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In this tutorial, Matthew guides viewers on creating a licensing agreement using legal templates available on the website legaltemplates.net. He instructs to navigate to the "Business Forms" section and find the "Licensing Agreement" template. After selecting Texas as the location, users need to specify the owner of the intellectual property, the licensee acquiring the license, and details about the intellectual property itself. Matthew also asks viewers to choose between an exclusive or non-exclusive license and to outline the purpose of the agreement if desired. Links to the mentioned site are provided in the video description for easy access.