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White Label Agreement
I need a white label agreement that allows my company to rebrand and sell a software product developed by another company, with terms covering intellectual property rights, confidentiality, and a 2-year term with options for renewal. The agreement should also include clauses for support and maintenance responsibilities, as well as revenue sharing details.
What is a White Label Agreement?
A White Label Agreement lets one company sell another company's product or service under its own brand name and logo. Think of it like putting your own label on someone else's goods - similar to how supermarkets sell their own branded products that are actually made by other manufacturers.
In Australia, these agreements are common in financial services, software, and consumer goods. They must comply with the Competition and Consumer Act 2010 and include clear terms about quality standards, intellectual property rights, and customer support responsibilities. The agreement protects both parties while maintaining brand consistency and meeting Australian consumer protection requirements.
When should you use a White Label Agreement?
Consider a White Label Agreement when you need to quickly expand your product line or enter new markets without developing products from scratch. This works especially well for Australian businesses looking to offer financial services, software platforms, or manufactured goods under their own brand while avoiding hefty development costs.
The agreement makes perfect sense when you have strong market presence but lack specific products, or when you're a manufacturer wanting to boost production volume through other brands. Just ensure your arrangement meets ASIC requirements for financial products, ACCC guidelines for consumer goods, and includes clear quality control standards.
What are the different types of White Label Agreement?
- White Label Software Reseller Agreement: Designed for software distribution, this variation focuses on licensing terms, technical support obligations, and software customisation rights. Most Australian White Label Agreements also come in three other common forms: Manufacturing Agreements for physical products with detailed quality control specs, Financial Service Agreements with strict ASIC compliance terms, and Platform Service Agreements covering digital services with data protection clauses.
Who should typically use a White Label Agreement?
- Brand Owners: Companies that want to sell products or services under their own brand name, often retailers or service providers looking to expand their offerings without developing in-house capabilities
- Manufacturers/Suppliers: Businesses that produce the actual goods or provide the underlying services, seeking to increase production volume and market reach
- Legal Teams: Corporate lawyers and compliance officers who draft White Label Agreements, ensuring they meet ACCC guidelines and industry regulations
- Quality Managers: Staff responsible for maintaining product standards and consistency across both organizations
How do you write a White Label Agreement?
- Product Details: Document exact specifications, quality standards, and any customisation requirements for the white-labeled goods or services
- Brand Guidelines: Gather both parties' branding requirements, including logo usage, packaging specs, and marketing rules
- Compliance Check: Review ACCC guidelines and industry-specific regulations that apply to your product category
- Commercial Terms: Define pricing structures, minimum order quantities, and payment terms
- Support Framework: Outline customer service responsibilities, warranty terms, and problem resolution processes
What should be included in a White Label Agreement?
- Party Details: Full legal names, ABNs, and registered addresses of both the brand owner and manufacturer/supplier
- Product Scope: Detailed description of products/services, quality standards, and technical specifications
- IP Rights: Clear terms about trademark usage, licensing conditions, and ownership of intellectual property
- Quality Control: Standards, inspection rights, and compliance with Australian Consumer Law
- Term and Termination: Agreement duration, renewal options, and exit conditions
- Confidentiality: Protection of trade secrets and sensitive business information
What's the difference between a White Label Agreement and a Contract Manufacturing Agreement?
A White Label Agreement differs significantly from a Contract Manufacturing Agreement in several key ways, though both involve production relationships. The main distinction lies in branding rights and market positioning.
- Branding Control: White Label Agreements give the buyer full rights to market products under their own brand, while Contract Manufacturing Agreements typically keep the manufacturer's branding or create unbranded products
- Market Relationship: White Label focuses on creating a complete branded solution, including marketing and customer relationships. Contract Manufacturing purely covers production specifications and delivery terms
- Intellectual Property: White Label deals extensively with trademark usage and brand guidelines, while Contract Manufacturing concentrates on production methods and technical specifications
- Support Obligations: White Label usually includes customer service and warranty requirements, whereas Contract Manufacturing typically ends at product delivery
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