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EditCLA Administration Charges
CLA charge a percentage of the money received from licensees, to cover their administration costs.
In most cases:
• 25% of the money raised on new licences in their first year
• 11% of money coming in from licence renewals.
Except for:
Business Licences and schools
• 11% on money received for renewals
Further Education
• 11.79% on all licences whether new or renewals.
Foreign
• no admin fee for non-title specific payments
from abroad after 1 April 2007
EditSurplus
PLS continually keeps CLA's expenditure and potential surplus under review and decides annually whether or not some of the admin charges made can be given back.
So the CLA reviews its costs and from time to time the CLA board agrees that some of the admin funds accumulated should be distributed to rightsholders. £1.4m was paid out by CLA covering the period April 2005 to March 2006. PLS’s share was £667k.
CLA regularly reviews its future investment requirements and prepares revenue and cost forecasts for the purpose of establishing its future funding requirements. The CLA Board agreed that from April 2007 CLA would reduce the admin charge on their renewal invoices from this date from 11.7% to 11%. This worked its way into distributions later on in the year. CLA has also decided to not to make a charge on the foreign non-title specific fees on payments from foreign Reproduction Rights Organisations received after 1st April 2007.
EditPLS Administration Charges
• 6% of money received from CLA is retained by PLS to cover their own costs.
• PLS charges no admin fee for title specific payments that come
from abroad.