What is brand licensing?

Brand licensing allows companies to make use of protected intellectual properties (brands, characters, logos etc.) in their business activities, often for use in product design and marketing. By licensing BGA’s brands your company, as a licensee, can utilize our already established and popular creations to increase your sales, reach new target groups, open new doors to unexplored retailers and draw benefit from the synergies created by having BGA and our partners involved in your business.

Step 1 – Which property should I license?

Based on your specific requests we together find a suitable property for your company to license. Please contact Christian Wallin, Head of Brand Licensing, to learn more about our brands.

Step 2 – The Terms

Once we have found a suitable property we discuss the contractual terms. The terms vary depending on several factors, such as which property you are interested in, which products and/or activities you intend to use the property for and which countries/territories you intend to be active in.

Step 3 – The Cost

If interested in merchandising, the main component of payment for the use of our brands is a royalty rate which is calculated and based on your product’s wholesale price. The terms in the agreement shall state a minimum amount of royalty, a minimum guarantee, which is to be paid during the contract period. Upon signing the contract a prepaid amount of royalty is paid and deducted from the minimum guarantee. The prepaid amount of royalty is not refundable. Royalty earned during the contract period is also deducted from the minimum guarantee. Once the minimum guarantee has been reached royalties are to be accounted for and paid to BGA no later than 15 days after each calendar quarter.

If you are interested in a Promotion using one of our brands, the cost or ”Promotion Fee” is based on a percentage of the cost of your company’s media purchase and the cost for printed materials. Promotion fees are paid in full upon signing the agreement.

Step 4 – The Agreement

If the property is held by a licensor other than BGA we submit a proposal to the licensor for their approval. Once the terms have been agreed upon by all involved parties you shall receive a contract for your signature. The contract is then returned to BGA and the licensor for signature. When all parties have signed the contract you shall receive your copy.

Step 5 – The Product Development Process

Once the agreement has been executed you will in most cases gain access to a so-called Style Guide which will provide you with all necessary guidelines and available artwork, illustrations, trademarks and design elements to use in the product development process. The guidelines outlined in the style guide are used to ensure the correct use of the brand and are intended to assist you in the development process.

BGA and our licensors reserve the right to approve the products you develop ensuring the property has been used according to the guidelines. Before moving to production, all developed material is subject to BGA’s and our Licensor’s written approval.