Why you should not sign exclusive agreements as a creator

Jackie Aina | by Nahlah Abdur-Rahman

Are you reading those contracts? Yep, those boring 🥱, dry pages of endless text 😑!

I know how you feel. But as creator, always read all the contracts you sign carefully and avoid signing exclusive agreements with brands. 

Here is a scenario: you get a seemingly irresistible offer from a top clothing brand, but there is a catch – you must sign an exclusive agreement, to not partner with any fashion brands/showcase any fashion brands on your platform for 12-months. Do you do it? 😰

An exclusivity agreement is a legal contract between two or more parties that restricts one party from selling, buying, or partnering with other parties for a set period of time. 

Here are the cons of signing that exclusive agreement 😬:

1. In the scenario above, this practically means that they own you, your medium, and you cannot accept any other paid opportunities during that exclusive period.

2. You will lose out on opportunities, during those 12 months, that might even be better than the current offer.

3. You lose bargaining power: because you are bound by this agreement, they can ultimately tell you what to do on your platform(s) (including how your content should be) during those 12 months. You don’t want your platform to become a walking billboard ad for one company.

Your biggest power is your brand, likeness, and your platform (community) 🌟; you should always be in full control of these. Lose control of these, and you will lose control of your creator business.

Your first go-to, should always be non-exclusive agreement. A non-exclusive agreement allows the contracting parties to contract with any other party, that means they are allowed to enter into a contract with anyone apart each other for the same service or transaction of goods.

There are times where an exclusive agreement may make sense. For example if you calculate how much financial and partnership opportunities you would lose by signing this contract, and the exclusive agreement comes out being more lucrative. But don’t just make it about money, consider other factor such the products you will promote, the terms of the agreement, etc. Either way, if you do decide to go this route (and I still advise against it), make sure the exclusivity period is short (1-2 months) and limit it only to certain things. 

I hope that this gives you a starting point. Get savvy out there, and take control of your creator business.

You’ve got this!! 🚀