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A YouTube contract is an essential legal document that safeguards the user's and YouTuber’s interests and establishes the terms and conditions of service. Achieving your goals of being a YouTuber and landing brand deals is a huge accomplishment, so you want to maximize these opportunities. You will discover the most important details required for your YouTube contract. Knowing these key terms for your YouTube contract template will help you keep more of your money and make more money from brand deals!

Essential Elements of a YouTube Contract

With over 100 million subscribers, YouTube is a lucrative and innovative professional option. In 2023, YouTube made $31.5 billion in revenue, up 1.3% from the previous year. Every month, more than 2.7 billion individuals visit YouTube.

Here are some of the essential elements that must be taken into consideration while signing a YouTube contract:

  1. Receiving Payment in Advance: You invest significant time in producing sponsored content for a brand. It takes time to get approval from the brand, so you may need to send it to them. You work hard, thinking it will all be worthwhile when you get paid. You are advised to include a deposit, or at least a portion of the fee, in your YouTube contract template. If something goes wrong with the deal, you will have peace of mind knowing that you will at least get paid a portion of what you are entitled to.
  2. When the Brand Ends the Agreement: The tiered payment plan in the event of a termination at any point is the next item your YouTube contract template needs to have. When a brand collaborates with you, and things do not work out, or something bad happens to you, you do not want to be forced to work with them or vice versa. Therefore, your YouTube contract template must include the percentage of the fee you are due at each stage of the process when the contract is terminated. This way, you can be certain that you will receive your just compensation and retain a portion of the money you have already paid.
  3. Promotional Purposes: Influencers typically grant brands permission to use the sponsored portion of their video on their platforms, such as Instagram feeds. However, the brand might (also) want to use the portion of the video that you sponsored for advertising. In that instance, royalties can be requested from the brand. Ensure you own the intellectual property rights to that video in your YouTube contract template.
  4. Limitations of the Authorization Procedure: Before publication, the brand probably wants to give its approval for the video. This implies that the sponsored portion of the video may go through several revisions and be refilmed. That is okay if it does not become an unending cycle where the brand always asks for changes. For this reason, the price of your YouTube contract template should include a finite number of drafts and revision cycles. The fact that you will bill more for that additional work must, therefore, be included in your YouTube contract template. Consequently, you will receive more money!
  5. YouTube Video Advertisements: Nevertheless, some brands might anticipate that you will not display advertisements for the sponsored content in the video. In light of the amount you are paid, consider this. A sponsorship deal is fantastic, but that payment is only made once unless you receive royalties and a commission for each sale using your discount code. Either way, your YouTube contract template needs to clarify whether you plan to run advertisements on your sponsored YouTube video.
  6. Exclusionary Limits: Your YouTube contract template should include a creator-friendly exclusivity clause option because brands will probably want exclusivity. If the exclusivity clause is overly broad, you cannot collaborate with brands that may be in the same sector but wish to promote quite different products. Ensure the products covered by your exclusivity clause are the only brands that compete with the brand you are working with, not any other brands.
  7. Receiving Compensation: Receiving a commission on every transaction made with your discount code is an excellent method to increase your income. Typically, a brand will provide you with a code your audience can use to save money on products. If the company is not offering a coupon, you can find out if they have an affiliate program, which would allow you to get paid for any sales that come from links you put in the description of your videos. Include this as an additional fantastic bonus in your YouTube contract template.

Limitations on Utilizing the YouTube Contract

Within the boundaries of this agreement and any applicable laws, you have the freedom to access and use the Service as it is made available to you. Content is available for private, non-commercial use, whether for watching or listening. The embeddable YouTube player is also available to display YouTube videos. The following guidelines govern how you can use the Service. You are not allowed to:

  • Access, copy, download, share, send, broadcast, display, sell, license, change, modify, or utilize any portion of the Service or any content in any way other than the following:
    • as permitted by the service explicitly; or
    • with prior written consent from YouTube and, if relevant, the relevant rights holders;
  • Use any automated methods (such as robots, botnets, or scrapers) to access the Service unless:
    • public search engines comply with YouTube's robots.txt file or
    • YouTube grants written permission in advance;
  • Disable, fraudulently interact with, or otherwise tamper with any aspect of the Service (or attempt to do any of these things); this includes security-related features and those that:
    • prohibit or restrict the use of the Service or Content for copying or other uses or
    • use the Service to disseminate bulk or undesired solicitations or unsolicited commercial or promotional content;
  • Cause or encourage any erroneous assessments of actual user interaction with the service, such as:
    • by compensating individuals or offering them incentives to boost a video's views, likes, or dislikes, grow a channel's subscriber base, or engage in other forms of metrics manipulation;
    • abuse any process related to reporting, flagging, complaints, disputes, or appeals, including by submitting frivolous, vexatious, or unfounded claims;
  • Utilize the Service to:
    • sell any sponsorships, advertisements, or promotions that are placed on, around, or within the Service or Content, aside from those permitted by YouTube's policies regarding advertising, such as compliant product placements; or
    • sell sponsorships, advertisements, or promotions on any page of any website or application that solely features content from the Service or where content from the Service serves as the primary basis for such sales (for instance, selling ads on a webpage where YouTube videos are the main attraction for visitors).

Note: To learn more about the restrictions, visit this website.

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Key Terms for YouTube Contracts

  • Fundamental Breach: This occurs when one party fails to uphold its part of the agreement. The other party can seek damages in court.
  • Recitals: Although optional, they can offer insightful information that expands on the contract's background.
  • Copyright: It is a legal term that gives authors of original works the sole right to utilize and share their works.

Final Thoughts on YouTube Contracts

Thanks to YouTube, anyone can now become famous on the internet. YouTube has everything from professional training tools and business marketing to funny cat videos. To avoid waiting days or weeks for a response, having an attorney from a trusted firm draft and review the agreement is best.

If you want free pricing proposals from vetted lawyers that are 60% less than typical law firms, Click here to get started. By comparing multiple proposals for free, you can save the time and stress of finding a quality lawyer for your business needs.

ContractsCounsel is not a law firm, and this post should not be considered and does not contain legal advice. To ensure the information and advice in this post are correct, sufficient, and appropriate for your situation, please consult a licensed attorney. Also, using or accessing ContractsCounsel's site does not create an attorney-client relationship between you and ContractsCounsel.

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