Adding Cost Terms to Your Contracts
If you wish to recoup a Cost from your artist's royalties, it is important to set a Cost term on the Contract that specifies at which rate you wish to recoup this cost. Costs terms are much simpler than Sales or Deduction terms, but work in a similar fashion: you specify the rates at which you want to recoup costs and the most specific matching Cost term will be applied. Rates can alter dependent on the territory and the type of cost. Cost Types can be added or deleted as needed on the Settings page. A rate of 100 means the cost is fully recouped against the contract balance & a rate of 50 recoups half of the cost against the contract.
In the example below, Video costs would be recouped at 50%. Tour costs, but only those accrued in the United Kingdom, will be recouped at 80%. We have a general cost term which means anything not captured by the other two more specific terms will be recouped at 100%.
