Hi guys,
I am currently working on an AGS project (Neofeud (http://www.indiedb.com/games/neofeud))which I intend to become commercial when completed. Unfortunately I don't have much experience in the way of business/contract/copyright, as I've never taken a game commercial*. I'm presently looking to recruit members for my team, and am just wondering if anyone has some advice on what I should/should not do at this point. I'd be especially curious to hear from AGS creators who've gone commercial with a title.
Thanks very much!
(*I do have one other relatively serious project, Terminus Machina (http://www.moddb.com/mods/terminus-machina), which garnered some 'donations', but was free to download).
Make sure to use no-MP3 version of the engine (replacing acwin.exe in the Editor's installation folder), unless you are willing to pay $2500 to the patent owner:
http://www.mp3licensing.com/royalty/games.html
Thanks, Crimson Wizard for the point about using OGG rather than MP3!
It's kind of a big question, so you'll have to zero in a little further on what your needs are.
You say you are looking to recruit "members for your team". Are they volunteers doing work for you? Are they paid contractors? Are they stakeholders in your product? Where is your business registered? Are you prepared to spend your own money on litigation, or are these contracts intended to be solely to establish terms and expectations?
Sorry the question is pretty broad, I guess that's an artifact of my lack of knowledge in this area.
I guess the more specific question is: if I recruit another team member for my team, and I intend to make this game commercial eventually, what do I need to do now to avoid problems down the line?
By problems, I mean ensuring fair compensation for the contributors, making sure the work that's in the game can be used in the game, etc. For example, if an artist creates assets, then later decides to leave the project and refuses to allow us to use the assets, which would put us in a difficult position. How could that be avoided?
Is it a good idea to have members who are volunteers, paid contractors, or stakeholders? I guess I want to make sure I don't have volunteers, who later turn around and demand to be stakeholders at the last minute. I definitely want to avoid litigation as much as possible.
I was also approached by two sound artists and a musician, who wanted me to sign a contract that would give them specific percentages of the games profit before they would even "start working". I felt like I wasn't yet ready at the time to go bring them on.
I'm hoping not to spend much money on litigation if possible, although if the game takes off (cross fingers), I suppose that's an eventuality.
Here's an unorganized list of polite suggestions --
It is a good idea to identify your own strengths and weaknesses, as well as opportunities for personal development. What are the things your game will need that you cannot provide? What are the things your game will need that you might be able to produce if you work hard and practice? Bring on partners only for those skills in the former category. Take the time to develop those skills in the latter category.
Members is an unusual term for a commercial venture -- partners might be more appropriate. We share equity, hire contractors and/or ask for volunteers, depending largely on the scale of work involved and the quality of the product.
Know the labour and tax laws of your country! I mean REALLY know them. Esnure your partners know the tax laws of their own countries, because there will come a time when you may have to pay out royalties or dividends, and it's not necessarily as straightforward as mailing a cheque depending on the nature of the work.
It is exceedingly rare that there are people out there willing to give you 110% for sweat equity, so choose your partners wisely. Find somebody that shares your work ethic and vision. Be flexible in that vision to give your team some personal ownership of the creative side. Be generous with your equity, and give your partners some skin in the game if they're working as hard as you are. Show respect to those potential partners who seek agreement of terms before they "start working", and be wary of those who are helping you right now because they're bored, but might walk away a week later having wasted your time and getting your hopes up. Again, be choosy about who you work with.
True partners share costs as well as revenue. Others may prefer a royalty agreement. Ensure that you have expense provisions in your contracts, and take steps to protect you, and your partners from abuse of these provisions.
If an artist creates assets and leaves the project, you've got bigger problems than the ownership of the left-behind assets. You've got mismatched art, which may require starting over. It's a risk. I'm also nervous because artists can, in my experience, be flighty with long-term projects. Be clear about the workload from Day One and build a broad schedule you can both be comfortable with. Then expect it to take three times longer than that.
Two sound artists is usually more than you need for a small-scale project, but that's for you to decide. I'm always in the market for a reliable audio engineer who will work for equity.
Be somebody people want to work with. Take care of the people who volunteer for you, contract for you, or partner with you. Make sure they feel personally involved in the product. Be generous with credit, and promote their other activities whenever you can. Having a fulsome, reliable network is going to save your butt later on down the line -- I promise you.
If you want to get into the legalities, we can do that too. But your questions seemed pretty general -- is this a good idea, and should I be careful doing it? The answer is yes to both.
Thanks for the insights, Kodiak.
To get a bit more concrete... is there a good template, reference, something I can use for drawing up a contract to use with a partner and/or a contractor?
There isn't really a one-size-fits-all template I'd recommend. Google "partnership agreement", cut out what doesn't apply and add what you think is missing. Give your partner/contractor an opportunity to make edits or revisions -- this is, after all, as much for them as it is you. If you're talking about serious money, and you're working with a professional contractor, they will usually have their own agreements for you to look-over.
Hmm...
I haven't done a commercial game myself, but I work as a composer in many commercial games, plus I own a music publishing house, so I've been through... A LOT!
Here's a few ideas (though I've not read what kodiac had to say, to be honest).
1. Make sure there is some kind of contract between you on the people you work with. It isn't a matter of trust, or loyalty or whatnot. It's a matter of setting down in writing what you expect and what they expect. Common sense doesn't apply in any business dealing, nor in any part of the country.
It certainly doesn't mean that there will be some kind of problem but contracts are there exactly for the case of running into trouble. Otherwise they're locked inside a drawer, never to be seen most of the times.
2. Set clear milestones and deadlines. Avoid putting yourself into the corner by waiting for your coder/artist/musician to finish what you need RIGHT NOW.
3. Be very specific with the financial matters. Take into account everything. Tax, shipping fees (if any), royalties, etc...
gamedevelopment.tutsplus.com/articles/setting-up-your-indie-gamedev-business-a-primer--gamedev-14062 (http://gamedevelopment.tutsplus.com/articles/setting-up-your-indie-gamedev-business-a-primer--gamedev-14062)
Maybe the article linked above can be helpful to you. I've just looked through it really fast but my impression is that it covers a lot of the stuff you need to think about. :)