No-royalty

In the context of intellectual property and creative works, 'no-royalty' signifies a licensing or usage agreement where the creator or licensor does not receive ongoing payments, known as royalties, based on the number of times a work is used, sold, or performed. It contrasts with royalty-bearing licenses where the licensee pays a percentage of revenue generated from the work. This arrangement often involves a one-time fee for unlimited or defined usage, simplifying the licensing process and offering cost predictability for the user, but relinquishing potential for profit sharing based on commercial success. Commonly associated with stock music, images, video footage, and software components, the term guarantees a degree of freedom to use the media without incurring further charges after an initial purchase.

No-royalty meaning with examples

• Our marketing team opted for a 'no-royalty' music track for the promotional video to avoid recurring licensing fees. They appreciated the straightforward pricing model and the ability to use the music across various platforms without tracking usage statistics. This allows them to freely produce, distribute, and monetize their advertising content without incurring incremental costs for the soundtrack's integration.
• The indie game developer selected 'no-royalty' sound effects for their game's audio, ensuring they wouldn't have to share revenue with the sound designers. This enabled them to control costs during development and launch, allowing the team to have more control over the financial model, without paying an additional charge after the initial purchase.
• For their website redesign, the company sourced 'no-royalty' stock photos, streamlining the process of acquiring visual content. They preferred the convenience and budgeting benefits, making for an effective and affordable way to source content. The flat fee model worked well with the site’s budget and content plans, providing the legal rights for use.
• When selecting background footage for a training module, the project lead opted for a 'no-royalty' clip. This option provided a cost-effective solution for educational materials, and with a single purchase, they were able to integrate the footage into different training sessions for various employee groups, simplifying their financial tracking and management.