When it comes to selling royalties, there’s no one-size-fits-all answer to going about it.
There are just as many ways to sell royalties on Royalty Exchange as there are to earn them.
[Everything you need to know about selling Music and Media royalties]
For instance, while many of our auctions feature just the songwriter’s share of a particular track or catalog, Rap/R&B act 2 Pistols wanted to go all in.
He decided to sell 100% of both his performance AND recording royalties for a catalog that included the Billboard chartmaker “She Got It.” The track featured superstar T-Pain, and reached #2 on Billboard Hot Rap Tracks, #7 on the Rhythmic Top 40, and peaked at #24 on the flagship Hot 100 chart.
That single track alone was responsible for producing over 75% of the catalog's entire royalties, which had generated roughly $47,000 over the last four years (the performance royalties alone earned more than $8,000 in the 12 months before the auction).
With a starting price of $25,000, the auction attracted over 40 registered bidders and ultimately sold for $33,000, more than 30% above the original asking price. The sale had a multiple worth roughly four times its most recent annual income.