Frequently Asked Questions
Visit our Learn section for more information about different types of royalties and the industries in which they’re paid. For an overview of what comprises a song and the different royalty rights available to musicians, visit our guide to Music Royalties.
Royalty Exchange will always distribute royalties quarterly — the only exception to this is when a stream generates bi-annual royalties, in which case royalties will be distributed every other quarter. Payments will be made via Paypal on the first week following the end of each calendar quarter.
All bids are binding and must be placed before an auction closes. If you wish to place a bid through a medium other than the website, please contact us at Auctions@RoyaltyExchange.com to discuss alternatives.
To learn more about our Multi-Unit auctions in particular, check out our video about bidding and strategies.
A single-unit auction is an auction where only one investment asset is made available. Buyers can place bids only for the whole asset in its entirety, and there can be only one auction winner. Winning bids are binding legal contracts with the seller of the royalty stream. For additional information, check out What is a Single-Unit Auction?
- Royalty Exchange makes every effort to ensure system availability. However, we reserve the right to (in rare cases) close an auction prior to, or extend it beyond, the posted closing time. This may be done at our discretion and without warning.
- Royalty Exchange is not responsible for incomplete, failed, garbled, scrambled, delayed or misdirected computer transmissions due to technical computer hardware or software failures or other errors of any kind.
MAY I LICENSE AN ASSET ONCE I PURCHASE ITS ROYALTY STREAM?The answer to this question depends on the purchase. An investor who owns only the rights to the royalty revenue generated by an asset and does not own the asset itself, or the rights to license the asset, will not be able to license the asset for further use. However, full ownership of an asset will occasionally be posted for auction, in which case an investor may license the asset as desired.
Investment terms listed with an approximation symbol ~ , indicate a target length of time needed for the royalties to reach the indicated payout amount (This is just an estimate and could take longer or shorter).
Investment lengths listed with a plus symbol + after the number, such as 35+ years, indicate an investment term of at least 35 years with an uncertain number of years of ownership after that.
- What you’d like to sell
- e.g., for music: songwriter’s share of performance royalties, mechanical royalties, production royalties
- The person or entity distributing your royalty payments
- AT LEAST three years of royalty statements
- Digital statements in CSV/Excel format are preferred, as this allows us to provide a more sophisticated analysis of your royalty stream
- What percentage of your royalty stream do you want to sell?
- Streams can also be divided by other criteria, such as by song or by licensor.
- Do you want to use a reserve price?
- A reserve price is the minimum price you would accept for a sale on our marketplace. If this price isn’t met, there is no sale.
- How can we best promote your auction?
- Royalty Exchange handles most of the promotion for auctions, but any outlets that you can provide us will increase the probability of your item selling. Some examples include social media accounts, websites and personal industry networks.