I have 2.8m subscribers and need some help

[wolfpackfilms]

I have zero experience working with a network...but...


That somewhat raises a red flag in my little world. It's not a deal-breaker, but it's something to maybe think about in more detail.

I work in a consulting field, and whenever we take on a project that we're going to lose money on, we're instructed by the management to always "do the bare minimum." I would question what he meant by "losing money" by signing you up with the network, and what he wants to take away from the partnership. I'd clarify with him how available the network's staff will be to help you with your channel since the network is going to lose money signing you on board....

At my job, we take on work that we're going to lose money on for 3 main reasons: we made a poor business decision, it's for a repeat client and we want to keep a good business relationship with them, or our reputation is in trouble and we need to take a hit to save it. I'm not sure if those scenarios can be applied to YouTube Networks, but it might help add a different perspective...?

I would also consider calculating how much money 10% of your earnings would be, and possibly see if there's a more direct way you might be able to hire help for your channel outside of a network. ^_^

Hi Katy, thanks for your input. I might not have been clear in my original post, but they wouldn't be losing money on a 90/10, what he was referring to was that the 90/10 is the most they would be able to offer, because if they offered more then they would be losing money. In other words, if they offered me something like a 95/5 then it wouldn't be worth it to them because they'd be losing money, but at 90/10 they are profiting.

Paul

 

[EVO]

Will they give you an option for a 30 days rolling contract? So you can pull out whenever you want if the promises don't come true?
Id guess that you wont get a sign on bonus but you get more control?

 

[wolfpackfilms]

Will they give you an option for a 30 days rolling contract? So you can pull out whenever you want if the promises don't come true?
Id guess that you wont get a sign on bonus but you get more control?

That's not a bad idea, I'll ask them if they'd entertain a 'trial' period. I don't see why they wouldn't

Thanks for the idea!

 

[olimueller]

Interesting topic!

 

[Tarmack]

Channels of that size should have no trouble getting 100% of AdSense revenue and a revenue split of network sold ads (which are in addition to AdSense/Adwords), PLUS brand deal support. 90/10 is the best they can do? Nonsense.

And, if they're not selling their own ads or arranging brand deals, then you're gaining nothing.

Unless they're offering a managed partnership (versus affiliate), 100% adsense /w rev split on network sold ads, contractually written in services like X brand deals per year, merch services, etc that are actually a part of the contract, you are giving away money for nothing.

You need to ask a very simple question. Figure out 10% of your earnings and ask what you're getting every month for paying them that much money. A false promise of "potential" CPM increases is utter trash, unless they're going to write a guarantee into your contract.

Frankly, you need to walk away from this one.

 

[CousinEd]

I spoke with their head of partner relations for 2 hours on the phone last week about their services and how they can help grow and monetize my channel etc. He offered me a 90/10 split for my channel. I was told that in my top earning countries he thinks my CPMs will increase by $1 to $1.50

Khemm, turn your back and walk away.

I'm now reading about BBTV offering some channels 100/0 contracts and other MCNs offering 95/5 and up. I know Studio71 really wants me

Have you contacted BBTV and those other networks? You think that they won't have a similar reaction?

 

[Lightsen]

all I feel I can add to this discussion is that whatever they say over the phone, is here say, and you wouldn't have evidence of it if they didn't do what they promised. Make sure everything you talked about on the phone is in the contract.

also consider going it alone, you can contact business yourself for merch. I got approached by one this year so I'm getting some fun merch without an MCN

 

[wolfpackfilms]

Channels of that size should have no trouble getting 100% of AdSense revenue and a revenue split of network sold ads (which are in addition to AdSense/Adwords), PLUS brand deal support. 90/10 is the best they can do? Nonsense.

And, if they're not selling their own ads or arranging brand deals, then you're gaining nothing.

Unless they're offering a managed partnership (versus affiliate), 100% adsense /w rev split on network sold ads, contractually written in services like X brand deals per year, merch services, etc that are actually a part of the contract, you are giving away money for nothing.

You need to ask a very simple question. Figure out 10% of your earnings and ask what you're getting every month for paying them that much money. A false promise of "potential" CPM increases is utter trash, unless they're going to write a guarantee into your contract.

Frankly, you need to walk away from this one.

Wow thanks for the info man. You make perfect sense. That's what I've been thinking because if I sign away 10% then that's money that I earned myself that they had no part in. I think I should pursue keeping 100% of my adsense and get a rev split on network sold ads, as you mentioned. Do you know of any MCNs that do these types of deals?

Best
Paul

 

[wolfpackfilms]

Khemm, turn your back and walk away.


Have you contacted BBTV and those other networks? You think that they won't have a similar reaction?

I've always considered BBTV and other large MCNs as red flags because of their quantity over quality approach. Do you think they'd be able to offer something better? Another reason being that BBTV emails me like 15 times a week from different reps all with the same generic email, so I can tell that they're just trying to amass as many channels as possible

 

[wolfpackfilms]

all I feel I can add to this discussion is that whatever they say over the phone, is here say, and you wouldn't have evidence of it if they didn't do what they promised. Make sure everything you talked about on the phone is in the contract.

also consider going it alone, you can contact business yourself for merch. I got approached by one this year so I'm getting some fun merch without an MCN

If you don't mind me asking, what Merch company approached you? I've been approached by Crowdmade and Teespring, but no others. I'm trying to figure out who to go with so any info on this is much appreciated.

Best
Paul