Premium Stock Video Footage

Share in the royalties from the licensing of high-quality video footage that has been used in Academy Award-winning movies and Emmy-winning TV shows.

$190,000

closing price

Auction Closed

Top Bid: Steve C

Overview

Historic royalty income is no indication of future royalty income. Future royalty income is dependent upon future sales and licensing revenue generated by the video footage associated with this listing.

Starting Price: $170,000
Bidding Increment: $5,000
Closing Price: $190,000
End Date: Mar 28, 2017, 3:07 PM MDT
Investment Term: Life of author + 70 years
Last 12 Months' Royalties: $42,598
Royalty Type: Stock Video Licensing
First Payment: Q2 2017
Fees: $500 Yearly Admin Fee*

*Royalty Exchange will collect the winning bidder's portion of the royalties from all distributors and make payments on a quarterly basis. The $500 yearly administration fee will be deducted from the first quarterly payment in each calendar year.

Description

Video consumption has skyrocketed in recent years. YouTube reports mobile video consumption grows 100% every year, and video is projected to account for more than 80% of all web traffic by 2019. Often, marketers and media creators look to stock video footage to supplement their content.

This is your chance to invest in the growing market for video production by earning royalties from a catalog of exclusive, premium-quality stock video footage. Videos in this catalog have been used in Academy Award-winning films, Emmy-winning TV shows, and even in commercials that have aired during a certain “Big Game” at the end of the pro football season. In the last 12 months, this catalog generated $42,598 in royalties.

This catalog consists of breathtaking aerial shots of nature, landscape, skyline, and disaster scenes. Take a look at the “Media” tab to see a sample of the beautiful footage. This type of footage has a sort of “evergreen” quality — it won't go out of style, unlike fashion or pop culture trends often do. In fact, stock video distributor VideoBlocks (one of the distributors of this catalog) has seen an explosion in demand for it — searches of VideoBlocks' database related to aerial footage increased 712% in 2016 over 2015.

Another benefit of this catalog is that its revenues are widely distributed amongst its thousands of different videos. No single video makes up a significant portion of its earnings, so it includes built-in diversification. Also, the income of this catalog currently comes from six different distributors. The owner retains 67% and will continue to seek out growing licensing opportunities. This means you aren't tied to the success of a single distributor.

What is being sold?

33% of all licensing revenue attributable to the seller's catalog of stock video footage. You can view the metadata for the catalog in the “Documents” tab, and check out video clips on the seller's website.

How does this asset make money?

The seller has licensed the catalog to several major online distributors of stock video footage on a non-exclusive basis. Current distributors include Shutterstock, Pond5, Getty, Dissolve, VideoBlocks, and Fotolia. The distributors sell licenses to their users for use of the videos and pay the seller a percentage of the license sale price. You'll earn royalties every time one of the videos in the catalog is licensed for use by any of the current distributors or any distributor added in the future.

What rights are included?

The winning bidder will be entitled to 33% of all licensing revenue generated by the seller's catalog of stock video footage. The seller will maintain the copyrights and the exclusive right to further license and monetize the catalog.

The seller or an entity that purchases the seller's company or the catalog will have the right to repurchase the winning bidder's 33% for a price of 150% of the winning bid. The winning bidder will have a right of first refusal on any offer for the copyrights in the catalog or any portion of the remaining 67% of the royalties.

About the Royalty Distributor

These royalties will be administered by Royalty Exchange, paid quarterly, within 45 days after the end of each quarter. Royalty Exchange's administration fee is $500/year.

Financials

Documents

Media

Post-Auction Process

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