What is a 'Full-Buyout'?

[mainephotoman]

Hello peers...

I recently had an inquiry about a photo of mine that a seafood restaurant chain wants to use on the front of their menu (woohoo!). Only problem is, they are proposing a 'full buy out' or a limited license for full-size imaging. and I'm not sure what they actually mean.

Of course my biggest concern is getting shnukerd out of a fair price.

(And how does a seafood restaurant know more about photo buy-outs and limited licensing anyways? I don't know squat about the seafood business....just sayin'....)

Kind regards...
Kevin

--
Kevin Krakta, Maine, USA
http://www.kratkaphotography.com

 

[Richard Weisgrau]

A full buyout means a transfer of the copyright, which leaves you with no ownership and therefor no right to use the images. A limited buyout can be limited by time (like 1 year) after which the rights come back to you; by use like all advertising and promotion rights; and any sort of limit to be set.

They probably know about ti because they most likely have a design firm, ad agency or communications specialist working for them. Or, the person was pro photographer who decided to do something that actual pays well.
--
Richard Weisgrau
http://www.weisgrau.com
Author of
The Real Business of Photography
The Photographer's Guide to Negotiating
Selling Your Photography
Licensing Photography

 

[OSAM]

Full buyout would mean to me that they are getting all rights and ownership to the image. Essentially you relinquish any claim to the image.

Limited License sounds like a considerably better deal for all involved.

 

[chris102]

Hi Kevin,

They may be offering you a HUGE DEAL. By naming it a full buyout, they are asking for unlimited use of the picture. Isit such a great photo that you think there will be a lot of business generated by this one image? (Generally all my images are for a single use - it is extremely rare that I have sold multiple copies to different clients.)

So the use of the language is them offering you a bonus for this single image. If you want to sell it to them, yet maintain it for your portfolio, write them a contract giving them exclusive and unrestricted sue of the image with an exception for your use of the image for "self promotion". That should give them whatever they want, and you the ability to include the picture in your portfolio. If I know that a client is going to publish, I just sell 'em everything (for the right price, of course) and then include a tear-sheet in my book. Problem solved.

--
http://homepage.mac.com/cheilman1/

 

[Ashley Morrison Photography]

The 3 main things to look at, when negotiating the fee & deal, are: Media Use, Period of use & Territory of use .

If they are saying they need a licence to cover them for All Media, for Unlimited years, Worldwide - then it would suggest they are about to spend millions on advertising , using your image. Because buying media space in every media (Billboards / Posters, Magazines, Posters, Television / Cinema, Ambient, Direct Mail, Newspapers, Packaging, Point of sale & Worldwide web) will be costly - especially if they are planning on doing that in every country in the World too, over the next 5 to 10 years.

Charge 5% of their planed media spend is a 'rule of thumb' that some would suggest - but even 1% in this case, would be very nice - if they are for real.

http://www.asmp.org/strictlybusiness/2009/04/if-you-sell-yourself-cheap-you-will-never-get-out-of-that-hole-barbara-bordnick/
--
Cheers,
Ashley.
http://www.ampimage.com
http://www.ashleymorrison.com

 

[thesurfdog]

Or, the person was pro photographer who decided to do something that actual pays well.

So you've never owned a restaurant then..?

The chances of profit & loss are very similar in my experience. The only real advantage that a restaurant has is that people NEED to eat...

 

[lbuclk=]

A full buyout means a transfer of the copyright, which leaves you with no ownership and therefor no right to use the images. A limited buyout can be limited by time (like 1 year) after which the rights come back to you; by use like all advertising and promotion rights; and any sort of limit to be set.

They probably know about ti because they most likely have a design firm, ad agency or communications specialist working for them. Or, the person was pro photographer who decided to do something that actual pays well.
--
Richard Weisgrau
http://www.weisgrau.com
Author of
The Real Business of Photography
The Photographer's Guide to Negotiating
Selling Your Photography
Licensing Photography

I feel that you really need to read a book like Richard's book or any book that you can use on the business of photography.

--

28 years as a freelancer,(news,magazine, wedding photography) camera equip. over the years: Practica MLT, Canon A1, Minolta 9xi, 7xi, Dimage Z1,Fuji 5200,Canon S2,Pentax K100D,Olympus 380,Canon SX 10 ( http://smg.photobucket.com/albums/v104/Buckl/ )
http://issuu.com/Lbuck

 

[Gary J Jensen]

Hello peers...

I recently had an inquiry about a photo of mine that a seafood restaurant chain wants to use on the front of their menu (woohoo!). Only problem is, they are proposing a 'full buy out' or a limited license for full-size imaging. and I'm not sure what they actually mean....

"Buyout" licensing is a more common term for stock music libraries.

Essentially, it means that you're licensing all rights [i.e, unrestricted usage], royalty free, for an unlimited term. About the only "restriction" commonly imposed is that the licensee cannot "resell" or "sublicense" the photo [music] as stock.

It does NOT mean that you transfer copyright [you still retain the copyright], and it does NOT mean that you can't license the image to other parties [unless you're granting an EXCLUSIVE license].

 

[Richard Weisgrau]

Hello peers...

I recently had an inquiry about a photo of mine that a seafood restaurant chain wants to use on the front of their menu (woohoo!). Only problem is, they are proposing a 'full buy out' or a limited license for full-size imaging. and I'm not sure what they actually mean....

"Buyout" licensing is a more common term for stock music libraries.

Essentially, it means that you're licensing all rights [i.e, unrestricted usage], royalty free, for an unlimited term. About the only "restriction" commonly imposed is that the licensee cannot "resell" or "sublicense" the photo [music] as stock.

It does NOT mean that you transfer copyright [you still retain the copyright], and it does NOT mean that you can't license the image to other parties [unless you're granting an EXCLUSIVE license].

"Buyout has been used in the photo business for the 40 plus years I have been in it. It is an imprecise term and to be avoided in licensing. To buyers it often means a purchase of All Rights. All rights has to include the exclusive rights because all means all. So it is effectively a transfer of copyright because all the exclusive rights are licensed. That s thy it is, as I wrote above, important to limit at least the period of time the license is in force.

--
Richard Weisgrau
http://www.weisgrau.com
Author of
The Real Business of Photography
The Photographer's Guide to Negotiating
Selling Your Photography
Licensing Photography

 

[PicOne]

I would think whatever quoted price the OP makes, would be weighed by said agency against hiring a contract photog to reproduce the shot 'close enough' for their use.

The 3 main things to look at, when negotiating the fee & deal, are: Media Use, Period of use & Territory of use .

If they are saying they need a licence to cover them for All Media, for Unlimited years, Worldwide - then it would suggest they are about to spend millions on advertising , using your image. Because buying media space in every media (Billboards / Posters, Magazines, Posters, Television / Cinema, Ambient, Direct Mail, Newspapers, Packaging, Point of sale & Worldwide web) will be costly - especially if they are planning on doing that in every country in the World too, over the next 5 to 10 years.

Charge 5% of their planed media spend is a 'rule of thumb' that some would suggest - but even 1% in this case, would be very nice - if they are for real.

http://www.asmp.org/strictlybusiness/2009/04/if-you-sell-yourself-cheap-you-will-never-get-out-of-that-hole-barbara-bordnick/
--
Cheers,
Ashley.
http://www.ampimage.com
http://www.ashleymorrison.com

--
'Everything in photography boils down to what's sharp and what's fuzzy.'
-Gaylord Herron