🛡️ RISK BADGE: 🟢 LOW (Permissive)
Executive Summary: What is it?
The BSD 3-Clause License (also known as "New BSD" or "Modified BSD") is a permissive free software license. It is very similar to the MIT License, allowing you to use, modify, and distribute the software for any purpose. The key difference is an added clause that prohibits using the names of the original contributors to endorse or promote your derivative products without written permission.
CFO / Business Impact: What does it cost/risk?
Zero Contamination Risk. Like MIT and Apache 2.0, this is business-friendly. You can incorporate BSD-3 licensed code into proprietary software, SaaS platforms, or internal tools without any obligation to share your source code or pay royalties.
Technical Reality: How does it work?
"Do what you want, but don't use my name to sell your product."
- Redistribution: You must retain the copyright notice, list of conditions, and disclaimer.
- No Endorsement: You cannot say "Powered by [Project Name]" in a way that implies they support your product unless they agree.
- No Warranty: As is standard, the authors provide the code "as is" with no liability.