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Anyone done this? What's involved and what's the stuff I should know?

I'm interested in purchasing one to make crocheted wraps. But I don't know if there's background info I should know. It seems like it's basically purchase one and then have the permission to sell the items. Is that it?
 

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Most cottage licenses for knit/crocheted covers involve purchasing the pattern, then paying an annual licensing fee ranging from $100-$250. The cost is more than simply purchasing one. I found that I was able to recoup my licensing cost within my first stocking, so it's not as outrageous as it first seems. I figure I would have spent a lot more time and money coming up with a pattern of my own and now I have free advertising on my licensor's website.
 
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