Licensees and Franchisees pay you a fee to use your brand and your rights for commercial profit.
What is Licensing?
Licensing is a legal business relationship where the licensee is permitted by the licensor to use the registered trademarks of a brand by paying a royalty fee. The licensee can then sell products containing the trademark, which is often well-known and popular.
What is Franchising?
Franchising is a business agreement between franchisor (the owner of a business) and franchisee (the company obtaining the rights to the franchisor’s brand and intellectual property) to open separate branches under the brand’s name, which is basically a copy of the original business. Major business decisions are usually made by the franchise owner.
Thus, licensing tends to apply more to products, while franchising to service-based businesses. Licensees have more freedom and control over running their company as compared to a franchisee, who has to strictly follow their franchise owner. However, franchisees enjoy a deeper relationship with their franchisor, and receive more support.
MAXA helps you decide which model is better for your business; draft up the necessary paperwork in compliance with the local law, and to match you with credible and willing licensees or franchisees.
Agents and Distributors sell products on behalf of their Supplier (also known as Principal).
Who are Agents?
Agents are intermediaries acting for the supplier with their customers. There are 2 types of agents:
A sales agent has the authority to enter into agreements with customers and closes them on behalf of the supplier while a marketing agent promotes the supplier’s products to prospects and brings the supplier in to set agreements and close.
Agent rights include sole, exclusive and non-exclusive.
Who are Distributors?
Distributors buys the products from the Supplier and then resells them to consumers in their territories at a marked-up price.
Distributor rights include sole, exclusive, non-exclusive and selective.
MAXA connects you with the biggest agents and distributors in Asia, Europe and the U.S.
A joint venture is a business arrangement where two or more parties agree to pool resources to accomplish a specific business objective. In a JV, all parties are responsible for the profits and losses while remaining separate entities.
A common theme in joint ventures is to make up for each other’s shortcoming or to harness the strengths of their partners. When it comes to taking your business overseas, working with a JV partner who already has an established network and sales force can rapidly increase your market exposure and sales. You can also ride on their experience, domain knowledge and presence.
MAXA consults you on creating a strict checklist to select the correct JV partners and crafting a comprehensive JV agreement to safeguard your interests.