Royalty Payments and Royalty Splits
FAQs
Because publishing rights holders have an interest in how tracks featuring their compositions can be used, anyone to whom you assign a Publishing royalty split on your track must approve of your track’s Music Library Settings and their royalty split before the track can be made available in the Music Library. These approvals can be managed through Collabhouse with our Publishing Clearances feature.
Publishing Clearance requests are sent to all publishing royalty split owners indicated by you once you’ve set and saved a track’s Music Library Settings. Those publishing royalty split owners will then be sent an email including the Music Library Settings saved with a prompt to approve the settings, their royalty splits and license their rights to Collabhouse. Publishing royalty split owners can manage the publishing requests they receive from the ‘Publishing Clearance’ tab in ‘My Collabhouse’ and a Music Maker can see the status of their clearance requests from the ‘Add to Music Library’ menu of a particular track, accessed from the ‘Releases’ section of the ‘My Collabhouse’ menu.
You can allocate, remove or change track royalty splits allocated to other Collabhouse profiles at any time. You can do this on the ‘Royalty splits’ tab of the relevant release on the ‘Releases’ page in ‘My Collabhouse’.
To allocate a track royalty split to another person or company, simply add their email address and the % of royalties they are due. When the person or company you are looking to give a royalty split to is already on Collabhouse, you can select their Collabhouse profile. An invite to join Collabhouse is automatically sent, when the person or company you are looking to give a royalty split to is not yet on Collabhouse.
To change a track royalty split allocated to another Collabhouse profile go to the ‘Royalty splits’ tab of the relevant release on the ‘Releases’ page in ‘My Collabhouse’, amend the royalty split and save your amended royalty splits.
To remove a track royalty split allocated to another Collabhouse profile, go to the ‘Royalty splits’ tab of the relevant release on the ‘Releases’ page in ‘My Collabhouse’, and set the % of the royalty split you want to remove to 0% and save your amended royalty splits.
Any changes you make to publishing royalty splits for tracks available in the Music Library, will trigger a new publishing clearance request being sent out to all publishing royalty split owners for approval. Only once all publishing royalty split owners approve the new royalty splits and/ or Music Library Settings, your track will be made live again in the Music Library.
To set, stop or amend your profile team member royalty splits, go to the ‘Team member royalty splits’ page in ‘Profile Settings’. In this section you indicate how your profile royalties should be paid out. You can choose to have your profile royalties paid out on profile level per the Invoice and payment details indicated in your ‘Profile Settings’. If you would like to have your profile royalties paid out to one or more individual team members of your profile, you select to set team member royalty splits. You can then indicate what percentage of profile royalties should be paid out to whom.
You can stop and change team member royalty splits at any time on the ‘Team member royalty splits’ page of your ‘Profile Settings’ by changing the royalty percentages allocated to team members. To remove a team member royalty split, simply change the percentage to 0% and save your new royalty split settings.
You can choose to split all royalties earned by your Collabhouse profile with your team members. This is only possible if your profile has any team members. You can invite team members to your Collabhouse profile on the ‘Invite team members’ page in your ‘Profile Settings”.
You can select to payout your profile royalties to your profile team members on the ‘Team member royalty splits’ page in ‘Profile Settings’. You can determine what percentage of profile royalties should be paid out to what team member and we will take care of the admin. Please note, team member royalty splits apply to all types of royalties payable to your profile, including distribution, collab royalty split, Music Library recording and publishing royalties and NFT sales royalties.
All team members with a profile royalty split, will receive their royalty accounting and payment directly via their Collabhouse account
You can split your Collabhouse profile royalty earnings with others in several ways:
1. Split profile royalties with team members
First of all, you can choose to split all royalties payable to your Collabhouse profile with your team members. You can select to payout your profile royalties to your profile team members on the ‘Team member royalty splits’ page in ‘Profile Settings’. You can determine what percentage of profile royalties should be paid out to what team member and we will take care of the admin. Please note, team members' royalty splits apply to all types of royalties payable to your profile, including distribution, collab royalty split, Music Library recording and publishing royalties and NFT sales royalties.
All team members with a profile royalty split, will receive their royalty accounting and payment directly to their Collabhouse account.
Split track royalties with other profiles (excl. Music Library publishing royalties)
If you want to split the royalties earned on a specific track with, for example, with another artist, producer, manager, or someone else, you can allocate track royalty splits to other Collabhouse profiles.
