Sales data for LabelWorx distribution clients is already present in our system; you must Receive or import this data into RoyaltyWorx so you can issue statements for these sales.
Why Do I Need to Receive Statements That Are Already Within LabelWorx?
Your statements from LabelWorx are issued to you in GBP (Great British Pounds). You may wish to account to your Artists & Licensors in a different currency. If that is the case, a currency conversion will need to take place. This happens when you receive your statement.
Another scenario is that your bank or PayPal deduct money from the royalties that we send to you. When you receive your statement from LabelWorx, you are required to enter the actual amount you received into your bank account. This means any charges or fees for payments are spread across all sales in your statement giving you a true amount that you actually received for each sale.
IMPORTANT - You can only receive statements into your royalty database if you have received your royalties in your bank account. You should not be issuing statements to your Artists or Licensors if you have not been paid.
How to Receive Your LabelWorx Statements Into RoyaltyWorx
Select Statements from the top menu. This will take you through to your statements screen, highlighting all of the statements that have been issued to your label group.
In the Royalty Post column, you will see links to "Receive ###". Click Receive ### next to the statement you wish to Receive.
IMPORTANT - ### will be replaced by your invoice number. If you do not see "Receive ###" then you have not yet submitted an invoice for your royalties. To do this view this Knowledge Base article - How can I submit my invoice for my distribution statements to LabelWorx?
Enter the Amount Received, in the currency specified by the symbol next to the field (this figure should be what you received in your bank).
IMPORTANT - If you have invoiced for 2 or more statements, you will have received 1 payment for all statements included in this invoice. When receiving the royalties into the RoyaltyWorx system, you will have to click Receive on each statement individually, however when entering the amount you received, you enter the amount you received for the full invoice and not just that statement. The system will know how much was allocated to that individual statement.
IMPORTANT - If your statement has been used to pay off an outstanding invoice, you must finalise using the amount that was sent on the payment (not the value of the invoice). ALWAYS double-check the “Conversion Rate” when entering the amount, as this determines the ratio applied to each line of the statement.
Click the Receive button in the Top Icon menu.
The sales from your LabelWorx statement will now be transferred with currency conversion (if applicable) to your royalty database.
Once this is complete you will be able to view your sales from your Royalty > Sales Reporting option.
Note: Royalties will be received in the background, so once you click "Receive", you can navigate away form this page. Whilst the receiving is being processed by the system, you will not be able to generate statements. If you attempt to access the statement generation whilst the receive process is ongoing, you will be redirected to a progress page.
How to Finalise 3rd-Party Imports
When finalising statements from other distributors / DSPs, the first thing to check is the currency detailed on the statement matches the currency on your account. You should also check the Import Royalty amount in the system matches the value on the raw statement.
IMPORTANT - If you have NOT yet received payment for a statement then please do NOT finalise it. You should never payout for any sales that you have not received payment for.
To Finalise a Sales Import, select the following from the top menu: Royalty > Sales Imports.
You can then select your Sales Import from your list. Once the relevant import page has loaded, select the Finalise button from the Icon Menu. In the Amount Received field, you should specify the actual value (in your local currency) that you received in your bank account.
IMPORTANT - You may have a situation where the 3rd-party has included a deduction in your statement value. In this situation, you will need to work out the conversion rate so you can apply that to your statement in order to get the correct conversion across all sales. You would use the below formula to calculate:
Received In Bank / Amount Sent (which is Statement Value minus Deductions) = Conversion Rate
Statement Value * Conversion Rate = Amount Received
- Statement Value = $1000 with $200 Deduction for Promo Services
- Amount Sent USD = $800
- Amount Received GBP = £672.92
- 672.92/800 = 0.84115 (Received In Bank/Amount Sent = Conversion Rate)
- 1000*0.84115 = 841.15 (Statement Value*Conversion Rate = Amount Received)
If the "Amount Received" value differs from the "Statement Value" you will need to specify whether the statement values should be converted. Our advice here is to always select Convert To Invoice Value" That way all deductions are recouped.
When you enter an amount into the “Amount Received” field that differs from the “Statement Value”, you will be greeted with the above prompt. By default, it will select “Convert To Invoice Value”, which will apply the ratio to the value of each line of the statement.
IMPORTANT - Setting this to “No Conversion” will import the FULL “Amount Received” & will NOT apply the conversion ratio when the sales data is pulled through.