The four sections described above provide only a brief overview of what you can expect from a standard software license agreement. There are a few key clauses that you want to include to make sure you are well protected, no matter what may happen in the future. While it`s hard to predict anything that can happen, you can take the time to make sure you protect yourself as much as possible by including these essential clauses. As a software developer, you`ve probably spent a lot of time and money developing the software you want to concede. You`re probably also counting on you to generate some income. If you think about all these efforts, you will want to make sure that there is a way to protect them. This is where a software licensing agreement comes in. These are the top five reasons why you should have a software license agreement: To put it simply, a software license agreement is an agreement between your company and your customers for the use of the software over which you have the rights. It allows your customers to use your software and provide accurate details on how they can use it. The software license agreement describes in detail where customers can install it, how and how often it can be installed. In addition, it should answer any questions your customers may have about their ability to copy, modify or redistribute it. The prices and royalties of the software can also be detailed in this agreement.