Royalty Exchange brings light to the system of buying royalties by creating a marketplace for people to buy and sell royalties.
An FKD Feature exclusive

For years, buying and selling royalties wasn’t open to the general public. These deals took place behind closed doors with only a privileged few allowed to participate in that market. Royalty Exchange created a new marketplace where creators can meet investors who want to invest in their work.

Royalty Exchange

Historically, deals for royalties were a mystery and prices were kept low. This system allowed only the richest and most popular creators to attract investors. However, the new marketplace created by Royalty Exchange introduces competition, transparency and honesty to the process. Now, buying and selling royalties can bring people together in a deal that’s mutually beneficial.

Using this new marketplace, creators can control both what they’re selling and to whom they’re selling it. Investors, meanwhile, can use the marketplace to gain access to new assets and a place where they can buy and sell them. In the past, companies looking to buy royalties would try to pay as little possible, and private advance companies did little more than create debt.

Royalty Exchange itself doesn’t buy or sell royalties; instead, it provides a marketplace for everybody else. This allows artists to achieve a higher degree of autonomy without having to worry about finances. Artists are able to find investors for their work so they can keep on creating more art, knowing that they’ll have a place where it will be in demand once it’s done.

Takeaway: Royalty Exchange adds transparency to royalties

Royalties are a source of revenue that has been untapped due to the backroom deals surrounding royalty deals. This marketplace introduces transparency to these deals and lets more people invest in the revenue stream. Royalty Exchange connects artists with investors in a way that benefits both parties and allows them to know that they’re not being cheated in the deal.

Have something to add to this story? Comment below or join the discussion on Facebook.

Header image: Shutterstock


Posted 12.01.2017 - 10:00 am EST