A Hitchhiker’s Guide To Releasing an EP

[Editors Note: This blog was written by Rich Nardo. Rich is a freelance writer and editor, and is the Director of Public Relations and Creative at NGAGE.]

 

A Quick Look at the Assets Needed and Suggested Timeline for Releasing An EP as an Independent Artist

One of the hardest thing for an artist to do is wait. Good musicians will spend a year or more writing and recording five or six meticulously arranged tracks. They know when to subtly sneak a guitar solo or drum fill on stage and how many bars to spend vamping on it. But when the time comes to share the music they’ve poured their life’s blood into, release day can’t come soon enough.

Much like the journey shared by Arthur Dent and Ford Prefect, putting out music should be experienced in volumes. They had the Hitchhiker’s Guide To The Galaxy to help them plan. The goal of this article is to provide something similar; albeit simpler. By taking these things into consideration, your music will be given the optimal chance to reach as many ears as possible with or without the assistance of a Babel Fish.

Stage 1: Life, The Universe and Everything…Gather Your Assets!

Okay, so after all this time writing and recording, your EP is ready. You’re just a few short steps away from sharing it with the world. Before you decide just when that date will be, let’s talk about what else you’re going to be doing to promote the record.

Here are a few questions to ask yourself at this point:

  1. What’s my budget?
    How much money am I able to spend on this record? Is there enough to hire any help or am I better off going at this alone? Knowing the answer to this question will help figure out an initial content plan. It will also give you an idea of how much time you should spread the release over. The more you’re handling yourself the more time you should give yourself to accomplish everything.
  2. Will There Be More Money Coming In Once The Release Cycle Starts?
    Are you going to be doing any touring? Have you had any luck, or is there any demand, for merch? Album sales are tough and streaming income is great, but the numbers dictate that a considerable number of streams are required to actually generate income. Since you can’t bank on that income, ignore it for now. Other more concrete opportunities for generating cash should be what you’re trying to estimate in this step. This will help you decide if it’s worth elongating your campaign a bit to allow for more content creation or additional help once the first single is out.
  3. What Content Will I Have?
    In addition to the music, will there be remixes, music videos, live content or behind the scenes stuff? Also on a related note, you will need artwork and social media “skins” and “copy” ready to roll at this point.

Stage 2: And Another Thing…Set The Timeline!

You should start pondering timeline once the music enters the mastering phase. However, dates for an independent artist shouldn’t be committed to until you have all assets in hand (or at a minimum deliverable dates). Once you’ve gotten to that point, though, it’s best to nail down when you want to release everything.

  1. First thing to consider are singles. If you have a five song EP, I generally recommend doing two singles ahead of the full release. This will allow you to start generating a buzz leading up to release week.
  2. If you did any videos, you need to decide if you want to do separate audio & video campaigns or premiere the song initially alongside the video. If you feel the video is so integrated into the song that people will appreciate the music best with the visual accompaniment then, by all means, put your best foot forward. If you want to save a few assets for after you put out the EP, it might be best to do them separately and release the video a little deeper into the campaign. Keep in mind that you can’t “premiere” a track from the EP after the whole release is out, so having a video or, depending on genre, even a remix gives you a bit of a longer tail on marketing post-release date.
  3. When coming up with a timeline, you should also consider how much time is needed by your distribution. For instance, if you’re using TuneCore three weeks advanced notice will be required to make use of their “Features Submission” form. There is usually an element of advanced deliverables requirement for most streaming and download services as well.

Stage 3: The Restaurant At The End Of The Galaxy…Time To Release!

Congratulations! You fought the urge to just throw your music up online all willy-nilly-like and, as a result, your release is doing well now that it’s finally out. What’s next? Here are a few things you can do to continue promoting your EP.

