1. Executive Summary

The proposal outlines a cooperative model for a VTuber company in which the talents are also co-owners of their respective business units and of the cooperative itself. This model promotes creative freedom, equitable profit sharing, and long-term sustainability, aligning the incentives of talent and management.

The core idea: each VTuber operates through their own talent-owned microfirm, which collectively federate into a service and branding cooperative, pooling resources for mutual benefit while retaining individual autonomy.

2. Rationale

Current VTuber agencies often operate on an employer–contractor model, where talents lack control over their intellectual property, receive limited royalties, and are vulnerable to management decisions.

A cooperative structure:

aligns management and talent interests, empowers talents as creative entrepreneurs, builds a resilient, talent-driven brand.

3. Organizational Structure

3.1 The Cooperative

A legally incorporated worker-owned cooperative provides:

shared infrastructure (e.g., studio space, motion capture hardware, editing staff), centralized marketing and branding, sponsorship acquisition, merchandising and licensing negotiations, legal and HR support.

The cooperative is owned equally by its members, i.e., the talents and core staff (management, techs, marketers) who opt in. Each member has one vote in cooperative governance regardless of revenue.

3.2 The Talent Microfirms

Each talent registers their own LLC / sole proprietorship / micro-corporation, which:

owns their individual intellectual property (character design, lore, assets), signs a services and revenue-sharing contract with the cooperative, retains autonomy to pursue outside collaborations and projects.

Each microfirm pays a service fee / cooperative dues, proportionate to revenue, in exchange for cooperative support services.

4. Operational Principles

4.1 Creative Control

Talent microfirms own their characters, backstories, and creative decisions. The cooperative offers creative advisory services and brand consistency guidance but does not dictate content.

4.2 Revenue Sharing

Each microfirm retains the majority of revenue from their streams, ads, sponsorships, and merchandising. A percentage (e.g., 10–20%) is remitted to the cooperative to cover shared costs and reinvestment.

4.3 Intellectual Property

Individual microfirms hold their own IP rights. The cooperative retains rights only to collective branding elements (e.g., the cooperative’s name, mascot, or shared universes, if applicable).

4.4 Sponsorships & Collaborations

The cooperative negotiates group sponsorships or events, with revenue shared based on participation. Individual sponsorships can also be pursued independently by each microfirm.

5. Governance

5.1 Board of Directors

Elected from among cooperative members, with fixed terms. Responsible for strategic direction, policy, and oversight.

5.2 General Assembly

All members have a vote in key decisions (e.g., admitting new members, approving budgets, major brand initiatives).

5.3 Management Team

Professional management (who may also be members) handle day-to-day operations, reporting to the board.

6. Onboarding and Growth

6.1 New Talent

New VTubers apply to join as microfirms. Subject to a vetting process (portfolio, audition). Pay an initial buy-in fee or have it deducted over time from earnings.

6.2 Scaling Up

The cooperative may incubate new projects (e.g., training programs for debuting talent). The brand scales by supporting more microfirms while maintaining quality and cooperative culture.

7. Financial Model

Cooperative Revenue Sources: Service dues from microfirms. Sponsorship & brand licensing. Merchandise cuts on cooperative-branded products. Profit Distribution: After operating costs and reserves, profits are redistributed to members based on patronage (i.e., proportional to their contributions).

8. Benefits

For Talent: Ownership of their own brand and IP. Voting rights and equity in the cooperative. Access to professional-grade support services. Long-term residuals from shared initiatives. For the Cooperative: Shared risk and collective bargaining power. Stronger collective brand through aligned incentives. Sustainable, community-driven growth.

9. Potential Challenges & Mitigation

Coordination among independent microfirms: Addressed by clear bylaws and brand guidelines. Disputes over brand use: Resolved through arbitration clauses and governance processes. Cash flow issues for new talents: Option to defer buy-in fee and invest in early-stage support.

10. Conclusion

This cooperative model presents a modern, talent-centric, and sustainable approach to VTuber agency management, empowering talents as owners and entrepreneurs while preserving the benefits of a shared brand and infrastructure.

It aligns creative autonomy with mutual support, ensuring that both the talents and the brand flourish together.