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Business Terms
License
Definition
Permission granted to use intellectual property under specified conditions.
Overview
Licenses allow use of IP without transferring ownership. They specify how, where, and for how long the IP can be used.
Example
A photographer licenses images for web use only, retaining rights for print and resale.
Best Practices
Define license scope clearly: usage rights, duration, exclusivity, and territory.
Common Mistakes to Avoid
Unclear scope
Not specifying exclusivity
Undervaluing licenses
Frequently Asked Questions
What's the difference between licensing and selling IP?
Licensing grants usage rights while retaining ownership; selling transfers ownership entirely.