  1. Play Shows! –  I can’t stress how important playing live is when you’re trying to establish yourself. There will be thousands of artists putting out new music ON THE SAME DAY that you do. Developing a personal relationship with an audience in a live setting will help you establish loyalty with fans and bring them back to your digital presence.
  2. Continue to Reach Out – Your music is out now, so premieres and “first looks” are off the table. That doesn’t mean that you can’t keep looking for new press. Keep digging for contacts and find people writing about music that may be into your sound. If you’ve had a couple of good press clips at this point, you now have quotes from other tastemakers in your toolbelt to convince this new wave of writers to cover you. Same principal applies to Spotify playlisting.
  3. Get Social – You can always use social media to promote your records and attract new fans. Just because your music is out doesn’t mean you have to stop posting about it. I never recommend coming off as sales-y with your digital presence, but if somebody writes about your music, post it and thank them. Do some live videos you can get up on Facebook and Instagram. If nothing else, keep posting to show your personality. Every little bit helps.

Hope you found this little guide useful as you prepare to put your new music out. Until next month, So Long And Thanks for All The Fish!

5 Tips To Help Your Band Sell More Merch

[Editors Note: This blog was written by Patrick McGuire. Patrick is a writer, composer, and experienced touring musician based in Philadelphia.]

 

With the music industry reeling over increasingly poor record sales, artists are having to rely on ways other than selling their music to earn money more now than ever before. Band merchandise is proving to be a reliable revenue stream for everyone from established artists to up-and-comers hitting the road for the first time.

But while there’s some serious money to be made by selling merch, it’s not as easy as putting your band’s name on some stuff and waiting for the money to roll in. To help your band get the most out of selling merch, we’ve assembled these five ideas to help:

Create a visually compelling merch booth at your shows.

If your band hopes to sell lots of merch at shows, your fans should know exactly where the merch booth is from the second they walk into the venue. These days, the whole “merch booth in an old luggage bag” thing is a bit played out, but there’s lots of other ways to create a highly visual merch area at your shows.

If you’ve got a crafty design-oriented person in your band, give them a budget and vision for how to present your merch at shows. It’s well worth investing some band money into creating a unique merch space. Setting up an area with your own distinct lighting is a great way to get as many eyes on your merch as possible. For example, though it’s not very original, using Christmas lights to highlight your band’s merch area is a cheap way to get folks to notice all the stuff you have for sale at your shows.

And this sounds obvious, but it’s important to note here that your merch area and all the items in it should match the character of your band’s music. Christmas lights would work well for an indie outfit, but they’re not really a great fit for Insane Clown Posse.

Put your merch for sale on as many online platforms as possible.

A classic merch-mistake many bands make is to fork over a ton of money for shirts, stickers and pins only to sell them at shows and not anywhere online. Making your band’s merchandise available for purchase on your website as well as platforms like Bandcamp, Big Cartel and Shopify will give the masses as many opportunities to buy your stuff as possible.

How many of us have had the experience of bringing extra cash to a show to buy a band’s merch only to accidentally use the money drink a whole bunch of booze instead? Going to a show and drinking can be expensive, and your fans might not be prepared to fork over even more money on your stuff, even if they like your music and want what you have to sell. Yes, these platforms will take a significant slice of the money you earn from merch sales, but it’s absolutely worth it to make everything you have for sale available to sell on online platforms.

Once your merch is available for sale online, let your fans know and don’t be afraid to give discounts every now and then to inspire people to buy your stuff.

Redefine what you can and can’t sell to your fanbase.

Theoretically, anything your band sells can be considered merch, but don’t go wild and start trying to sell your bassist’s pubes just yet. A lot of bands could benefit from broadening their idea of what sorts of things they could sell to their fans, and strictly sticking to selling shirts, albums and stickers might be a missed opportunity for yours.

Depending on the unique identity of your band, being cheeky, goofy or just plain twee in the things you have for sale at your merch table might be a good way to earn your band some cash and get people talking about you at the same time. This Buzzfeed article profiles some obscure merch from bands you’ve probably heard of, but getting creative in what you offer to sell your fans can benefit you no matter how big your band is.

