Well guys, here we are waiting on partners, and pu
Post# of 7795
(Total Views: 563)
Posted On: 02/15/2020 11:49:00 AM
Well guys, here we are waiting on partners, and purchase orders. What is constantly being overlooked is the cost of the license, or the rights to the license. This revenue stream that may also impact the company’s debt.
Below is a paste of what that means-
• Payment amount: This is the most important part of a licensing agreement. The vendor agrees to pay a set amount in exchange for access to the license. The payment amount is what gives value to the innovation.
• Payment schedule: Rather than make a single payment, most licensees agree to pay a fixed or variable amount at set dates. The payment may depend on sales criteria, causing fluctuation in the payment amounts. Any failure by the licensee to provide a scheduled payment is a breach of the agreement.
Below is a paste of what that means-
• Payment amount: This is the most important part of a licensing agreement. The vendor agrees to pay a set amount in exchange for access to the license. The payment amount is what gives value to the innovation.
• Payment schedule: Rather than make a single payment, most licensees agree to pay a fixed or variable amount at set dates. The payment may depend on sales criteria, causing fluctuation in the payment amounts. Any failure by the licensee to provide a scheduled payment is a breach of the agreement.
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