THE PROS AND CONS OF BOOk CONSIGNMENT AGREEMENTS: are they worth it for authors and bookstore owners?
One of the most common ways for independent authors/publishers to get their books into bookstores is through a consignment agreement. A consignment agreement allows a bookstore to sell books without having to pay for them upfront through a distribution agreement. In some instances, bookstores purchase books from a publisher at a wholesale price (often 50% of the retail price) and sell the books. With the consignment agreement, bookstore owners eliminate the risk of losing profit because certain books do not sell. Although most offers expect to sell thousands of books to bookstores the traditional way, this is a small compromise in exchange for shelf space in several stores.