Istock being absorbed into Getty ...

[MichaelJayFoto]

I also agree that any relation to any IPO makes not that much sense. Accounting related the royalties are still due payments, they are not added to their profit margin. And based on the last numbers we know, we are probably talking about $10 millon payouts delayed by a month, given the current interest rates, we are talking about less than $20,000 a month that could be earned in interests.

It is likely that they are going to make more savings from removing the additional acccounting and tax departments they had to keep running in Calgary. And that's what I think is the most important reason for the change.

[EmberMike]

I'm probably in the minority here but I have no problem with long waits for payment. As long as it comes eventually and somewhat regularly, I'm happy. To me, waiting a month or two for payment is not only acceptable but pretty normal. My freelance clients often take about as long to pay. Some less, some more, but my invoices are always Net 45 and I have no issue with waiting that long. I've had the occasional client who regularly took 70+ days to pay me, so if a stock agency takes a month or two, I'm not concerned.

[shudderstok]

I'm probably in the minority here but I have no problem with long waits for payment. As long as it comes eventually and somewhat regularly, I'm happy. To me, waiting a month or two for payment is not only acceptable but pretty normal. My freelance clients often take about as long to pay. Some less, some more, but my invoices are always Net 45 and I have no issue with waiting that long. I've had the occasional client who regularly took 70+ days to pay me, so if a stock agency takes a month or two, I'm not concerned.

Totally agree with you. I've been with GI independent from IS for years before IS was a wet dream. GI has always paid this way so it's really not a big deal. The only sh!tty part is if you are not in a US tax treaty country, but that is the IRS doings not GI.

[ARTPUPPY]

I also agree that any relation to any IPO makes not that much sense. Accounting related the royalties are still due payments, they are not added to their profit margin. And based on the last numbers we know, we are probably talking about $10 millon payouts delayed by a month, given the current interest rates, we are talking about less than $20,000 a month that could be earned in interests.

It is likely that they are going to make more savings from removing the additional acccounting and tax departments they had to keep running in Calgary. And that's what I think is the most important reason for the change.

Roughly 10 million a month, held in a 30 day investment vehicle (for example a Bank of Montreal short term investment certificate) that has a 0.600% rate can earn them $60,000 in a month. For one year that's roughly $720,000 in free money. And if you can invest up to 10mil a month you can get a better rate than that. What that gives Getty is "float", basically making money from other peoples money. It's how Buffett made billions from people's insurance premiums.

[r2d2]

I also agree that any relation to any IPO makes not that much sense. Accounting related the royalties are still due payments, they are not added to their profit margin. And based on the last numbers we know, we are probably talking about $10 millon payouts delayed by a month, given the current interest rates, we are talking about less than $20,000 a month that could be earned in interests.

It is likely that they are going to make more savings from removing the additional acccounting and tax departments they had to keep running in Calgary. And that's what I think is the most important reason for the change.

Roughly 10 million a month, held in a 30 day investment vehicle (for example a Bank of Montreal short term investment certificate) that has a 0.600% rate can earn them $60,000 in a month. For one year that's roughly $720,000 in free money. And if you can invest up to 10mil a month you can get a better rate than that. What that gives Getty is "float", basically making money from other peoples money. It's how Buffett made billions from people's insurance premiums.

Getty Mafia.

[MichaelJayFoto]

Roughly 10 million a month, held in a 30 day investment vehicle (for example a Bank of Montreal short term investment certificate) that has a 0.600% rate can earn them $60,000 in a month. For one year that's roughly $720,000 in free money. And if you can invest up to 10mil a month you can get a better rate than that. What that gives Getty is "float", basically making money from other peoples money. It's how Buffett made billions from people's insurance premiums.

Obviously you are lacking understanding of how interest rates work. No bank is paying 7.2% annual interest rates at the current market. The 0.6% you are talking about is the annual rate. You would receive 1/12th of that for a single month, equalling $5,000 not the $60k

[stock-will-eat-itself]

Agree, the amount they make on interest is negligible, it's more about cutting costs by having one accounting dept.
The more interesting thing that's going on is that the Calgary office is being stripped back more and more and if it will even still be there in a couple of years time and what this means for iS and the exclusivity programme over the next couple of years.

[jefftakespics2]

Typically firms do not invest the money they hold by extending accounts payable in investment instruments, but use the money as working capital to fund business operations where the return on investment is much higher than a short term instrument, (they hope) the idea being that you can earn more from funding business operations than a static rate of return from the bank.

