Questions of a Young Developer

[IndieDevAustin]

Hi! I'm 16 years old, soon to be 17, and I've made a nice mobile game. You can play it here if you'd like.

I'm just now entering the process of contacting sponsors, and I have some questions. If anyone can answer some of them I would appreciate it a lot.

 

1. I understand if you can come to an agreement with a sponsor they will provide you with a contract. How is the contract handled? How do you electronically agree to a contract? Does it matter if I'm under 18?

 

2. When selling licenses, do I have to worry about taxes? I'm from the US.

 

3. If a sponsor wants to do an ad revenue split, do they provide the ads, or do I? Can someone explain to me how these agreements work?

 

4. When I initially email a potential sponsor, what should I include? A screen shot? A game link without ads? Should I let them know I'm under 18 for any reason?

 

5. Having a PayPal when I'm under 18 is clearly problematic, but my parents are willing to get involved. Is there anything I should look out for?

 

6. Should I ask for more money if I'm asked to implement an API?

 

7. Are API's difficult to deal with for Game Maker Studio users? I've managed to implement my own JavaScript extensions, but I don't know how complicated an API can get.

 

8. My game has LeadBolt ads. Is there specific sites I should try to get my game on just to generate some traffic?

 

Thanks in advance if you can answer any of these questions. I'm in need of some guidance or mentoring for sure, and the community here seems very friendly. 

[sandy234]

1.Contract is handled electronically. You need to read,print sign scan and resend contract. Your age doesnt matter nor should you disclose it.

4. A game linked without ads is enough. You can include a screenshot or a video if you like but thats not needed.

5. Paypal is priority so you need to setup that first.

6. Depends how complicated API is.

7. Yes its difficult for GM users, however if you know javascript then it would be easier for you.

[rich]

Hi! I'm 16 years old, soon to be 17, and I've made a nice mobile game. You can play it here if you'd like.

I'm just now entering the process of contacting sponsors, and I have some questions. If anyone can answer some of them I would appreciate it a lot.

 

1. I understand if you can come to an agreement with a sponsor they will provide you with a contract. How is the contract handled? How do you electronically agree to a contract? Does it matter if I'm under 18?

 

2. When selling licenses, do I have to worry about taxes? I'm from the US.

 

3. If a sponsor wants to do an ad revenue split, do they provide the ads, or do I? Can someone explain to me how these agreements work?

 

4. When I initially email a potential sponsor, what should I include? A screen shot? A game link without ads? Should I let them know I'm under 18 for any reason?

 

5. Having a PayPal when I'm under 18 is clearly problematic, but my parents are willing to get involved. Is there anything I should look out for?

 

6. Should I ask for more money if I'm asked to implement an API?

 

7. Are API's difficult to deal with for Game Maker Studio users? I've managed to implement my own JavaScript extensions, but I don't know how complicated an API can get.

 

8. My game has LeadBolt ads. Is there specific sites I should try to get my game on just to generate some traffic?

 

Thanks in advance if you can answer any of these questions. I'm in need of some guidance or mentoring for sure, and the community here seems very friendly. 

 

1) They usually email you a PDF which you print, sign, scan and return (or sign digitally). I expect the contract may stipulate a minimum age though, so you may need to get your parents to sign it. Maybe.

 

2) At your age, almost certainly not. Not unless you started earning significant figures of income, at which point you need to talk to a small business advisor or accountant. But while the revenue is quite low honestly you're mostly safe to just fly under the radar. Your parents will soon know once the amounts get too high, because ultimately it's likely to be their tax it impacts, not yours Once they start getting worried, go see an accountant together.

 

3) These days they mostly provide all the ads and you just have to trust their report split figures But some of them let you run your own, so sign-up with Leadbolt.

 

4) A link to the game, a SHORT description of it and a screen shot should be fine. I wouldn't mention your age at all.

