Could you make more of your expertise?
If you are a coach, consultant, trainer, speaker or some other kind of specialist and you have devised and developed your own methods then you can probably turn what you have into something you can license and make money from.
For example, if you currently run your own training course you may be able to sell the rights to run your course to other trainers who in return, will pay you an initial fee plus ongoing royalties.
Or, if you perform some kind of specialist consultation or service for clients, again you may be able to charge others for the right to sell and deliver your special service.
There are all kind of other possibilities too. For example, you might have tool or techniques you’ve devised or even software or spreadsheets.
Licensing doesn’t have to be just at the point of delivery as described in these examples.
A long-standing form of licensing is where the originator of a product or formula licenses others to manufacture and/or package it under their brand name. This is basically how Coca Cola works, and it can be a great way to expand without having to acquire your own factory or processing plant and premises.
However you want to use licensing to grow your business, we can help.
What the buyer gets
When you buy a licence you may have the option to buy either a branded
version. Unbranded merely means that the use of the brand name and brand images are not included in the permission granted whereas branded means they are. Both have their uses. If the licensor has a strong brand name the licensee can gain business by using it. Alternatively, the licensee may already have a strong brand name and may prefer to use that. When a product or service is sold to a licensee in its unbranded form that arrangement is often called white label.
The Licensor Benefits
The benefits to a licensor come from the multiplying effects of a licence. Once the licensor has converted his or her expertise into a replicable form it can be sold many times over. For example, a trainer might turn a training course into a complete training manual with instructor’s notes and even certified instructor training. Then the training course can be licensed to other suitable trainers. Often the licensor obtains payment in two ways. Firstly, the licensee pays for the licence and what comes with it normally is the materials and training. Once set up the licensee may pay a royalty fee each time the materials are used, e.g. for each person being trained. The royalty fee often takes the form of a percentage or may be a fixed amount. There are lots of alternatives. This multiplying effect is often referred to as leverage or gearing.
There are other benefits not just financial ones. For example, the licensor of a good product can gain significant recognition, prestige and influence.
Check out our one-day licensing workshop, designed to enable you to set up your own licensing scheme.