IPA - THE BUSINESS OF BUSINESS


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THE BUSINESS OF BUSINESS

by Brad Holland

Q: When I get an assignment, how do I go about pricing my work?
A: Remember that you're only selling reproduction rights. Think of your
pictures as songs. A songwriter doesn't have to write a new song every
time he sells an old one. Why? Because he is only selling specific
rights to that song (for a car commercial or a radio jingle). The idea
is to keep the exclusive rights to your pictures and sell only limited
rights for specific usages to clients. It sounds complicated, but it
isn't.

Q: When I get an assignment, what should I look for in the contract?
A: It's generally understood that an illustrator is only selling
one-time reproduction rights when doing a picture for a client. The
original artwork and copyright remain the property of the artist. If a
client sends you a contract, you should read it carefully because they
are probably trying to get more than they're paying for.

Q: What can I tell a newspaper or magazine when they ask me to sign an
unfair contract?
A: Remember that contracts are drafted by attorneys and that the art
directors you work with will probably be sympathetic to your concerns.
So the best course to to take a collegial tone. Negotiating contracts is
never pleasant, but with experience you'll gain confidence. Two good
books can aid you here. Both are available from Allworth Press:
Licensing Art & Design By Caryn R. Leland, Esq.
http://www.allworth.com/Catalog/ILL042.htm" class="bodyCopyLink" target="_blank">
http://www.allworth.com/Catalog/ILL042.htm
BUSINESS AND LEGAL FORMS FOR ILLUSTRATORS By Tad Crawford
http://www.allworth.com/Catalog/ILL118.htm" class="bodyCopyLink" target="_blank">
http://www.allworth.com/Catalog/ILL118.htm

Q: When I get an assignment, what steps do I take?
A: In theory, you should complete all the negotiations before you begin
to determine rights, usage, schedule, exclusivity, complexity and
extended rights (including Internet usage). In reality, however, you'll
probably face a short deadline and will have to negotiate these terms
even as you prepare sketches.

Q: How many sketches should I do?
A: The choice is yours. Unless the client requests more, one sketch is
standard. If the project requires more, this should be negotiated
beforehand. Often, "corrections" are requested in the finished art, but
only to the original agreed-upon concept.

Q: What about changes to my final artwork?
A: Original artwork cannot be changed without the creator's approval.
Changes to an illustrator's work must be made by the illustrator, unless
permission is secured from the illustrator.

Q: How should I price my work?
A: Price your work according to how the image is to be used (full-page,
double-page spread, cover, spot, etc), and whether the client wants
one-time rights or more extensive usage.

Q: But how do I know if my price is right?
A: There's no easy answer for this. The good news for beginners is that
most publications have standard usage fees and most art directors will
tell you how much they can pay. A good negotiator may be able to drive
up these standard fees, but you'll have to depend on trial and error to
find out.

Q: Should I use Pricing Guidelines as a tool?
A: For several decades, artists considered Pricing Guidelines a valuable
resource. Only lately have many realized that publishing these fees for
art directors and publishers to see may have been a serious mistake.
Many clients and art directors believe the prices quoted in these tables
establish maximum fees and build these fees into their budgets. In fact,
the Pricing Guidelines are nothing more than a survey of what current
prices are. It should be obvious that if you base future fees on a
statistical average of what current prices are, you’ll preserve the
status quo. Many artists now believe these guidelines are one of the
reasons that illustration fees have stagnated for 30 years.

Q: Should I copyright my work?
A: If you're a freelancer, your work is automatically copyrighted the
moment you do it. This protects it for your lifetime plus 70 years. You
don't have to sell your copyright to a client, although, for enough
money, you may choose to do so. If you work as an employee of a studio
or agency, your employer probably owns the copyright to the work you do.
It's important to remember this distinction.

Q: Should I register my copyrights?
A: To be eligible for your full copyright protections, you must register
your work with the Copyright Office. The procedure is simple and
inexpensive. It is explained clearly at:
http://www.illustratorspartnership.org/06_resources/index.html" class="bodyCopyLink" target="_blank">
http://www.illustratorspartnership.org/06_resources/index.html
The necessary forms are available for downloading there.

Q: Who owns my original art?
A: You do. Your client only licenses designated usage.

Q: What does "usage" mean?
A: A client pays you for the right to use your art in a certain manner.
Traditionally, a publisher buys "first-time publication rights" only.
That gives them the right to use the art only in their publication and
only for one-time usage. You automatically retain all "secondary rights"
and the client must negotiate separately for these.

Q: What are “secondary rights?”
A: Secondary rights are all rights except those licensed to the client
who commissioned the work. While you are legally entitled to license
secondary rights to other publications, good business sense will tell
you not to license an illustration soon after its first publication, or
to a competitor of the original client.