Make sure someone is there man the merch booth at your shows.

This is a really obvious tip, but it has to be said. If you’re able to, have a designated person at shows to sell your band’s merch to make sure you don’t miss any sale opportunities. Often, the most stressful time for a band also happens to be when they’re most likely to sell merch––right after they finish a set. Unless you’re headlining, bands are expected to remove their shit from the stage as soon as humanly possible after a set. By the time your band’s equipment is off stage and you’ve had a moment to catch your breath and head back to your merch booth, that urgency fans feel to come pick up your merch is often long gone. With a person there to sell your stuff at all times, you won’t miss valuable opportunities to make sales.

Having someone man your merch area on tour might be challenging, but earning as much money on the road as possible is essential for serious bands trying to build a presence nationally. Bringing a friend along to help or getting a fan or two into your shows for free in exchange for their merch-slinging services on tours will help your band make the most out of its merch situation on the road.

Use a payment platform that accepts credit cards.

Unless you’re a band that sells merch exclusively from a deli in Queens, you should give your fans a way to pay with credit and debit cards at shows. Our society is growing increasingly reliant on cards as a way to pay for things, and only accepting cash from fans will inevitably cost you sales and some serious money over time.

Companies like Square and PayPal have make getting paid with credit cards easy, but they aren’t free. But the small fees associated with accepting credit card payments quickly become worth it when you begin to see how much more merch you can sell when you take plastic.

10 Fundamentals For Getting Along in Today’s Music Business

[Editors Note: This blog was written by Bobby Owsinski and originally appeared on his excellent music industry blog, Music 3.0.]

 

So much has changed in the music industry over the last few years that affect an artist’s ability to be successful. Some of it is brand new and a result of the technology we use, while some of it is good common sense that’s been used over and over during the past decades of the business. Here are 10 business fundamentals taken from my Music 4.1 Internet Music Guidebook (in no particular order) that an artist, musician, producer or songwriter needs to grasp in order to get along in today’s music environment.

• It’s all about scale. It’s not the sales, it’s the number of YouTube or Facebook views or streams that you have. A hit that sells only 50,000 combined units (album and single) may have 500 million YouTube views. Once upon a time, a sales number like that would’ve been deemed a failure, today, it’s a success. Views don’t equal sales, and vice-versa.

• The scale is not the same. In the past, 1 million of anything was considered a large number and meant you were a success. Today anything with that number hardly gets a mention, as it takes at least 10 million streams or views to get a label or manager’s attention. 50 million is only a minor hit, while a major hit is in the hundreds of millions.

• There will be fewer digital distributors in the future. It’s an expensive business to get into and maintain, so in the near future there will be a shakeout that will leave far fewer digital competitors. Don’t be shocked when you wake up one day to find a few gone. (Ed. Note: We’re not going anywhere!)

• It’s all about what you can do for other people. Promoters, agents, and club owners are dying to book you if they know you’ll make them money. Record labels (especially the majors) are dying to sign you if you have have an audience they can sell to. Managers will want to sign you if you have a line around the block waiting to see you. If you can’t do any of the above, your chances of success decrease substantially.

• Money often comes late. It may not seem like it, but success is slow. You grow your audience one fan at a time. The longer it takes, the more likely you’ll have a long career. An overnight sensation usually means you’ll also be forgotten overnight. This is one thing that hasn’t changed much through the years.

• Major labels want radio hits. They want an easy sell, so unless you create music that can get on radio immediately, a major label won’t be interested. This is what they do and they do it well, so if that’s your goal, you must give them what they want.

• You must create on a regular basis. Fans have a very short attention span and need to be fed with new material constantly in order to stay at the forefront of their minds. What should you create? Anything and everything, from new original tunes to cover tunes, to electric versions to acoustic versions, to remixes to outtakes, to behind the scenes videos to lyric videos, and more. You may create it all at once, but release it on a consistent basis so you always have some fresh content available.

