Compensation (Altered Rev Share)

Compensation: (IMPORTANT: PLEASE READ) Altered Form of Revenue Share

WHAT IS THIS? (Short-ish Version)

As a TL:DR, this is an altered form of traditional rev share, where you accumulate a balance to be paid out, rather than a flat percentage share permanently. Depending on the quality and amount of work provided, you will also have opportunities for permanent rev share after your balance is paid out. The reasoning behind this choice is for a couple reasons that are explained more in depth below, but the basic idea is if you want to only contribute once in a while or only on one section, you can still get paid without needing to dedicate more time/effort/etc that you may not want to do.



WHAT IS THIS? (LONG VERSION)


VALUE OF WORK:

All work will be divided up into sections/tasks that will increase your developer balance. Each task will be given an initial base value based off loose estimations of the work required. This will be increased as challenges and changes in complexity arise. My goal with this is to be extremely generous with the pricing, as I don't really have an interest in making more money than the rest of the team. I want all of us to succeed together.

The initial task value will be determined by the following:

-Estimated time to complete in days/weeks,

-Collaboration requirements (adding some value to collaborator's balance),

-Complexity of the task,

The task can/will increase based on the following:

-Actual time to complete (within reason)

-Quality/polish of the final work

-Similarity to the initial vision of the task. Essentially, does it function the way we wanted?



WHAT IS THE REASON FOR THIS?

We've decided to go this route for a couple reasons as listed below:

-Adaptability: If a person contributes something to the project, and for one reason or another decides to leave the team. He/She should still be rewarded for the work should the project see completion.

-Fairness: I as project manager have no interest in getting rich while the team that made it possible gets shafted. We will get paid an equal amount for as long as the developer carries a balance.

-Longevity: This ensures a scalable product. If it ends up becoming a massive success, we can use excess profits to:
A) Fund continued updates of the current project;
B) Fund new projects
C) Reward long-term maintenance from developers by allowing them to continue gaining developer balance.



DETAILED DESCRIPTION OF HOW BALANCE WILL WORK:


As an example, let’s say there were 5 total team members over the course of development, and team member #5 was only around for one week. The balances are as follows:
Team Member #1 - $50,000

Team Member #2 - $75,000

Team Member #3 - $40,000

Team Member #4 - $200,000

Team Member #5 - $1,000

The first month of revenue the game generates is $5,000. All team members will then be paid out $1,000 (5,000 / 5)
The next month of revenue is another $5,000. Since Team Member #5 has been paid out his full balance and has not been offered permanent rev share, the split will be applied equally to the remaining member’s balance, regardless of the difference in balance. (Team Members 1-4 will get $1,250)

DISCLAIMER:
This is AS NOTED PREVIOUSLY an alternative to traditional revenue share. It is still under the umbrella of revenue share. That being said, the balances SHALL ONLY and WILL ONLY be paid out based on revenue the project itself generates. Master Work Studios and its subsidiaries are under no obligation to pay out these balances should there not be enough revenue to do so. However, absolutely ZERO revenue will ever be withheld from paying out balances 100% equally. Any operating costs will come out of the Project Manager’s cut directly.