What is a Multi-Channel Network (MCN) & What You Need to Watch Out For?

What is a Multi-Channel Network (MCN)? Learn below...

What is a Multi-Channel Network (MCN)? Learn below...

A YouTube network is typically called a Multi-Channel Network or MCN. In laymen terms, think of it as a business that’s collecting many YouTube channels to be under their umbrella which brings all member YouTube channels under one major channel. IT’s important to know that MCN’s are businesses — they are created for the sake of making money… for themselves.

When there is a YouTube network, there is an opportunity to bring all of the creators together which brings more opportunities for all network members while at the same time benefiting the network’s business itself.

Remember that a YouTube Network needs you as YouTuber to join as a network — they can’t survive without you. 

 

What are the Benefits of an MCN?

Being part of an MCN definitely has some benefits, including:

  1. Higher CPM - which means higher rate of pay for your ads on your channel 
  2. They bring you more sponsorship opportunities
  3. They can help you manage and optimize your channel

 

YouTube MCN Contract: What You Need to Know

Typically, an MCN will approach you to join their network with a contract that you will need to review and sign should you choose to be a part of the multi-channel network. 

The value for the MCN is that they will get your views - they will add your view count to their overall view count which helps grow their MCN. This allows the network to get more branding opportunities. An MCN will have more opportunities to get more opportunities because they can package a bunch of YouTubers together and they can offer the deal to brands.

Again, MCN’s need YOU, the YouTuber. So make sure when you’re joining this network, they are offering a value equal to what they’re asking. Because in most cases, they are asking for a portion of your ad revenue. This is a big deal because most of the time this is where your source of revenue is! Why would MCNs deserve your portion of ad revenue?

Further, MCN will ask for a percentage of sale opportunities or branded sponsorships. You want to make sure that whatever they’re asking from you, MCNs are returning equal value or MORE. 

 

Why a Contract Review of MCN Contract is Important

You want to make sure the terms of your interests are in the MCN contract. You want it in writing in the contract. If you do have a contract, you need it read by a YouTube lawyer who will review the contract for you  that will have your best interests in mind. You should always have a lawyer review the MCN contract before you sign the contract to make sure it matches your needs.

In reviewing the contract, the MCN contract lawyer will make certain you understand the stated obligations under the contract. If there are any uncertainty as to the duties under the contract, he will clarify that for you.

 

Sam Mollaei, Esq., YouTube Lawyer, can be reached @ (818) 925-0002 or by email sam@mollaeilaw.com.

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