• YouTube and Facebook are the new radio. Nurture your following there and release on a consistent basis (see above). It’s where the people you want to reach are discovering new music.

• Growing your audience organically is best. Don’t expect your friends and family to spread the word, as they don’t count. If you can’t find an audience on your own merits, there’s something wrong with your music or your presentation. Find the problem, fix it, and try it again. The trick is finding that audience.

• First and foremost, it all starts with the song. If you can’t write a great song that appeals to even a small audience, none of the other things matter much.

I’m sure you’ll agree that the music business is both exciting and invigorating in it’s current form. It’s not dying and it’s not wilting, unlike what you’ll hear and read from the old school naysayers. It is constantly evolving and progressing, and those who don’t progress with it will fall behind. That said, these 10 fundamentals will help anyone navigate the road to success.

10 Ways DIY Musicians Can Make The Most Of Their Lyrics

[Editors Note: This blog was written by our friends at LyricFind, the world’s largest lyric licensing service.]

1.) Include lyrics on your website. You can create a whole page dedicated to lyrics, or even offer a downloadable PDF for fans, in exchange for an email.

2.) Use lyrics on social media to engage fans. Include lyric snippets in your social media posts and tweets, when you share a video or audio track, when you post a picture from a gig, rehearsal, studio session, or epic brunch.

3.) Post playful photos of your lyrics to Instagram and social media. Post-its, flyers, chalk… they all suggest quirky, fun ways to put your lyrics out there. Need something more serious? Try your hand at something more calligraphic, or track down a letterpress and commission a few printed cards.

4.) Make lyric videos to promote your new song. Lots of bands with big marketing budgets are opting out of the big produced video, and looking for a simpler way. Indie musicians can, too. Start with a straightforward lyric video. If you’re not a whizz at motion graphics or After Effects, try Superstring.

5.) You can also go lo-fi for your lyric video. It can be as simple and impromptu as Bob Dylan’s iconic video for Don’t Look Back. Get out the poster board and markers, gather your friends and get creative. Find approaches that capture your artistic aesthetic and that feature your words.

6.) Get your lyrics into the publishing pipeline (and onto streaming platforms and other services). Publishing has opened up and is now accessible to artists at all stages of their careers, thanks to aggregators like The Harry Fox Agency. As LyricFind works directly with these aggregators (and many more), it makes it easier for your lyrics to become discoverable through platforms like Apple, Deezer, Shazam, and MetroLyrics. Look into what publishing services your distributor offers (ed. note: be sure to check out TuneCore’s Publishing Administration offerings!). Make the most of them.

7.) Make merch with your lyrics. Your song’s words would look perfect emblazoned on a t- shirt. Later this year, LyricFind is entering the merch scene with a new on-demand product that allows fans and consumers to print legally licensed lyrics on many kinds of merchandise.

8.) Make lyric posters. Remember that letter press idea? Why not print up a few dozen (or thousand) posters or flyer-sized arrangements of popular lines from your fans’ favorite songs? Or find other creative ways to present your lyrics visually.

9.) Are you artistically inclined? Are you a doodler? Make an old-school zine-style lyric chapbook for fans, as special thank-yous or perks. Print it, jot some fun notes or little drawings on it, and toss it on the copy machine.

10.) Make sheet music or charts for a song. It’s not hard to generate the chords or tablature for many songs. Check out Ultimate Guitar or Fender to make your own sheet music for fans to play along with.

Got any other cool ideas when it comes to sharing your lyrics? Let us know in the comments!

Your Music Was Added to a Popular Spotify Playlist…Now What?

[Editors Note: This article was written by Sam Friedman and originally appeared on the Soundly Blog.]

 

It’s 2017, and album sales are sinking to historic lows. CDs are becoming obsolete. Even digital downloads are plummeting. But people are listening more than ever — they’re just streaming. The music-publishing industry is changing fast. The Recording Industry Association of America (RIAA) reported that in 2016, streaming services were responsible for more than 50% of revenue earned in the music industry today. And the biggest player of them all is — you guessed it — Spotify, with an unbelievable 50 million paying users.

