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Is this a reject letter?
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It doesn't sound like a rejection. More like a manner in which to switch negotiations in their favor. You get excited that they like it, you are willing to sign the rights and they just stash iit away for a long period of time. The follow up would probably be an agreement with no advance. I'd self publish or try another publisher.
I think they were being honest without rejecting the work. They're interested, but as they say, they don't have the time. Sadly a case many publishers have to face. Either - self publish it and then send it back to them in a year, or wait and send it back next year.This definitely sounds like they're interested, so I'd keep an eye on them, especially if they have a website newsletter that might tell you when they're accepting submissions again. x
It can be very easy and cheap to self-publish, depending on how seriously you take it. One of those 'how long is a piece of string' kind of questions...To the OP, yes, it's a rejection. It's not a negative rejection, a publisher won't tell you they like something if they don't. But nonetheless, they're writing to tell you they're not taking it forward, regardless of the details. Your response seems totally reasonable and you might as well keep the door open if you have other stuff to take to put out in the meantime.
Some kind advice... publishers are not likely to later take in a work that has already been previously self-published; unless it's already a best-selling independent work. Then they would consider it. So if you really want to go in the traditional direction? I recommend trying to submit to other publishing houses/ to other literary agents. Unless you really want to wait for over a year for this one. And if you want to go the independent route? I can recommend Amazon's Createspace publishing, because you don't need to spend a penny to publish very professional books with them (that is, if you already have the skills enough to copyedit, design both the interior layout and the exterior book cover design, market yourself, connect with your audience on your own, and etc.) If you lack the necessary skills to be a one-man band, not to worry, because Createspace also offers paid services. That having been said, I do recommend paying for copyediting for novels (many of my books are books of poetry, so I do the copyediting myself, which is still a lot of work, nonetheless, as I go over my manuscript a good 5 times!) Createspace, I should add, also offers paid copyediting services. Moreover, the great thing about working with them is that their customer service (their service to you as an author with their company) is truly excellent. I wish you the best of luck in all of your endeavors!



“Honestly, we are interested, but just can't make the time in the schedule for it. It wouldn't be fair to you for us to take it knowing that we won't touch it for more than a year.”
I did reply to them and said that I would go ahead and self publish my new thriller and maybe when they could fit it into their schedule , I would be willing to give them the rights to go ahead and publish my novel.
Now my questions to my fellow authors are: (1) Does their response after looking at my manuscript sound like a “rejection”? (2) Does my reply seem reasonable and might still keep the door open? –or- (3) Should I just self publish and forget them?