What is a good mead recipe worth?

[DV8DUG]

I am a hobby mead maker and one of my personal recipes has caught the attention of a commercial mazer. What is a fair price to ask for my recipe? He will definitely put it into production.

 

[Coastalbrew]

I don't have any experience with the alcohol industry, but I am a product designer. In my industry, you can go one of 2 ways: 1 a flat rate one time pay out, or 2 a licensing agreement where you get a percentage of the sales of the product. Option 1 can be nice for getting a quick infusion of cash, but you may make less in the long run. Option 2 is a long term play, you'll make less in the short term but more in the long run if the product is successful. In either event, you should hire a lawyer and get everything in writing and all legal-ified.

Value will vary widely industry to industry, I'd try to find someone with experience in the alcohol industry and pick their brain. Might be worth contacting the brewers association and see if they can suggest someone that could help you out.

Congrats on your opportunity and good luck.

Cheers!

 

[madscientist451]

Ask for a small percentage of each bottle sold? Or ask for a job as product developer?

 

[ajm163]

no real idea. but i would try and work a deal for some small percentage of the profits on your recipe. I would think thats fair to you both. if it sells like crazy than you make more because the evidence shows your recipe was worth it. If it doesn't sell well, the producer didn't overpay

 

[bernardsmith]

Hard to believe that a recipe is (intellectual) property that might be bought and sold. Sounds awfully like an idea in literature. No copyright for an idea. Recipes are probably worth about a penny. It's the protocol , the practice, (or the execution of the idea in writing which results in a novel or short story or screen play) that has the value. But if they are happy to pay you for your recipe that recipe must be very unique. Me? I would ask for a few cases of the mead and recognition on their label that the recipe is yours.

 

[cmac62]

Mead for a year may be a decent payment.

 

[LBussy]

Yeah, I'd take a couple of cases and pat myself on the back. Don't over-think it. It didn't cost you anything, you should take the compliment and say thank you.

 

[Dr_Jeff]

and after they get the recipe, all that has to be done is make a minor change/tweak and the recipe is different and you get nothing