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Licensing your IP

The Licensing Process

IP is a major strategic asset and its effective exploitation is one of the keys to enhance Malaysia’s economic and social prosperity. The process flow of R&D Product Commercialization is stated as follows:-

5-Stages of R&D Product Commercialization

  1. Having the right mindset helps you to focus your energy to achieve successful commercialization. Attitude such as ego, pride and others may defer you from achieving your goal.
  2. You need to consider that this is a complex process that needs a careful and clear planning. An effective way is to build your business plan that guides you towards achieving your target.
  3. Developing an excellent plan does not guarantee a success. You need to transform your written plan into tangible results.
  4. Start building your strategic alliance or network. It is not what you know; it’s whom you know.
  5. Focus on what you intend to commercialize: product, service or process.


Distribution Guidelines

The Nett Proceeds shall be distributed upon the closing of the financial year in which the income is derived, according to the distribution guidelines as shown in Table 1 as follows:

Nett Proceeds Inventors Recipients
1. First RM250,000.00



2. Next RM250,001.00 to RM1,000,000.00



3. Next RM1,000,001.00 to RM2,500,000.00



4 Next RM2,500,001.00 to RM5,000,000.00



5. Next RM5,000,001.00 and above



 Table 1: Distribution Guidelines

(Source: National Intellectual Property Policy, 2009)

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