Experienced Patent Licensing Attorney Helping Clients Maximize Profits Across the Country

Sometimes, marketing and selling your patented idea or product yourself does not give you the return on investment that you were hoping for. The costs of manufacturing and marketing can be high. There are the manufacturing costs themselves to consider, as well as marketing costs and the costs of required liability insurance, for example. Licensing others to use your idea for a fee can help maximize profits. In a patent license agreement, the patent holder (licensor) agrees to allow another person or entity (the licensee) to use or develop the licensor’s idea for commercial purposes in exchange for an agreed-upon fee.

The fee may be paid as a lump sum or may be structured as ongoing payments called royalties. Here at Thompson Patent Law, our team has over 20 years of experience helping patent holders design profitable license agreements, maximizing their profits and minimizing their headaches. Call our office today at (512) 649-1046 to talk to one of our skilled and knowledgeable patent licensing attorneys to get professional help maximizing your return on investment.

Why Consider a License Agreement?

There are many reasons to consider licensing someone else to use your patent commercially. The most obvious is that it can add to your profits by putting your product or idea in front of a larger audience of prospective customers. Another reason may be that you are an innovator and a creator but choose not to build a business around your patentable idea. Inventing or designing something and marketing it are two different processes. If you are more interested in continuing to innovate and develop products and ideas than in manufacturing and marketing, you may find that a license agreement is the way to go.

A large and established company may have the infrastructure to manufacture and market that you, as an inventor and creator, lack. Finally, manufacturing is an extremely expensive process and requires much more funding than licensing does. Entering into a license agreement can make the costs of manufacturing the responsibility of the other party, leaving you free of the need to find financing or invest more of your own money in producing the product you invented.

What Are the Steps in Securing a License Agreement?

Entering into a license agreement can be a complicated process, and there are many points at which a mistake can cost you substantial money and time.  A good license agreement must meet all of the legal requirements to preserve your patent while also maximizing your profits. The agreement needs to carefully spell out payment structures, time limits, and possible infringement issues, among other terms.

Hiring an accomplished patent licensing attorney should be your first step in order to ensure that your license agreement covers all the bases and will help your bottom line rather than hurt it. You worked long and hard to create your product or idea and to get it patented. The last thing you want is for a shoddy license agreement to threaten your patent or your profits. The help of an experienced patent licensing lawyer can make a difference in the success or failure of your license agreement.

What Are the Different Types of License Agreements?

A license agreement can be tailored by a patent licensing attorney to fit your particular situation, yet there are a few common kinds of agreements that may be right for you and your needs. An exclusive license agreement grants the right to commercially use, manufacture, and sell your patented product or idea to one entity only. This means that no other person or entity other than the licensee has permission to make or sell your product or idea. In exclusive license agreements, even the inventor and holder of the patent, the licensor, is prohibited from making or selling the product or idea in question.

In non-exclusive license agreements, however, the licensor may grant permission to multiple entities to make and sell the patented product or idea while retaining the right to do so themselves, as well. There is a middle ground between these two types of license agreements in what is called a co-exclusive license agreement. In this type of agreement, the licensor agrees to grant a license to a limited number of licensees. The Licensor may or may not include themselves in the specified list of licensees. Figuring out which type of license best fits your situation and maximizes your return on investment can be a complicated process. Our experienced and knowledgeable patent licensing attorneys can give you the sound legal advice you need to decide which path is best for you. Call Thompson Patent Law today at (512) 649-1046.

Why Hire a Patent Licensing Attorney?

You do not want to risk making a mistake with licensing your hard-earned patent to another person or entity to manufacture and market. To lose the profits you have worked so hard to gain would be tragic. Enlisting the help of an experienced patent licensing lawyer can help protect your intellectual property rights while maximizing your return on investment. Contact our law firm today to get the help you need!