PandaTip: The royalties portion of this royalty agreement template documents any and all royalties being offered including any lump sum amounts. The cost of such services arises from delineating the skill-mix and 'man'-hours of effort involved (domestic and expatriate personnel) and providing for supervision overhead. The costs of different skills is in the public domain and can be readily estimated. The overhead percentage, however, is a negotiated element. Firms in developing countries often are asked by the supplier of know-how or patent licensing to consider technical service (TS) and technical assistance (TA) as elements of the technology transfer process and to pay "royalty" on them. TS and TA are associated with the IP (intellectual property) transferred – and, sometimes, dependent on its acquisition – but they are, by no means, IP. In some cases, licensors use guarantees as the basis for renewing a licensing agreement. If the licensee meets the minimum sales figures, the contract is renewed; otherwise, the licensor has the option of discontinuing the relationship. In many contracts involving the use of knowhow (and associated IP), 'technical assistance' may be encountered as a part of the contractual process, particularly in developing country contracts. The assistance comprises services which are not in the nature of IP but are needed by the licensee to accomplish its objectives.