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Guide To The Business of Songwriting Songtrust
Guide To The Business of Songwriting Songtrust
is due royalties when their music is used around the world Unfortunately, .
making money from songwriting is not as straight-forward as your average
nine-to-five. However, there is now ample opportunity to earn money from
songwriting. With the advent of Songtrust, along with several other new music-
tech startups, the modern day songwriter can take advantage of a myriad of
outlets and revenue streams for their songs. It is important for songwriters to
know their options in order to curate their personal and professional approach.
As a songwriter, you are the publisher and owner of your songs. Music
publishing refers to the business of making money as the copyright holder of
the music you write 2 . Copyright law protects songwriters by giving them
exclusive rights to grant or deny the reproduction, distribution, or performance
1
If you make it, you own it. You can also collect royalties from cover songs, arrangements,
and public domain songs. Further, we will discuss what happens with Samples later in the
guide.
2
quite contrary to the popular belief that music publishing is the business of publishing sheet
music.
of their work. When you write original music and register the copyrights
correctly and comprehensively, you are able to start collecting royalties on that
music, provided that others are streaming, downloading, performing, or
synchronizing, that music.
This guide will go into detail about the many ways you can make money
as a songwriter and music publisher. We will discuss Streaming/Sales,
Synchronization, Performance, and more. Enjoy.
Copyright & Ownership
Copyright & Ownership
Copyright ownership is divided into two parts; the sound recording and
the underlying composition. Both parts collect royalties. The sound recording
represents the master recording of a song. Labels and Distributors collect sound
recording royalties. The underlying composition, a bit less tangible, represents
the structure, lyrics, melody, etc. This composition copyright belongs to the
songwriter(s) of the song, and their respective publishers. Think of a
composition as being embedded within recordings. Publishers and writers
collect composition royalties.
If you decide to sign a publishing deal, the publisher will only take a cut
of the publisher’s share and often take a percentage of ownership. If you decide
to simply sign a publishing administration deal, where a company like Songtrust
registers your songs and collects global royalties on your behalf, you collect all
of your money minus a small commission for administrative/business expenses
and time spent on your behalf.
3
Sometimes these shares will be considered to be 100% each, adding up to a total 200% for
the ownership of the composition, but for the purposes of this guide, we’ll stick to 50% per
share, equaling 100% for the song as a whole
It is very important to use a publishing administrator like Songtrust
because independent songwriters are unable to collect mechanical royalties
without a publishing entity. Songtrust acts as that publishing entity and collects
your mechanical royalties. Without Songtrust acting as a publisher on your
behalf, you miss out on 85% of the royalties you should get from streaming.
Co-Writing
Once a song becomes a joint work, meaning you’ve agreed that you are
all co-writers and therefore co-owners of the song and copyright, the work
becomes a unitary whole. This means there is no “separate but equal” concept
involving the differentiation between the music and lyrics. If you’ve decided to
split a song 50/50 between two writers because one wrote the lyrics and the
other wrote the music, both writers now own 50% of both the music and the
lyrics. For example, if the song gets a sync (we’ll discuss this concept more
later) in a film but only the instrumental version is used, both writers will still
receive 50% of the royalties and sync fees.
@songtrust
Performing Rights
Organizations (PROs)
Performing Rights Organizations (PROs)
A Performing Rights Organization or PRO is a society responsible for
collecting income on behalf of songwriters and music publishers when a song
is publically performed. Restaurants, bars, clubs, radio stations, television
networks, concert venues, streaming services, and any other entity that uses
music in a public manner is required to pay licenses in order to play that music.
They pay these license fees to the PROs, who in turn, pay out to the songwriters
and publishers in the form of performance royalties.
In the United States, songwriters can affiliate and register their songs
with one of three PROs: ASCAP, BMI, or SESAC. The differences between the
three are subtle, and are outlined in the Glossary under Societies and
Organizations. Territories around the world each have their own Performing
Rights Organization that collects performance royalties for writers in that
territory (we’ve listed these organizations in the glossary section). PROs in the
US collect performances royalties from public performances of your song within
the US.