Spotify is known for its “discover” features, most specifically its playlists. Whether it’s “New Music Friday,” “Today’s Top Hits,” or “RapCaviar,” many of these playlists have millions of followers. If your music gets added to one of the biggies, that’s about as close to a Willy-Wonka golden ticket as you’re going to get in the streaming world. Overnight, your track can soar from a few hundred plays to tens of thousands.

Today, it’s just as important (if not more so) for indie artists to try to get their music featured on Spotify playlists as it is to get press coverage. Obviously, both are optimal, but Spotify can generate some serious revenue, especially if the artist owns the music.

And beyond getting paid, it exposes your music to thousands of new listeners. In many ways, it’s not unlike opening for a huge artist in front of a new audience. Spotify often curates its playlists based on genres or moods, so when your song comes on, it’s usually because someone was looking for or listening to a song like yours. But as much as artists (and labels) are competing for features, not many of them have a plan for when that magical moment happens.

Personally speaking, I didn’t even know my song was featured until an A&R rep reached out to me to talk about my music, mentioning he found me on Spotify’s “Fresh Finds” playlist. I had no idea what he was talking about, but I checked my Spotify plays and saw that one of my tracks, which previously had less than 1,000 plays, had suddenly increased to nearly 40,000! I had no idea what to do next other than just feel giddy that people were discovering my music. In reality, there are several important steps that every artist should take when his or her music is featured in a Spotify playlist.

Promote Your Feature

First things first: if you do get featured on a playlist, treat it like a good press feature and share that thing! This is a good time to do a sponsored social media post with a link to your song on Spotify. You should already budget for promoting your music on Spotify, but after your song is featured on a playlist, make a custom post and bump up the awareness. Be sure to share the playlist itself, too, not just your song.

Thank the Playlist Curator(s)

You may have to do a little research to find the names of the playlist curators, but that’s what Google is for, right? Get to stalking! If you can, find their emails, send them a genuine thank you, and establish a relationship. It’s also a good idea to find their Twitter handles and tag them when you share the playlist.

If someone out there likes your music enough to put you on a playlist that literally thousands of other musicians are dying to be on, chances are he or she is going to be open to hearing from you. Capitalize on their interest, and make a connection as soon as possible.

Search the Charts

Even if your song is added to a small playlist and you only get a modest bump in streams, the rate of growth can be enough to earn some chart action. Search Viral 50, Spotify US, Spotify Global charts, etc. Making it onto one of these is a huge opportunity to shine.

It’s also a great way to encourage your fans to share your song. People always like to help something grow. Ask your fans for their help, and update them every time you move up a notch.

Check Other Playlists

When a song is added to a big playlist, there tends to be a domino effect. You can typically find out which playlists feature your song under the About portion of your Spotify artist profile. Search daily, but also actively go hunting. Every Friday, check the “New Music Friday” playlist. Every Wednesday, check all of the “Fresh Finds” playlists.

Remember, each playlist that features your song is going to grow your audience and is worth raving about. In addition, people will find your music and add you to their smaller playlists — thank them.

Use Data to Build Your Press Kit

Take the data from your playlist feature — number of streams, cities where you’re most popular, etc. — and add it to your press kit or EPK. Today, new artists are introduced with press quotes and their streaming data if it’s impressive. Similar to a good quote from a reputable publication, notable streaming data helps sell your music to prospective bookers, record labels, A&R execs, etc. and is powerful ammunition to build your career.

Reinvest Your Earnings

Various studies report that the aggregate net average per stream is around $0.005 depending on how much of your music you own. It takes a couple months to get paid, but make sure you have a plan ready for how to reinvest that income back into your music.

For example, stash a certain amount of that money away for promoting your next single with Instagram ads and sponsored Facebook posts. Using your streaming money for cocktails over the next five weekends might not be the best investment to help keep your music career growing.

