Performance Royalties
Performance royalties are payments made to the songwriter and publisher of a piece of music for the public performance of that music. This includes plays on radio stations, TV networks, and streaming services. Performance royalties are collected by performance rights organizations (PROs) such as ASCAP, BMI, and SESAC in the United States. These organizations ensure that the songwriter and publisher receive their fair share of the royalties generated by the public performance of their music.
Mechanical Royalties
Mechanical royalties are payments made to the songwriter and publisher of a piece of music for the reproduction and distribution of that music. This includes physical copies of the music, such as CDs and vinyl records, as well as digital downloads and streams. Mechanical royalties are collected by mechanical rights organizations such as the Harry Fox Agency in the United States.
Sync Licensing
Sync licensing involves the use of music in TV shows, movies, and commercials. When a piece of music is used in a visual production, both the songwriter and publisher are entitled to a sync licensing fee. The fee can vary depending on the popularity of the song and the intended use of the music.
Print Music Royalties
Print music royalties are payments made to the songwriter and publisher of a piece of music for the sale of sheet music or songbooks. These royalties are collected by the publisher or a print rights organization such as the Music Publishers Association.
Career in Music Royalties
Understanding music royalties is an important aspect of a career in the music industry. Many job opportunities exist in the field of music royalties, including working for a PRO, mechanical rights organization, or music publisher. A career in music royalties can be rewarding and fulfilling for those with a passion for music and a strong understanding of the business side of the industry.
Key Takeaways
- Performance royalties are payments made for the public performance of a piece of music, collected by PROs such as ASCAP, BMI, and SESAC.
- Mechanical royalties are payments made for the reproduction and distribution of a piece of music, collected by mechanical rights organizations such as the Harry Fox Agency.
- Sync licensing involves the use of music in visual productions, and both the songwriter and publisher are entitled to a sync licensing fee.
- Print music royalties are payments made for the sale of sheet music or songbooks, collected by the publisher or a print rights organization.
- A career in music royalties can be rewarding and fulfilling for those with a passion for music and a strong understanding of the business side of the industry.
Consider taking the NYU x Billboard | Music Industry Essentials online course and certificate program to further your education in the music industry.
