Rick Valderrama Licensing Your Product to Major League Sports Franchise, NFL, NBA, MLB, NHL, MLS, NCAA Tips to Get it Done!

0:01
hi everybody and welcome to another
0:04
edition of inventors launch pad roadmap
0:07
to success i am your host carmine
0:09
danisco and today i wanted to cover a
0:12
subject that kind of occurs around a lot
0:15
of the major sporting events here at the
0:18
launch pad and probably around it around
0:20
the country at other product development
0:21
houses we filled a lot of questions
0:24
about licensing products to major league
0:28
teams to be specific the NFL or some of
0:32
the actual specific teams within the NFL
0:35
and again major sports things so I
0:38
wanted to bring my partner Rick
0:40
valderrama on who handles a lot of this
0:43
type of questions a lot of the business
0:45
sides of it he has actually licensed
0:47
products and he's been the license or of
0:50
products so he can answer some questions
0:52
and really try to sign a spotlight on
0:54
the high level of what's happening I
0:56
don't think he's gonna be able to go too
0:57
deep with you out of time we have but
0:59
let's bring them on and see what he has
1:01
to say hey Ricky over there therefore
1:04
how you drunk are mark richt I'm doing
1:06
good man thanks for coming on the show I
1:08
know that you're going to be a frequent
1:09
guest on our show and I appreciate you
1:13
jumping on real quick I had some
1:15
questions that came over the line about
1:17
licensing and I want to bring on and do
1:20
that just to let the the listeners know
1:23
that we are recording just before the
1:25
Super Bowl and not to date the podcast
1:28
but that's one just came up Rick if you
1:30
can just give a quick intro and
1:33
basically just again a quick little bit
1:36
of what you do let him in as launch pad
1:39
so my name is Rick's all drama I work
1:43
getting rid of launch pad and I am ahead
1:45
applies development as carmine spoke I
1:49
do handle most of engagement with new
1:53
clients as they come in and we do get
1:55
that question a lot about how do they
1:59
how to clients have access to placing a
2:03
sports team logo on their product they
2:06
could have a good product that they feel
2:09
that you know with the right license
2:12
they can be very
2:13
successful and really I can get them to
2:16
the next level you know as most people
2:20
know the NFL is the the big dog the AFL
2:26
if the general rule of thumb is if you
2:28
get approved as a NFL vendor you will be
2:31
approved for the NBA NHL NASCAR and NC
2:36
double-a pretty easily they are of the
2:39
the strictest least they do have the
2:41
strongest requirements and the most
2:44
chomping oh ok and I believe it NFL is
2:47
probably huge I mean if you get a
2:49
product onto the NFL or major team it's
2:52
probably build will be grow your company
2:55
at the National they have a product and
2:58
I want it and I want to get it it's a
3:01
perfect product for football or for a
3:03
college team or major league team what
3:06
do i do I just go to the team and I say
3:09
hey I got this product and then what do
3:10
they do they allow a day license it from
3:12
me or they allow me to show them how
3:14
does it work really if I have a product
3:15
so the NFL I'm going to stick with
3:18
talking about the NFL's beginning they
3:21
are the strictest league they have very
3:24
stringent requirements they they do not
3:27
use middlemen they require you to be a
3:30
manufacturer they require you to have
3:33
manufactures your product for three
3:34
years before even applying and in most
3:38
cases but sorry I cut you off three
3:41
years I have to be manufacturing a
3:43
product first we have to be the face
3:44
that's right wow that's right that's
3:47
right okay okay that would get the prize
3:50
so yes I guess its manufacture for three
3:54
years you have to show consistent
3:56
products they are very stringent on
3:58
every color code when when you are
4:02
putting the Dolphins logo on a product
4:05
the orange better be the right orange
4:06
and the white better be the right white
4:09
with no variation of it or you will lose
4:10
your contact a typically the easiest way
4:14
the easiest way to enter a NFL license
4:18
agreement is to go to a manufacturer
4:21
that's already owns a license someone
4:23
who's already selling in your category
4:25
if they're so
4:26
in the category they could easily add
4:29
your product to their suite of products
4:31
and then have the channel to put into
4:34
the stores to get your product of the
4:36
most you know and the NFL is doing a
4:38
good job of actually consolidating a lot
4:41
of their manufacture fish or vendors for
4:45
different categories so typically
4:47
there's only going to be five maybe ten
4:49
