Our business licensed product program is designed to be simple and enable businesses as much freedom as possible when utilizing our designs to meet the needs of their customers. Our mission at Trackside3D is to make the hobby of Railway Modeling as affordable and accessible as possible. We realize that many of our designs are highly desirable but the need to own or have access to a 3D printer is a significant barrier for some people. The goal of our business licensed production program is to enable business partners to provide products and services based around our designs.
Business Membership
Business membership is paid annually at £99. Membership is paid up front and provides the business with immediate access to our Licensed Production program. Any 3D models purchased with your business account while your membership is active are immediately licensed to you under our Licensed Production Agreement. Business membership must be actively and consecutively maintained in order to produce and sell Trackside3D products. Support is available to you via e-mail should you encounter any problems printing our models.
Model Delivery - Buy Once, Unlimited Production
Business Members who maintain an active and consecutive membership only need to purchase a 3D model once in order to produce it. They must submit the monthly sales report and associated royalty fees between the 1st and 7th of each month. Models must be purchased directly from Trackside3D and the license is non-transferable. Models acquired through subscription programs are not eligible for our Business Licensed Production Agreement.
The process is very simple:
- Purchase a Business Membership at £99 per year
- Email locoshed@oorail.com with your Business Information
- Purchase the 3D models you wish to produce (buy once)
- After checkout, the model is available to you immediately under our Business Licensed Production Agreement
- Submit your Royalty Payments and Reports on-time (between the 1st and 7th of the month)
- Maintain your business membership each year
Sending Your Business Information
After you have purchased an annual business membership, please submit the following information via email to locoshed@oorail.com:
- Legal Business Name
- Business Email Address you used to purchase the business membership
- Business Registration Number
- VAT or Tax ID (depending on your location)
- Certificate of Good Standing or equivalent (must be submitted within 30 days)
- Expected Sales Channels (eg. website, retail shop, distribution network etc)
Manufacturing
Licensed Production under the Business Membership program is limited to 3D printing technologies. This includes but is not limited to FDM, FFF, SLA, MSLA or similar 3D printing technologies. The license does not permit manufacturing using laser cutting, CNC, injection molding, tooling, mold fabrication or any other non-3D printing technology.
All manufacturing must be done on premises by the Business Member or under Contracted Manufacturing by the Business Member. The Business Member is not permitted to use our models for sub-licensing or Licensed Production agreements with third parties.
Royalty Fee
The royalty fee shall be 10% of the gross sales revenue received by the business member. The royalty fee shall not be adjusted for offers, discounts, costs, wholesaling or specialty rates provided to customers.
Packaging
Business Members are free to package products as they see fit. Products can be packaged together and packaged in various quantities. Business Members can select which products they wish to make available to their customers. The product must feature either on the packaging or documentation physically shipped with the product the term "Produced under License from Trackside3D (trackside3d.co.uk)".
Packaging with non-Trackside3D products
Business Members are free to package (bundle) Trackside3D products with non-Trackside3D products. This can include the Business Members own products or third party products. The royalty fee for packaging with non-Trackside3D products is 10% of the gross sales revenue of the bundle, not the portion of the Trackside3D products.
Modification to the Digital Model
Should the Business Member require a modified or augmented version of the 3D model, they should request the change by contacting Trackside3D. The Business Member is permitted to separately design and 3D print complimentary parts which can be physically attached to the physical model for enhancement or engineering purposes. Such enhancements cannot be made to the original digital file and are only permitted if designed from scratch.
Retail Price
Business Members are free to set the full retail sales price. Retail sales pricing guidelines are listed in the minimum retail price standards below. Retail pricing cannot be set at cost or at a loss.
Minimum Retail Price Guidelines
Business Members are asked to maintain a reasonable minimum retail price level. Where the weight of the product is in grams, the Material Price is price per gram, the minimum retail price guidelines are calculated as follows:
((Weight x Material Price) x 10) + 10% = Minimum Retail Price
Example:
Pack of 6 Ballast Bins (approximately 12g)
Material: Hatchbox PLA (at 2p per gram)
Minimum Retail Price: (12 x 2p) = 24p x 10 = £2.40 + 24p = £2.64
Example:
Fuel Depot Building (32g (building), 15g (roof), 10g (accessories) = total is 57g)
Material: Hatchbox PLA (at 2p per gram)
Minimum Retail Price: (57 x 2p) = £1.14 x 10 = £11.40 + 1.40 = £12.80
Competitive Comparison
The minimum pricing formula works for the vast majority of Trackside3D products, however we understand that it will not work in all cases. The formula does not work well for larger projects such as buildings. For larger multi-component products, we recommend using a similar formula of:
((Weight x Material Price) + 10% = Large Component Minimum Retail Price
Once a bill of materials for the product is completed, the Business Member should adjust the retail pricing after comparing similar products in the market from other manufacturers.
