Chip MacGregor .com

More on how to make money with your writing...

Continuing the thoughts about making a living at writing...

4. The most overlooked area of writing is still the ‘zine market. Especially special market magazines -- and there is basically a magazine or e-zine about anything you'd ever want to study. I still do some writing for The Linking Ring (the magazine for the International Brotherhood of Magicians), and have done work for numerous other magazines, e-zines, and newsletters. But don't start sending things indiscriminately. Check out a copy of the magazine at Barnes and Noble, then go to the mag's website and you'll find directions on how to submit, how many words, required focus, etc. 

There are two keys to success in writing for 'zines: (a) Know the magazine so that you understand the readership, focus, and editorial tone; and (b) Know the editor to approach, and how to approach him or her. If you're not familiar with the 'zine, spend some time getting to know the tone and approach they use, so you can shape your writing to best fit their expectations. Remember that magazine editors are like everybody else -- if they like your work and find you easy to deal with, they'll soon be using you on a regular basis. 

5. You might be able to go to your local newspaper and try to get a column. Or go in and suggest a focus for a column, like "gardening" or "farm life" or "parenting" or "travel." Make it unique, think it through, and give the editor a reason to say yes to the idea. Many book writers I've worked with over the years have found a regular column in a newspaper is helpful because it helps get them writing regularly, and helps them build a readership. 

6. Keep in mind that every piece of ephemeral or periodical literature is a monster that must be fed. All of us who started in magazines or newspapers know the pressure that comes from someone saying, "We're going to press this afternoon." It isn't like writing books, where you have months to work on it, then can still turn something in a few days late without major consequences. On magazines and newspapers, you write your piece, you get it done, and you turn it in. If you can't work on a deadline, don't try this.

7. And that leads me to one last comment: THIS IS HARD WORK. I find most writers are in love with the idea of writing a book and seeing their name in print on the cover, but some are not all that interested in working hard. (Sorry -- not trying to offend the hard-working writers out there. I'm sure you're both very nice people.) Writing for a magazine doesn't allow you the luxury of staring out the window for an hour while you think of the perfect lead. There's no extension while you polish grammar, and no waiting on production so you can get the conclusion just right. It's words by the clock, and you train yourself to bang out words in order to meet the deadline. It's also great training -- I suppose I still most appreciate the writers I know who have a jounalism background, since they know what it's like to sit at a desk, one eye on their computer screen, the other on a clock, banging out the best words they can in order to fill the page.

So there are a handful of ideas to help you generate some income at writing. What is it that has worked for you?

 

How can I make money with my writing?

Pam wrote to ask, “Can you say more about the whole freelance writing concept? I’m looking for practical ideas to help me make a living.”

A couple thoughts from a guy who would basically write for anybody, so long as they paid me...

1. If you live near a major city, check and see what organizations are located near you. Most nonprofit organizations have a magazine, newsletter, or web site, and they all need content. Check them out, find out what sort of articles, interviews, and sidebars they use, then offer them some material. I sold hundreds of things to companies and nonprofit organizations when I was free-lancing. Nonprofits have to stay in touch with donors, and that means somebody has to write their copy for them. (They also need report writers, researchers, and grant writers, if you want to check into those opportunities.) 

2. Drive down any of your streets, and you'll see businesses on both sides. Nearly every one of those businesses have a website, and they all need content. That's how the internet has changed business -- every mom-and-pop shop now has the opportunity to hawk its wares worldwide via the web. And think about the changes in websites over the past few years. You used to see something that resembled a highway billboard -- a business name, phone, address, and slogan ["Don's Plumbing of Portland -- Great Service, Low Rates. Call Today -- 555-1234"].

Now if you go to that site, you'll find an introduction to the business, a history of the company, a bio of each employee (complete with photos), a self-help section to fix your own plumbing problems, a link to order specialized plumbing parts, a section on the history of indoor plumbing, and an ask-the-expert compendium. And, of course, somebody has to write all that stuff. Most businesses do it themselves (until they figure out what's they've written is awful, since they are plumbers and not writers), then they go to a PR firm to create copy for them. This is why I've been saying to people at conferences there have never been more writing jobs than there are right now -- ask anyone in the industry, and they'll tell you there is a huge need for creators of content. And, if you really check in to it, you'll find they don't teach writing in schools as much as they used to, so this need has arisen at the very time when there are fewer people who can put together a string of coherent, interesting paragraphs. If you can learn to create good marketing copy, you can make some extra money. OR you can specialize in editing other people's web copy, since it all needs another set of eyes on it. (I have a friend who has made a steady part-time living doing "editing checks" of company websites.) This may not be exactly the type of writing you want to be doing, but it's a great way to generate income while you're working on that thriller novel you've got going.

