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ASK DN: Licensing Your Designs for Large Projects

almost 6 years ago from , Designer

Question for designers and small studios.

Have you ever entered into a licensing agreement for your designs with a large company?

Say for example, you are working with a hospital and they are embarking upon a large project with a software vendor.

A hospital might bring on a small design studio to solely focus on the UX/ UI.

Instead of them paying a large up front fee, they could license your designs for a smaller up front cost, monthly fee and your in charge of maintenance.

Could work the other way as well, where you have the relationship with the software vendor and they just pass on the cost. Especially if recurring billing is involved.

I know many companies do not want to do these types of arrangements and keep the profits for themselves. Then again, there are more engineering focused companies who would love to have design off their plates, yet - a significant edge over their competitors.

Would love to hear other's thoughts on this topic and to see if anyone here has considered this approach for larger projects in the $100k - $500k range?

Thank you very much.