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In the traditional
publisher-author relationship the author royalty arrangement would
work something like the following.
1) Publisher signs
author to an optional 3 book contract. They forward the author an
"advance" on royalties ranging between $1,000 to $5,000. These days,
for first or second time published authors, the "advance" tends to be
on the lower side of that range. The advance on royalties is usually
against 5-12 points on book sales revenues. Newer publishers typically
earn 6-8 points. That means if a book sells for $49.95, and the
publisher's wholesale -traditional 55% off the retail price
price is
$22.47, an author earning 6 points gets 6% of $22.47 for each book
sold. That would be roughly $1.37 per book.
So, with an advance
of $1,000, the other would get no additional royalties until the
publisher had sold more than 730 books and with an advance of $5,000,
the other would get no additional royalties until the publisher had
sold more than 3650 books.
2) Publisher
releases the first artist book. Publisher prints the utter minimum
quantity they can, which is usually 5,000 books printed through a
traditional printer. If the publisher can't sell at least 3,000 of
those books, they won't use their contract option to have the author
published the second book. The author doesn't get
the complete the series, doesn't see any royalties above the initial
advance, and has a very tough time ever landing another contract with
another of the major publishers. |
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WoA Publishing can turn a profit selling only a fraction as many books. We
can do this because we own our own printing presses and this allows us to
print just 1,000 book copies.
In order for
this model to work we offer zero advance payment on royalties. We also
offer no royalties on the first 350 books sold for each 1,000 book
produced. This is because once we've sold just 350 book copies the company
should have effectively "broke even" on the production of 1,000 book
copies of those sold to date.
After 350
copies of a book have been sold, WoA Publishing will pay out
royalties on each book sold. The amount of royalties paid per book will
depend on a number of factors. The first of those will be page count of
the book and the retail price. Smaller books command less of a retail
price - typically $29.95, while large books can command higher price
points -$79.95, but can be more. Also influencing the royalties paid, per
contract with the author, is the past sales performance of other books
they have published with WoA Publishing. Strong selling authors may be
rewarded a premium on top of our standard book size royalty base.
Standard royalties base on book size are listed below:
66 page
book = $1.38 per book sold. Retail $49.95
100 page book = $1.62 per book sold. Retail
$59.95
132 page book = $1.89 per book sold. Retail
$69.95
200 page book = $2.16 per book sold. Retail
$79.95
In addition
to the royalties listed above, we double royalty payments for books we
sell direct to the consumer over the Internet. So, if your book sells
through the first 1,000 copies we print, assuming it was a 66 page book,
then your base royalties would be $1380. If a third of those are sold
online, then there would be a bonus of $460. So, a total of $1840 per
1,000 books sold.
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