General Information

Generally, "commercial use" is the use of the work for profit, including sales, marketing, branding, merchandise, etc. Generally, under commercial use, you may: 

• Use the work for merchandise (prints, using a character design for a figurine/plushie intended for public sales, etc.)

• Use the work for branding and advertisement (such as using a logo for a profitable entity, using a character design as the mascot of a commercial/profitable entity including companies and closed species, using artwork for packaging merchandise and such, using the artwork to advertise or present something intended for profit, etc.)

• Limit access to the work behind a paywall / require payment to access the work. 

Commercial usage is divided into three tiers based on business size and expected profit. All tiers require explicit discussion and agreement before commercial use begins. Pricing varies based on the type and complexity of the commissioned work. For instance, mascot or logo designs and finished artwork (such as splash art, banners, Vtuber model artwork) will have higher fees compared to general character designs. The exact price and rights are discussed and can be negotiated case-by-case. 

Net profit is calculated as revenue directly attributable to the commissioned work minus direct costs associated with operations directly related to the commissioned work. Notes:

• Direct costs include production, shipping, and services necessary to make the commissioned work commercially functional (such as rigging artwork for Vtuber models, or the cost of paper and shipping for stickers). 

• Platform fees are only deductible to the extent they are directly attributable to sales/revenue from the commissioned work (such as transaction fees on individual sales, but not general platform hosting or subscription fees). 

• Direct costs do not include commissioning additional artwork of the same character, marketing costs, or business development expenses not specifically required for the commissioned work. 

• Profits and costs are considered reset annually. If you do not break even in your first year, you will not need to pay royalties for that year, but your previous costs from that year will not carry over to the following year.

Tier 1: Personal/Small Creator

Eligibility: Individual creators, small-scale operations with expected annual profit under $1,000 from the commissioned work.

Pricing Options

• Option A: One-time flat fee of 50-100% of original commission cost.

• Option B: Small upfront fee of 10-40% of original commission cost  + 5-10% royalties on net profit.

Rights

• Small merchandise runs (stickers, prints, etc.)

• Monetized content creation (YouTube, social media with ad revenue)

• Self-published works, such as web novels and comics, and small-scale distribution

• Personal branding for non-commercial entities

Terms

• Upon payment, you will be sent an email with the description of the work, amount paid, and rights gained; you must reply with your acknowledgement, and this is considered binding. You may use your alias for agreement. 

• You must upgrade to Tier 2 if annual profit exceeds $1,000; this tier operates on an honor system for profit reporting. 

Tier 2: Small Business

Eligibility: Small businesses, established creators with expected annual profit of $1,000-5,000 from the commissioned work.

Pricing Options

• Option A: One-time flat fee of 2-5x original commission cost.

• Option B: Upfront fee of 1-2x original commission cost + 10-15% royalties on net profit.

Rights

• All Tier 1 rights

• Larger merchandise production runs

• Commercial branding and marketing materials

• Professional service advertisements

Terms

• Formal contract with digital signature required. Your legal name will be required for the agreement. 

• Annual profit reporting required if royalty option chosen; otherwise, it is only required if profit exceeds $5,000, at which point upgrade to Tier 3 is required. 

Tier 3: Established Business

Eligibility: Companies, organizations, or creators with expected annual profit exceeding $5,000 from the commissioned work.

Pricing and Rights

• Fully negotiated case-by-case based on scope, expected usage, and profit potential.

Terms

• Formal contract with digital signature, legal name, business information required.

• May include ongoing royalties, audit rights, and usage restrictions.

General Commercial Terms

• If you upgrade your tier, you only need to pay the difference; you do not need to pay the full cost of the new tier. If you selected the royalties option and profit falls below your tier, you can request to return to the lower royalties percentage unless/until the profit goes up again. 

• Clients must upgrade tiers or renegotiate when profit thresholds are exceeded. Renegotiation must be initiated within 30 days of exceeding profit threshold. Failure to do so may result in license revocation and potential legal action. 

• Clients choosing royalty options must provide annual profit reports related to the commissioned work. Royalties must be paid no less often than annually. 

• Visible credit must be provided in commercial applications, though it doesn't need to be prominent.

• I reserve the right to renegotiate terms if usage significantly exceeds original scope, if profit substantially exceeds expectations.

• You are permitted to resell the commissioned work along with the commercial license. The resale price cannot exceed the original cost you paid unless you have my permission; if it is a character design, you may add any commissioned artwork costs for that character. The new owner must use the work within the same tier limitations as your original license. Please notify me and provide proof of transfer, but you do not need my permission unless the new owner needs renegotiation, which is necessary in cases such as when they intend to use the work beyond your original tier limitations.

• Failure to comply with agreed terms may result in immediate license revocation, removal from future services, and potential legal action.

All commercial arrangements must be discussed and agreed upon before use begins. Unauthorized commercial use will be treated as copyright infringement.