Raleigh, NC (PRWEB) June 22, 2011
The Founders of SongVest, a 3-year-old company that has been featured in the Wall Street Journal, have launched The Royalty Exchange. The Royalty Exchange creates a marketplace where owners of entertainment royalties can sell a percentage of the royalty directly to individuals. “Now you can own a revenue-producing piece of your favorite songs, television shows, movies and more. These royalties provide reliable long-term income which have the potential to increase in value as songs are rediscovered or reused in a hit movie or other media,” says Sean Peace, founder of both SongVest and The Royalty Exchange.
Royalties are paid to songwriters, artists, screenwriters and producers by organizations like BMI and ASCAP for music and the Screen Writers Guild for screenplays. Currently, liquidity for the royalty owners is available only by selling their complete works or locking up all future income using the royalties to collateralize a loan. “Until now, there has been no reliable mechanism for creative artists and writers to increase their liquidity and value from their royalty streams,” according to Peace.
The Royalty Exchange provides potential buyers with a transparent view of at least six quarters of historical royalty income data as well as details about the item or items up for sale. Buyers then compete in an online auction format ending with a winning bid. Royalties are paid by the different organizations, like BMI and SWG, into a secure escrow account either quarterly or biannually and then distributed to the buyers. Buyers can track royalties through their Royalty Dashboard.
The first auction will be July 2-16, 2011. Individuals can bid on a share of the royalties of Disney pioneer Frank Churchill’s complete song catalog. Churchill joined Walt Disney Studios in 1930 and was instrumental in Disney’s use of music in their first feature films. His groundbreaking work includes classics from Snow White and the Seven Dwarfs ("Heigh Ho," "Whistle While You Work," "Someday My Prince Will Come" and "I'm Wishing”), Dumbo ("Baby Mine" and "Pink Elephants on Parade”) and Bambi ("Little April Shower" and "Love is a Song"). Churchill ultimately scored nearly 65 animated shorts, including the famous Pluto and sticky flypaper sequence in “Playful Pluto,” "Mickey's Gala Premiere," "Funny Little Bunnies” and "Who Killed Cock Robin?"
“The Royalty Exchange allows any royalty owner to create liquidity and increased value and allows fans to own a revenue-producing piece of history. These royalties also make lasting gifts to the next generation, giving reliable income that commemorates wonderful childhood memories,” says Peace.
The Royalty Exchange Disney auction will begin at 3PM EDT Sunday, July 2 and end at 9PM EDT Sunday, July 17. Register now at http://www.theroyaltyexchange.com.