vendors even licensing you know certain
4:53
products so it's apparel if it's house
4:56
goods if its luggage whatever it may be
4:57
you're only going to find five to ten
5:00
companies in the world that are actually
5:04
able to manufacture the product so we
5:06
recommend the clients to find the
5:08
company that's already manufacturing a
5:10
product engage them and then get the
5:13
license deal although it's still
5:15
difficult it's much easier than going
5:17
directly to the NFL the requirements are
5:19
just too too great for a small company
5:22
should 50 inventors okay so so again
5:25
it's I didn't realize that it was this
5:28
this intricate so what you're saying is
5:30
if if I had a product and I did end up
5:32
getting a licensing agreement with the
5:35
nsl I wouldn't be able to manufacture it
5:39
myself is what it sounds like because it
5:41
has to be such a stringent rules and
5:44
regulations and then also it sounded
5:47
like what you said is there's different
5:48
categories or the different
5:49
manufacturers for a specific license so
5:52
if i had a product for a hat it would be
5:55
different license if I had a product for
5:58
luggage say yeah in most cases yes I
6:01
mean if you are the manufacturer all
6:02
these products and you have been
6:04
existence for three to five years then
6:06
you have the financial capacity to to
6:09
meet the stringent requirements of the
6:11
NFL then you can go ahead and do that
6:13
but if you do have three or four
6:15
different categories of products like
6:17
you said a hat or a jacket you would
6:19
typically going to have to find two
6:21
different companies that are already
6:22
showing those types of products through
6:24
the NFL license and license to them and
6:27
then once you like to them they will
6:29
send it out to their channels and sell
6:30
it out now the NFL is unique here the
6:33
n-c-double-a is one specifically that
6:37
you can go and go directly to the
6:39
University if you
6:40
are interested in doing the you know and
6:45
Alabama or university shop forward or
6:48
anything like that you can go to the
6:49
University and sauna license agreement
6:51
directly with them giving you the
6:52
permission to put their brand on your on
6:55
your product and that's for one product
6:57
and that's for one University that does
7:01
not give you the right to give use it
7:02
for the entire incident of away but it
7:04
does give you for that one University
7:06
that's a possibility now you know how
7:08
much in fact that's going to be done it
7:09
really depends on you but that's the
7:12
unique thing about the n-c-double-a
7:14
however if you do focus on the NFL once
7:17
you do get the NFL licensed through a
7:18
another manufacturer directly with the
7:21
NFL that does open the gateway to every
7:23
other sports venue Wow so the NFL is
7:27
huge but I like the part where you
7:28
talked about the NC double-a so if I
7:30
live next to say a few colleges or if I
7:32
had friends that were going to college
7:34
it might make it easier to get it into
7:36
one or two colleges just to test the
7:38
market test itself unless I am you know
7:41
I went to a school and I just want to
7:43
sell for that certain college so it
7:44
sounds like the NC model a is a little
7:46
bit easier but it sounds like a lot of
7:48
work to go to each college if I had to
7:51
yeah it does it does but again you know
7:55
products are some products are so
7:58
significant that it could be for college
8:01
you know population I know that we here
8:03
at the launchpad have a few products
8:04
that we're looking at colleges and NC
8:06
double-a in that sense and I know that
8:08
that you are working on several licenses
8:11
and you have the ends at the NFL and
8:13
some of those different different you
8:16
know projects and soccer and I'm
8:18
immediately baseball in that sense
8:19
what's kind of timeline they say all of
8:22
this take care and you know we had magic
8:25
wand and we've got through all of these
8:26
things and even after you know again
8:29
what kind of time want to not only get
8:31
that like an agreement signed but then
8:33
to get that product going is is there a
8:35
specific that you that you can think of
8:37
this for allowed yeah now I can go fix
8:39
much 18 months no problem they can go
8:42
with this lot of variables and
8:44
negotiation directly for license
8:48
agreements one part and then getting
8:50
your product us you know perfect to the
8:53
end
8:54
fell requirement you know there's all
8:56
these variation is all a lot of back and
8:57
forth if you get approved by the NBA NFL
9:01
whichever whichever league is doing that
9:04
your product once it's printed and it
9:06
looks good it has to get approved not
9:08
only by the NFL but by the team so
9:10