If your music is being used outside of the US, you are owed royalties
from those countries’ PROs. The best way to register your songs with foreign
societies is through Songtrust. Songtrust has direct deals (read: no extra fees)
that cover 120+ territories. This is the most expansive (and least expensive)
publishing administration deal that currently exists.
After you’ve affiliated with a PRO, the next step is to register your songs. This
is where you tell the PRO the name of each song, who wrote it, and who has
administrative control of the publishing. Below are some important things to
remember remember in order to properly register your songs.
Once you’ve successfully registered your song, you’ll receive an ISWC. This
stands for International Standard Work Code. An ISWC is a song’s identifier,
which allows it to be tracked and royalties to be mapped to it.
Royalties & Licensing
Royalties and Licensing
A royalty is a percentage of profit entitled to a creator or owner for the
use of their intellectual property. Simply put, any public use or sale of your
music will accrue royalties.
PROs and collection societies issue licenses, track4 usage of music, and
pay out royalties. Royalty rates differ greatly across platforms and venues and
continue to be negotiated. Further, it is an enormous undertaking to track and
monetize the use of music throughout the world. The process involves massive
datasets and many codes and identifiers. As a result, registration and
monetization often takes months to complete.
Below are the different types of royalties, and the mediums by which
they are generated:
Performance Royalties
4
with the help of tracking services
Performance royalties can be generated from:
TV (This is not to be confused with the fee involved in the actual placement
of your songs in TV, film or commercials)
Radio
Live venues
Restaurants
Bars
Elevator music services
Supermarkets
Clothing stores
Gyms
Sampling
Jukebox
Online interactive streaming (e.g. Spotify)
Internet radio/non-interactive streaming (e.g. Pandora)
Mechanical Royalties
Record sales
Online interactive streaming (e.g. Spotify)
Internet radio/non-interactive streaming (e.g. Pandora)
Collaborative listening (e.g. Turntable)
Ringtones/ringbacks
Recorded cover songs
Film soundtracks
Karaoke recordings
Greeting cards
Toys/accessories
Print Royalties
As a copyright owner, you have the exclusive right to authorize others to
display copyrights sheet music, or lyric reprints.
Derivative Works
Sampling
A sample is a piece of a recording from a song that you don’t own used
in your own song. You can do this legally with permission from both the sound
recording owner, and the publisher(s) of the composition, as well as by paying
a licensing fee to both sides, and sometimes by giving the writers of the song
you sampled writing credit on your song.
The answer to the question ‘How much are songwriters paid?’ is complex. PROs
have different music licensing rates for different venues. They get very specific
and complicated. For example, there are different licensing rates when one’s
music is played at a polo match than there are at a roller skating rink, different
licensing rates between a university and a theme park, and different licensing
rates between using music on a jukebox and using music in a private club.
Nevertheless, if you are able to get your music played in a combination of these
outlets, you can begin to build a revenue stream.
For a better idea of how much money songwriters make, check out these visuals
provided by Information is Beautiful. Also take a look at the raw data from
those infographics to see how rates differ for the writer’s share across platforms.
5
Publishing Deals
Publishing Deals
When you’ve reached a certain degree of success independently as a
songwriter, you may want to seek out representation in the form of a publishing
deal. A publishing deal is essentially an agreement with a publishing company
to provide administrative (and sometimes creative) support for your catalog, to
leave you time to focus on what you do best: write. There are many different
types of publishing deals, but we’ll outline four of the most common below.
Administration Agreement
Co-Publishing Agreement
Though you retain ownership of 50% of the publisher’s share in this deal,
you are often giving away 100% creative control over the song itself. This
means you will have little say in how the song is used (aside from what is
agreed upon in terms set by the initial contract, i.e., not allowing your
compositions to be used for political campaigns or in inappropriate content).
This control will often be granted to the publisher in perpetuity, meaning the
publishing company will retain rights to your compositions written under your
deal with them, even after your deal is over. There are certain laws in place that
allow you to have your rights reverted back to you a number of years after the
termination of your deal (normally 35-40 years).
