should is one of my biggest challenges. In the three years I have been working on this I have discovered some very compelling reasons why I think the world needs this but ultimately you will be the judge. I will share what I have learned about the use of coins in some future posts but in the meantime, I ask you to keep an open mind.
Me and my invention
If you don't already know me, my name is Bob Karrick and I am an inventor and
entrepreneur and I reside in Toledo, Ohio. I have started this blog as a way to raise awareness and understanding of what I have invented, answer questions and to receive some feedback.
This all started in the fall of 2010 when I made a routine stop at our local Circle K and bought a cup of coffee. The total sale was $1.19 and I paid with two dollars. I received five coins back to make $.81 for my change. For reasons I can’t explain, I don’t like coins in my pocket so I carried them to my truck where I keep a small container just for coins. Well on that particular day the container was full so I drove home planning to empty the coins into my large coin jar. As you probably have guessed, my large coin jar was also full. This was when I decided to see if I could figure out an alternative to coins.
What I invented and have since patented a is A SYSTEM TO ELIMINATE THE EXCHANGE OF COINS IN CASH TRANSACTIONS.
The name we chose for this system is Kunoo pronounced like canoe. How we came to choose this name is a long story that I can share later if anyone is interested.
Over the next several days I will explain in detail how the system works and what the current status is.
Thanks for your interest and support,
Bob
This all started in the fall of 2010 when I made a routine stop at our local Circle K and bought a cup of coffee. The total sale was $1.19 and I paid with two dollars. I received five coins back to make $.81 for my change. For reasons I can’t explain, I don’t like coins in my pocket so I carried them to my truck where I keep a small container just for coins. Well on that particular day the container was full so I drove home planning to empty the coins into my large coin jar. As you probably have guessed, my large coin jar was also full. This was when I decided to see if I could figure out an alternative to coins.
What I invented and have since patented a is A SYSTEM TO ELIMINATE THE EXCHANGE OF COINS IN CASH TRANSACTIONS.
The name we chose for this system is Kunoo pronounced like canoe. How we came to choose this name is a long story that I can share later if anyone is interested.
Over the next several days I will explain in detail how the system works and what the current status is.
Thanks for your interest and support,
Bob
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