Example: Fuel Storage Tanks
Trackside3D products:
- Fuel Storage Railing: (1g x 2p) = 2p x 10 = 20p + 2p = 22p
- Fuel Storage Tank: (142g x 2p) = £2.48 (x2) = £4.96 + 10% = £5.45
- Fuel Storage Lids: (47g x 2p) = 94p (x2) = £1.88 + 10% = £2.07
- Fuel Storage Base: (67g x 2p) = £1.34 + 10% = £1.47
- Extra Detailing: (40g x 2p) = 80p x 10 = £8.00 + 80p = £8.80
The total unadjusted retail price is £18.01, however a comparable product from another major manufacturer is £35. A competitive mark up for such a project might be £29.99, placing the offering below that of the competing manufacturer but also creating a healthy profit margin.
Digital Offerings
Business members are not permitted to offer or distribute digital offerings of Trackside3D products.
Customer Licensing and Support
Trackside3D does not provide licensing or support to customers of our Business Members. Should a customer wish to avail of Trackside3D upgrades to 3D models, the customer should purchase the upgraded printed product from the Business Member or obtain the Trackside3D model directly from Trackside3D in digital form.
Design Services and Special Commissions
Trackside3D provides design services and special commission offerings to its Business members. For the purposes of Business Membership, "Design Services" are considered a request to modify an existing product to produce a new variant or to design a new product from scratch. Special Commissions are special requests to design a new product that is to be sold exclusively by the Business Member.
Trackside3D does not charge for "Design Services", they are provided on a best effort and will be supplied to the Business Member who requested them. Completed Design Services are provided on the following schedule for new products:
- 3D Model provided to Business Member (Day-0)
- 3D Model released to Trackside3D subscribers (Day-30)
- 3D Model released on Trackside3D website (Day-45)
- 3D Model released to other Business Members (Day-60)
Business Members may request adjustments to this schedule for new products, this is handled on a case by case basis, if no agreement can be reached the above schedule is maintained.
The following schedule is used for completed Design Services for variants of an existing Trackside3D product:
- 3D Model provided to Business Member (Day-0)
- 3D Model released to Trackside3D subscribers (Day-14)
- 3D Model released to Trackside3D website (Day-30)
- 3D Model released to other Business Members (Day-30)
Trackside3D offers two options for "Special Commissions":
- Fully Commissioned
- Co-developed Commission
"Fully Commissioned" projects involve Trackside3D providing an exclusive 3D model to the Business Member. Pricing is based on project time-frame and the hours needed to complete the project. Upon an agreed quote, the Business Member will pay 25% up front, and three additional payments of 25% at agreed milestones. Upon completion of the project, the Business Member will receive both the 3D Model in STL format as well as the original Blender design files. The model will be exclusively available to the Business Member. The model will not appear on Trackside3D.
"Co-developed Commission" projects involve a joint venture between Trackside3D and the Business Member. Co-developed projects typically involve design collaboration between Trackside3D and the Business Member, this may involve supplying photographs, diagrams, blueprints, measurements etc to Trackside3D. The completed product will typically be made available simultaneously as a physical product from the Business Member and a digital download by Trackside3D. Co-developed commission products are not automatically supplied to other Business Members unless agreed to before project work commences. Requests from other Business Members to produce co-developed commission products requires a written request and written approval from the Business Member who commissioned the project.
Reporting and Payment of Royalty Fees
Business Members are responsible for reporting sales numbers for Trackside3D licensed products on the 1st of the month, the report must be received no later than the 5th of the month. An invoice payable under net-7 terms will be generated on the 7th of the month and should be paid electronically. It is not necessary to generate sales reports directly from e-commerce or point of sale systems each month. Trackside3D however reserves the right to request a semi-annual or annual report of Trackside3D licensed sales generated by a Business Members eCommerce or invoicing system.
Active Business Membership
Business Members are responsible for maintaining an active Business Membership with Trackside3D. This is a legal requirement in order to make licensing terms fully enforceable. Trackside3D cannot suspend or cancel a Business Membership unless the Business has engaged in illegal, fraudulent or activities that negatively impact Trackside3D or oorail. In the event a Business member opts to cancel their membership, their license shall expire on the last day of their active membership. Once membership has expired, the Business Member cannot produce or sell any Trackside3D licensed products, this includes any unsold inventory. The Business Member may purchase a license to sell any unsold inventory for a royalty fee of 25% of the retail list price. A lapse in business membership equal to or greater than 30 days, will reset that account requiring the business to re-purchase any models they wish to license under the Licensed Production Agreement.
Obtaining Membership
Businesses must be a legally registered and active business in good standing in their country of origin. After purchasing Business membership, the business should send their business information to locoshed@oorail.com including their business registration number (or link to their registration record at the appropriate government agency) and a link to their website. Trackside3D reserves the right to request additional information to verify the business. The Business Member will receive written confirmation from Trackside3D that their License is active or that additional information is required. Once written approval has been received, the Business Member is free to manufacture products under the terms of our Licensed Production Agreement.
