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Create a new royalty run

Important: before creating a royalty run, you must first upload all your sales data for the relevant royalty period. 

To create a royalty run:

  1. Go to Royalty Runs
  2. Click the  ‘+ New Royalty Run’ button
  3. Choose the royalty period length, e.g. ‘Annually’ (each royalty run is for all titles of one royalty period length)
  4. Choose the date range for the royalty run (the list shows all possible royalty periods with unprocessed sales lines, based on the sales data you have already uploaded)
  5. Choose which titles to include:
    1. ‘All titles’ – This will create rights holder statements for all titles.
    2. ‘Catch-up run’ – For a period already covered in a previous run, and just includes titles with unprocessed royalties.
  6. Click the ‘Create Royalty Run’ button

You will be redirected to the new royalty run, with overall data shown in cards at the top.

Under the cards, you will often see a green button which you click to move the royalty run on to the next step. The orange buttons allow you to go back a step.

The tabs #

The four tabs below represent the steps required in creating a royalty run.

  • Checklist
  • Royalty Lines
  • Bills
  • Statements

Let’s look at each of these steps in more detail.

Checklist #

The royalty run process includes checks that will alert you to missing titles and publisher income, based on the sales data you have already uploaded. Important: It is essential that before creating the royalty run you have already uploaded the sales data.

  • If ISBNs / ASINs in the sales lines are unknown to Royalties HQ, you will see an alert to add the missing title formats.
  • Similarly, if some sales batches have not been reconciled with publisher income, you will see an alert to do this.
  • You will not be able to proceed with the royalty run until any issues highlighted in red are resolved.
  • Warnings are shown in yellow – These will not prevent the royalty run from proceeding but please take care to read the warnings before you proceed.

Once you see all green ticks on the ‘Checklist’ tab, you should click the ‘Allocate royalties’ button. And you will be redirected to the ‘Royalty Lines’ tab.

Royalty Lines #

The ‘allocation’ step in a royalty run allocates each sales line to one or more rights holders based on the ownership rules you have configured for each title format (see the Ownership section of this user guide).

  • When the ownership of a title format does not total 100%, the remaining ownership is allocated to the Publisher Rights Holder (the rights holder that represents your publishing company). This is explained in more detail here.
  • The result of the allocation step is the creation of royalty lines.
  • Royalty lines are amounts owed to each rights holder.
  • Royalty lines are always in your publisher’s currency.

Royalty allocation – an example #

Consider an e-book with two rights holders. Depending on the royalty model of the ebook, the allocation process takes the either the amount of net receipts for this sales line, or the list price converted to your publisher currency (both of which were automatically converted to your publisher’s currency when you linked a publisher income payment to the sales batch) and uses this to calculate the royalty owed to each rights holder.

In this example, a single sales line will result in three royalty lines – one royalty line for each of the rights holders, and another royalty line for the publisher rights holder (i.e. the remainder after allocation to the rights holders).

Edit a royalty run #

Royalty runs that are in progress as long as they are not yet ‘Billed’. Use the buttons above the tabs to undo bill creation and undo allocation of royalties.

Once PDF royalty statements are emailed to rights holders from Royalties HQ, a royalty run can no longer be edited.