Licensing allows a company to earn from its brand, technology, designs or know-how in overseas markets without operating there directly. The licensee manufactures, applies or commercialises the intellectual property in a defined territory and pays royalties or licence fees in return.
Successful licensing depends on two foundations before any search begins. First, the intellectual property must be protected in the target market, through trademark, patent or design registration as applicable, because licensing unprotected IP invites imitation rather than royalties. Second, the commercial package must be defined: what rights are granted, in what applications and territory, under what quality controls, and at what royalty structure.
The right licensee is then an organisation with:
Manufacturing, production or service capability relevant to the licensed IP
Established sales channels in the territory where the licence applies
Financial standing to invest in launching and growing the licensed line
A track record of respecting brand standards and contractual quality obligations
SJ Digital Media Solutions delivers licensee search through its Overseas Business Matching methodology: approximately 25 qualified candidates identified in the target market, direct engagement with CEOs, Managing Directors and Commercial Directors, and a minimum of eight qualified meetings with decision-makers authorised to negotiate licensing arrangements. SJ supports the subsequent negotiations on scope, royalties, quality control and term, and its regional offices maintain the relationship development that carries discussions through to signed agreements.
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