3. If you are friends with academics, think through which professors have popular classes that you could turn into books for them. Frequently a popular seminar speaker will have great content, but will struggle with moving his or her ideas into print.  This is how I got started in the freelance writing business -- I introduced myself to a couple profs who had great seminars, but wrote like academics. I simply turned each section into a chapter, and in the end, they had a book.

By the way, if you know any motivational speakers, or if you live near a mega-church with a well-known, charismatic pastor (um..."charismatic" in the classic sense of the word) who creates and sells downloadable or CD sermon series, go in and offer to turn those speeches into book chapters, You can also create study guides to go along with the series. I made great money doing this, thanks to a writing friend who introduced me to some people who were creating these types of projects. 

There are opportunities with both digital and print writing. For all the talk about publishing being dead, the fact is more people read now than ever before. That means there are plenty of avenues for making freelance writing money. 

 

How do you set up your writing business?

Chantrelle asked, “How do you set up your writing business? What are the benefits to treating your writing business as a ‘real job’ by setting it up in a professional manner? And what did you do to make that happen?” 

Let me offer a handful of thoughts for you...

1. Find a place. Make this your writing place and designate it as your office. 

2. Make that your official home office, then read up on what the IRS will allow you as a tax deduction.

3. Establish a writing time. For most authors, that's simply "morning." Protect a time each day when you can do some actual writing and not just checking email, answering letters, meeting people for coffee, etc. When I started, I set aside 6 to 8 every morning. (I had young kids. Later that would not have worked. I hate mornings.) Tom Wolfe starts writing at 9 and stops at noon. Find a time that works, in which you'll just WRITE.

4. Create a filing system. ("Alphabetical by title or author" works well. Don't rely on the "Eureka!" system.)

5. Set up a bank account that is just for your writing business. Sign up for PayPal.

6. Set up your address list. Keep emails and phone numbers handy... and if you want to move into the bold new world of, say, 1996, invest in a phone that will keep those handy.

7. Create a calendar. Not just for your day, but for the big projects you've got. It'll help you figure out what you're writing when. It'll also remind you that you've got to take Fiona to the orthodontist.

8. Group similar activities. Do all your mail at one time. Group your phone calls back to back so you get through them more quickly. Ditto email, if that were possible. Things that are "occasional but regular" should be scheduled -- for example, I look at submissions every Friday morning.

9. Create a budget. How much do you expect to make this year? How much do you expect to spend? (Having more of the former makes for a better business, by the way.)

10. Create a to-do list. Every day. Work through it. On Friday (or every other Friday) start at the bottom and work up – that’ll prevent you from never doing the one task you hate.

11. Create a contact list. Capture names and email addresses, so you can stay in touch with the people in the industry who matter. 

12. Invest in a separate business phone line or business cell phone.

13. Invest in a website and business cards.

14. Make sure you've got quality high-speed internet. (Duh.)

15. Invest in the help you need – training or people or space or tools.

16. Invest in a great computer and the software you'll need.

17. Invest is a good printer, preferably with a scanner.

18. Invest in yourself -- take a class, attend a conference, join a support group, get therapy, whatever it is you need to grow.

19. Learn to keep good records. If you need a class on it, take one. (There are even personal organization trainers who will help you get organized.)

20. Learn about taxes – so that you track income and expenses, and learn to maximize information.

And the BEST advice? Write regularly. If you don't do that, you won't make a living at this.

That help?

 

Want to have a million seller?

In this business, you often see the term "million seller" bandied about. "This book is going to sell a million copies!" is a phrase I've had thrown at me dozens of times at conferences and conventions. In my view, people who talk about million sellers tend to over-promise and under-deliver. The numbers on 2011 book sales are in, and...well, nothing gives clarity to promises like some hard numbers.

How many hardcover novels released last year hit the million mark? One–John Grisham's THE LITIGATORS. (Stephen King's 11/23/63 fell just short.)

