If you’ve been following along on the blog, you’ve just named your new business! Before you start listing items for sale, or even designing them – let’s talk licenses. Licenses are a BIG DEAL when making items for sale, as misuse of a license can potentially mean you will be sued.
Whether you are making paper cards, vinyl designs, apparel, or anything else – there are many designs you can purchase or find free online for use in your cutting business. Each design has limitations set by the creator of the design. Most licenses fall into one of these categories:
Personal Use Only
Personal use designs are for your personal use. This means that you can use the design to make something for yourself or your home. You can also use the design to create a gift for someone else. Generally, as long as no money is exchanging hands, you are within the limits of a personal use license.
Commercial Use/Limited Commercial Use
Commercial use licenses allow you to use the design on an item and then sell on eBay, etsy, a craft fair, your online store, Facebook, or anywhere else. Some commercial licenses limit the number of projects you can create with a specific design, while others are unlimited.
Deciding on which license you need when creating items for a fundraiser or donation can be a sticky situation. I’ve seen some designers that are okay with items created for donation when using a personal license; while others require that you purchase a commercial license. In these cases, it is always best to read the individual license included with the design, or contact the designer.
Usage can change over time
You create a gift for Aunt Sally using a personal use design and she hangs it on her wall. Aunt Sally’s best friend Miss Betty comes over and wants you to make her the same, and she will even pay for you for it! Congratulations on your sale! Now, you need to return to the designer and purchase a commercial license for the design before you sell it to Miss Betty.
In general, font licenses work the same as cut files and designs. Don’t forget – any font used for a design on an item to sell, as well as, your website, logo, or advertising needs a commercial license.
How can you organize your files with different licenses?
In my opinion, the two easiest ways to organize your personal use vs. commercial use items are: 1) Store the files in separate folders on your computer or 2) After downloading the file, add either PU or CU to the file name to help you keep up with your licenses. Once you get a system in place that works for you to store your files, it isn’t difficult to maintain.
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Wishing you many sales,
If you found this information helpful, pass it to another crafty business owner or business owner-to-be by sharing it on your favorite social media. Sharing it is also a great way to find it when you need it again!