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In this video tutorial, Matthew guides viewers through creating a licensing agreement using legal templates. He provides a link to legaltemplates.net, directing users to the business forms section. After navigating through the website, he demonstrates how to search for and select the licensing agreement form, specifically for Texas. Matthew explains key components to fill out, including the owner of the intellectual property, the party acquiring the license, the specific intellectual property involved, and the type of license (exclusive or non-exclusive). He also encourages viewers to specify the purpose of the license if desired.