Using the wrong software license — or misunderstanding what a license permits — can expose your business to legal liability. This guide explains the most common software license types, what they permit, and the key risks to watch for. Click any license to expand details.
| License Type | Commercial Use? | Modify? | Distribute? | Must Open-Source? |
|---|---|---|---|---|
| MIT / BSD / Apache 2.0 | ✅ Yes | ✅ Yes | ✅ Yes | ❌ No |
| GPL v2/v3 | ✅ Yes | ✅ Yes | ✅ Yes (with conditions) | ✅ Yes — copyleft applies |
| LGPL | ✅ Yes | ✅ Yes (library) | ✅ With conditions | ⚠ Only library changes |
| AGPL | ✅ Yes | ✅ Yes | ✅ With conditions | ✅ Even network use triggers |
| Proprietary / Commercial | Depends on license | ❌ Usually no | ❌ Usually no | N/A — closed source |
| SaaS / Subscription | ⚠ Licensed only | ❌ No | ❌ No | N/A — software as service |
| Creative Commons (CC0) | ✅ Yes (public domain) | ✅ Yes | ✅ Yes | ❌ No |
| Source Available / BSL | ⚠ Restricted commercial | ⚠ Limited | ⚠ Limited | Depends on license version |