Making Your Own Music-Label Deals

Making Your Own Music-Label Deals

A multi-artist deal, as the name implies, is one where the production entity has a deal with the record company to sign and deliver a number of artists. It is sometimes called a label deal. When making your own music, these days the production entity usually has its own label on the product. Sometimes, however, the producing entity has no identification on the records, and the public doesn't know they exist. In addition to paying a recording fund for each album, there is often some form of overhead payment to the production entity. This is usually an advance and is used to pay rent, payroll, phone, light bills, etc. For bigger deals, it will also cover marketing and promotion.

The tern of the deal is usually two or three years firm, with the distributor having options for one or more additional one-. two-, or three-year periods.

Multi Artist Deal Numbers

All-in royalty to production entity:   60 cents
Royalty to artist A:                         50 cents
Royalty to artist B:                         50 cents
Royalty to artist C:                         50 cents
Advance for production operations: $100,000

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Making Your Own Music-Production Deal Points

Music Production

Production Deal Points

In previous post I talked about computations when making your own music. I have found it worth while to recompute royalties. First of all it's difficult, complex, time consuming and usually given to a low level bookkeeper. Second, even when done correctly. the advantage you pick up is often very minimal. Third, if and when the artist finds out this looks bad for the artist.

Make sure you don't give the artist any rights you don't have in the first place. I remember where one production company gave an artist approval of coupling, approval of album cover artwork. guaranteed release, etc, when they didn't have those things from the record company. If you fall into this trap, at best it will be embarrassing, and at worst the artist could walk away from your deal when you don't deliver. The artist will still record with the label. However, this doesn't do you any good cause the record label won't pay you royalties if you lose the artist because of the screw-up.

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Making Your Own Music-Single Artist Deals

Making Your Own Music-Single Artist Deals

When making your own music, there is what is called a single artist deal. It is basically the same as a loan-out deal but there are a couple of differences. A deal between the artist and production entity is now for real. This means there are true negotiations between the two parties. Typically the artist will ask for things like they would ask a record label. Some provisions are different. Sometimes there is a battle between the production company and the artist. This means that the record label will exercise it's rights under the inducement letter and thus the terms of the inducement letter are critical. Here are some negatives with a production entity:

1) The production entity takes some of the royalty.
2) Harder for you to coordinate marketing, promotion, ect, if you and your manager don't have direct contact with the record label. Have one. Make sure your manager does!

Here is a cool make your own music software. Dub Turbo.

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Making Your Own Music-Indie Production Agreements

Making Your Own Music-Indie Production Agreements

When making your own music, an indie production agreement is what a major distributed indie labels signs
with the major label. These deals are similar to loan-outs, except that the artist doesn't own the corporation in the middle. Typically, the production entity is owned by a producer or other recording mogul whose ears have found you and committed to you. It then signs to a major to deliver the artist's recordings. As we see in a minute, under these deals, the inducements letter is even more critical. There are two basic types of these production deals:

1) A single artist deal is where the production entity makes an agreement with the record company for one specific artist.

2) A mult-artist deal sometimes called a label deal, is where the production entity supplies recordings of various artists, many of whom have not yet been signed by the production entity. As you can imagine, this type of deal is much more complicated than a single-artist deal. Next post I will explain single-artist deals.

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Making Your Own Music-Loan Out Deals

Making Your Own Music-Loan Out Deals

This page is about loan-outs for musicians. Click below if you are seeking:

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When making your own music, hopefully you will begin to get successful. As this occurs, you will want a loan-out corporation. Everybody that is a band or solo artists has one. It's called this because the corporation and not you enters in the deals, and "loans" your services to others for recording, concerts, etc. Having such a company will protect you from being sued. In other words, if the loan-out company's only assets are your record royalties, then someone who sues you over a record-related claim can only grab your record money. They can't go after say, your personal bank account balances, songwriter income, etc.  When making your own music, this is how your record deal works. You sign an exclusive recording contract with your own corporation, on a form that looks like the record company deal. Set up as a LLC(Limited Liability Company), which is set up like a corporation. Once you sign with your own corporation, the record company signs a recording agreement with that entity, which agrees to supply services. Three steps to remember and should also look like when you sign a deal. 1) Artist, 2) Loan-Out Company, 3) Distributing Record Company.

Digital And Webcast Monies

Digital Performance, And Webcasting Monies

When making your own music, recording artists are entitled to monies payable under the Audio Home Recording Act of 1992. This is known as DART. Congress added a right to be paid for the digital performance of masters in 1995 and the right to be paid for the digital performance of masters. In 1998, the right to be paid for web casting. As a preview, the important thing to know is that with each of these the artist is paid directly for these rights, meaning monies don't go to the record company's. So they can't recoup anything from this. This is a great way to go for artists due to technology and everything is computer influenced these days. However the record labels are trying to figure out a way to get there greasy little hands on this money earned by artists. If you are paid directly, your record deal will say that you're not entitled to share the company's monies. In other words, if whoever collects web casting monies pays you and the label separately, you won't share in each other's cash. What you want to add is that, if anyone pays all the monies to the record company's, you get %50 of those. And try to say that the label can't use these monies to recoup your deficit.Your argument is that they didn't expect to have them for recoupment in the first place.

Foreign Public Performance of Masters

In many countries, the record label is paid a royalty every time a recording is played on the radio. This is different from public performance royalties that are paid to a songwriter and publisher of the musical composition when recording is played on the radio, and which have always been paid in the U.S. Public performance monies for recordings didn't exist in the U.S. until 1995, and the law enacting them is so narrow that it means very little today. But the money is growing! In foreign territories, these monies are substantial. Record companies don't like to share their foreign public performance royalties, on the theory that the artists can get their share by directly applying to the foreign performing society. The problem is that most U.S. artists aren't allowed to collect foreign performances under the local rules, and while this should move the companies to tears, somehow it doesn't. They simply dig into the position that they don't have to give the artist any part of the record company's share, and this is an extremely difficult point for the artist to win.

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Making Your Own Music-Online Guitar Lessons!

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Making Your Own Music-Guitar Lessons



   The guitar is a great instrument to learn. It is very efficient to carry around unlike a piano. It does not take up to much space in your house or apartment. The guitar is very complex and not easy to play. This is the case for most instruments. There are some many endless possibilities of sound creation with the guitar. When making your own music, writing songs it is a very popular tool to use for this purpose. Learning guitar, there are some many teachers and private lessons out there. There is a easy alternative to this. Now and days the Internet provides you with everything and everything. I have found that online guitar lessons are the way to go. Saves money number one. Number two, you can sit in front of the comupter/pc to learn right from home. Private lessons are way to expensive and most people just starting out get very nervous in front of there teacher. I have done tons of research on lessons because of me being in the music industry and just plain curiosity. I have found that a great way to learn online guitar lessons is through Jamorama. The teaching methods are superior and easy to lean and understand. Plus you can learn any type of style of music on electric and acoustic. With the shape of the economy and saving money. Online guitar lessons is where it's at. So check out Jamorama, and you can learn how to play the guitar and make great sounds and songs! I highly recommend it.

Arian Collin is a manager for bands and artists in the music industry.

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