How many hardcover nonfiction books released last year sold a million copies?  Two–Laura Hillenbrand's UNBROKEN, and Walter Isaacson's STEVE JOBS. (Bill O'Reilly's KILLING LINCOLN just missed, selling more than 990,000 copies.)

How many new trade paper releases last year sold a million copies? Three–Todd Burpo's HEAVEN IS FOR REAL (the biggest selling book of the year, at just under 5 million copies), Kathryn Stockett's THE HELP, and Steig Larson's THE GIRL WITH THE DRAGON TATTOO. 

How many YA and children's books hit the million mark? Four, and every one of them was part of a series: Jeff Kenney's DIARY OF A WIMPY KID #6, Christopher Paolini's INHERITANCE #4, Rick Riordan's HEROES OF OLYMPUS #3, and his KANE CHRONICLES #2.

How many mass market releases in 2011 sold a million copies? Five, and three of them were from the same author. The list includes Grisham's THE CONFESSION, Nora Roberts' THE SEARCH, and three from George R.R. Martin: A FEAST FOR CROWNS, A GAME OF THRONES, and A CLASH OF KINGS.

And a new category, how many newly-released ebooks sold a million copies in 2011? The answer will undoubtedly surprise you–one. Kathryn Stockett's THE HELP.(HEAVEN IS FOR REAL just missed hitting the mark.)

The numbers for backlist books are pretty skinny–only three backlist titles sold a million copies, and all three were from the same author. Suzanne Collins' CATCHING FIRE and MOCKING JAY hit the million mark in print sales, and HUNGER GAMES sold a million ebooks. 

And that's the full list. Interesting to note that last year there were no backlist trade paper books; the highest was BREAKING DAWN, which sold 750,000. So a total of 19 books sold a million copies in 2011. Let's put this in perspective...

There were a few more than 250,000 NEW titles released in 2011, and of that group, 16 sold a million copies. There were approximately three million books for sale in the US last year (that number is much in dispute, and some would put it closer to four million), and a total of 19 of them sold a million copies. (Okay, time for the disclaimer: These figures are being pulled from Publishers Weekly, the bible for those of us who work in the industry, but a publication that relies on publishers and retailers for their figures. So could some author have sold a million ebooks from his or her website and not made the list? Sure. But when you look at these numbers, it makes you wary of the inflated claims some authors have about their personal ebook sales.)

One of the most interesting details that arises from looking over the full sales reports, which can be found in the March 19 edition of Publishers Weekly, is that the vast majority of bestselling authors have been there before. Of the thirty top-selling novelists from across all publishers last year, only two names show up on the list that weren't there in previous years. So the same old names (Patterson, Roberts, Sparks, etc.) are what are paying the bills for publishers. This is a business that keeps going back to what works (and WHO works) in order to make money.

What's the lesson for the writer? Um...before you decide that writing books is going to lead you to fame and fortune, you may want to peruse the bestseller lists. A little dose of reality can be a good thing. 

 

When is a writer ready to go full time?

Emily wants to know, “As a writer, when are you ready to go full time?"

This is a favorite question of mine, since I routinely see wannabe authors get a book contract, quit their jobs, then wonder why that lousy agent of theirs can't help them survive financially.

I have three rules of thumb for authors who want to go full time:

1. You need to have four-to-six books earning you a royalty;

2. You need to have 18 months to 2 years of book contracts;

3. You need to have a plan in place. (That plan will include a budget, a writing calendar, an accountability partner or writing support group, a writing space, adequate equipment, and most likely a therapist, since you're probably delusional to consider the idea anyway.)

Let's look at reality for a minute -- let's say you just got a decent two-book deal. The publisher is paying you, say, $10,000 per book on an advance, so the total deal is for $20,000. You get a third of that on signing ($6666 -- but if you're an evangelical, don't take that as a sign of the apocalypse, okay?). You need to be able to live on that for the next few months while you write your book. If you can write it in three months (relatively fast for most novelists), you've had to live on $2200 per month. Pretty thin stuff. If it takes you six months to do a novel, you're having to make do on a thousand bucks a month. You see where I'm going with this?

Once the publisher approves your manuscript (which can sometimes take a few months), they'll send you your completion check for that book -- another $6666, payable thirty days after they request the check. You've now made a whopping $13k, you're months into the process, and you just used up all your good ideas on your first book. So it's on to book two!