Work-for-Hire
In a work-for-hire agreement, for a flat fee, you give up all ownership and
administration rights for your works for the life of the copyright. This means
that you are not entitled to any publishing royalties earned by the composition
in the future, and you do not even need to be credited as the composer. These
agreements are most common in film and advertising when the film studio or
production company wishes to own and control all aspects of the production.
Songwriters have quite a few different options when signing a publishing deal.
But as an independent songwriter you are already your own publisher, and
there are major benefits to exploiting that opportunity as well. So whether
you’re just starting out or you’ve been around the songwriting block a few
times, know that you can take control of your own publishing.
You can register a publishing company with a PRO in basically the same way
you register as a writer. That publishing company will serve as a separate
business entity and your publisher’s share will be distributed to that entity. Both
checks will come to you, just as they would if you were solely registered as a
songwriter, but the publisher’s share will be made out to your publishing entity.
Note: If you’re affiliated with ASCAP, you must register as a separate publishing
entity in order to collect both your writer’s share and your publisher’s share. If
you’re affiliated with BMI, you will receive two separate checks--one for your
writer’s share and one for your publisher’s share--whether you’ve registered a
publishing entity or not. The benefits of creating this publishing entity are
similar to those of creating an LLC or incorporating a personal business--it
allows you to earn income, pay taxes, and do business in general as an entity,
rather than an individual, and protect yourself and your personal assets from
Creating your own publishing entity will not prohibit you from signing a co-
publishing or admin deal in the future. In that case, your publisher would just
send a letter of direction to your PRO, notifying them that they will be taking
administrative control of your catalog on your behalf. Below are some steps to
1) Decide on a name.
You will need a unique name so that royalty payments don’t get improperly
assigned. When you go through your affiliation process (see step 2), you will
The publisher will also perform administrative and creative duties for the writer’s
catalog within the agreement.
You will use this account to collect royalties earned from your publishing
company.
Before Songtrust, most songwriters were unable to collect global royalties for
the performance of their music. Local PROs are unable to collect all foreign
performance royalties owed to songwriters, and the royalties they can collect
are subject to many fees, leaving the songwriter with a fraction of their royalties.
With Songtrust, songwriters are able to register their songs directly with
collection societies across the globe and collect every penny they are owed.
Songtrust offers:
Registration with a PRO if you’re not already affiliated--skip the PRO
application fee
One-stop global song registration with performance and mechanical
collection societies worldwide, including ISRC data
Global royalty collection
Live setlist submission – collect your live performance royalties
Detailed royalty reports and payment by direct deposit
YouTube Claiming and Monetization Tool
Responsive and sophisticated client service
Quality educational resources about songwriting and music publishing
Find out more about joining Songtrust by visiting our website, or send us
an email at help@songtrust.com Learn how to navigate as a SongTrust user
here
Resources
Resources
The PROs, the Harry Fox Agency, Songtrust, and other music publishers collect
royalties on behalf of compositions. If a songwriter also owns his or her own
masters, he or she can also collect royalties on behalf of the sound recordings.
Selling Royalties
Registering with an online service like RoyaltyExchange is another avenue from
which you can monetize your music by allowing you to sell part of your royalties
to a community of buyers.
Royalty Advances
Services like LyricFinancial offer financial solutions and royalty advances to
nurture the development of the independent music community. If you rely on
the revenue your songs earn to make ends meet, then lyric financial can provide
advances on your royalties.
Nowadays, the main function of distributors is to get your music onto streaming
services like Spotify, iTunes, Amazon Prime, Google Play, Deezer, etc.
Distribution companies also place your music in physical stores like Bestbuy,
Barnes & Noble, Target, Walmart, and even local record stores. There are many
options for independent distribution, such as CDBaby or DistroKid.
Synchronization
Synchronization is a great way to monetize your music. Below is a list of services
that can help you pitch your music for synchronization in film, TV, advertising,
and video games:
Miscellaneous
Use a music-specific website service, like Bandpage or Bandzoogle .
Enter contests and engage with a music community with sites like Indaba.
Submit your music to blogs using http SubmitHub.
