My LYS just informed me that one of her yarn reps is interested in purchasing one of my patterns for publication. I'm excited at the prospect of being published, however I have no idea what the going rate is for selling an original pattern. Can anyone help me out here? I certainly don't want to be cheated nor undersell all of those other hard working designers out there.

I've never done that, but I suspect that they will offer you a set amount, with contracts and all that jazz. If they wish to negotiate a price, then I would consider how difficult the pattern is, the cost of the yarn to make it could also factor in, and how much work you felt you put in to create the pattern.
I hope it works out. How fun to see a pattern born!

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I suspect that they will offer you a set amount, with contracts and all that jazz.

Perhaps not, if it's a small/new shop or yarn-line. Such things *may* not have been already thought-through.

You should hunt around, perhaps ask in Ravelry's "Designers" forum, and see what others have charged for similar designs and what "rights" they have retained vs signed over to the publisher. The price would partly depend on the size/age/reputation of the the publisher, how widely the pattern would be distributed, etc. -- e.g. Interweave would probably pay more and distribute more widely than "Sam & Sally's Hobby Yarns".

Talk to Pat Feely at highcountryknitwear.com She has a lot of information on what you might want to charge and what rights to retain. There was quite a kerfluffle a year or so ago with a number of magazines wanting full rights for a pittance.
They were asking for retroactive non compete clauses and other vastly unfair contract clauses. Please be sure that you get paid enough for your pattern and that you retain rights for your work.

Thank all of you for your advice, I did contact Pat Feely who was very helpful. I just wanted to let you know that I have entered into an agreement with Kollage yarns. They will be distributing two of my patterns sometime in the fall. Thanks so much I now have one more thing I can check off my bucket list.
Knitta

Good on you.

I'll have to keep my eyes open for that. So what am I keeping my eyes open for, so that I'll know them when I see them?

Kollage Yarns will be renaming the patterns, I'll let you know when they have been named. The first pattern is a pair of fingerless gloves (they really have half fingers) with a banjo cable pattern on the back of the hand. The second pattern is for a Newsboy cap. From what I've been told I'm guessing that both patterns will be ready in the late fall.

I've never used that brand of yarn, but I have begun expanding my horizons in that regard. Just keep us up to date on names and such.

Thanks again to everyone for their help and encouragement. The first pattern, the newsboy cap, has been listed on the Kollage Yarns website under "What's New". They have renamed the pattern "Paris Nights". My LYS took copies of the pattern and kits to Knitter's Day Out in Harrisburg, Pa. She sold out of the kits and patterns over the two days and needed to take orders for more. I guess that makes the pattern a success! Yeah!

Congratulations, Knitta! It's so nice when other folks like what we do/make.

Way to go! keep us all posted on this! How exciting!