It’s your video business. You know what’s best for growth, you know exactly what your audience wants — and you know how to set goals and attain them. You do this by maintaining a level of control that firmly puts your business’s fate in your own hands, because leaving it up to anyone else would be a mistake, right?
Then why would it be okay to let someone else handle when your video business gets paid?
It wouldn’t. You need to have control of your money, how much you’re earning, and the flow of it. That money is yours .
The Payment Schedule Problem
You should be able to access and deposit the money you earn from your content whenever you see fit, but that isn’t the case when you sign up for a revshare agreement.
Companies like VHX write the earnings check for you , AFTER they take their cut. You have to wait for them to give you your money, minus their take. If that feels wrong, imagine how it feels when they change the payment schedule without asking you (as VHX did last week) and because of their broad legal terms it falls right under what you already signed — they don’t have to get you to agree to anything new or give them permission to do it.
And because VHX pays out on the 30th of the month for the previous month’s earnings, you could be forced to wait up to 2 months to receive payment for content transactions:
Just to be clear, according to this recent (above) email, if a new subscriber signs up on November 1, VHX sellers won’t get that money until December 30. Then, the renewal for that subscription would occur on December 1, 2016, meaning the seller will get paid on January 30, 2017.
That’s not fair. That’s like dealing with eBay for your video content. Do you really want to play that low margin game?
What if you have certain deals in place, like licensing for content that relies on a rigid payment schedule, and you’ve been making these deals based on when your revshare overlords originally decided to pay you? What happens when they change when they pay you, without asking? You’re stuck having to explain to your partners that you need to change when they get their money, because you don’t control yours. Having that kind of uncertainty would make it very difficult to truly deliver on promises you set when making deals.
During a revshare agreement you are never in control of your own money, down to when it shows up in your bank. Those in actual control take what they want, when they want it, and give you the scraps when they feel like it.
How It Should Be
Do you think you should get paid the moment your customer pays for your content? We do.
At Zype, it’s video monetization on your terms. You bring your own payment provider and get all of your hard earned money the moment it’s earned. We never, ever touch it, and we certainly don’t take a cut. Everything goes straight into your payment processor and is linked to your bank account for a cash sweep at any time.
Simple. Fair. Powerful. And all in the name of growing your video business the right way.