Use a social media content scheduler like Buffer or Tweetdeck so that you
don’t have to constantly monitor your profiles.
Gain insight on your growing fanbase through Google Analytics, Google
Trends, Facebook Insights, and Twitter Insights.
Use Sumall to get daily and weekly reports on your social media platforms
Get your fans’ emails, and send out email campaigns with services like
GetDrip, or Fanbridge, or MailChimp
Create merchandise with services like
Bandsonabudget.com, GetBandPosters.com, CustomInk
Crowdfund from your fans and supporters with services like Patreon,
Kickstarter, Indigogo, or PledgeMusic
Songwriting Resources
Writers-Rounds
Open Mics
Local Songwriter Groups
New York Songwriters Circle
Co-write at FindMySong.com
Education
“All You Need To Know About The Music Business” by Donald Passman, for
a general overview of the music industry.
Void Academy
Imagine a world where all songwriters were affiliated and registered, and collected all
the money they deserve. Musicians could stop wondering if they are getting ripped
off or shorted, and focus on creating music. With Songtrust, this is now possible. Tell
your friends. Share your newfound knowledge on a social media platform of your
choice. Spread the word. Below are some ways to tell others about Songtrust:
P.S – Here is a discount code for 20% off of the 1-time sign-up fee: “EBOOK2016”
Glossary
Glossary
Terms
Perform
To perform music means to “recite, render, [or] play...it, either directly or by means of
a device or process.” (12 U.S.C Sec. 101) (Kohn, 2010)
Performance Right
The exclusive right to perform or authorize the performance of music “publicly.”
(House of Rep. Report No. 93-1476, 94th Cong., 2d Sess. (1976) at p. 63.,Kohn)
Public Performance
To perform music publicly means (1) to “perform...it at a place open to the public or
at any place where a substantial number of persons outside of a normal circle of
family and its social acquaintances is gathered” or (2) “to transmit or otherwise
communicate a performance….of the work to a place specified by clause (1) or to the
public, by means of any device or process, whether the members of the public
capable of receiving the performance receive it in the same place or in separate
places and at the same time or different times.” (12 U.S.C Sec. 101) Performances in
semi-public places, such as clubs, lodges, factories, summer camps, and schools are
considered public performances (Kohn, 2010).
Music Publishing
Music publishing generates the largest source of income for songwriters and
composers (Sobel, Weissman, 2008). It is the business of acquiring, protecting, and
promoting song copyrights and collecting the royalties that these copyrights
generate. Think of a song as intellectual property (it’s an original piece of art!), and
music publishing as the business that makes sure that songwriters get paid a fair
compensation when their intellectual property is used by companies. Those
companies could be record labels (mechanical royalties), radio stations, bars, and
restaurants (performance royalties), or film studios and advertising agencies (sync
license fees), and many more. Note that music publishing pays royalties only to the
writer of a song, not to performers (so Bob Dylan, not Jimi Hendrix, gets the music
publishing royalties for ‘All Along The Watchtower’).
Administrator
Responsible for supervising finances and copyright matters for a song or catalog. An
administrator’s primary role is to protect song copyrights, collect royalties, issue
licenses and insure that songwriters are paid accordingly. All major publishers and
most independents handle administration for the catalogs they own and control
internally. Smaller publishers and many individual songwriters who don’t want to sell
their copyrights sign deals with companies that focus exclusively on providing
administration services without taking an ownership interest.
Catalog
A collection of works controlled by a songwriter or publisher.
Controlled Composition
A song that is written, co-written or owned by the artist on whose album it
appears. See below for more about controlled composition clauses and how they
affect artist contracts.
Copyright
Rights granted by law to the creator of an original work. The creator of such a work
(like a songwriter, author, or artist) is entitled to the right to copy, distribute and
adapt the work (whether it’s a piece of music, a book, an image, etc.). Under United
States Copyright Law, as soon as you make a tangible copy of something, you have a
copyright. Simply put, if you sing a song in your head, you have no copyright. But
once you write it down or record it, your work is copyrighted.