Keep an Eye on Your Stats

Obviously, you should pay close attention to your streaming stats, but watch your overall numbers on other platforms like Facebook and Instagram along with other streaming services like Apple Music. Unfortunately, people streaming playlists that feature your song doesn’t automatically mean they’re becoming fans — they’re just being exposed to your music. Look out for people commenting on your pages saying they found you on Spotify. Those are the fans you’re going to want to nurture and build a relationship with.

Another helpful stat to track is where people are listening. If you’re popular in Sweden, for example, plan to include that territory in your next promotion, or possibly think about planning a tour there. Spotify insights are crucial in helping you target new fans and nurture existing ones.

Pitch to Other Playlists

Now that you’ve been featured once, use that as an angle to bolster your single for inclusion on another playlist. When you’re pitching, mention your success and how your track is growing. Remember, a lot of Spotify is about credibility. People tend to only pay attention when you’re on the rise. Capitalize on that and keep pitching. Singles die off fast these days, so keep extending the life of your track until you release the next one.

If you feel overwhelmed by all this data gathering, that’s because it’s designed to be complicated. There are over 900,000 distinct royalty streams that artists around the world have access to, and between 20-50% of royalties generated never make into these artists’ pockets.

A Look At 360 Agreements: “Multiple Rights Deals” [PART 2]

[Editors Note: This is a guest blog written by Justin M. Jacobson, Esq. Justin is an entertainment and media attorney for The Jacobson Firm, P.C. in New York City. It’s the second in a two-part series – read Part One here.]

We will now continue our examination of some of the pros and cons of entering into a “multiple rights” agreement as well as look at some other clauses utilized in these agreements that are rarely seen elsewhere within the music industry.

Another common agreement that is part of the “multiple rights” a label acquires is one that covers the artist’s “collateral” or “ancillary” entertainment activities. This clause applies to any stream of income not covered by the other existing agreements between the parties.

Typical language stating this is as follows:

Artist hereby grants Label the right to participate financially in the results and proceeds of the Ancillary Entertainment Activities. “Ancillary Entertainment Activities” refers to Artist’s activities in and throughout the media industry as a performer, singer, musician, writer, composer, author, lyricist, producer, engineer, mixer, DJ, or otherwise in connection with the Artist’s songwriting and music publishing, exploitation of merchandise and fan clubs relating to the Artist, but excluding Recordings exploited by Label pursuant to a Recording Agreement with Artist.

As discussed above, this paragraph entitles the label to a percentage of all entertainment related activities that the label is currently not already entitled to under any existing agreements. Typically, the percentages earned by the label for non-record income ranges from 10% to 25% of gross or net income, depending on the specific agreement and specific source of income. However, under some agreements, the percentage can be as much as 50% of the net income from each and every source of revenue.

One final “right” included in a standard “multiple rights” deal is an artist’s merchandise right. A typical clause granting the label rights to the artist’s merchandise is displayed below.

Merchandise – Artist grants to Label the exclusive rights throughout the universe (“Territory”) to utilize the Artist’s Identification Materials, in connection with the manufacture, advertisement, merchandising, promotion, distribution and sale and/or license of any Merchandise bearing Artist’s name and/or likeness. Artist grants the Label the exclusive right to sell Merchandise to wholesalers and retailers, including internet-based wholesalers and retailers, for resale. Artist grants the Label the exclusive right to sell Merchandise directly to consumers through the Internet, mail order sales, and CD inserts. Artist grants the Label the exclusive right to enter into License Agreements for Merchandise. “Artist’s Identification Materials” include: posters, stickers, patches, lighters, buttons, keychains, novelty items, souvenir tour merchandise, toys, dolls, lunchboxes, t-shirts, jerseys, sweatshirts, hats, and other apparel bearing Artist’s name and/or likeness.

