Introduction
You've just received an exciting brand deal offer, but as you read through the agreement, something doesn't feel quite right.
Not all brand deals are created equal. These are the five most crucial elements to look out for in your brand deal agreement to ensure you're protecting yourself and getting the best possible deal.
Scope of work
First and foremost, you need to understand exactly what the brand expects you to deliver. Are they asking for a series of Instagram posts, a YouTube video, or perhaps a TikTok campaign?
Make sure the deliverables are clearly stated, including the number of posts, the platforms you'll be using, and the specific dates for each deliverable.
Don't forget to clarify whether the brand will be using your content on their own channels or website, as this can impact your usage rights and compensation.
Usage rights
Speaking of usage rights, how does the brand intend to use your content?
Will they be reposting it organically on their social media or website, or will they be using it for paid advertising, such as TikTok Spark Ads?
There are 2 ways a brand can use the content produced: Organic or Paid. How much you charge them for this is up to you.
Organic usage
When a brand uses your content organically, this can include reposting it on their social media, putting it on their website, or company video. Simply put, using it in a way where they aren’t paying to promote it.
Paid usage
A good example of this would be Spark Ads on TikTok, where they are using your content as an ad on their end, where they are paying to promote this content.
The way a brand uses your content can significantly affect your earning potential, so be sure to negotiate usage rights. Always set a clear end date for the brand's usage rights to avoid losing out on potential income in the long run.
Tip: You can charge the brand if they wish to use your content for extended periods.
Exclusivity
During their campaign, brands would not want you to promote their rival brand’s products, so most agreements have an exclusivity clause.
If a brand expects you to refrain from working with other companies in the same niche for an extended period, such as two months, consider the potential income you could be losing out on. Don't be afraid to negotiate exclusivity terms that work for both parties.
Compensation and payment terms
Now the best part: getting paid!
Make sure the agreement clearly outlines how the brand will compensate you, whether it's through cash, product seeding, or vouchers (whichever YOU prefer).
If you are compensated in cash, pay close attention to the payment terms - how long after the campaign will they pay you? (NET30, 60, 90?) Ensure that the payment terms align with your expectations and that you're comfortable with the agreed-upon dates.
Keep an eye out for the dates you need to send your invoice in by as well - the best is to send ASAP so if there are any errors in the invoice, you can rectify them to not delay your payment (all this can be avoided by using Gigapay btw)
Tip: Include late fees in your contract to ensure that the brand pays you on time, and if they don’t, you are contractually protected.
Disclosure and compliance requirements
As an influencer posting sponsored content, you are expected to disclose it to your audience that it is promotional content.
However, brands may have specific disclosure requirements, such as particular tags or hashtags they want you to use. Make sure you understand and comply with these requirements to maintain transparency and avoid potential legal issues.
Conclusion
In summary, protecting yourself when signing a brand deal is crucial for your long-term success as an influencer. By carefully reviewing your agreement, you can ensure that you're entering into a fair and mutually beneficial partnership.
If any of these five key elements are missing or unclear in your agreement, it's time to pump the brakes and negotiate terms that work for you. Remember, your time and talent are valuable, so don't be afraid to advocate for yourself and seek professional advice when needed.
