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  • Need help calculating license fees for work

    hey guys, i am creating an advertisement that is supposed to run in a newspaper for once a week for about 8 months. can anyone give me an percentage idea of how to charge for licensing the ad? for example, should i charge 5% of the creation cost each week the ad is run? Another option is to try and sell the rights for a limited period of time. but i have no idea what to charge. i am trying to get a little more knowledgeable about my business but i need help. i am in the process of looking for books to help me with these kind of problems.

    any help would be greatly appeciated

  • #2
    Welcome to the GDF Multimedia!

    So..you are charging them for designing the ad..and then you wanna get paid addt'l for each week that they run?

    humm...

    Boobie Island or Bust!
    I blog, you blog, we all blog!

    Comment


    • #3
      Myself, I charge a fee to design the ad, what they do with it and how long they run it is up to them. If there are small changes they want to make to that ad ever, I do charge a very small fee. One ad turns into two, turns into............Exposure is priceless.
      Example:
      Your ad is so good it's running for 8 months, your next client,
      Have you seen the ad I did for ....., they liked it so much they are running it for 8 months. Chaching
      Just like a phone book ad, or billboard, the more they choose isn't the more you make. If it's more work for you to have them run it for 8 months then there should be a fee, but if you make it once and they use it more, I don't see a fee being in the picture, unless it was agreed upon prior.

      Coconut

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      • #4
        hey guys, the reason why i am having a problem is because of licensing. granted that i design the ad for them, however, i have not factored in that every week they will be using MY ad, to earn money while i dont earn anything. I can understand a billboard one time fee. it will always be up so ican charge a flat fee. however, every week my ad will be reproduced and i want to know how to deal with it professionally. from what i have been reading, when you create a piece of art, you own the rights to it. if i was to sell the rights, as a one time fee for partial use, i want to know how to calculate it. IF i dont sell the rights, and i charge a per week fee, how do i calculate that? do you see what i am talking about??

        i dont want to overcharge my client, but i want whats fair. i suspect a fee for partial licensing is the best solution for my client, but i dont know how to charge for licensing. can someone help me with this? i am looking for a percentage type calculation. doesnt have to be accurate, but i need a ballpark estimation to see if my own are approximately correct.

        thanks.

        Comment


        • #5
          I wish I could help you out here with some great advice, but I'm in the same boat as coconut. I design the ad, they pay for the design, and what the end up doing with it is pretty much their own business.

          You've gotta do what you've gotta do.
          "It's never too late to be who you might have been." - George Eliot

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          • #6
            hey morea! i hope that names comes from moria from lord of the rings . i appreciate your reply. i can understand that you just charge your client. this is essentially what i am trying to do. fix a charge for the client INCLUSIVE of usage rights. i develop the ad for use, then i need to license it. i will be talking to a professional in due course. i feel this is something that i need to tailor to my business.

            the things is, when you create work for a client, the rights to the work is yours (unless its work for hire, i am still reading up on this). i dont want the client to use my ad for ANYTHING else except what it was designed for. also, they cant use the ad forever and ever unless u sell your rights. but the whole issue of rights and licensing is to protect me as an artist. i recommend doing some reading on this as it could save you headaches in the future. you need to know your rights .

            peace

            Comment


            • #7
              where is the voice of unc when you need him or err her. Your in a different designing world than I because I wouldn't charge that kind of fee, I am hired for a job if they like it and do something more with it, more koodoes for me, there might be someone on the board that has a different view than myself, but after 10 years of experience that is how it has been for me. If there is some hidden fee that I don't know about that I should be charging, I would surely like to hear about it. Most of my clients have a life long relationship (working with me), and I usually gage what I charge by what they are. I mean if my regular (ok, I'm an ad ho) asked me to do something like that I would give it to them for the regular fee unless it involved photography or photoshoot supervision, but usually if they use you for an ad that will run that long in one publication, chances are good they will use you for other publication. I don't think you want to lower your self by price, but then again it should be something respectable in pay and I do understand what you are saying.
              Unc, we need some pro advise here!!! Like we aren't pro's your talken to...

              Coconut

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              • #8
                P.S. you never know that your ad is making them profit, you just hope and wait and listen.

                Coconut

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                • #9
                  Yeah man, you need to chill on the whole licensing thing, that could be helpful for about a week or two, then its just gonna get crazy. Best words of wisdom I can give is charge a flat rate, graphic design is a SERVICE we are a service related industry, if you were a fine artist i could see wanting rights, hell even maybe photographer....but graphic designer, no, once you sell it to them, its theirs, not yours. just the way the cookie crumbles.


                  A Tribute To Homer S.
                  "Getting out of jury duty is easy. The trick is to say you're prejudiced against all races."

                  "Don't worry. Being eaten by a crocodile is just like going to sleep... in a blender."