 

5) Keep it simple. I'd ask your parents to create a PayPal account which you can use. If the sponsor needs to wire money (and lots do) then just keep it simple for the sponsor - so give them your parents bank details, that kind of thing. You don't need to say "this is my Dad's bank account" (or whatever). In fact I would never say that. Simply say "please pay into this account" and give the details.

 

6) Yes, always.

 

7) Sometimes, yes.

 

8) Not really, your game is probably more valuable if you don't spread it around, but just keep on selling it as much as you can.

[Ryguy]

Rich did a great job with answering your questions, so I won't repeat him. I just wanted to let you know that you have a couple of things nailed down already which will be a major asset for you as you start doing this. The first is that you have a great game which matches the market really well at the moment. I apologize for the plug, (maybe I'm just seeing it everywhere now that I have been writing about it), but I think you will be able to increase interest in your game with some stuff I wrote about on my blog: http://creativeinkgames.com/2013/10/11/anyone-can-make-beautiful-games-tweening/

Another thing you seem to be doing well is that your writing is clear and free from teenage-isms. Like Rich said, don't tell them you're not 18, even in your word choice. Being well-spoken is half the battle, so be encouraged that you are doing that well.

[dev]

I would never sign a contract with someone under 18, period. Some business will not know what the contractual value is of a contract with a minor and thus won't care, others may deny you though, as I would. 

 

The reason I wouldn't enter into contract with a minor is because the contract is worthless. They are not illegal, but they are not enforcable, and the minor can void them at any time, thus they are essentially worthless apart from being a letter-of-intention that has no legal value.

 

But most companies will never find out you're 17, to be honest, and in this case I personally wouldn't have any large moral objections to not telling them. There is also not much to lose from their point of view. If you void the contract a week later, as only a minor could, they stand nothing to lose but some time really. So yeah, most won't know, the rest will likely not care, and there should be no reason your parents can't sign the contract for you if it comes to that.

[IndieDevAustin]

Thanks everyone for the help! This really helped clear things up for me. My parents said they're willing to help me in anyway they can, so this should prevent a lot of issues for me. I appreciate all of the advice and knowledge. I do have one more scenario I'd like to get some tips on:

 

What's the best way to make small amounts of money daily through my HTML5 games? $3-$5 a day would be great for me; I don't have many expenses being as young as I am. I'd assume it would be through ad revenue, so should I approach certain sponsors that have a good reputation with ad revenue splits?

 

EDIT: I just want to add that it's not my goal to get this "daily money" through Busy as a Bee; I'm trying to make more money with this game. I would make another game or two for this purpose.

[sandy234]

3-5$ a day is difficult to make from ad revenue. You need to have 6+ games. Also your games need to have better graphics. So if you are not an artist then you would need to pay some1 to get art done which makes it even more difficult to break even.

 

I would suggest you collaborate with a artist and let him sell the game. This way you can earn decent money before 18.

[techwiz]

Hey IndieDevAustin, just wanted to say great game you've made there. Played it through to the end as it was really addictive. Keep making games like that and you will go far

[kingsushi]

Nice game you got there. But I agree with sandy234, the graphics could use a little work.

You can PM me, maybe I'll be able to help you.

[Ryguy]

I won't worry about how much you're making "a day." Ad splits with companies often don't pan out at all, and generating your own traffic to earn anything but pennies is very difficult. Besides, one $500 non-exclusive license gives you 50 days of $10 a day. Just keep making games and pitching them to portals and eventually you'll find yourself making regular income.

[totor]

you REALLY should ask someone who knows the legal way to do business in YOUR country. And i mean REALLY. If your are in college, high school, univ. etc you may find sound guidance with a professor in law or business, seriously. In most country, you MUST be registered to do business, if you are minor you cannot sign any contract without you parent written consent (because as your parents they will face all the legal problems you may encounter) and no serious company should make sign a contract without writing that you are legally able to sign it (hint : read the fine prints).

