e-book payment delays

[Bramblethorn]

Just a heads-up for those who sell e-books that several of the major distributors seem to be invoking COVID-19 as an excuse to delay payments on e-book sales, even though they've already received money from customers.

The platform that I sell mine through sent out some updates warning that some of their downstream distributors are doing this, although they managed to persuade Barnes and Noble to reverse that decision (not sure if that applies to all sales through B&N, or just my platform). Bibliotheca is also planning to shift their payments from 30 days to 60 days after sale, though they're a smaller seller so this is probably less important.

It doesn't affect me noticeably, since I haven't put anything new up in a while, but might be an issue for those of you who get a significant amount of money through these channels.

 

[lovecraft68]

Not sure what time-your time-you posted, but last night SW released a special payment and it was B/N royalties, after getting a lot of heat, B/N has changed their tune and are going to pay.

Here is the e-mail that followed the payment

On Monday of this week, as I reported at Site Updates, Smashwords received notification that Barnes & Noble was proposing to institute 90-day payment delays to large publishers and distributors as they grapple with the Covid-19 pandemic. They were late in paying their February invoice, which is why B&N's February sales were omitted from the payment round we completed earlier this week.

I expressed my concern about this to B&N. Their proposed 90-day payment delay struck me as improper, especially considering they had already collected the money from customers. Here at Smashwords, we consider paying authors on time not just an obligation - it's a sacred responsibility.

I also explained that such payment delays would cause unnecessary hardship for indie authors and small presses. From my point of view, it shouldn't matter if a retailer owes an author only $10. For some authors, especially in this time of economic anxiety, a timely payment of that $10 might make the difference between eating their next meal, or skipping it.

I'm pleased to share that Barnes & Noble was incredibly receptive to my concerns and gracious in their quick response.

I received word yesterday afternoon that Barnes & Noble is restoring Smashwords back to our regular payment schedule going forward, and that an immediate payment was forthcoming to make our authors and publishers whole. As a special cherry on top, they're even paying for their March sales a few days early. How often does a retailer to do that? How about never?

Impressive. B&N is looking out for the indie author and small press community, and it makes me admire the company and their amazing people all the more.

B&N has always been a great partner for Smashwords and the indie authors and publishers we represent. Barnes & Noble was one of the first major bookstores to embrace indie ebook authors (Smashwords opened B&N to indie ebooks back in 2009). They've always paid their invoices reliably and on time for the last 11 years. That is, until this hiccup which thankfully has now been resolved.

Smashwords will now begin processing a special payment round to authors and publishers for unpaid February B&N sales from the payment round we issued earlier this week.

But read on, because a special treat is in store.

Smashwords Issues Early Author Payments
Since we're already doing a special payment round today to cover B&N's February sales, and B&N is also paying a few days early for the March sales which would normally be included in your next regular payment round in a few weeks, we decided now would be a great time for Smashwords to go the extra mile in this time of need.

We understand you're experiencing hardship and anxiety. We all are. But we're in this together, and together we'll get through this.

We're paying B&N February today. We're also paying B&N March today. And because we received payment from Scribd a couple days after the last payment round went out, we're also going to pay that early as well.

We hope this early payment might brighten your day. It's your money not ours, and our balance sheet can support it.

Just remember that when you get your normal payment in May, it won't include your B&N and Scribd for March earnings, because you will have already received it early in this special payment round! So budget accordingly.

Authors and publishers paid via PayPal should start receiving their money tonight. Paper checks will be mailed early next week.

Thank you for your trust and partnership. When you publish and distribute with Smashwords, you're directly supporting our ability to advocate for you and support you!