Each time you create a new release in Collabhouse, you must indicate how both recording and publishing royalties earned on the tracks included must be paid out. To allocate a royalty split to someone else, simply add their email address. When the person or company you are looking to give a royalty split is already on Collabhouse, you can select their Collabhouse profile. An invite to join Collabhouse is automatically sent, when the person or company you are looking to give a royalty split to is not yet on Collabhouse. All profiles that receive a track royalty split, will receive their royalty accounting and payment directly to their Collabhouse account.
To change a track royalty split allocated to another Collabhouse profile go to the ‘Royalty splits’ tab of the relevant release on the ‘Releases’ page in ‘My Collabhouse’, amend the royalty split and save your new royalty splits.
To remove a track royalty split allocated to another Collabhouse profile, go to the ‘Royalty splits’ tab of the relevant release on the ‘Releases’ page in ‘My Collabhouse’, and set the % of the royalty split you want to remove to 0% and save your amended royalty splits.
Split Music Library publishing royalties with other profiles
You can allocate track publishing royalty splits to other Collabhouse profiles.
When you create a new release in Collabhouse, you must indicate how both recording and publishing royalties earned on the tracks included on your release must be paid out. If another person or company owns or controls some or all of the publishing rights in your track you want to include in the Music Library, you must allocate the publishing royalty splits on that track to those rights holders.
To allocate publishing royalty splits to someone else, simply add their email address on the “Royalty splits’ tab of your release and indicate the percentage of the publishing rights they own/control. When the person or company you are looking to give a royalty split is already on Collabhouse, you can select their Collabhouse profile. An invite to join Collabhouse is automatically sent, when the person or company you are looking to give a royalty split to is not yet on Collabhouse. Please note that approval is required from the person and/or company you allocate a publishing royalty split to before your track(s) are made available in the Music Library.
For more information on the process for requesting Publishing Clearances, Music Library Settings and/or publishing royalty splits, please see section 4 ‘Music Library’ above.
To change a track royalty split allocated to another Collabhouse profile go to the ‘Royalty splits’ tab of the relevant release on the ‘Releases’ page in ‘My Collabhouse’, amend the royalty split and save your amended royalty splits. If you make any changes to the publishing royalty splits set for a track already available in the Music Library, those changes will cause new publishing clearance requests to be approved by all publishing royalty split owners on your track before it is re-included in the Music Library.
To remove a track royalty split allocated to another Collabhouse profile, go to the ‘Royalty splits’ tab of the relevant release on the ‘Releases’ page in ‘My Collabhouse’, and set the % of the royalty split you want to remove to 0% and save your amended royalty splits.
Royalties are accounted for and paid out to you in Euros. We are looking into facilitating additional currency options soon, please contact help@collabhouse.com for more info.
To receive payment of your royalty balance, you do not have to provide an invoice. We will prepare a so-called self-bill invoice on your behalf to save you the work. As soon as you request payment of your or your profile’s royalty balance and payment is made, you will automatically receive a self-bill invoice. You can find an overview of your royalty balance payment requests and self-bill invoices on the ‘Royalty payments’ tab on your ‘Profile Royalties’ and ‘My Royalties’ page.
You can find an overview of your royalty balance payment requests and self-bill invoices on the ‘Royalty payments’ tab on your ‘Profile Royalties’ and ‘My Royalties’ page.
The royalty statements for your profile are located on the ‘Profile Royalties’ page and your personal statements can be found on the ‘My Royalties’ page of your Collabhouse account.
Your royalties page can contain up to 4 different tabs:
- Distribution - Here you can find your track distribution, collab royalty split and NFT royalty split statements.
- NFT Sales - Here you can find your NFT sales statements for any NFTs you sell as a Music Maker.
- Music Library - Here you can find your Music Library license statements for sync licenses you sell as a Music Maker.
- Royalty payments - On this tab, you can find your self-bill invoices for any royalties paid out to you or your profile.
To be able to transfer and pay out your royalty balance, we need your invoice and payment details. You can provide your invoice and payment details for your profile in the ‘Invoice and payment details’ section of the your ‘Profile Settings’, and your personal invoice and payment details in the ‘My invoice and payment details’ section of ‘My Settings’. You cannot request payment of your royalty balance before you provide this information.
You can find up-to-date transaction costs from the ‘transaction costs’ info pop-up on both the ‘Profile Royalties’ and ‘My Royalties’ pages. The transaction costs are charged by our payment providers and are dependent on the withdrawal method, withdrawal amount and currency. Contact help@collabhouse.com for more information.