[shudderstok]

Getty is holding on to mucho dinero each month for as long as possible, undoubtedly investing it and making a nice return on what is actually other people's money.

Do you mean like every microstock agency has done since I can remember with the minimum payout of $100? Or do you just need to be anti IS and anti GI with every breath? Think about it for a moment SS requires you to sell 401 images (at the entry level) to get your minimum payout and  you support that without complaining? Just sayin.

[shudderstok]

Roughly 10 million a month, held in a 30 day investment vehicle (for example a Bank of Montreal short term investment certificate) that has a 0.600% rate can earn them $60,000 in a month. For one year that's roughly $720,000 in free money. And if you can invest up to 10mil a month you can get a better rate than that. What that gives Getty is "float", basically making money from other peoples money. It's how Buffett made billions from people's insurance premiums.

Obviously you are lacking understanding of how interest rates work. No bank is paying 7.2% annual interest rates at the current market. The 0.6% you are talking about is the annual rate. You would receive 1/12th of that for a single month, equalling $5,000 not the $60k

me thinks there is a lat of lacking in understanding in general on MSG.

[Shelma1]

Getty is holding on to mucho dinero each month for as long as possible, undoubtedly investing it and making a nice return on what is actually other people's money.

Do you mean like every microstock agency has done since I can remember with the minimum payout of $100? Or do you just need to be anti IS and anti GI with every breath? Think about it for a moment SS requires you to sell 401 images (at the entry level) to get your minimum payout and  you support that without complaining? Just sayin.

I understand the minimum payout, because it would be cost prohibitive for each agency to pay out tiny amounts every day to contributors. But what excuse does iS have for making people wait more than a month to see their sales? And then another month to be paid? All the other agencies are capable of reporting in real time.

I'm not anti iS...I have a port there, after all. But it would be great if they could catch up to current technology and offer the same reporting and payments their competitors do. It would also be great if they could get their acts together and increase sales...that means more money for me. Just because people complain doesn't mean they hate the place...it could mean they'd like them to do better. Just sayin.

[Newsfocus1]

Getty is holding on to mucho dinero each month for as long as possible, undoubtedly investing it and making a nice return on what is actually other people's money.

Do you mean like every microstock agency has done since I can remember with the minimum payout of $100? Or do you just need to be anti IS and anti GI with every breath? Think about it for a moment SS requires you to sell 401 images (at the entry level) to get your minimum payout and  you support that without complaining? Just sayin.

Just for information it's 300 -minimum payout is $75. And that assumes you only ever get basic sub sales -never mind the higher paying On Demand/ELs/ Single downloads. So, in reality, way less than 300. Regards, David.

[etudiante_rapide]

Getty is holding on to mucho dinero each month for as long as possible, undoubtedly investing it and making a nice return on what is actually other people's money.

Do you mean like every microstock agency has done since I can remember with the minimum payout of $100? Or do you just need to be anti IS and anti GI with every breath? Think about it for a moment SS requires you to sell 401 images (at the entry level) to get your minimum payout and  you support that without complaining? Just sayin.

Just for information it's 300 -minimum payout is $75. And that assumes you only ever get basic sub sales -never mind the higher paying On Demand/ELs/ Single downloads. So, in reality, way less than 300. Regards, David.

yes, as pointed out by shelma, it only takes one good sale to reach payout with ss.
in fact, in spite of many who think i am anti-ss due to the change in transparency,etc
it is not difficult to reach monthly payout with ss.
although if they do not play around with the flipping swith, the payout would be a lot more as before they started flipping switches.
still, no one with a good port will ever see more than two month for a payout with ss.
at best, u get a payout each month.

[Uncle Pete]

Without going into arguments about what they might do and how accounting works, it's illegal for them to invest our earnings that are being held. At that point it's a dead issue? So yes, that's why they typically don't invest, you are correct.

Part two, if someone makes $X a month and it's the same every month and delayed, we are still making $X a month. So the argument that some people are making about how it's a matter of "need" for faster payments, is weak.

I work, the pay period ends on a Wed. the check is mailed on the next Wed. So what's that, Three Weeks? Yikes, I have bills to pay. I want my money and I want it now. 