Many novelists take eight months to write a book. But at that rate, even a healthy $16,000 advance (which is pretty good for any novelist) means you're getting by on $2000 a month. AND if you take that part-time job to make ends meet, you now find you have LESS time to work on your novel, so it takes you a year to complete. You don't want to hurry it up, since then you won't write as good of a novel, and writing a lousy book is sure to kill your career.

This is why I'm always reminding authors how tough it is to make a living at writing. You need to have books that are already out there earning you money, so that you know you've got some income from projects you are no longer working on. (Without this, you're simply trading your time for income.) You also need to have contracts in hand that will earn you MORE money -- and that money is easy to track, since you know when and how much you'll be paid. AND you need a plan for how you're going to move forward. 

Let's be honest: the first rule of writing is "don't quit your day job." Stop acting like writing full time is some sort of God-given right. If you had chosen painting or sculpture or singing or dancing or any other art, you'd probably be facing even longer odds at making a living at your craft. The fact is, MOST artists struggle financially. That's why most writers have some other source of income. Either they work full time, or they work part time, or they have a job related to the industry (freelance editor, reporter, book salesperson, counterfeiter), or they are married to somebody who has a real job that pays the bills. Don't lose sight of the fact that it takes most people years to get to the place where they are writing full time... IF they ever get there.

It's easy to hang out at a writing conference and assume that "everbody else in writing is making a living at this except me." Not true. Many of these folks are doing something to pay the bills. (For example, Steve Laube serves as a "double" for Shaquille O'Neil whenever he's in Phoenix. Sandra Bishop is the Queen of Roller Derby. Janet Grant is soon going to be taking over the judge's role on "The People's Court." And, of course, I'm a model for Speedo.) I'm really not trying to dissuade you, just trying to help you gain a realistic picture of what it takes to make a living in this business. 

 

How does my book get selected by a publisher?

Cheryl wrote to ask, "What is the process of getting your proposal selected by a publishing house?"

Think of a publishing house as being an actual building. Your proposal probably isn't walking in the front door. More than likely it's sliding into the building by way of a window known as an acquisitions editor (often an acquaintance of your agent, sometimes a person you met at a conference, or maybe a guy who lost a bet). He or she will read through it, make some suggestions, talk it over with your agent, and eventually make a decision on whether or not they think it's worth pursuing.

Most publishers are relying on agents to do the initial filtering of junk, so the slush pile has sort of moved from the publishing house to the agent's office...which means you're going to have to sell it to an agent first, therefore adding one more step to this process.

Once it's in the building, if the acquisitions editor likes it he or she will take it to some sort of editorial committee, where they sit around grousing about their pay and making editorial jokes. ("I'm having a DICKENS of a time with this one!" "Yeah, let's catch a TWAIN out of town!" Editorial types love this sort of humor. That's why they're editors and not writers.) Eventually they'll run out of bad puns and be forced to discuss the merits of your proposal. If it's a non-fiction book, is it unique? Does it answer a question people are asking? Is there a perceived market for it? Does the writing feel fresh and offer genuine solutions to the question that's posed? If it's a novel, does the story have a clear hook? Is there a well-defined audience for it? Does it feel new, or as though it's a story that's been told a million times? (The fact is, it probably HAS been told a million times. There are only so many stories. The question is really if the author can make it feel as though he or she has a fresh take on the story.) If the whole package passes muster, it moves to the next step...

The Publishing Committee, which is a group generally made up of folks from editorial, marketing, sales, accounting, and administration. They'll meet somewhere between once a  week to once a month, and they'll have an agenda of books to talk through each time, with the various representatives offering their own perspectives -- the editors will talk about the merits of the words; the accountants will figure out the costs and potential dollars in play; the sales guys will begin discussing who they can sell copies to; and the marketing people will sit around trying to think of how to cover their sorry hind ends. They'll talk about the market for the book, if it fits with the rest of the books on their list, the author's platform, what it would cost to print the book, what the marketing costs would be, and how many sales they think they could generate. This is the group that will explore the feasibility of doing your book. They may send it back to the acquisitions editor to do some work.

