BroadbandTV Network. Is it worth it?

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For a network like Fullscreen and Maker (not hubs), they do not deduct any expenses before they take their cut. And when you do volume of 1 million views a month or more, you should be looking at a very short term contract with the highest percentage possible. Unless you need production assistance and merchandising help, you should not ever be forking over 30% of your earnings.
 
Wreckless Eating said:
For a network like Fullscreen and Maker (not hubs), they do not deduct any expenses before they take their cut. And when you do volume of 1 million views a month or more, you should be looking at a very short term contract with the highest percentage possible. Unless you need production assistance and merchandising help, you should not ever be forking over 30% of your earnings.
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Well here at Vultra its a 80/20 split and a 3 year contract in return for promotions and really High CPMs (some of the highest) and I`ve been in calls with some of Machinima 100k-500k subs channel (re: machinima pay-cuts) and they had no problem with the contract length because they knew they were getting good features in return and they all seemed interested. So more than a 1 year contract is alright for some networks it depends whats else you get with that.
 
Shane.Vultra said:
Well here at Vultra its a 80/20 split and a 3 year contract in return for promotions and really High CPMs (some of the highest) and I`ve been in calls with some of Machinima 100k-500k subs channel (re: machinima pay-cuts) and they had no problem with the contract length because they knew they were getting good features in return and they all seemed interested. So more than a 1 year contract is alright for some networks it depends whats else you get with that.
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Contracts auto-renew under the same terms with Fullscreen and Maker if you don't leave or renegotiate a different deal. So why would you ever sign a long term deal? Just as an example, why would you sign a 2 year deal with Maker or Fullscreen when you can sign a 1 year deal and have it renewed for another year? If you have a growing channel with high volume, you want the shortest deal possible because you'll be at a very different level in a very short period of time. 6 months ago, I had 27k less subs and was only doing about half the monthly views that I'm doing now. With larger channels, your growth should be very large from year to year, so even a 1 year contract should be too long. I gain absolutely nothing with a long contract that I can't get by signing a shorter contract and letting it auto-renew. Signing a shorter contract lets me renegotiate a better rate when it expires and also lets me shop the competition to compare offers. It also makes a network work harder right away because they know you can leave in as little as 6 months if you don't like the results you are getting.
 
Wreckless Eating said:
Contracts auto-renew under the same terms with Fullscreen and Maker if you don't leave or renegotiate a different deal. So why would you ever sign a long term deal? Just as an example, why would you sign a 2 year deal with Maker or Fullscreen when you can sign a 1 year deal and have it renewed for another year? If you have a growing channel with high volume, you want the shortest deal possible because you'll be at a very different level in a very short period of time. 6 months ago, I had 27k less subs and was only doing about half the monthly views that I'm doing now. With larger channels, your growth should be very large from year to year, so even a 1 year contract should be too long. I gain absolutely nothing with a long contract that I can't get by signing a shorter contract and letting it auto-renew. Signing a shorter contract lets me renegotiate a better rate when it expires and also lets me shop the competition to compare offers. It also makes a network work harder right away because they know you can leave in as little as 6 months if you don't like the results you are getting.
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What I`m saying is you shouldn`t look over a network just because it has a longer contract
 
Shane.Vultra said:
What I`m saying is you shouldn`t look over a network just because it has a longer contract
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Agreed. Just demand that they shorten it. Short contracts keep networks honest. Good ones will offer you 6 months. And then they have to prove to you every 6 months that they are worth whatever you're paying them or you leave. That shorter contract puts some power back on your side.
 
Wreckless Eating said:
Agreed. Just demand that they shorten it. Short contracts keep networks honest. Good ones will offer you 6 months. And then they have to prove to you every 6 months that they are worth whatever you're paying them or you leave. That shorter contract puts some power back on your side.
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Well Vultra offers 3 year contracts and in return for the support, CPMs and promotions I see no problem with that
 
Shane.Vultra said:
Well Vultra offers 3 year contracts and in return for the support, CPMs and promotions I see no problem with that
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Contract terms lengths are structured so the network will turn an overall profit from your channel. High volume channels pay off very quickly and don't require a long term contract to be profitable. If you're doing 300 views per month, then you might have to sign for 2-3 years for a network to make money from you, so for smaller channels, it's totally understandable, but not something I would ever sign up for.

My biggest problem with a 3 year contract is that the network is telling me that I won't be worth more than I am now in 3 years. That's rather insulting. 3 years ago my channel didn't exist. 2 years ago, I was only getting around a thousand views per month. So a long term contract signed back then would insure that I would be getting paid the same as a channel with 1 thousand views per month even though I'm over 1 million views per month. That isn't good incentive for me to keep growing my channel. The best way to keep both sides motivated is a very short contract. A 6 month contract insures the network will work their asses off to keep me there when it's time to renew in 6 months, and I work my a** off because I want to renegotiate my deal to get paid more. Win win on both sides.
 
Wreckless Eating said:
Contract terms lengths are structured so the network will turn an overall profit from your channel. High volume channels pay off very quickly and don't require a long term contract to be profitable. If you're doing 300 views per month, then you might have to sign for 2-3 years for a network to make money from you, so for smaller channels, it's totally understandable, but not something I would ever sign up for.

My biggest problem with a 3 year contract is that the network is telling me that I won't be worth more than I am now in 3 years. That's rather insulting. 3 years ago my channel didn't exist. 2 years ago, I was only getting around a thousand views per month. So a long term contract signed back then would insure that I would be getting paid the same as a channel with 1 thousand views per month even though I'm over 1 million views per month. That isn't good incentive for me to keep growing my channel. The best way to keep both sides motivated is a very short contract. A 6 month contract insures the network will work their asses off to keep me there when it's time to renew in 6 months, and I work my a** off because I want to renegotiate my deal to get paid more. Win win on both sides.
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Well Vultra has a 3year contract for everyone, but partners get good support , great promotions and great CPMs.....

I wouldn`t even look at one of Machinima`s endless contracts though
 
I'm with TGN.. which is of course under BBTV.. Im happy with them, the revenue split has been great... I've gotten great customer service... So personally im happy.... With your channel size.. my advice is to negotiate the highest split possible..

I personally refused to go with any network that was locking me into a contract.. Thus im with a network (TGN) that is month to month.. that was a personal choice for me.. Good luck with what ever network you go with...
 
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