What is this website?

This website is a marketplace for commercial licensing of products and other digital content. It allows content creators ("Licensors") to offer their products for licensing to manufacturers ("Licensees").

  Top


How does it work?

Our website uses a template-based licensing system. Our experienced team has put together three customizable license types, which offer a good balance of simplicity to use, as well as good legal protections for all parties involved.

A product owner or content creator ("Licensor"), after setting up an account, can create a public listing for a product, including name, descriptions, photos and keywords. The licensor will also upload a private product file. The licensor can then chose one or more of the available license types and customize them as required. There is a relatively small number of options, among which there are: evaluation fee, price per unit, contract term min/max.

A manufacturer ("Licensee") browsing the website may decide that they are interested in a product. They will then pay the evaluation fee and sign an NDA (Non Disclosure Agreement) in order to get access to the private product file. The licensee has 30 calendar days to evaluate whether they want to pursue a licensing agreement. When entering the licensing agreement, the licensor can also customize the contract from the available list of options (such as contract length). For the duration of the contract, the licensee will log into the website, make monthly reports and payment to the Licensor as appropriate.

We encourage that you read the license text in full and understand or review its implications before setting up a product or licensing a product.

  Top


What licenses are available?

We have three types of licenses available:

  • Non-exclusive license: Grants the non exclusive right to manufacture and sell a product in exchange for a royalty (per unit)
  • Exclusive license: Grants the exclusive right to manufacture and sell a product in exchange for a royalty (per unit), and a monthly exclusivity fee
  • Measurements only license: Grants the right to use the product data to develop other products that work with or ar functional replacements for the original part.

Please review the full text of the licenses before setting up a product or licensing a product.

  Top


What do I need to get started?

If you are looking into licensing any of the products on our website, you need an account and a valid form of payment.

If you are looking into offering a product for licensing, you will also need to set up an account with our payment processor, Stripe, and link it with your account on our website before you can list a product. Stripe is one of the biggest and most trusted online payment processors and will handle all your incoming payments, as well as your tax forms related to income from this website.

If you need help with Stripe account creation or linking, please see the "Stripe account set-up and linking below" or contact us (contact@inventioneers.com)

  Top


Which payment methods are accepted?

We accept Credit Card payments or bank transfer (ACH) payments. Please take note that setting up a bank transfer will take a few days and cannot be used for a payment the same day.

For convenience, your payment methods can be saved directly with our payment processor (Stripe). For security reasons, our website does not store your payment information.

  Top


What are the fees you charge?

We have a straightforward fee schedule:

  • no upfront costs; that means no sign up fee, no monthly fee, no fee to list a product
  • 30% of the value of all the contracts entered into through the website
  Top


Why use this website?

On top of providing a searchable advertising platform for your products, we believe that the real value of the website is that it provides a legal framework for licensing contracts that effectively lifts any barrier to entry into a commercial licensing agreement. Any licensing contract, no matter the volume or the final value, will not cost you any money upfront. 

  Top


What about Open Source / Creative Commons?

At Inventioneers, we are big fans of helping make the world a better place. Open Source / Creative Commons licenses are great tools, and we encourage you to also offer your products under one of these licenses.

Open Source / Creative Commons licenses are, for the most part, by definition free for non commercial use. These licenses have some disadvantages:

  • they do not provide an immediate path for commercial use;
  • they do not provide a financial incentive to the content creator to offer the product to others
  • they do not provide a financial incentive to the content creator to further develop the product past its initial incarnation
  Top


What are the differences between "exclusive" and "non exclusive" licenses?

Apart from the the fact that "exclusive" contracts, once executed, do not allow anyone else to evaluate or license the product, an exclusive license also provides the option for a monthly exclusivity fee that the licensor can require on top of any royalties.

  Top


What is the "measurements only" license?

The "measurements only" license does not allow the licensee to make an exact reproduction of the part or product. It allows the licensee to take exact measurements to design and manufacture either a part or product that is functionally equivalent or one that works with the original product (e.g. phone / phone case).

  Top


What is the difference between "units manufactured" and "units sold"?

Most manufacturing license royalties today are being done under a "units sold" based accounting. This allows for taking into account customer returns and unsold stock.

However, there are cases where the "units sold" licensing cannot be used, for example in the case where products are manufactured for internal use (e.g. a tool used to manufacture other product) or used for generating revenue through lease or through a service provided to clients. In this case, the licensee would use the "units manufactured" license option in order to properly account for the royalties due.

  Top


What are the "alternative royalty schemes"?

Generally, the licensing royalties are being accounted for on a per unit fixed cost. However, some businesses use a "percentage of sales" or "percentage of sales with a minimum amount per unit", which are supported by the website. The licensor (owner of the product) has the choice whether to offer this as an option or not.

  Top


Why do some products require business insurance?

Some products, such as safety critical equipment, present a possible risk to the licensor, which is why the website allows a business insurance to be required as part of the contract to manufacture these products.

  Top


Stripe account set-up and linking

A Stripe merchant account is required before you can add any products on the website. Stripe is the payment processor for the website and any payments are made through Stripe.

In order to create a Stripe account, please follow the instructions on https://www.stripe.com to create the account. If you do not have a website for your business, please put www.inventioneers.com in the required field for the website.

  Top


Still Have Questions?