Intellectual property, such as trademarks, copyrights, or patents, is just as valuable to a business as physical property. Companies license their intellectual property to third parties in exchange for royalty fees. This gives the IP’s owners an additional source of income. At Initiating Protection, we help you understand the right strategy you need when licensing your company’s trademarks and service marks. Our IP licensing services include negotiation with unrelated parties and preparation of licensing systems.
How IP Licensing Works
The process of licensing intellectual property involves the owner of an IP exchanging the use of rights to a licensee. They exchange this limited use of IP itself for royalties (e.g., money or other items of monetary value). The agreement to license details the actions each party will take with respect to the intellectual property. In addition, it lists the legal action that may be taken should the licensee infringe on the IP. A well-written license agreement is essential so all parties will understand their rights, limitations and obligations.
Factors to Consider
There are a number of factors that go into wanting to license intellectual property. For example, there is exclusivity, as well as what market uses the IP. There is also the length of licensing time for the property. This is linked to the expiration of a patent or the lifespan of the IP assets. Other factors include future development rights, background and foreground IP, and rights that lead to reassigning or terminating the license.
IP Licensing Benefits
Licensing your intellectual property provides your business with numerous advantages. It gives the owner of the original IP a way to create passive income. Also, the licensor gets credit for the licensee’s use of the IP, which allows the licensor to enter into new markets or incorporate the IP in a new marketing plan. This leads to new business opportunities for both parties.
Call Us for IP Licensing
Licensing intellectual property is a process that can be beneficial to all parties involved. Initiating Protection has a team of experts with the experience to have the licensing process go as smoothly as possible. Contact us today to learn more about our services.