Terms and Conditions The licensor has developed the software included in this software distribution agreement and the Licensee has expressed an interest to become a distributor of the software.
In consideration of these facts, the Licensor and Licensee agree to abide by the following terms for the duration of this software distribution agreement: Sub License Licensee shall not grant their right to distribution to any other party without prior written approval from the Licensor. Any Licensee material used for advertising must be previously approved by the Licensor. Escrow Prior to the initial release date the Licensor and Licensee shall enter into an escrow agreement that will accompany this software distribution agreement.
Fees All fees regarding the above mentioned escrow agreement shall be split evenly between the parties. Deliverables The Licensee will be provided a global license to distribute, advertise, and market the software covered in this software distribution agreement. The following software is governed by this agreement: Term This software distribution agreement shall begin on [Agreement.
Termination Either party may terminate this agreement by providing written notice within 90 days of termination. The Licensee will have no longer than 30 days from termination to produce this report. Agreement Both parties are in agreement to all terms and conditions listed above in this software distribution agreement. Use this template No credit card required. Use template LinkedIn Facebook Twitter.
This is crucial—the end-users are typically unaware of the connection between the reseller and the white label software manufacturer. Another key distinction is that the reseller technically buys the product from the developer. At that point, they are pretty much free to do with it as they please. This means that, as a reseller, you can rebrand the software with your name and logo and resell it as your own. It also means that the developer is in no way responsible for your success.
Resellers also typically choose their own margins. The whole idea behind reselling a white label product is that you get to decide the price point. This gives resellers an opportunity to generate substantial revenue since the difference between the buying and selling price can be substantial. Although some resellers work on commissions, where the software developer enters the agreement with the end-user and provides compensation to the reseller, the key difference is that resellers are completely separate from the developers.
This means they have to use the title of an independent reseller, rather than presenting themselves as an entity tied to the original developer.
The essentials every software reseller agreement should cover include:. These are the bare bones of the agreement that you should thoroughly go over before agreeing to become a white label software reseller. You should, of course, take your time to go over the entire document at least a few times to avoid any potential unpleasant situations.
Some countries may have different laws regarding the selling of online products and services, as well as special restrictions you should be aware of. One thing to note here is that, regardless of their geographic position, the agreement should be in English. In some cases, the agreement may be translated into other languages, but note that the English version will always have precedence over all other versions.
Software reseller agreements can be either exclusive or non-exclusive. The software provider has the full right to choose which type of agreement they will offer to each individual reseller. Exclusive agreements, however, do not imply that you are the only one allowed to sell the software. In most cases, they are geographically defined, meaning an individual reseller obtains the right to resell to a specific market, say the United States.
In that case, other resellers are free to promote the same product to the end-users in Europe. Non-exclusive agreements are, therefore, much more common.
The exclusive right to resell the software and services in a specified geographic area. With white label solutions, a reseller agreement should give the reseller full right to claim the products and services as their own and market them under their own brand.
Otherwise, the software developer must define whether the reseller can register domain names, company names, and trademarks on behalf of the supplier. Should they grant the reseller such rights, the agreement must also clearly define what happens with the intellectual property after the agreement expires or is terminated by either side.
The safer, and frankly, the better option for the reseller is the ability to sell the products as their own intellectual property. White label solutions do not require you to credit the original software developer in any way. Instead, you can customize the product as much as you want, resell it as your own, and build your brand while generating revenue. This is a win-win situation. This is called a margin. In some cases, especially with software as a service SaaS , resellers will be compensated through commissions.
The agreement should clearly define the commissions for every service, as well as state whether the resellers will receive these commissions as a one-time compensation or monthly, whenever the end-user renews their license. The EULA is a contract that establishes the rights of the purchaser for installing and using the software.
Every EULA contains a clause that stipulates when its conditions are activated by an end user. The developer retains ownership, but the re-branding company is permitted to resell the software product. There are five main software license categories or types used to cover different kinds of software and various business arrangements.
These encompass a wide spectrum of licensing scenarios, from free software public domain to paid commercial software proprietary.
When software is defined as being in the public domain, anyone is free to use and modify the software without restrictions. For many reasons, businesses must exercise caution when adopting public domain software in projects or other important applications:. Under an LGPL license, developers have rights to link to open source libraries within their own software. Resulting code can be licensed under any other type of license — even proprietary — when projects are compiled or linked to include an LGPL-licensed library.
The caveat is that if any part of the library is copied into the code or modified, the terms of the original LGPL license will apply to the developed code that used the library. This type of license is one of the most common and popular among open-source software licenses.
Variants in permissive licenses include differences in requirements for preserving license notices and copyrights for the software, as well as how the software may be used commercial or private , trademark requirements, and other stipulations.
Under the terms of a copyleft license, the licensed code may be modified or distributed as part of a software project if the new code is distributed under the same software license.
Since the original software included with the new project allowed modifications and distribution, this may not be the best license for software developers because the resulting code must also carry the copyleft license type — including the availability of the source code. These software licenses make the software ineligible for copying, modifying, or distribution.
This is the most restrictive type of software license, protecting the developer or owner from unauthorized use of the software. A software license agreement is a legal document that stipulates several key conditions between a software company or developer and a user to allow use of the software.
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