One of the biggest patterns we noticed is that our authors usually publish their stories as novels once the story is completed–and they get a good number of sales afterward. But not every author has the resources to make their dreams come true.
After a successful Kickstarter campaign to get more indie ebooks into local libraries, we realized it took more work than we expected to raise just $15K. From putting together the various rewards for backers to distributing the rewards when it ends. Not only that, but the cost of the rewards means a significant amount of funds raised would be spent on fulfilling the rewards. So we’ve been thinking about how can we improve this specifically for authors with little time and resources – and just as important make it worthwhile for the supporters.
So to make it simpler and let authors do what they’re good at, we’re introducing a crowd investment sharing platform. Simply invest in a story you love, and share its success. Authors decide how much percent of sales revenues to share and how much funding they need, while we take care of the finances and distribution to retailers. With the funds they receive, authors can hire editors and cover artists and not have to worry about how to pay for it all. We’ve seen the power of JukePop’s supportive community, every time a story is updated, readers help by sharing the news. Imagine the power of those readers if they have a stake in the success of the story on Amazon!
This is different from other crowd funding platforms because instead of simply seeing a pitch page from the author, investors will have read the story on JukePop and perhaps gotten to know the author already. The revenue share aspect also turns these investors into the author’s biggest fans, as they may be the first ones to give the book a review on Amazon, iBook, or any ebook retailer we work with. Essentially, authors can count on investors to be their word-of-mouth marketing engine. Compare that to other crowd funding platforms where the author doesn’t usually receive assistance after the funding phase, and we think the benefits are obvious.
Curious for more? Below are some frequently asked questions with our responses.
Q: Does the author retain ownership of the content?
A: Yes. The revenue share is only limited to the sale of the book – nothing else.
Q: How does the math work out for the investors?
A: Say an author wants to raise $2000, and considers that to be 50% of the book’s net sales revenue. The net sales the author is aiming for to break even for themselves and investors will therefore be $4000. If an investor puts in $40 they’ll share 1% of all future earnings. But we do the calculous for you when you click on “Invest in This Book” button. You’ll be able to see what percentage of future sales you’ll receive for every dollar you put in. The more you put in, the more you earn!
Q: How do investors get paid?
A: Don’t worry, we’ll handle the financial settlement once authors start selling on the retail network.
Q: Will you be the publisher?
A: Because we have to be the ones doing the financial settlement, we have to be the publisher in name only so we can get access to Amazon’s systems. But authors can put whatever they want on the copyright page of their book.
Q: Who sets the price of the book once it’s published? Author, investors, JP, or some combination of the three?
A: Authors set the price, since it’s their book. Investors have no control over anything beyond putting in the seed money. It’s entirely up to the author how much to listen to investors, though making them happy means they’ll talk about the book more.
Q: Who are these investors?
A: Anyone can be an “investor.” We use quotes because really, it’s more like a partnership than anything. At $40 for 1% of net revenue, investorship is within reach of anyone.
Q: Can investors rescind their investment afterward?
A: Once the deal is completed, the investors cannot rescind.
Q: Is this program open to international authors?
Q: If I were an author, how would I get started?
A: Get on the wait list by clicking here.
Q: I have more questions!
A: See the FAQ here or leave a comment below.