Hi,
We have an animated program in the final stages. Almost done with the editing
and now we are looking at taking on a master licensing agent to handle all our branding of the show and toy products in the international marketplace. My question is: what are industry accepted rates (percentage of profits) to pay for a master licensing agent to handle our show (and make us rich and famous )?
We do have someone in the wings and I am mostly just looking to learn a bit more about the process so I can carry on an intelligent conversation and be able to position myself beneficially in the negotiating process. What is the least percentage (and why) and what is the most (and why)? Any red flags to watch for?
Help! Fee for Licensing an Animation Brand?
By ParisCoffee | Thursday, August 2, 2007 at 8:02am
#1
Help! Fee for Licensing an Animation Brand?
I think I'd pay for an entertainment attorney before any outlay for an "licensing agent".
Pat Hacker, Visit Scooter's World.
Thanks. Good advice. There are known rates that lic agents charge and also those for a master lic where they take on an intellectual property and build it so DVDs, toys, games, etc. may be placed in stores, fast food joints, etc. Have any of you made that kind of headway with an animation project? You can spend a year+ putting a project together that looks wonderful but if it is not marketed/built up to the right sources/people, it dies a quick death. Already did that once on my first project and have bounced right back :)
If you are Lucasfilm, these agents will pay you hundreds of millions for the right to sell your property. If you are no one, just starting out with a project, you will have to pay out of pocket to secure a master lic agent. Or, in our case,
you have created and filmed a project and want to get it properly marketed and have worldwide licenses set up, etc and you have to cut them a share of the profits. What percentages are typical for this last scenario?