This clause provides the label with the exclusive right to sell the artist’s merchandise to physical and digital retailers and whole-sellers as well as selling the items directly to consumers (“D2C”) through the Internet or “CD” insert offerings. It also grants the label the exclusive right to enter into third-party licensing agreements for the sale of the merchandise. It also lists the various artist branded apparel items subject to the merchandise agreement.

Merchandising income is often calculated in a variety of ways. Sometimes, the label receives a flat percentage, such as 15-25% of any and all merchandise income. In other instances, as shown below, the different items sold by the record label entitle the talent to different percentages.

Royalties – Label shall pay to Artist the following royalties on Net Sales of Merchandise:
(1) Wholesale/RetailSales

1. 22% of Net Retail Receipts for t-shirts;

2. 20% of Net Retail Receipts for hoodies and sweatshirts;

3. 15% of Net Retail Receipts for headwear and other items.

(2) Direct To Consumer Sales (“D2C”)

a. 25% of Net Receipts

(3) LicensingIncome

a. 60% of Net Licensing Receipts.

As depicted above, the amount the artist is entitled to vary based on the type of items and channels through which they are sold. This difference could be due to the associated production, manufacturing and/or distribution costs associated with each item. In these instances, a musician should try to negotiate the highest percentages they can in order to ensure they receive most of the monies grossed from the sale of their merchandise.

One final clause that provides protection for the artist is the inclusion of a “sell-off” period at the expiration of the merchandise agreement. An example of this type of clause is listed below.

Sell-Off Period – Label shall be entitled for a period of six (6) months after the expiration or termination of the Merchandise Agreement (“Sell-Off Period”) to continue to sell, on a non- exclusive basis, any already existing Merchandise in Label’s possession. Label will not manufacture quantities of the Merchandise in excess of the amount Label reasonably expects to sell during the Sell-Off Period. Label shall pay Artist in accordance with the terms and conditions of this Agreement during the Sell-Off period.

This clause permits the label to sell off any remaining merchandise it has in inventory after the expiration of the agreement. It also limits the amount of new merchandise the label can manufacture. An artist should try to limit the time frame that the label’s “sell-off” period lasts for. In addition, the musician should try to ensure that the label does not sell the merchandise at a substantially reduced rate as to undercut any sales efforts taken by the artist after their exclusive merchandise deal ended.

There are a variety of reasons that an artist may or may not accept a “multiple rights” deal with an entertainment entity. The biggest reason for these extensive arrangements is to create a “partnership” between the label and artist. Since the label is now much more invested in the artist, due to the extensive financial investments (separate advances for each agreement) and all the potential avenues of possible return; the label may see the benefits of having a dedicated staff or representative(s) committed to collect monies generated by the artist, to actively pitch and market the songs to publications and music supervisors for potential placements in movies, television and video games. If the label is not as invested in the artist and does not foresee substantial returns, it may be hard for the label to dedicate their limited resources and time to build such an artist.

In contrast, there are several drawbacks to entering into such extensive agreements. One is that the label typically has extensive control and approval over the artist’s career, including the artist’s “image,” selection of songs, appearances and sponsorships. Another negative aspect is that although the label takes a cut of all a musician earns, most labels have begun paying much smaller advances than in prior years. They have also down-sized personnel, so they do not have sufficient staff to actively and vigorously work on behalf of all its signed artists. In an effort to balance this, an artist should work to acquire some sort of creative control over the label’s use of the artist’s name and likeness as well as who the music can be licensed to.

The music business has undergone a monumental shift caused by the decline in recorded music sales and aided by an increase in music streaming and illegal music downloading. In an effort to alleviate some of the traditional record label’s losses, they crafted new “multiple rights” agreements. These agreements have benefits and drawbacks; but, are here to stay.

This article is not intended as legal advice, as an attorney specializing in the field should be consulted. Some of the clauses have been condensed and/or edited for content purposes, so none of these clauses should be used verbatim nor do they act as any form of legal advice or counseling.