For all of the designs I've sold in the past I've done a flat rate where the rights for usage of my artwork for printing on t-shirts (or whatever specific item per design) was transferred to the client, with me retaining ownership of the artwork. I recently had a client express that they would be open to other types of contracts (ie percentage of sales) as well as my usual flat rate contract.

I was wondering if anyone here typically does percentage-based compensation deals for your artwork - and if so, how does it work for you? How do you keep track of their sales and what you are owed? I am intrigued by this but not sure if it would be a worthwhile option for me. This client isn't a typical "brand" in the traditional sense, but they have a large customer base and sales records from last year.

Any input/advice is greatly appreciated! Thanks!

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