Galleries, Dealers, Agents, | ©Mr Daniel M. Fisher | What to Expect when Making an Agreement.

The following checklist revues the relationship between artists and gallery/dealers, as the artist’s profile and their sales increase, the number of exhibitions/art fairs at which they are represented and all other areas of the gallery’s work for the artist also increases (publicity, promotion, documentation etc). If an artist’s work changes direction or their output reduces, the gallery/dealer may choose to reduce the emphasis given to that artist for a period. The key to a successful relationship is to give and take on both sides to work out the issues as they arise, with a focus on the long-term mutual benefits between artists and their gallery/dealers.

Deals are never an easy thing to learn when you make art purely for the enjoyment of it.

• A gallery might mount one-off shows and represent the artist for the duration of a show and in relation to the work on show.

• Commercial galleries who develop long-term relationships with their artists, may put on regular shows and in between shows function as general agents for the artists they show, often holding stock of their work and arranging commissions for new work.

• Private dealers and agents usually try to sell the artist’s work or get commissions but have no premises for exhibiting, as the developmental nature of the relationship between a gallery and its dealers is unlikely to issue a formal written contract when they begin to stand for a new artist. Many arrangements are agreed verbally, but whenever possible try to write a letter to the owner confirming these verbal arrangements so that there is a written reminder of each party’s commitments.

• Will the gallery/dealer have an exclusive relationship with the maker as the gallery/dealer will sometimes ask that no one else stand for the artist. Exclusivity can be limited geographically or by medium for example. Artists are reluctant to give exclusivity unless they are convinced it is justified, which is usually when the gallery/dealer is well established and has a good reputation, or is clear about what they are expected to do in return.

• Will the artist be allowed to show work at public galleries?

• Does the relationship relate only to new work?

• Does the relationship include public or private commissions?

• Will the gallery/dealer take the work on a consignment basis, or the gallery/dealer will buy the work outright from the artist because work on consignment is held by the gallery/dealer and looked after on the artist’s behalf. The artist stays owner of the work and when it is sold the artist receives the sale price less agreed sales commission. However, works bought by a gallery/dealer outright can be sold on without consulting the artist on price. Selling outright to a gallery/dealer might provide money in hand, but this may be less than if a consigned work had been sold on a retail basis.

• How much work will the gallery/dealer take on consignment?

• Where will these works be stored?

• Will work on consignment be available for exhibition elsewhere?

• Who will be responsible for arranging transport of the work to and from the gallery/dealer, as any works consigned to the gallery/dealer should be clearly itemised in a consignment receipt listing the title, size, medium, date and selling price (excluding VAT) of each work. This document will function as proof of delivery and ownership of the work and should be signed by the gallery representative confirming receipt of the works in good condition.

• Who will manage packing the work prior to transport?

• Who will oversee insuring of the work whilst it is in transport and on consignment? As work should be insured for no less than the agreed sale price less the gallery/dealer’s commission.

• What will be the agreed sales price for each of the works held on consignment?

• How much commission will the artist be charged, as this is usually expressed as a percentage of the sales price net of VAT. Commission rates can be as much as 60% of the sale price.

• The amount of sales commission charged by the gallery/dealer can vary for studio sales of work that have been arranged privately between buyer and artist. Gallery and dealers will usually expect to be paid a commission on these sales, but at a lower rate than charged for gallery sales. It is sometimes possible to negotiate a commission payable only when the agent introduces the buyer to the artist, when they go on to sell at a stated value or private number of works each year without paying commission to the gallery/dealer.

• Will the amount of sales commission charged by the gallery/dealer vary for work in different media?

• The amount of sales commission charged by the gallery/dealer can vary for works and is usually based on the sales price after deducting expenses and materials costs.

• Is there a discount the gallery/dealer can offer to museums or collectors?

• Will the artist receive a share of any sales from catalogues and postcards and if so in what way much because the proceeds that the artist receives may vary depending on whether sales of catalogues are made during or after an exhibition.

• Will the artist be offered an advance on future sales which is only usually offered by some of the more established galleries and takes the form of an advance against future sales or as a guarantee of minimum sales over an agreed period.

• When will the artist be paid for any sales made: Usually within a brief period (often 30 days) after the sale is made and the sale price received by the gallery/dealer.

• Will the artist receive a regular statement showing what sales have been made and how the commission has been calculated?

• Is the artist VAT registered and if so, VAT will have to be added to the selling price of the work.

• Is the gallery VAT registered and if so, VAT might have to be added to the selling price of the work.

• The artist does keep copyright of the work held on consignment.

• The artist will usually keep reproduction rights in any work but grant the gallery/dealer and any later buyer the right to reproduce the work for publicity and promotional purposes only.

• Will the artist be represented at art fairs?

• How many exhibitions will the artist be offered because a gallery/dealer will usually offer an artist an exhibition soon after they have begun to stand for them. After this first exhibition, future exhibitions will depend upon the level of sales and the type of work the artist is producing. It is common if the relationship is going well to be offered a solo exhibition at least every 2 years.

• Will the exhibition be a solo or group exhibition?

• Where will the exhibition be held?

• Which of the following exhibition related expenses will the gallery/dealer pay for: transport, packing, insurance, advertising, catalogue and other promotional print, framing, installation, opening events and hospitality, photography, and press images?

• Will the artist be involved in the hanging of the exhibition?

• Confirm the dates and opening times of the exhibition?

• What is the date and time of the preview?

•Will the artist be expected to attend a press preview/interview with press?

• How many guests can the artist invite to the preview?

• Will a catalogue be produced to go with the exhibition?

• Will the artist be consulted on the choice and crop of images?

• How can the relationship be ended as it is best practice to agree under what circumstances the relationship can be stopped and the result for each party. Ideally, either party should be allowed to give a minimum period of notice (say one or two months) to end the relationship at any time. In practice once a relationship has gone sour representation is often ended without notice.

• Does the gallery/dealer still remunerate any sales it initiated once the relationship has ended as it is common for the agent to continue to receive commission on any sales the buyers are introduced to by the gallery/dealer for a period after the relationship has ended. But on occasion they share this commission with another gallery/dealer who has taken up representing the artist.

• What will happen if the artist dies?

• What will happen if the gallery/dealer must go into administration? Because if the gallery/dealer has bought the work outright, then any unsold work held on consignment should still belong to the creator and should be able recoverable from the gallery/dealer or their receiver/administrator. In this situation the artist should act swiftly and request the work back from the gallery/dealer including copies of the consignment note as proof of delivery. But if the gallery is already closed, the artist should find out who the receiver is and write to them demanding return of the work held by the gallery/dealer enclosing the consignment note proving ownership, which should be sent by recorded delivery and a copy kept.

-Created Using References and Quotes along with AI.

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