I refer to our recent correspondence. Please advise if you are willing to accept the following counter proposal:
1. Territory - You state that you require non exclusive world wide rights. We assume you still require exclusive Australian rights.
2. Royalty - We propose 12% of retail or 17% of wholesale whichever is greater.
3. Advance - $2000 is agreed subject to the year one guarantee of $5000 and the year two guarantee of $10,000.
4. Quilts - The Charities have licensed Rosy Cheeks LLC to manufacture and distribute children's clothing and certain manchester items including baby blankets. The Charities are open to your request for the manufacture and distribution of quilts in the US but we will need to ensure that it does not conflict with the rights of Rosy Cheeks, LLC.
5. Embroidery book - this is approved subject to the Charities approval of the contents. We look forward to your reply.
We are forwarding this email to our clients at the same time and reserve their right to make further changes.