Our globally integrated network of licensing professionals can help
companies optimise their revenues, capitalise on and protect their intellectual
property, and successfully manage risk.
In 90% of the royalty examinations we undertake for our clients, we uncover
underreported revenues due to clerical errors, accounting mistakes or contract
misunderstandings. Almost invariably there are financial recoveries, sometimes
very substantial figures. Therefore, our royalty examinations tend to be
self-financing exercises as well as best business practice.
Over the life of a long-term licensing agreement, the revenue leakage that
results can amount to hundreds of thousands or, in some cases, millions in lost
income for licensors.
Our expertise is highly valued in many industries, including software/
technology, entertainment, media and publishing, luxury goods,
biotech/pharmaceuticals, and telecommunications. We have completed over 850
engagements over the past five years.
While we work primarily with licensors, we also assist licensees by
reviewing royalty agreements, ensuring compliance and, if necessary, resolving
disputes.
How we can support you
Potential issues
- Understanding and auditing your licensing income is difficult
- You have complex licensing agreements over numerous territories
- Your royalty income varies dramatically from year to year
- You want to make sure that your royalty income is correct and to audit your
licensing contracts
- You need a coherent, consistent approach to safeguarding and ensuring the
accurate and timely receipt of licensing revenues
How we can support you
- An assessment of risks to the licence portfolio
- The development of strategies to manage, monitor and control those
portfolios.
- The establishment of compliance programmes for licensing, distribution,
pricing and other contractual agreements.
- Forensic-based royalty examinations.
- Commercial reviews of royalty and financial provisions in agreements.
- Advice on royalty rates and licensing fees.
- Acting as expert witness
Track record of success
With more than 600 engagements completed over the past five years, our
experienced practitioners offer tremendous expertise in every facet of
licensing management.
The following is a list of client success stories:
- Royalty examinations of 16 Licensees in Japan, Spain, Germany and France on
behalf of a luxury brand licensor. Underreported royalties were identified and
recovered in excess of £3 million.
- Royalty examinations of various Licensees in Japan, US and Spain for a
well-known sports brand licensor. One assignment alone discovered £2 million in
underreported revenue.
- Royalty examination of a US Licensee on behalf of a well-known character
brand. The assignment identified and collected over two hundred percent (200%)
in additional underreported royalties.
- Assisted a well-known sports brand licensor in performing royalty
investigations of its Licensees. This work was conducted to ensure the licences
were being administered correctly. Nevertheless the work also uncovered
£500,000 in underreported revenue due to licence interpretation issues.
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