Costs are managed under the Sales directory. This is where you can add expenses to be recouped from your artists’ royalties. Costs are created either within the application or via an Excel import. You can match costs against the catalogue, or directly against a contract.
Costs are rarely ever recouped by publishers, as such this feature is only available for Record Labels & Distributors.
CREATING A COST
Name – Keywords describing the cost, for your & your artist’s reference.
Amount – The total amount of the cost. This has to be in your base currency and should be a positive number.
Date – The date the cost was made or the invoice was paid.
Type – Specify the category of the cost. The options are tied to the cost categories specified in your Settings. Contracts may have different recoup rates for different cost Types. For more information on how to set up your cost terms view the article on Contracts.
Territory – The territory where the cost occurred. As with Type, Contracts may have different recoup rates for different territories if set up so.
Invoice No. – For your reference.
Target Period – Fill in the Target Period to make the cost easy to search for & include in a run to be recouped.
Description – A more detailed explanation of the cost. This description will be visible to your artists on their statement.
Attach a copy of the invoice or receipt to provide a paper trail to your payees.
MAPPING YOUR COST
In the Mapping area, you match the Cost against either a Track, a Release or a Contract. It is not possible to map costs to a combination of these three, so to both a Track and a Release for example. But you can map costs to multiple Tracks, multiple Releases or multiple Contracts if you like.
When you map costs to a Contract, 100% of the value of the cost will flow to the Cost term on the Contract. If it is mapped to a Track or Release, the value will flow over all Contracts attached as a Cost Contract to the Track or Release. Thus, make sure the Cost Participation Rates on your catalogue items are set up correctly when doing so.