The Illustrators offer a Standard License with every illustration. The Standard License grants unlimited usage to a client without restricting usage by The Illustrators. The Illustrators retain the image copyright and ownership and have the right to remarket the illustration to another client and use it for self-promotion.
The Extended License allows a client to have the same privileges as the Standard License while prohibiting The Illustrators from utilizing the image for another commercial purpose. The client cannot resell the illustration to another company, nor can The Illustrators. The Illustrators retain the image copyright and ownership and may use the illustration for self-promotion.
This is the way a lot of authors and illustrators get paid by publishers. The royalty is a percentage of the money made from sales of the book. Mainstream publishers can offer royalties of 10-15%. The royalties are typically split equally between the author and illustrator.
Transfer of Copyright
Upon completion of a copyright transfer a client assumes title and proprietorship of an illustration. The new owner may resell the illustration, alter or create derivative images based on it, license the image, and transfer copyright. The illustrator does not receive accreditation for the image and may not use the image for any purpose, even self-promotion without permission of the owner.
Illustrators Australia (IA) does not recommend the sale of the illustrators' copyright to clients. If you are requesting full buyout of their copyright on an image then you need to understand you are asking the illustrator to never use that image again, meaning they will not reap any financial benefits from their own image, including CAL fees and/or royalties (CAL payments are given to the 'creator' of the work, when an illustrator signs a contract giving their copyright to the Publisher they are giving away future CAL payments that illustrator should be entitled too). You as the client/publisher must be prepared to compensate the illustrator if you insist on buying their copyright, this means double or even three times the original quoted price for the image. Ask yourself, do you really need to own the copyright? Can you instead use a limited exclusive license?