At that point, the editor has to run a Profit & Loss sheet or pro forma, in which they'll take wild surmises as to how many copies they can expect to sell in the first year, what the hard costs of ink/paper/binding will be, how much money they'll have to throw at the money-grubbing author, who, if she really loved words, would write her damn books for free, since we all know the publishers are only in it for the joy of reading and to serve humanity. The editor will take all this information back to the publishing committee, who by now has had all sorts of time to think up new reasons why they shouldn't do the book. They'll talk about it again, this time with hard numbers attached. Eventually the pub board will be forced to make an actual decision, so they'll probably throw the Urim and Thummim, maybe pull out an Ouija board, and make a decision.

I've heard people say there are a series of "sales" to get to this point. The author sells the agent. The agent sells the editor. The editor sells the editorial team. The editorial team sells the pub board. Once they make a decision to actually contract the book, they have to negotiate a deal, then put it on a list and make it part of the process -- because the sales guys are going to have to sell it to retail accounts, who will attempt to sell it to the reading public. It's a lot of work. And all of that points to one thing: It's tough to get published. Each step along the way is an investment, so even the books they say "no" to have had dollars spent on them.

A publishing house has all those filters in place so that they can do the easy thing and say "no" to you. (Really.) The purpose of the process is to say "no" to most everything. Therefore create proposals they can't say "no" to. Yes, that's easier said than done, and we're going to start talking about creating great proposals in the next few weeks, but that's the basic mindset -- work on your proposal so that it piques their interest, provides a clear hook, and answers any objections. If you do that, your proposal is much more apt to be selected by a publishing house. 

 

Once I sign a contract, when do I get paid?

Don wrote and said to me, “In light of your recent posts on contracts, I’m not clear as to when I should get paid. I’ve signed a contract with a medium-sized publishing house, but I don’t know when my advance and royalties are actually paid out. Can you help?”

This isn’t all that uncommon. One of the things I've noticed about many of the writers I've met with over the past twenty years at writer's conferences is that they often aren't clear WHEN they are paid. For the record, most contracts I negotiate are paid half-n-half -- that is, half the advance is paid within 30 days of signing the contract, and the other half is paid upon completion of the writing assignment. However, many of the New York publishers now pay in thirds, with the last third being sent upon publication of the manuscript. (That's actually becoming more popular with publishers, since it spreads out the risk a bit.) And a couple years ago Random House started the truly awful practice of paying in quarters – a quarter on signing, a quarter on completion, a quarter on publication, and (my reason for saying it’s awful) the last quarter is due a year after the book releases. (Rumor has it they wanted to break it up into fifths, and pay the last portion to the author's estate, with the check to be delivered at the funeral.) Don't get me wrong -- Random House is a good company. I just think this is a policy created by non-book people without enough appreciation for the authors involved who are trying to make a living. I'm waiting to hear about the two-million-dollar book that tanks at RH, and what the leadership will say when they have to cut a $500,000 check for a book that has already lost a ton of money. Oy.

Anyway, there are a number of variations to this picture. I once did a contract that was paid in sixths. (Signing, creation of an extended outline, the rough draft, the completed draft, publication, and...um...I forget the last one. The publisher's birthday or something. I don’t remember exactly, but it was pretty stupid). The POINT is that with all the time it takes to create a manuscript, a writer wants to get as much money as possible, as soon as possible. That's why agents fight having any monies paid after publication.

Think of it this way: If a publisher makes you an offer in June 2012, you may not see a contract until September 2012. It takes you six months writing the book, so you turn it in by December 2012. They take a year to produce it, and finally get copies on bookstore shelves in January 2014. You're now into it more than a year-and-a-half and the only money you've seen is the advance. If your settlement date (that is, the date on which the accountants tote up your sales) is June 30, you're waiting a long time to have them add up the figures. THEN they've got 90 days before they have to send a check, and you can bet the publisher is going to take every day allowed before they pay you (as would I, if it were me cutting the check -- it's a business, and you use the system under which you're working). So if the contract says you'll get a check within 90 days, they won't be sending it until the 89th day. Which means your first royalty check will come in September or October of 2014... and that's only if the book earns out quickly. If not, it'll be six months after THAT until you see any additional income. Just so we're clear, that means that great book contract you signed in June of 2012, and completed later that year often won't actually put any more money into your pocket until spring of 2014. 

AND if the publisher tried to talk you into doing a cheap, no-advance deal because "you'll get the money on the back end," that means you have to wait until the book has been out there for months before you see ANY money at all. And no, your publisher, who has been selling your books and collecting your money, doesn't plan to pay you any interest on that amount.

