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In this video, Matthew demonstrates how to create a licensing agreement using legal templates. He directs viewers to legaltemplates.net, where they can find business forms. Viewers are guided to select "View All Business Forms" and scroll to the "Licensing Agreement." After choosing Texas as the location, he discusses filling in details, including the owner of the intellectual property, who is acquiring the license, and the specific intellectual property in question. Matthew explains the difference between exclusive and non-exclusive licenses and emphasizes the option to specify the purpose of the license use. The video aims to simplify the process of drafting a licensing agreement.