                  "Marge, what's wrong? Are you hungry? Sleepy? Gassy? Gassy? Is it gas? It's gas, isn't it?"

                  "Maybe, just once, someone will call me "sir" without adding, "you're making a scene."

                  "Ooh, the internet is on computers now."

                  "Son, when you attend sporting events, it's not whether you win or lose, it's how drunk you get."

                  "To start, press any key. Where's the 'any' key?"

                  "Lisa, if you don't like your job you don't strike. You just go in every day and do it really half-assed. That's the American way."
                  digitalcamwhore
                  ‘Our great industrial nation is controlled by its system of credit. Our system of credit is privately controlled. We have come to be one of the worst ruled, one of the most completely controlled and dominated governments in the civilized world. No government by free opinion, no longer a government by conviction and the vote of the majority, but a government by the opinion and duress of small groups of men.’ - Woodrow Wilson

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                  • #10
                    p.s i charge anything from $25-100 an ad depending on what publication, color, and size. fyi


                    A Tribute To Homer S.
                    "Getting out of jury duty is easy. The trick is to say you're prejudiced against all races."

                    "Don't worry. Being eaten by a crocodile is just like going to sleep... in a blender."

                    "Marge, what's wrong? Are you hungry? Sleepy? Gassy? Gassy? Is it gas? It's gas, isn't it?"

                    "Maybe, just once, someone will call me "sir" without adding, "you're making a scene."

                    "Ooh, the internet is on computers now."

                    "Son, when you attend sporting events, it's not whether you win or lose, it's how drunk you get."

                    "To start, press any key. Where's the 'any' key?"

                    "Lisa, if you don't like your job you don't strike. You just go in every day and do it really half-assed. That's the American way."
                    digitalcamwhore
                    ‘Our great industrial nation is controlled by its system of credit. Our system of credit is privately controlled. We have come to be one of the worst ruled, one of the most completely controlled and dominated governments in the civilized world. No government by free opinion, no longer a government by conviction and the vote of the majority, but a government by the opinion and duress of small groups of men.’ - Woodrow Wilson

                    Comment


                    • #11
                      Yeah, what they said. Charging a liscensing fee for design work is not customary. What about ads that run in magazines. Do you expect the client to pay you everytime a magazine is sold? What if it's an annual. Do you expect to earn risiduals throughout the course of an entire year?

                      When you sell a design for an ad, you're doing just that. SELLING the design. Unless the contract says otherwise, and good luck making that happen, when you sell a design, the client owns it, and the right to use it any which way they please.

                      i don't think you'll find too many designers who will tell you different.

                      P.S. If you do find a way earn liscensing fees on your ad designs . . . fill us in.


                      Support Music and Arts Education | www.dafenix.org | 'You have no chance to win.' | GDF Mac Death Squad, Son

                      Comment


                      • #12
                        P.P.S. Welcome to the forum!


                        Support Music and Arts Education | www.dafenix.org | 'You have no chance to win.' | GDF Mac Death Squad, Son

                        Comment


                        • #13
                          In the design world it's not really MY ad. Someone is paying you to build their ad, their product, their business. Sure you get to use it for your portfolio and all but you can't run that ad for another client, It's not yours it's theirs and they can do what they want with it. Once you send an ad to a newspaper, it is usually then property of the paper and they can change it if they want, or the client asked them to. There isn't anything you can do about it. Have you built ads in the past or is this your first one? You can only copyright something that is yours. If the owner of the ad (the client) wants to copyright it then they can. Now if some of the graphics you are using are from some kind of stock art and you have to pay a licensing fee, then you might add that into the cost. But I have never heard of licensing an ad.

                          Coconut

                          Comment


                          • #14
                            you're along the right lines, Multimedia Artist... Morea (MORE-ay-uh) is the Quenya (Tolkein's elven) translation of my name. (My name means 'dark one', which is very close to the place-name Moria (MORE-ee-uh) which means dark place.) At this point I've actually translated about 100 names into elven.

                            Yup, I've got a lot of time on my hands.
                            Last edited by morea; 06-06-2005, 05:26 PM.
                            "It's never too late to be who you might have been." - George Eliot

                            Comment


                            • #15
                              I'm with DZ. Hummmmm..... never heard of royalties paid on an ad. In fact, it seems rather odd to even consider it.

                              Does anyone have a GAG manual? (Mine is 10 years old).
                              What does it say for licensing this kind of thing? Or how to determine the amount one should charge for selling the rights to a design.

                              Maybe Vickia will come around. She's wise on this stuff too.

                              PrintDriver is a large format digital print dude. His advice/opinions may not apply to the 4color/offset/web world of printing

                              Post Edited (PrintDriver) : 9/26/2004 11:20:59 PM GMT

                              Comment

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