NOW do you see why agents have a tendency to clamour for advance dollars?

Listen, I'm not complaining. It may sound like it, but I'm not -- I've been agenting for years, I understand how the system works, and you won't find me whining at the door of a publisher because they're using the system that's in place. But this waiting on income? It's why agents are willing to fight for an advance. This is a business, I'm the guy looking out for my client's interests, and doing a lot of work for nothing is pretty hard to defend. Authors need to get paid. And Don (getting back to your question), you need to talk over the numbers in your contract with your agent, so you'll know exactly when you can expect to see the money. 

 

Why do I need to understand contracts?

In response to the last couple of posts, I've had several people write and say, "Book contracts seem a bit overwhelming. Why do I need to understand them?"

A book contract is a legal document, meaning that the words on the page will govern everything regarding your book for as long as it is in print. You wouldn't sign an agreement for a car or a house without reading it carefully and knowing what you're reading, so why do that with a book? 

There are some ways to help make the task a bit easier: 

1) You can sign on with a good agent. They ought to know more about contracts than you. (That said, one gentle warning: Ask questions. My experience is that some agents seem to know about contracts the way I know about auto mechanics. I mean, I know that a car has what's called an engine, and it's helpful if the engine works. Beyond that, I'm fairly lost... though I understand gas and oil are helpful ingredients, occasionally). You might want to ask any prospective agent some questions: Who have you done contracts with? How many have you done in the past year? What do you think is important in a contract? Where did you get your training? etc. A good, experienced literary agent ought to be able to help you understand and evaluate your book contract. 

2) You could take your contract to a lawyer. They will either charge you a flat fee to review it, or charge you by the hour to pick it apart. A good lawyer can help dig into all the words and numbers, and figure out how to help revise them. My advice is to be very careful that you're working with a lawyer who knows something about publishing law and (hopefully) intellectual property rights. Your average lawyer who is doing mortgage closings and setting up grandma's will won't be that helpful. You want someone experienced, who knows how to read a publishing contract. They'll usually charge by the increment (and my experience is that they'll try to keep the clock moving, so put a cap on the time.) A good lawyer may charge more than the 15% commission you'd pay to an agent, so make sure you get what you're paying for. 

3) You might take your contract to a contract evaluation service. Several people run these, including Sally Stuart and Susan Titus Osborne. I've seen the work both these folks do, and I thought they'd done a good analysis of the contracts they evaluated. For a couple hundred bucks, you get back a knowledgable response on the big-picture stuff that will give you some context and allow you to go back and negotiate a better deal for yourself. They won't do the negotiating for you, but they'll certainly get you on the right track by telling you what to expect and what common industry standards are.

 

What's reasonable to ask for in a book contract? (continued)

Further thoughts on what is reasonable to seek in a book contract...

6. Beware the kill clause -- this is something I think is often unreasonable. In some publisher's contracts, you'll find they have inserted wording that says, "This is the deal...but if we change our minds, you have to pay us all the money back." I find that totally unreasonable. A deal's a deal -- it's why we're signing the papers. Sure, if you can't hold up your end of the bargain by writing a book and meeting a deadline, they should be able to cancel. But if they can get out of it at any time, for no reason, with no repurcussions, we don't really have a "contract;" we have "a sort of gentleman's agreement thingy." Ask to have that deleted.

7. Make sure the copyright is in the author's name, not the publisher's. That's always reasonable.

8. It's reasonable to contract that the book be produced within 24 months or so of turning in the manuscript. Anything beyond that and you start getting into unreasonable territory. Having no time limit is certainly unreasonable, unless it's a work for hire. I know of an author who turned in a completed work more than three years ago, and the book has never released... but the contract didn't give a publishing window, so it's still considered "in process." Ugh. 

9. It's reasonable to get paid as often as possible. Some contracts stipulate that you'll be paid once a year. Most pay twice a year -- some quarterly. Ask to be paid at least twice a year. And a related issue: Get as much of the advance up front. I just saw a contract that wanted to pay in eighths (1/8 on signing, 1/8 on completion, 1/8 on turning in the marketing info, 1/8 on showing up in a clean shirt, etc).

10. Clarify your option clause. It might be reasonable to discuss giving your current publisher a first look, and you might even have reason to negotiate a full option with them. But read it carefully and know what you're getting into. In days of yore, one publishing company used to have a clause that granted a two-book option for every book you contracted with them...so the more books you did, the more you owed them! (It's not like that any more -- that company has a pretty good contract these days. But know what you're signing.)

