Comments on: Dump The Advance, Watch Authors Everywhere Go Catatonic

By: Booksquare

Booksquare — Sun, 05 Mar 2006 17:09:02 +0000

Susan — I think the problem is that most authors look at the New York publishing model as the number one option. And, in their defense, it is the most money and exposure. So they’re less willing to take a stand (no, I demand a higher royalty for electronic rights or I’m taking my book elsewhere). But if you look at a publisher like Ellora’s Cave, there are authors who are, in romance terms, doing as well or much better than print-published authors. Authors who regain their rights also have greater leverage.

You’re right than an advance isn’t technically a loan (though in rare cases publishers can and have demanded repayment), but rather good-faith prepayments of future royalties. I know it’s hard to defend major corporations, but from your perspective (because ultimately you only get paid based on your book), your publisher advances the royalties and all associated costs. It all works out because there’s a constant stream of revenues coming in-house, but I can see why a publisher wants to hold on to the money as long as possible (even while I believe authors should be fighting tooth and nail for more frequent accountings and more aggressive releasing of reserves — especially Harlequin authors who have shorter shelf lives).

The publishing contracts are not designed to benefit authors — they are designed to benefit publishers. It’s the first thing I learned about contracts. The second thing I learned was they have a lot of words …

By: Joan Kelly

Joan Kelly — Fri, 03 Mar 2006 21:07:23 +0000

That’s how my advance was split up – one third on signature of contract, one third on receipt (by publisher) of manuscript, one third upon publication. Strangely, the first two payments took a while coming through (not even close to being when I actually turned the manuscript in, for instance, which I know is normal), but the third one actually arrived in my mailbox on the very day, February 14th, that my book was officially “released.” (Even though it had actually been out in stores and for sale on Amazon for while before then.)

I’m on board with anyone who wants to put an end to me having to worry about a day job. Viva Susan Gable.

And also, thanks for your reply up there, Booksquare.

By: SusanGable

SusanGable — Fri, 03 Mar 2006 14:37:57 +0000

I don’t know that I see authors as gaining negotiating power. At lot of recent discussion I’ve seen on a list of multi-published genre novelists seems to indicate that publishers are moving BACKWARD in the things “granted” to authors. For example, there’s been a new influx of basket-accounting (where an author with a 2 book contract sees those books tied together – receiving no money on the 2nd book until the first book has paid out the JOINT advance) and that publishers are also moving towards paying the final portion of the advance no longer on “receipt and approval of the ms” but paying the final portion (perhaps a third of the advance) upon publication. Which means that payment (I don’t look at it as a “loan” – it’s a payment. It’s hopefully a partial payment in that the author will earn out and make more.) stays in the publisher’s pocket even longer. (While more writers who had previous at least been eking out a survival living go back to working day jobs because they can’t afford not to anymore.)

By: Booksquare

Booksquare — Fri, 03 Mar 2006 03:31:32 +0000

Alex, I think authors are gaining negotiating power. It’s amazing how much opportunity there is if you’re willing to take a few risks.

Joan, I am not aware of a model that is publicly available (though I haven’t actually looked that hard). That sort of thing, the projections, are generally Trade Secrets. Also generally a really complex spreadsheet done in really tiny fonts. Publishers don’t give out advances with the belief that they’re not going to earn out (see exception: celebrity bio). They do models and projections and Hold Meetings to come up with an advance that will at least approximate a breakeven. Historical precedents come into play, and I believe (don’t quote me on this), the weather matters.

So you don’t have to worry too much. It’s way more fun to stress over writing the second book. I understand that it’s a great way to keep your nails short and ragged.

By: Joan Kelly

Joan Kelly — Thu, 02 Mar 2006 22:30:10 +0000

Are there any business models out there that can help me calculate how much it’s going to cost/earn me in the long run, to be in as much denial as I am about the prospect of not earning out my advance $ with book sales?

By: Alex Hutchinson

Alex Hutchinson — Thu, 02 Mar 2006 20:26:32 +0000

The old publishing models are being overthrown bit by bit for new small business works that are run by and favor the author. I’ve had to do it myself, that’s why I started Suburban Fiction.com. I received an avalanche of requests for how new writers could get started and what they would say once they did. The thrust of this new economy is very strong.