As soon as your royalty balance reaches our payment threshold of €10, you can withdraw your balance by clicking the green ‘Request payment’ button underneath your balance. You can withdraw your royalties directly to your bank account (provided you have an EU IBAN), or to your PayPal account. We use Wise to process payments to bank account. Transaction costs apply and are deducted from the amount withdrawn. When you request payment of your Profile Royalties balance, payment is made using the ‘Invoice and payment details’ provided as part of your ‘Profile Settings’. When you request payment of your My Royalties balance, payment is made using the ‘My invoice and payment details’ you provided as part of ‘My Settings’.
You can find your profile royalty balance on the ‘Profile Royalties’ page, and your personal user royalty balance on the ‘My Royalties’ page in your Collabhouse account.
Collabhouse collects and pays out various types of royalties, depending on which services you are using:
For Music Makers:
Distribution royalties
These are recording royalties earned by distributing tracks via our Distribution Service to Music Services (such as Spotify and Apple Music). Collabhouse collects and pays out distribution royalties to users on a monthly basis, usually towards the end of each month. Royalties collected by Collabhouse in a particular month are paid out in the following month’s accounting run. Collabhouse pays out distribution royalties to users in accordance with the recording royalty splits provided for each track. You can view your distribution royalties and statements on the ‘Distribution’ tab of ‘Profile Royalties’ or ‘My Royalties’ page in your Collabhouse account.
NFT sales royalties
These are the recording royalties earned through sales of Collabhouse royalty split NFTs via our NFT Marketplace. NFT sales royalties are accounted for and paid out to users on a daily basis, usually within 24 hours after an NFT was sold. Collabhouse pays out NFT sales royalties to rights holders in accordance with the recording royalty splits provided for each track. You can view your NFT sales royalties and statements on the ‘NFT sales’ tab of the ‘Profile Royalties’ or ‘My Royalties’ page in your Collabhouse account.
Music Library license royalties
These are the recording and publishing royalties generated by selling sync licenses to Content Creators via our Music Library. License fees collected are divided into 50% recording royalties and 50% publishing royalties. These royalties are accounted for and paid out to users on a daily basis, usually within 24 hours after a license was sold. Collabhouse pays out Music Library royalties to users in accordance with the recording and publishing royalty splits provided for each track. You can view your Music Library royalties and statements on the ‘Music Library’ tab of the ‘Profile Royalties’ or ‘My Royalties’ page in your Collabhouse account.
For Content Creators
Collab royalty split
Collab royalty split royalties are track distribution royalties due to a social media Content Creator as part of royalty split collab. These royalties are due to a Content Creator for a certain period of time in exchange for promoting a certain track. Collab royalty splits are accounted and paid out Content Creators on a monthly basis, usually towards the end of the month.
You can view your collab royalty split royalties and statements on the ‘Distribution’ tab of the ‘Profile Royalties’ or ‘My Royalties’ page in your Collabhouse account.
For Fans & Collectors
NFT royalty split
NFT royalty split royalties is the percentage of track distribution royalties a NFT owner is entitled to claim at Collabhouse. It is a percentage of a track’s recording distribution royalties earned through the Distribution Service (for streams on Spotify, YouTube, Deezer, etc). NFT royalty split royalties accrue against an NFT until the owner claims the accrued royalties from Collabhouse by connecting the crypto-wallet containing the NFT to an active Collabhouse account. Collabhouse collects and accounts distribution royalties, including NFT royalty split royalties, on a monthly basis, usually towards the end of each month. Royalties collected by Collabhouse in a particular month are accounted for in the following month’s accounting run. You can view your NFT royalty split royalties claimed and accrued, along with statements on the ‘Distribution’ tab of the ‘My Royalties’ page in your Collabhouse account.
For Music Publishers
Music Library license royalties
These are the recording and publishing royalties generated by selling sync licenses to Content Creators via our Music Library. License fees collected are divided into 50% recording royalties and 50% publishing royalties after deduction of Collabhouse's 25% commission. These royalties are accounted for and paid out to users on a daily basis, usually within 24 hours after a license was sold. Collabhouse pays out Music Library royalties to users in accordance with the recording and approved publishing royalty splits provided for each track. You can view your Music Library royalties and statements on the ‘Music Library’ tab of the ‘Profile Royalties’ or ‘My Royalties’ page in your Collabhouse account.
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