Again, a negotiation is not a win/lost proposition. Much of what you see in a contract is there to protect both the author and publisher. But knowing what you're facing is the best way to make sure the contract wording is reasonable. My former boss, Rick Christian, is the founder of Alive Communications and the first literary agent to specialize in the Christian market. Rick is a good guy, very knowledgeable, and the man who taught me most of what I know. He used to keep a plaque on his desk with an inspiring quote from Siegfried Unself that read, "One of the signs of Napolean's greatness is the fact that he once had a publisher shot." 

Okay, maybe it's not THAT inspiring, but it's something to consider the next time you're looking at a really bad contract... 

 

What's reasonable to ask for in a book contract?

I had someone write and ask this: "What is reasonable and what is unreasonable to see in a publishing contract with a small-to-medium-sized house? I ask because I've just been offered a book contract that has this horrendous non-compete clause. The publisher is basically saying I can't do ANY OTHER BOOK until this book goes out of print. Can you give me some perspective? Also, is it reasonable for me to ask for more free books? And what should I ask for in terms of books and discounts?"

I love talking book contracts, so let me wander through several contractual ideas...

1. It's perfectly reasonable for a publisher to have a protected selling season on the book they are doing with you. (That doesn't mean you have to agree to it, but it's certainly a reasonable request.) Producing a book is a huge investment, and your publisher should have the ability to sell your book without fear that you'll soon do a similar book with someone else. It's also reasonable for them to say "you won't do a book that directly compete with this book." However, it is NOT reasonable to ask a writer to not ever write anything else on the topic, especially if you speak and write in a particular area (such as "parenting" or "healthy lifestyles" or "Amish vampires"). Negotiate a fair non-compete that protects the publisher, but also allows you to write to your audience.

2. A second idea that's reasonable: Lots of people talk about getting "more free books," but I think it's unreasonable to ask a publisher to give you a ton of free books if you're going to turn around and sell them, thereby becoming a competitor with your own publisher. What's reasonable is to ask for free books that you plan to use for marketing purposes, in order to attract interest in your book and help your publisher sell more copies. The fact is, if you're going to SELL your books on your website or at personal appearances, you need to negotiate a fair buy-back and purchase your copies.

3. By the same token, it's unreasonable for a publisher to extract money from authors for their own books. I don't understand why a publisher wants to make money off their own authors by selling them back their own books at a significant profit. So yes, it's perfectly reasonable to ask for a high discount on buy-backs.

4. This one won't be popular, but in my view it's unreasonable to insist that an author sign a document that says you are giving another person the rights to "technology now known or hereinafter invented." In my view, that's a sign of lawyers gone mad. Look, we're doing books. When publishers stop doing books and start doing... um...sneepdawdles, we'll create a new sneepdawdle contract. But for now, we're doing "book" contracts. Can you imagine an inventor selling his idea for a car that runs on water to General Motors, then giving them the authority to use it in any new, future ideas they might come up with? We sign a contract for a certain product, not for anything new that might be created later. I know all the publishers ask for this today, but I find it completely unreasonable. (And my attorney agrees, by the way.) I realize I'm tilting at windmills here -- you're going to see this, and the publishing house is not going to bend. But I keep wondering if it will hold up in court...

5. Look at your royalty payments carefully. Some publishers will insist that royalty payments are cut in half if they sell books above a certain discount (say...55%). I find that a strange argument -- if the discount is higher, aren't we all simply making less money? So why put that on the backs of the writers? They not keep the same structure, and everyone makes less? Of course, what you may not know is that some sales guys will tell accounts, "We can give you 55% off, because we have to pay the author less at that rate, meaning we're actually making more money." Is that fair to do? Well... it's business. The publishers are trying to maximize their income, so I guess they're doing their jobs. Just be aware of what you're agreeing to. (By the way, I also find that most sales guys will deny they ever do that... but they do. I didn't spend my entire life on the agenting side of this business.)

Again, a book contract should not be approached as a win/lost proposition, so not every point on a contract is worth fighting over. But there are certain things you need to educated yourself about, so you can at least negotiate a fair deal. We'll have more on book contracts in the coming days, so if you've got a contract question, send it along.