How does profit sharing work

Discussion in 'Indie Business' started by Raikenleo, Jun 15, 2017.

  1. Raikenleo

    Raikenleo New Member

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    I want to know if I have to make some sort of an official contract document to make sure that nobody scams me or something when I am working via profit sharing. Moreover, How does the money get into your bank account after you have published the game and someone has bought it? Do all the game dev members make one special account that everyone can access and then they only take a certain amount?

    I really want to know how the whole profit sharing process works professionally and how to avoid scams.

    Thanks for help
     
  2. balthatrix

    balthatrix New Member

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    I'm an not a lawyer, so this answer is not legal advice. It is just for the purpose of discussion.

    I represent the opposite side of the situation you are in. I have a game prototype I've been working on and have been trying to find people to work on it with me.

    I'm surprised at how many people are willing to start development without an official agreement, and without having several documented discussions about what's expected. So, for my first piece of advice:

    Create a sample art/whatever asset for your prospective contract, but do not do any real work until you have an agreement. If your at the point where your potential contract has said "We'd love to have you on the team!", and then they ask you to do XYZ without an official agreement, that should be a big red flag.

    As far as agreements go, check this site out :
    https://www.lawinsider.com/contracts/tagged/revenue-sharing-agreement
     
  3. flavio

    flavio New Member

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    Hi! Moreover, consider that payment processors may handle payments' splitting, so the income will be redirected to multiple account if you configure that.
     

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