Cross Collateralization
A common clause in recording contracts that allows a party to recoup an advance
against royalties from other sources or contracts. For example, if your label also owns
your publishing rights, it could keep your publishing royalties until you recoup your
recording advance.
Cue Sheet
A document usually created by the production company of an audio-visual work
(film, TV show, etc.) that lists all music used within the program and accompanying
information. The production company of a TV show, film or other audiovisual work
using music should send a cue sheet to the relevant PROs. These PROs then use the
information provided on cue sheets to properly collect and allocate royalties. A cue
sheet should contain song title, writer and publisher information, song duration and
use type.
Derivative Work
A work based on a pre-existing work. This can be a translation, dramatization,
fictionalization, art reproduction, abridged or condensed version, or any other
transformation or adaptation of a work. Under U.S. Copyright Law, the only person
who can grant the rights for a derivative work to be created is the holder of the
copyright for the original work. For example, Kanye West’s Stronger, which samples
Daft Punk’s Harder, Better, Faster, Stronger, is considered to be a derivative work
because it is based on a pre-existing song.
DPD
Digital Phonorecord Delivery. DPD is the technical term for the digital download of a
sound recording. For example, an iTunes download is a DPD.
DRM
Digital Rights Management. A term for the practice of restricting or controlling how
digital content is used on electronic devices. For example, a download that can only
be activated on a set number of devices has DRM.
Fair Use
An exception and limitation to the exclusive rights granted to the copyright holder of
a creative work. If something falls under the doctrine of Fair Use, someone can use
the copyrighted material in a limited way without acquiring permission from the
rightsholder. Commentary, search engines, criticism, news reporting, research,
teaching, library archiving and scholarship may be considered Fair Use in certain
situations.
First Use
An element of copyright law that grants the publisher or copyright owner control
over the work’s first use. Though the custom is to charge the statutory rate, the
publisher or copyright owner can decide who gets to record a copyrighted work for
the first time and how much to charge them. See below for more about statutory
rates.
Foreign Mechanicals
Royalties paid to a publisher for the sale of copyrighted songs in foreign
territories. Unlike US mechanical royalties, foreign mechanicals do not have a fixed
penny rate, but usually are paid as a percentage of the wholesale price (generally
between 6 and 12%, depending on the territory.) Foreign mechanicals are collected
by local societies such as GEMA in Germany and SACEM in France. If a US
songwriter does not collect their foreign mechanicals within a set period of time
(generally 6 – 18 months, depending on the territory) then the society will usually
distribute those royalties to local publishers as “black box” income.
Infringement
The unlicensed use of works under copyright. Infringement occurs when someone
other than the rightsholder violates one of the rights holder’s exclusive rights. In
music publishing, the 6 exclusive rights are Reproduction, Derivation, Public Display,
Public Performance, Distribution and Digital Transmission. For more information, see
6 Exclusive Rights of a Copyright.
IPI
Interested Parties Information. This 9-digit number is used to uniquely identify a
songwriter or publisher. IPI numbers are also referred to as CAE (Composer, Author
and Publisher) numbers. The IPI database replaced the CAE database as the industry
standard in 2001, but the two are often used interchangeably. Rightsholders are
assigned IPI numbers when they are granted membership to a PRO. You can find the
IPI of an affiliated songwriter or publisher by performing a repertory search
at ASCAP or BMI. Your IPI number is not the same as your ASCAP member ID or
BMI account number.
ISRC
International Standard Recording Code. This 12-character alphanumeric code is used
to uniquely identify a sound recording. One song can have multiple ISRCs if the song
has been recorded, remixed or edited more than once. Publishers, collection societies
and music services use ISRCs to match master recordings to underlying
compositions. ISRCs are typically assigned by your label or distributor.
ISWC
International Standard Musical Work Code. This 11-character alphanumeric code is
used to uniquely identify a musical work. Each song should only have one ISWC, but
arrangements, adaptations and translations should receive their own unique ISWCs.
ISWCs are issued by your PRO, so if your works are already registered with your PRO,
they have been assigned ISWCs.
