As always, there may be drawbacks to success. Your brand may one day reach many people, or create too much activity, leading to counterfeiting attempts from other competitors. By allowing your brand at an early stage, you will learn to act proactively with safeguards to protect your intellectual property. Start and End Date – Calculate and indicate when the agreement will come into effect and when the terms will expire. If you want to include the option to continue after the agreed terms expire, you can include it by agreeing. Examples of intangible assets are a song (“Somewhere Over The Rainbow”), a character (Donald Duck), a name (Michael Jordan) or a brand (The Ritz-Carlton). An agreement for the granting of a licence requires a licensing agreement. A licensing agreement authorizes a company that markets a product or service (a licensee) to lease a trademark from a trademark holder who operates a licensing program (a licensee). [2] In the business, licenses are generally granted by a company that wishes to grant rights to another company for payment. As a general rule, these rights are to make, sell or use what your business owns.

The term “licence” has two meanings: one in general terms (for example. B driver`s license) and the other in the economy and commerce. A licence in the broadest sense is “the authorization of an authority to own or use something.” Licensing involves leasing or leasing an intangible asset. It is a process of creating and managing contracts between the owner of a brand and a company or individual who wishes to use the mark in relation to a product for an agreed period in an agreed area. Licensing is used by trademark holders to extend a brand or character to products of a completely different type. [1] Exclusiveness is a good thing for the licensee because it excludes the possibility of a brief change from a licensee that promotes a competitive product. It may be good for the licensee and licensees often offer lump sum payments or performance bonuses in exchange for exclusivity, but exclusive clauses can be difficult. For example, a licensee can self-punish if he makes an exclusivity agreement without incentive – he has locked himself in a market without re-listing. Before negotiations, you must take into account the reputation of your licensee in the sector concerned. What are their strengths? What are their weaknesses? How long have they been in the business? Are there any comments you can gather? The more discerning you have, the better you will have the advantage when it comes to talking about numbers.

License – the agreement itself, including terms and conditions (time limits, territories) and the distinction of exclusivity.