When a licensor grants an agreement with a licensee, one important process that is established is the ‘Approval Process’. It is of pertinence to carry out the same by adopting the correct method. Here, I outline one example as to how this should be completed in three stages:
Stage 1: Concept Approval
The licensee must submit Product Concepts and all other support materials including the artwork, but the same must not be limited to POS sales sheets or brochures, promotional materials, catalogues, web pages, and press releases. The licensee must submit Concepts for review and approval in order to move to the next stage. Comprehensive product details must be included in this submission, such as sizes and dimensions, product description (wallet, bracelet, etc.), and description or swatches (CMYK or Pantone colours) on intended materials and trimming.
There are certain issues to be kept in mind during this stage:
Following this, projects will move from the Concept stage to either Revised Concept stage (if a change is necessary to gain approval) or move to the Pre-Production stage. If the licensor and representative request Revised Concepts, the licensee shall provide an update on the status of these within a reasonable time period.
Stage 2: Pre-Production
The licensee must submit Pre-Production samples to the licensor and representative for formal approval. The representative and licensor will have up to ten business days to review and provide feedback. The licensee must consider this while scheduling production runs in order to meet deadlines. These first samples have to include licensed artwork to allow a view for the licensor and representative:
It is also to be kept in mind that Pre-Production samples are required prior to final sign-off and advancement into the next stage.
Stage 3: Production
The licensee must submit Production Samples once product is in production for the formal approval. The representative and the licensor will have up to ten business days to review and provide feedback. Licensee must consider this when scheduling production runs to meet deadlines. Expected delivery dates for Production Samples must be filled out in the Licensee Product Approval form.
IMPORTANT NOTE
The licensee should be aware of that the licensor could, at any stage of the above outlined process, reject a product. This may be due to various reasons, including but not limited to, inappropriate application of the images, colours, lack of quality, retail distribution or pricing issues, or the inability of the licensee to effectively apply revisions.
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