How do U get a Book PublishedWhere can I get a book published?
How much of the profit do publishers take for the publication of a book?
Turnover = turnover, after all rebates granted to branches and distributors, etc., and return from the branches. Profits are not really what you want here, but the gross margins. This is the amount used to pay off the cost of the book after all the production, commercialisation and sale expenses have been made up.
License fees differ depending on trading vs. non-trading, formats and segments of the non-trading area. At the US commercial book publisher (the kind of book you find in bookstores), here is a classic but theoretical number: the number of copies of a book you can find in a bookstore: Let us assume you have a pocket book. Let us assume there is a listed prize (also known as MSRP, or the number imprinted on the cover) of $16 per copy.
They have a net turnover of 5,000 units. This means 6500 more or less units of merchandise and a circulation of 7,000 to enable the company to market and comp. Redistributor will pay the wholesale dealer $9.60 per copy for net turnover. Wholesalers pay the distribution list (or publishers if they are really large) $7. 20 per copy for the net turnover.
Selling expenses between 10% and 15% of the listed prices per copy or another $1.60 to $2.40. Let's divide the discrepancy and call it $2. Turnover will then be $5. 20 per copy at 5,000 or $26,000 each. Let's just say an e-book that will sell about 1,000 prints at $8. 99 per copy.
Publishers get $6. 30 a $6,300 turnover. Editions preparation cost from about $3500 to $5000 (for artwork and artwork covers, line processing, copywriting, text creation and layouts, e-Book files converting, and printer and proofreader PDFs). License fees of 7. 5% of the net listed prices multiplied by net sessions sells on the printed version and 25% of the income on the 7.
5 percent of $16 * 5,000 prints = $6,000, plus 25 percent of $6300 = $1575, or a full license fee of $7575. This gives us a marginal return for the publishing house to pay the overheads (overhead, computer hardware, stationery, administration salary, etc.) and maybe a small gain of $32,300 - $27,750 = $4,550.
Incidentally, the average headcount is between 10 and 20% of book publishing revenues, so that would be another $3230 to $6460. Use the Least Number, and you are looking at real gain of maybe $1,320 on this security. But to be honest, the writer also has head. Let's say that the breakeven between writer and publishing house is $4550 + $7575 = $12,125.
This would mean that under standard circumstances the author's percentage of the profit margins would be about 63%. Keep in mind that the publishers have previously spent $25,000+ (because most of these royalties are prepaid to the authors on or before publication) with no guarantee that they will ever get anything back.
They have also put a ton of skill and support to the writer in doing the best things to commercialize the book to the readers, in selecting the covers that are most likely to be selling the books and in getting the books placed properly into the right small environment.