Company wishes to resell my software. Advice?

BrokenArrows

I wrote a simple SFTP server a while back.

I recently had a company approach me ( they sell packages of software to companies ) and they want to include my software in their packages. So essentially they wish to resell my software to their customers.

I already have the option on my website to purchase a single license key but they want an option for them to resell.

Any suggestions on how I would deal with licensing this to allow them to resell it? This is the first piece of software I've ever tried to sell.

CreepingDeath

BrokenArrows wrote: »

Any suggestions on how I would deal with licensing this to allow them to resell it? This is the first piece of software I've ever tried to sell.

I've never sold software directly myself, but I imagine there's 2 areas you want to be careful about

1. Write a disclaimer in your license agreement... you're not liable for any direct or indirect damage caused by this software, etc, etc

2. What is the expectation of customer support?
If they sell to 20 companies, are you expected to provide customer support to them? If you don't want to go down that route, you probably have to say software is sold as-is.

Were you providing the software for free before?

BrokenArrows

CreepingDeath wrote: »

I've never sold software directly myself, but I imagine there's 2 areas you want to be careful about

1. Write a disclaimer in your license agreement... you're not liable for any direct or indirect damage caused by this software, etc, etc

2. What is the expectation of customer support?
If they sell to 20 companies, are you expected to provide customer support to them? If you don't want to go down that route, you probably have to say software is sold as-is.

Were you providing the software for free before?

Ya I have the disclaimer already written up. No guaranteed support, not liable etc.

I had a free version and a paid version for commercial use. Noone has purchased the paid version yet!!

BrokenArrows

I suppose I'm just wondering whether or not its expected that I would provide a bulk license rather than them purchasing 20 individual licenses.

Graham

BrokenArrows wrote: »

I suppose I'm just wondering whether or not its expected that I would provide a bulk license rather than them purchasing 20 individual licenses.

Only the company that approached you is going to be able to tell you what they expect. Have you asked them what they had in mind or how they would see this working?

Giblet

If your software is the only game in town, charge a few grand for an unlimited license with 1 year support, charge support packs after that (5 incidents a year, €1000). It might sound like much, but they stand to make money from your software, and really if they'd hired someone to write it, it would cost them a lot more.

sawdoubters

go for non exclusive agrrement



http://www.jdsupra.com/legalnews/software-reseller-agreement-26110/


look up reseller agreements online

The Dagda

Firstly, congratulations. It's a pretty huge thing that someone wants to sell something you've created.

Secondly, I would suggest that you post this question on the Entrepreneurial & Business Management Forum.

There are some very experienced business people on there who give out some excellent advice.

BrokenArrows

Thanks for the advice.

I had a chat with them and they agreed they would purchase the individual licences as required from my website but that they would draw up a license agreement which gives them permission to resell it.

Ill make sure that they take responsibility for supporting their resales as depending on how many they sell it could quickly become too much for me to handle.