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Thread: selling source code to client

  1. #1
    flip-flopper scottPadgett's Avatar
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    selling source code to client

    Hi folks,

    Wondered if you guys had thoughts on what source code for a project is worth?

    I've created and written a custom world map featuring pop-ups with links over select countries, zooming, panning, etc... I leveraged the greensock TweenLite class for tweens and also use Pixelbreaker's MacMouseWheel JS/AS utility.

    So usually I'd just assume the client had rights to the source, but a client just asked if they could buy the source from me. Obviously I'm thinking "yeah!" at first, but wondering: is it really ethical? can i sell just my .fla and source and pass on the license restrictions for the greensock and Pixelbreaker code?

    I'm thinking at least I could just charge a nominal fee for cleaning up the .fla and source and hand it over to them in a way friendly to their developers. But obviously the value of them reusing and reselling this map to other clients is much greater than that.

    Any thoughts? Greatly appreciated...
    :: scott ::

  2. #2
    Senior Member joshstrike's Avatar
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    Unless you were under a works-for-hire agreement, you always own the source to what you write. All they get is a final app, and they can't repackage the code for other purposes beyond fixing it to work based on what they needed it to do in the first place.

    There's no answer to "what's it worth" because, like anything else, it's not a matter of how much they can make off it or how much you think they can get for reselling it; it's only worth whatever they're willing to pay for it.

    IMHO, no amount of money is worth the exclusive rights to your source, if the contract states that you can't reuse it on other projects later on. Some people disagree with that statement, and others get into contracts that leave them no choice.

    If you have a choice, sell it to them and make sure you aren't going to get sued for launching something with pieces of that code later on down the road.

    And, like any negotiation, never be the first guy to name a price. Put the ball in their court.

  3. #3
    flip-flopper scottPadgett's Avatar
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    so you'd simply let the numbers fly and start negotiating? if i have to drop the number first, i thought about adding up the amount i'd likely bill them for doing, say, 3 large modifications/expansions to the functionality and just make that my price. from a practical standpoint, that's what i stand to lose from them if they don't have to call me to do the modifications in the future. rights for their reselling it is more apt to be wild negotiation, i guess.

    definitely will stipulate that it's not an exclusive sale...
    :: scott ::

  4. #4
    Flashkit historian Frets's Avatar
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    This thread belongs in the boardroom
    Hence moved

  5. #5
    flip-flopper scottPadgett's Avatar
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    my bad frets. thanks.
    :: scott ::

  6. #6
    Senior Member joshstrike's Avatar
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    If you're gonna sell source, first of all, list all the classes out that you're selling in the contract, and specify which ones if any they aren't allowed to resell. Then make sure your contract stipulates that you retain the right to resell the source and reuse it in other projects.

    Don't throw a number out. Let them give you the number, then come back with double whatever they offer, and meet halfway.

    In the past, I've found that a fair price for source code generally works out to $1 per line of code.

    Make no mistake, you can absolutely hold it for ransom. If they try to decompile it and repackage it as something else, you can sue them for every penny they make off it, and they know it. So be confident.

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