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Subject:Re: Royalties (in lieu of fee) and contract From:JIMCHEVAL -at- AOL -dot- COM Date:Fri, 23 May 1997 18:42:45 -0400
In a message dated 97-05-23 18:10:01 EDT, mkrigsman -at- CPUB -dot- COM (Michael
Krigsman) writes:
<< This might indicate that they have a cash flow problem. In essence, you
are
absorbing some of the business risk that they would otherwise be taking.>>
I KNOW they have cash flow problems (tight budgets, big empty offices, lots
of lonesome looking desks.) But they've paid me straight and steady on my
last project (30 days payable).
<<If you go the royalty route, be sure all the details are carefully
documented in a contract before you begin work. It is important to agree on
issues such as your right to receive periodic product sales reports. >>
I'm lucky here because the previous author seems to have done a lot of the
contract refining for me (this is a revision.)
<< Most important: only offer such terms to people you really trust. >>
With a slight tremble for their tight situation, I do. And I'd agree that's
the bottom line.
By the way, since my only staff job as a TW was with a company that was
forever finding ways to delay paying their bills, I'm generally nervous
working for small companies anyway. (The same company regularly laid people
off before the six-month mark, to avoid what exactly I don't know. But it
made not paying bills even easier - creditors kept dealing with a different
business manager!)
Thanks for the quick and meaty answer.
Jim C.
Los Angeles
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