Licensing Agreement
Our typical licensing agreement is for three years. Our agreements are automatically renewable if the licensee meets minimum contribution targets per enrolled members. There are virtually no restrictions in terms of customer solicitation. The licensing agreement also contains strict confidentiality and non-solicitation requirements respecting the identity of any of your clients that become StatTrader members.
We strictly enforce our pricing policies and criteria for membership, including our no discount policy for pricing Financial and Analyst memberships. Our only recourse against underpricing commercial memberships is canceling the licensing agreements upon full term if minimum per member contribution requirements are not met. This is a negotiated process where several variables could come into play. We also reserve the right to audit data in your system to ensure that stat entries are based on actual data and transactions.
Licensing Fees
The licensing fee is based on 15% of the revenues we collect for you, subject to a minimum fee. The minimum fee is equal to $500 for each license set up and $100 for each administrator license.
By way of example, a firm of three professionals may want to establish three StatTrader licensees and one administrator overseeing all three. The minimum annual licensing fee in that case would be $1,600 (3 x $500 +100). If all three StatTrader licensees then enrolled 15 of their clients and charged $500 per year, the firm’s revenue would $22,500 (15 x 3 x$500). In that case the licensing fee would increase to $3,375 ($22,500 x 15%). The firms profit would be $19,125 ($22,500-$3,375). Based on the minimum recommended pricing per the membership pricing schedule, most CPA firms will add significantly to their profits just by adding the service itself, irrespective of the intangible benefits Evaluate Profit Impact to my Firm.