Procedure for Internal Purchasing and Royalty Structure of Branded Goods

This Internal Purchase of Branded Goods Royalty Procedure permits university colleges and departments, including athletics, schools, and registered student organizations to use approved university trademarks, logos, and branding elements for non-commercial, university-related purposes only.

This procedure adheres to all expectations as outlined in the current Use of BGSU Logo and Other University Marks Policy 3341-10-1 and the University Licensing Procedure.

This procedure applies to:

1. Intercollegiate Athletics Department
2. Club and Intramural Sports
3. University Colleges
4. University Departments and Offices
5. Registered Student Organizations (RSO)
6. All other campus units that wish to produce items with Bowling Green State University branding elements such as trademarks, logos, and other identifiable elements.

Definitions

1. Internal Use – all products and merchandise purchased by a university unit such as a college, department, or Registered Student Organization (RSO) for official University purposes, not intended for resale, fundraising, or personal profit.
2. Resale – Any product or merchandise sold, exchanged, included in registration fees, fundraising efforts, membership dues, or other activities that generate revenue.

Royalty Rates on Internal Purchases

The University shall assess an internal royalty rate of 0% to purchases which are licensed products purchased by university departments, colleges, offices, athletics, and RSOs for official university use, as long as they are not intended for resale.

To qualify for a 0% royalty rate, the University must purchase and fund all products and cannot resell, seek reimbursement for, or use them for fundraising activities.

The University shall assess the standard royalty rate of 12% to licensed products purchased by university departments, colleges, offices, athletics, and RSOs for resale or fundraising.

All products are subject to licensing, artwork approval, and vendor requirements as established by the University’s Licensing policy.

Examples of Internal Purchases

The following products will be assessed at a royalty rate of 0% when purchased, intended for official University use, and not for resale:

1. Athletics and Club Sports
   • Intercollegiate Athletics Uniforms
   • Team-issued apparel
   • Required competition equipment
   • Club Sports Uniforms and required apparel
2. Employee, Operational and Academic Uniforms
   • Required faculty, staff, and student employee uniforms
   • Healthcare uniforms purchased by the hiring department and used directly for a respective program
   • Other uniforms purchased by the hiring department required for students during completion of academic program
     Note: Student-purchased uniforms, including items purchased directly from a retailer or from the University at cost will be assessed at the standard royalty rate of 12%.
3. Recognition and Awards
   • Individual awards
   • Plaques
   • Trophies
   • Nameplates
   • Other customized recognition items
     Note: Gift items provided for recognition purposes including items purchased directly from a retailer or from the University at cost will be assessed at the standard royalty rate of 12%.
4. Operational Items
   • Internal directional signage
   • Event signage
   • Branded tablecloths
   • Other functional items used exclusively for University operations

Registered Student Organizations

The University shall assess a royalty rate of 0% on merchandise purchased by any Recognized Student Organization (RSOs) for internal use and not intended for resale or fundraising purposes.

An RSO must disclose to the vendor and on the order any merchandise it purchases with the intention for resale or fundraising purposes. The University will assess a royalty rate of 12% to any merchandise purchased with the intent for resale or fundraising.

The University Licensing Brand Manager reserves the right to determine the appropriate royalty rate for a proposed design based on its intended use.

Resale Merchandise

Any licensed product produced for resale, fundraising, retail, or external distribution shall be subject to the University’s standard royalty rate of 12%, unless approved in writing by the University Licensing Brand Manager.

This includes any merchandise or product sold by:

1. University departments
2. Registered Student Organizations
3. Athletics programs
4. Campus retail operations
5. Third-party organizations acting on behalf of the University

Approval Authority

The University Licensing Brand Manager shall have final authority for:

1. Determining the appropriate royalty rate.
2. Classification of products
3. Approving or denying requests for special circumstances
4. Grant written exceptions when deemed in the interest of the University
5. Interpretation of this policy and approval of extraordinary circumstances not specifically addressed within.