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Once you have narrowed your options down to a few editors, five or less for example, set up some initial contact with each of the children’s book editors. Start by contacting them and see if they can answer your core questions via email. Find out if they are willing to chat with you by phone or skype about your project when you are ready to make a decision. Ask for them to specifically identify what children’s book editorial services they will be able to provide.
Attention to detail is a critical skill for editors. So how do you screen out editors who might not wield a virtual red pen with the chops to catch every typo, grammar problem, style issue, and the like? You could post a job ad for an editor and subtly screen out applicants that aren’t as detail-oriented by including some fine print in the description.
Software and Systems – Some of us writers like using certain types of writing tools or software.  I personally love to write my books using Scrivener, and will then switch to Google docs for better tracking systems.  However, I've run into editors who only use Word document.  That's no bueno for me.  So, make sure they are good with whatever writing programs you want to use.
“My books have very complicated formatting with over 100 illustrations each, external links, and numerous bulleted lists. None of the formatters I contacted would even take these on but John said “No problem!” He completed my original three e-books quickly, for a more than fair price, and they look great. I have no hesitation recommending Ebook Launch’s work to other e-book authors!”
I am an author of a book “In From the Dark” that was written and published in 2010; I have two other books I need to complete however, I was wondering if my first book could be re-edited and if I could get assistance with the second one as well. I am not to happy with the editing assistance i’ve previously received yet, because I was new at the time, I didn’t know what to look for. Please someone help if you can. My book can be found at barnesandnoble.com. I have not done any marketing or anything with the book since 2011 and was hoping once the second one is complete I can then push the both again.
Your last point is actually raising my eyebrow in the sense that no one ever wants to make a newbies his/her editor.But the newbies can actually have some creative editing style which the experienced one still havent gotten..A case study is the people who work in the government house or secretariat, the same way in which they draft a letter in the 90’s is still the same way they are still giving it now.But giving newbies a chance to explore their creativity can bring about great and effectual changes..
Amazing post, Dave, and definitely an important topic. My first book I used one of the larger “editorial agencies” you mentioned. The quality wasn’t bad but there was no direct contact with the editor. Just ship it to them and they ship it back. I’ve tried out several editors now and found a very good one who did a great job on my list book. Once you find a good editor, stick with him/her and build a relationship if you can. Thanks for the list provided and this editors test is a great addition.

Great advice, especially the painting analogy (clever!). I also enjoy your YouTube videos, which I found out about through Publishing Perspectives ((nice!). http://publishingperspectives.com/2015/08/ready-for-your-close-up-what-youtube-can-do-for-writers/ I agree that most developmental editors are more like therapists than surgeons, but there are book doctors out there who will essentially rewrite your manuscript (they’re one step away from ghostwriters, I feel). Also, I don’t actually offer sample edits, but this has nothing to do with pedigree. It’s more that I’d rather not mark-up a manuscript unless I’ve read a good part of it (at least 50 pages). I believe that most copyeditors offer sample edits,… Read more »

You draw distinctions that use idiosyncratic definitions of some fairly standard terms. For example, Chicago defines the terms “manuscript editing,” “line editing,” and “copyediting” as synonymous with each other, and none of them as synonymous with “mechanical editing,” although that is one element of them. Certainly, I agree that an author has a right to expect more than merely mechanical editing unless that is specifically what they have requested. However, I cannot agree that the only route into competent and appropriate freelance editing is internal employment within a publishing house, and that the only clients who should be counted as a relevant part of a freelance editor’s curriculum vitae are those who are traditionally published.
So because of this and because I don’t live in NYC or LA, I decided I may have better luck writing a book, which I have been doing for several months now and enjoy; however, I know it needs work and I can’t go back to the 5th grade and pay better attention to the simple “put your period here and comma there” lessons so I was hoping to learn as I go with reading, writing and seeing my finished product after hiring an editor.
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