[Dabney]

Hey, IndieDevAustin,

What are your goals?  If you only want to make a small amount of money and then quickly exit the game dev business, flying under the radar might be a reasonable approach.  

However, based on your game, you have the potential to make this a longer term endeavor and will eventually make enough money to be forced to fly above the radar.  While you are young and still getting off the ground,  professionals (attorneys/accountants) will be more inclined to assist you without charging a fee - take advantage of this while you still can.  If nothing else, it will be a great learning experience.  As a further motivation consider how you will look to future employers and college admissions offices - you will look better if you follow the rules.

 

Since you are in the U.S., you should also be able to get help from your local Small Business Administration.  In the meantime, there is an article at the sba.gov website you might want to check out: 6 Things You Need to Know About Starting a Business as a Minor

[Ryguy]

 

 

In most country, you MUST be registered to do business

 

However, since you live in Michigan, US, Rich's comments are very appropriate for you. Some countries are very strict about "business", but in the US unless you are making a large amount no one cares--especially if you're a minor. It's a bit like trying to tax or regulate a teenager who is mowing lawns or selling sweet corn. 

 

It sounds like you've got it worked out with your parents. I'd say you're pretty well set to begin doing business.

[IndieDevAustin]

Thanks everyone for the compliments and advice. My plan is to stay under the radar for now, depending how well this works for me.

 

My goals are here:

1. Learn what it takes to sell a game to a sponsor.

2. Make $200 to pay for my Game Engine.

3. If possible get enough money to buy a nice laptop. I would probably need $400-$500 more, I've been saving for a bit.

[Reborned]

3. If possible get enough money to buy a nice laptop. I would probably need $400-$500 more, I've been saving for a bit.

I haven't any experience in this market yet. But i think you can do it with only one sale of your Busy as Bee game, and should still money left over.

Good luck! You have potential!

[IndieDevAustin]

I haven't any experience in this market yet. But i think you can do it with only one sale of your Busy as Bee game, and should still money left over.

Good luck! You have potential!

Thanks! I've sent e-mails to three different potential sponsors. I hope I can get some replies. 

[Ryguy]

Reborned is right. Your game is worth $500. Don't undersell yourself--you'll make less and it will devalue the market for everyone else.

[IndieDevAustin]

Reborned is right. Your game is worth $500. Don't undersell yourself--you'll make less and it will devalue the market for everyone else.

I'll try my best. I've read that a lot of games are going for around $400 now; I'm still going to aim for $500. I just sent out my fourth e-mail. No responses yet, however it's only been 3 days since I sent out the first.

 

I'm excited to see where this will lead. 

[Ryguy]

Don't count the days. It could be weeks to months before you hear back. Just keep making games and pitching them

[IndieDevAustin]

Don't count the days. It could be weeks to months before you hear back. Just keep making games and pitching them

I got a response today with in hours of sending. 

 

But I will hold to this advice. I've already got another game on it's way. 

[Funkyy]

I got a response today with in hours of sending. 

 

But I will hold to this advice. I've already got another game on it's way. 

 

Well... what was the response?

[IndieDevAustin]

Well... what was the response?

 

 

Hello,

 

This is a fun game and perfect for our application. 

 

Would you be interested in placing it on out service for non-exclusive revenue share?

 

Best,

Jordan 

He's sending me an agreement tomorrow. 

[Funkyy]

Ah, cool

[IndieDevAustin]

I have a new question. 

 

A sponsor wants to put my game on their free portal, but they say I need to host my game. Currently my game is hosted with clay.io. My website domain order came in today and I'm getting it connected to my blogger site. So here are my questions related to this:

 

1. Should I host my own game instead of using clay.io?

 

2. Do I need to get a hosting plan to do this? What's the benefit of hosting?

 

3. If I do need to pay for hosting, which of these options will suit my needs?  Dynadot hosting plans (2) or Bluehost

 

Thanks guys. I can't tell you enough how helpful you have been. 

[sandy234]

You can use dropbox for free.