The most important things a creator needs to remember about negotiating contracts for brand partnerships.
A while back, lawyer and negotiation queen Steph Onyekwere led a one-hour brand negotiation workshop for our community. She dropped so much invaluable knowledge on us I think I'm still digesting it. If you joined us, thanks a million-- we heard a lot of positive feedback from you. In case you missed it, I've summarized a few actionable tips you can put into practice today!
Determine where you're going and how you'll get there by outlining your strategy and goals of the convo before you hop on a call with a brand. Practice talking it out to the mirror, your mom, or even a furry four-legged friend.Be ready to ASK your client for their campaign budget! Don't close down the opportunity before you even start the conversation by telling them a rate.
If they agree too easily, you likely could have gotten more.
If they say that's it's over their budget, you may never get a chance to re-negotiate.Calculate your bottom line. If it's going to cost you $1000 to create the content and they're only offering $500 to start, you will know that doesn't work. If you haven't calculated your costs, you won't have a strong foundation for the minimum you can accept, which leads to confusion for you and the brand.& REMEMBER: you can ask for more. If you know your bottom line (see above), you can easily explain why their rate is too low and counter with a more competitive rate. Explaining how you account for your time, the equipment or expenses you'll incur to create the campaign, digital usage rights, additional paid exclusivity or licensing terms, and anything else that is relevant to your creative work can help bring the brand around to your terms, or at least to a middle point.
Here are some pro tips for negotiating when the time arrives:✔️ Speak with confidence! You're the expert on your own brand and work✔️ Demonstrate your value with analytics & data from your account and previous campaigns ✔️ Be patient, because coming to an agreement may take some time. Rushing the conversation can make it feel like an argument, which is counterproductive✔️ Deliverables and usage rights are your most flexible points to negotiate with: can't get them up in price? Adjust the number of deliverables, and/or their ability to use them
READ. THE. CONTRACT. Every word of it. Ask someone for help if you don't understand certain terms.
Contract terms are the #1 place where creators leave money on the table and get locked into unfavorable terms.
You do NOT want the surprise of seeing your content used in huge campaigns you didn't realize you'd agreed because they were buried in the depths of your contract.
You especially want to look out for contract terms regarding ownership provisions, licensing, exclusivity, and of course, payment.
Even better than having a finely tuned eagle eye? Providing your own contract. Having a contract template you can easily modify for each partnership is the best way to prevent sneaky, unfavorable, or confusing terms because the terms outlined are exactly what you want!Steph offers a lawyer-drafted, creator favorable contract template on her site for a one-time fee, which is a great investment in your future.
This is a really powerful one, so listen up! It is OKAY to politely decline and walk away from a negotiation or potential collaboration if you can't come to an agreement that works for everyone. Walking away shows confidence and honors the value you're bringing to the table. When is it a good idea to walk away?
We know it's incredibly hard to feel like you're missing out on an opportunity or perhaps you've told yourself that some money is better than no money.But we promise that walking away under the right circumstances has a net positive effect on your business because it ensures that all your partnerships are positive, authentic, and reflective of your worth!
Planning
Holiday campaigns are already starting to be solidified for the 2021 season. Now is the time to start sending your pitches, and we want to make sure you know all the juicy industry deets to craft a fire pitch and get paid your worth!
Brands
This recent report commissioned by Mighty Networks, a digital community platform, makes about a thousand KILLER points about the creator economy and how you can act today to shape a better future for us all.
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