This chapter discusses the various roles that a flavor house may play in the new product development process and how these innovative business models can generate an expeditious “win-win” scenario for both partners. Three business models by which a flavor house interacts with a food company: Standard two funnel, embedded funnel within a funnel and joint funnel. Each approach requires different levels of engagement from both parties. The joint funnel approach tends to require the highest level of engagement, followed by the embedded funnel approach. As the level of collaboration increases, the level and value of proprietary information sharing increases, thereby necessitating the appropriate legal agreements i.e., Confidential Disclosure Agreement (CDA), Mutual Confidential Disclosure Agreement (MCDA), Material Transfer Agreement (MTA), and Joint Development Agreement (JDA). The collaborative skill set of the parties are able to address the development challenges through teamwork and therefore share the benefits derived from the business partnership.