there's some specifics there that make
9:13
it a little challenging now the one good
9:15
thing that I do want to make sure I
9:17
state before we go on this call is the
9:22
the beautiful thing about the license
9:25
agreement specifically for inventors is
9:28
that if you have a product that's unique
9:29
and that product is then license to the
9:32
NFL they only hold the NFL license in
9:36
the sports team license you could still
9:38
sell it without the logo on your own and
9:41
if you don't pay them anything you don't
9:43
pay them a royalty sure you get the
9:44
benefit of having a name recognition via
9:48
your the team logo out there but she'll
9:50
it as a blank or show it with another
9:52
brand on it when you go out to the
9:56
retailer so if you're it was currently
9:59
being sold at walmart at target with the
10:01
NFL logos you could sell your own
10:03
product out there with your own logos
10:06
and it doesn't affect that license room
10:08
at all wow that's a that's actually a
10:11
pretty good piece of information because
10:12
most licensing contracts even ones that
10:14
we work on records I mean it's it pretty
10:16
much covers all sales so right you're
10:20
working on that NFL where she would be
10:22
huge if you get an NFL you know like me
10:24
agreement it's going to bring so many
10:26
eyeballs on to your products and being
10:28
able to sell it out into retail I'm not
10:30
kinda that's kind of like double dipping
10:32
which is a great idea well no I mean you
10:38
know again the NFL as you said any kind
10:40
of mingling sports team you're going to
10:41
put thousands of people are going to
10:42
maybe buy your products and then people
10:44
are going to see it and being able to
10:46
licensure or sell your product to retail
10:48
is really important now if I had a
10:51
product and I license it to the NFL or
10:54
to ask Rita sports team am i able to
10:56
still sell it with logos on it and say
11:00
hey I tried to get it on HSN or try to
11:02
get in on a TV shopping channel am i
11:04
able to sell it on my own with those
11:06
logos
11:07
that's going to be dependent on your
11:08
license agreement typically you can but
11:11
you would just be a vendor of your own
11:12
product you would have to buy them from
11:14
the company that owns your license okay
11:18
all right that makes sense all right
11:19
cool well it's a man I know that that
11:21
yours you're low on time there is there
11:23
a couple quick tips that's if somebody
11:26
was looking to get a product license
11:27
they had an idea or even if they haven't
11:29
even made their product yet they have an
11:31
idea or they made their prototyping or
11:32
thinking about it where they have a
11:35
product and they think it's perfect for
11:36
a major sports team or ngwa just letting
11:39
you a couple quick tips on what they
11:40
should do for their next step as in any
11:43
product they should test the market I
11:45
mean it no matter whose life in your
11:47
product whether it's a manufacturer
11:50
outside of the the NFL or sports or as a
11:52
sports a company that's its licensing
11:55
your product they're going to want to
11:58
show fail they want to see some numbers
12:01
they want it before they invest time and
12:02
energy on a product they want to be
12:05
assured that it's going to make some
12:07
money so what I would tell anybody is
12:10
that you try to sell it in your own you
12:13
get some performance reports done you
12:15
get some analytics you you get a break
12:18
down as to what they could they could
12:21
see in the future as far as how much
12:24
cost per unit cost how much you could
12:26
sell it for work and and what kind of
12:28
momentum you could have if they were to
12:30
put some logos on it if you have that
12:32
information it's going to make that
12:33
conversation but go much easier ya know
12:36
that makes sense i mean basically for
12:37
everything for retail and they mean so
12:39
that's kind of a business side of things
12:41
so and i know that you helped any of
12:43
those benefits or people with products
12:45
with that all right Rick would so listen
12:48
thank you very much for being on the
12:49
show I do want to tell anyone that's
12:50
listening if you have a question for
12:52
Rick you can get him on the inventors
12:55
Launchpad website that's inventors
12:58
launch pad com he also maintained the
13:00
largest inventor group on LinkedIn
13:04
inventors launch pad it is called and to
13:07
go ahead and join that group you can ask
13:08
some questions on their we're also on
13:10
facebook but go ahead and reach out with
13:12
any questions you have and i guarantee
13:14
that we will get back to you and thanks
13:17
for listening and then we'll talk to you
13:18
soon
13:19
all right bye-bye