Study after study point to an incredible percentage — 80% — of post-license under-reporting, and 50% of that involves significant under-statement of revenue — at least 10% below what the license agreement calls for. You do the math — if you could recover 10% in underpayments for each $1 million in reported royalties, would an audit process be worth your time and effort? For a TTO with a $10 million annual royalty stream, that’s an extra million.

- from the TTT flyer on royalty audits

Calculation errors, disallowed deductions, incorrect royalty rates, agreement misinterpretation all lead to unintentional under reporting by licensees.  RoyaltyZone significantly reduces or completely eliminates these issues by improving communication and automating calculation processes.

This entry was posted on Wednesday, November 12th, 2008 at 1:43 pm and is filed under Licensing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.