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Message: RE: Royalities!

RE: Royalities!

posted on Jun 10, 2006 02:54AM
From past experience, I can attest to the fact that the accounting for royalties can be handled by one person, even if you get all the companies signed up. The report is a simple statement of the quarterly or semi-annual sales of royalty product, the royalty rate and the amount of royalty due. You can even word the agreement to include only a portion of the sales value of each unit sold, covering the patented item. It`s on an honor system and I never found it necessary to question a companies reporting figures even though the agreements gave us the right to audit a companies sales figures. In spite of what you hear, companies are basically honest. Especially if you have the right to audit!
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