# 060: How to Professionally License Your New Product

- Show: [Product Startup](https://hardwarepodcasts.com/podcast/product-startup)
- Published: 2021-01-19
- Length: 39m
- Page: https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product
- Listen: https://productstartup.com/

## Summary

Tom Gray, founder of Handy Camel and executive producer of Make48, explains that successful licensing requires a working prototype, patent protection, and proven market traction rather than just an idea. He advises inventors to start small with niche brands to generate sales data and positive reviews before approaching major retailers like Walmart or Home Depot. Gray emphasizes that licensing deals typically involve exclusive rights for 3-5 years, with average royalty checks ranging from $20,000 to $30,000 annually, and highlights trade shows like CES and the National Hardware Show as key venues for finding partners.

## Chapters

- [0:50](https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product#t=50) Introduction: Tom Gray, Handy Camel, and Make48
- [6:01](https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product#t=361) Gray's Background: From Bunnings to QVC
- [8:23](https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product#t=503) The Licensing Prerequisites: Prototype and Protection
- [11:01](https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product#t=661) The One-Minute Pitch and Simple Solutions
- [12:45](https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product#t=765) Targeting Niche Brands Over Big Box Retailers
- [15:48](https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product#t=948) Proving the Model: Sales, Reviews, and Risk Reduction
- [19:56](https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product#t=1196) Licensing Realities: Royalties, Exclusivity, and Marketing
- [29:43](https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product#t=1783) Finding Partners: Trade Shows and Due Diligence
- [34:56](https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product#t=2096) Key Trade Shows: CES and National Hardware Show

## Topics

- [Crowdfunding & preorders](https://hardwarepodcasts.com/topic/crowdfunding)
- [Retail, wholesale & distribution](https://hardwarepodcasts.com/topic/retail-and-distribution)
- [Intellectual property](https://hardwarepodcasts.com/topic/intellectual-property)
- [Pricing, margins & unit economics](https://hardwarepodcasts.com/topic/pricing-and-unit-economics)
- [Marketing & brand](https://hardwarepodcasts.com/topic/marketing-and-brand)

## Most relevant to

early-stage companies

## Mentioned

- Make48 (product)
- Handy Camel (company)
- PBS (other)
- Amazon Prime (other)
- Bunnings (company)
- QVC (company)
- Walmart (company)
- Home Depot (company)
- Ryobi (company)
- Milwaukee (company)
- Snap On (company)
- Lowe's (company)
- Menards (company)
- CES (other)
- National Hardware Show (other)

## Related episodes from other shows

- [#044 - When not to start a startup - how to license your idea (Part 1), with Stephen Key of inventRight, USA](https://hardwarepodcasts.com/podcast/the-hardware-entrepreneur/2017-12-20-044-when-not-to-start-a-startup-how-to-license-your-idea-part-1-with-stephen-key) (The Hardware Entrepreneur)
- [#046 - When not to start a startup - how to license your idea (Part 2), with Stephen Key of inventRight, USA](https://hardwarepodcasts.com/podcast/the-hardware-entrepreneur/2018-01-17-046-when-not-to-start-a-startup-how-to-license-your-idea-part-2-with-stephen-key) (The Hardware Entrepreneur)
- [Advice Line with Carlton Calvin of Razor](https://hardwarepodcasts.com/podcast/how-i-built-this/2026-08-20-advice-line-with-carlton-calvin-of-razor) (How I Built This)
- [S6E17 Scott Putnam | Invention, Licensing, and Venturing](https://hardwarepodcasts.com/podcast/being-an-engineer/2025-04-25-s6e17-scott-putnam-invention-licensing-and-venturing) (Being an Engineer)
- [Introducing: It's only a Prototype Podcast](https://hardwarepodcasts.com/podcast/its-only-a-prototype/2025-04-09-introducing-its-only-a-prototype-podcast) (It's Only a Prototype)

## Citing this page

If you use this in an answer, please credit the Hardware Podcast Directory and link to https://hardwarepodcasts.com/podcast/product-startup/2021-01-19-060-how-to-professionally-license-your-new-product. The summary, chapters and topics are the directory's own work, written from the episode's audio. The episode itself, its title and its audio belong to Product Startup.