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Revenue Share

1. What is the H-Lounge Revenue Share Program?
2. Do I need to sign up for the Revenue Share Program?
3. How much do I get?
4. Who is eligible?
5. I’m 13-17 years old. Do I really need parental consent to join the program?
6. Why do you need to collect my Social Security number?
7. Is my personal information safe?
8. How do I get paid?
9. When do I get paid?
10. Is there a transaction fee?
11. Where can I see my balance?
12. Is the program retroactive to sales prior to my signing up for the program?
13. What happens to royalties for people who are inelligible to participate in the revenue share program?

14. Looking for the legal stuff?


1. What is the H-Lounge Revenue Share Program?
The Revenue Share program is H-Lounge’s system for paying you royalties on your music sales.

2. Do I need to sign up for the Revenue Share Program?
Yes. Once you have created your H-Lounge member account, you can sign up for the Revenue Share program by going to your My Profile page and clicking on the SALES icon.

We will need some additional information from you in order to pay you. So just follow the steps, fill out the forms with accurate information and you will be ready to roll.

3. How much do I get?
Using H-Lounge to sell your music as MP3s, ringtones, and Skypetones is totally free. And we pay you royalties up to 90%!

The basic principle is pretty simple: The more you sell, the bigger your piece of the pie gets.

Keeping in mind that a fan typically pays $1.00 for your song, here's how it works. The first 10 sales are on a fixed scale. After that, we use the listed formula to smoothly calculate what percentage of your sales you receive up to 90% for 1000 songs sold.

Music Sales Royalty Percentage Royalty Paid
     
1 10% $0.10
2 20% $0.40
3 25% $0.75
4 30% $1.20
5 35% $1.75
6 40% $2.40
7 45% $3.15
8 50% $4.00
9 55% $4.95
10 60% $6.00

After 10
Royalty % = (log10(Sales) + 3) * 15

20 64.52% $12.90
50 70.48% $35.24
100 75% $75.00
300 82.16% $246.47
500 85.48% $427.42
800 88.55% $708.37
1000 90% (Maximum) $900.00

Sales levels are assessed on a monthly basis.

All percentages are calculated over H-Lounge’s NET revenue. For instance, people who pay by phone pay $2. However, the carrier keeps about half. So H-Lounge’s NET revenue is $1. Also, from time to time, H-Lounge may run promotions selling music for less than $1. Your percentages will be calculated on NET amount received by H-Lounge.

See H-Lounge’s Royalty Schedule for more details.

4. Who is eligible?
First, you must be at least 13 years old. And if you are between 13 and 17, you will need parental consent – keep reading for more info.

Also, at this time, due to legal and tax implications, the Revenue Share program is available to U.S. residents only.

To our dear international members:
As much as we would love to extend the program to you all, we are just not able to do it right now. We are definitely working on it! In the meantime, we hope you will stick around and continue to enjoy all the other perks H-Lounge has to offer. And to make things fair, you can tell us where you want your share of the revenue you would have earned to go to. Check your My Profile page under SALES to set those preferences.

U.K. and Australia: We will make this program accessible to you shortly! Stay tuned!

5. I’m 13-17 years old. Do I really need parental consent to join the program? (YES, you really do.)

Your parents or legal guardian will need to agree to the Revenue Share Participation Agreement, as well as the Teen Rider Agreement. In addition, they will need to sign and send us the Teen Participation Rider Form. Just follow the instructions on the Teen Participation Rider Form. It’s easier than it may sound!

We know it may be tough to get your parents to consent, but you can show them that consent is all about giving you the power to make awesome music and money, and that we are a trustworthy site that isn’t out to do anything but support your genius and creativity.

Your participation in the program will be pending until we get the signed Teen Participation Rider Form from your parent or guardian. Once we get it, we check it, enter the data into our system and you are ready to roll!

6. Why do you need to collect my Social Security number?
We are required by the IRS to report your royalty earnings. That’s right – you will get a 1099 Form from us at the end of the fiscal year. Without your Social Security number we simply can’t sign you up for the program. If you are between the ages of 13-17, we will be paying your parent or guardian and will therefore require their Social Security number.

7. Is my personal information safe?
Ensuring the security of your personal information is very important to us. The moment you submit your information and before your social security number leaves your computer, we encrypt it using Secure Sockets Layer (SSL) technology. That means only H-Lounge has access to your social security number, and we will never give this information out to anyone except tax authorities for the purposes of reporting 1099 income.

To learn more, check out our Online Security Policy and our Privacy Policy.

8. How do I get paid?
We will pay you through PayPal.

PayPal enables anyone with an e-mail address to securely, conveniently, and cost-effectively send and receive payments online. PayPal serves over 96 million customers world-wide and is a trusted eBay company.

When we make a payment to you, we will send you an email report to notify you. Shortly after, you will also get an official email from PayPal with instructions for how to collect your money.

Signing up for PayPal is easy and fast.

Note: If you already have a PayPal account, make sure you sign up for the Revenue Share program using the same email address you used to create your PayPal account. It’s not a requirement – PayPal gets the money to you one way or another – but it just makes it a lot simpler for everyone!

9. When do I get paid?
Payments are made once a month.

At each payment cycle H-Lounge will send payments through PayPal to all members who signed up for the program and have any earnings in their account.

10. Is there a transaction fee?
Yes, there will be a transaction fee. We will use PayPal’s Mass Pay service to send you money and that service costs us 2% of each payment. 2% will be deducted from each payment to cover transaction costs.

11. Where can I see my balance?
Go to your My Profile page and click on the Sales icon to access information on your current sales, percentage bracket, and estimated monthly earnings, as well as information on payment history if applicable.

12. Is the program retroactive to sales prior to my signing up for the program?
Yes – for a limited time, we will grant you Royalties on sales which occurred up to 60 days prior to the day you sign up for the Revenue Share program.

13. What happens to royalties for people who are inelligible to participate in the revenue share program?
Sometimes we just can’t get the money to you. Maybe you’ve left the United States and are no longer eligible to participate in the Revenue Share program. Or maybe you couldn’t get that Parental Consent form signed.

It doesn’t seem entirely fair for us to take your portion of the royalties without at least giving you a choice. First, we let those unclaimed or uncollected royalties age for 60 days, in case your status changes. Then, by default, half of that cash will be returned to H-Lounge to give us a little extra financial help in making H-Lounge and your experience here better, and the other half will go to charities of H-Lounge’s choice. If your Revenue Share account isn’t yet activated, you can tell us to give 100% of the balance to charity, or 100% to ourselves to make H-Lounge better. That option is configurable in your My Profile page under the Sales icon.

14. Looking for the legal stuff?
Please make sure to read the Revenue Share Participation Agreement as well as our H-Lounge’s Terms of Use.


 


 
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