wonderful feedback I got from you folks on my post yesterday, I wanted
to just thank you all. I received some very good advice from many of
you. I am still open to your feedback and any other ideas you may have
regarding my situation below.
Thanks again!
Dave Phillips
> ______________________________________________
> From: Dave Phillips
> Sent: Monday, June 07, 2004 10:05 AM
> To: '[EMAIL PROTECTED]'
> Subject: Question about Licensing my CF Web Application
>
> Hi all,
>
> I have developed a web application and have found a company that is
> wanting an exclusive license to manage, market, and sell subscriptions
> to my web application for me. I'm comfortable with the arrangement,
> but I'm unsure as to what to charge as a license fee.
>
> I have gotten them to agree to allow me to earn a royalty based on a
> percentage of the revenue they charge for each subscription. The
> number that has been thrown out is 30%. So for example, if they sell
> a subscription for $10 per month, I get $3 per month and they get the
> rest.
>
> I do not have to put up any money. I will be continuing to develop
> and enhance the application as well as supporting it technically.
> However, I will not be providing END USER support. I will provide
> support to the company that is marketing it. They will deal with the
> end users.
>
> I will also make myself available to customize the application for any
> of their customers, however, I'm sure they will charge extra for this,
> so in essence, I will get extra since I would get 30% of the revenue.
>
> My questions are as follows:
>
> 1. Is 30% a fair amount? What's the standard?
>
> 2. Does it sound like a good deal to you? Is there anything I
> should be asking for that I haven't mentioned?
>
> 3. Any other comments/suggestions?
>
> Thanks for your input. I welcome it. This is the first time I've had
> the privelege to do this, so I'm very excited, but want to be sure I
> do it the right way.
>
> Sincerely,
>
> Dave Phillips
> [EMAIL PROTECTED]
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