I work straight commission, sales. I take an order, it's delivered from the factory, which takes a minimum of two weeks, the customer pays, which is typically 30 days and longer, many pay on the last day before default, so I get my commission check the following month on the 15th. That can be 45 days to customer payment and 2-3 months before I get my cut. That's business and manufacturing sales, not Downloads.

SS reports and pays fastest of anyone in this business. Feel free to correct me? Alamy reports fast, pays when they get paid, it's the slowest and least comforting way to trust clients to pay? I'd rather have pay as you download. That leaves IS which doesn't even report for up to 45 days later! Then takes two weeks to pay, at best?

If IS can start daily reporting along with the monthly plan, they will be right in line with the standards of the Microstock Industry. If not, they will be the slowest except for the leakers and crooks.

Typically firms do not invest the money they hold by extending accounts payable in investment instruments, but use the money as working capital to fund business operations where the return on investment is much higher than a short term instrument, (they hope) the idea being that you can earn more from funding business operations than a static rate of return from the bank.

[Difydave]

"Week in hand" or "Month in hand" is a common way of being paid wages/salary in the UK. In other words when you start you work two weeks / months before getting paid. It gives a lot of people trouble. As Uncle Pete says, many "business to business" type dealings with industry are going to be paid at the end of the next month too. I used to make bespoke furniture. Although I used to take deposits, it could be several weeks of work before I saw payment.
Such is life, and as Pete says as long as you are actually making the money, that is the main thing. You obviously want the money, but when you get it isn't always as soon as you'd like in the real world.
I don't really like having things changed, it was handy being able to get weekly payments in some ways, but if that's how Getty pays out then that's how we'll get our money in the future.
 
 

[bunhill]

I don't really like having things changed, it was handy being able to get weekly payments in some ways, but if that's how Getty pays out then that's how we'll get our money in the future.

Before it was weekly, it was whenever we wanted provided the balance was over $100. I used to sometimes cash out a few times every week during busy periods.  In late 2008 I got a friendly message from them (back when they did friendly) asking (not telling) me to make slightly fewer requests. I had made 12 payout requests in just over one month. Happy days.

I long ago switched to only cashing out once a month because it was easier to do my tax return that way. If they decide to make it quarterly there would be nothing that the contributors could actually do about it.

[ShadySue]

Reading the Nov sales thread over there, the question of how often we get payouts may be moot for many of us in a year or two anyway.

[Difydave]

I remember it well bunhill. I used to do the same, then went over to monthly payments, and then back to weekly payments on the basis that I might as well have it myself as let them keep it for me.
As you rightly say whenever they make the payments is entirely up to them. Nothing we can do apart from accept the "agreement"
I agree with you Liz. Income is still on the slide, so much so that I have had to give my weekly payments a few misses over recent months. Having the income to get a payout is more important than when the payout is. At least within reason. 
The last few months of the year have always been a bit slow for me, and I'm hoping for at least some pick up in sales at the start of next year.

[bunhill]

The last few months of the year have always been a bit slow for me, and I'm hoping for at least some pick up in sales at the start of next year.

I am expecting to see a further decline in sales - and a decline in income as subs become the norm. I would also expect to see further price cutting in an attempt to win back market share in a declining market.

One thing at a time, they are simplifying the model. Therefore I doubt that the exclusivity program will survive much longer since it adds complication. I hope I am wrong but we are not hearing any positive messages of encouragement. I think the day will come when they realise that they can charge more for certain content without the need to pay more for it.

[Difydave]

I did say hoping for a pick up!
I'm afraid that the reality may well be as you say.
I agree with the rest of what you say though. Now iStock is essentially Getty, they must surely be looking at a flat 20% rate. They don't, AFAIK, have exclusivity at Getty, and that apparently works OK for them. To be honest I've thought for some time that exclusivity possibly has more benefits for the contributor than for the agency. So we can guess where the thinking would go on that.

[bunhill]

Now iStock is essentially Getty, they must surely be looking at a flat 20% rate.

I love your optimism

[Microstockphoto]

In 2012 Getty had 80M images, I estimate them now to have 105M images, and now they added the Istock collection of roughly 15M images. Growing their library by 14% overnight to 120M images.

[Difydave]

Now iStock is essentially Getty, they must surely be looking at a flat 20% rate.

I love your optimism

Dammit! I've been caught doing that optimism thing again!
I was told it could send you blind. or was that something else. . .
I'll get kicked out of the Grumpy Old Cynics Club if I carry on like this.
Not really though, when I was typing I thought "If we're lucky"