Independent Publishers
Music publishing companies that are independent from major recorded music
businesses. Examples of independent publishers include Bug Music, Downtown Music
Publishing, and Imagem.
Intellectual Property
Any product of someone’s intellect that has commercial value. This includes any form
of creative expression and knowledge (like symbols, names, and images), whether it
is documented or undocumented. Intellectual property can be protected through
copyrights, patents, trademarks, and trade secrets laws. For example, Nike’s signature
check mark logo is protected through trademark, and Coca-Cola’s secret recipe for
Coke is protected through trade secrets law. Visit the World Intellectual Property
Organization’s website for more information.
Interactive Streaming
An “on-demand” stream of a track that doesn’t require the listener to download the
file. Interactive streams allow listeners to listen to recordings at their request, thus
generating mechanical royalties. Interactive streaming services, like Spotify, pay both
performance and mechanical royalties, unlike non-interactive streaming services, like
Pandora, which pay only performance royalties.
Major Publishers
Major music publishing companies. Major music publishers, as opposed to
independent publishers, tend to be affiliated with the major recorded music
businesses. Examples of major music publishers include Warner/Chappell, EMI,
Universal, and Sony/ATV. BMG Rights Management, a venture between the buy-out
firm KKR and Bertelsmann, has acquired many independent publishers and though
not affiliated with a major record company, is now considered to be a “Major
Publisher.”
Master Recording
A complete, original recording from which copies are made. Master recordings are
usually controlled by a label, whereas the underlying compositions are usually
controlled by a publisher. A master recording’s copyright is represented by the “℗ ”
symbol meaning “phonogram”.
Mechanical Royalties
Royalties earned through the reproduction of copyrighted works in digital and
physical formats. Songwriters are paid mechanical royalties per song sold,
downloaded and on certain digital formats. The standard mechanical rate for sales is
set by the US Copyright Office and is called the statutory rate. The current statutory
rate (it frequently changes to reflect increases in the cost of living) is 9.1¢ per track
or 1.75¢ for each minute of playing time, whichever is greater. In other words, if a
label releases your song on iTunes, you can generally expect to receive 9.1¢ for every
download. Certain interactive digital streaming services, like Spotify (but not Internet
radio services like Pandora), must pay mechanical royalties, however these rates are
calculated differently. If you self-release your music via a distribution service like CD
Baby, for example, your mechanical royalties from sales are generally bundled into
your artist royalty and paid to you directly. However, for sales outside of the United
States, your mechanical royalties are not generally bundled with your artist royalty
and often require the services of a publishing administrator to collect.
Music Supervisor
The person responsible for selecting the music to be used within an audiovisual
production, such as a film or TV show. The Music Supervisor may also have the
responsibility of acquiring the necessary licenses for the music uses selected.
Neighbouring Rights
The public performance right associated with the copyright of a master recording.
Neighbouring rights, also called ‘related rights’, are similar to the public performance
right associated with compositions, but they are paid to master recording owners
(usually the label) and performers, rather than songwriters and publishers. In the US,
neighbouring rights are only recognized for non-interactive digital transmissions, like
satellite and digital radio (Sirius XM, Pandora). Only nations that have signed and
ratified the Rome Convention for the Protection of Performers, Producers of
Phonograms and Broadcasting Organizations of 1961 (not the US) recognize
neighbouring rights across a broader spectrum of uses, like terrestrial radio.
Performance Royalties
Payments made to a songwriter or publisher for the public performance or broadcast
of a musical work. Public performance refers to playing a song on the radio, on
television, in bars and nightclubs, at concert venues, and other public places.
Performance royalties are collected by performing rights organizations such as
ASCAP, BMI and SESAC.
Producer
A record producer is responsible for bringing the creative product into tangible form.
He or she takes care of all the administration and direction and often participates in
the creative process. (Passman, 2012)
Public Domain
Works that don’t have intellectual property protection are in the public domain, and
can be used by anyone and for any purpose without the need of permission or the
payment of a fee to the original composer. A work can be in the public domain
because of its copyright or patent protection has expired, because it is a government
work, or for a number of other reasons. An example of a work in the public domain
is Beethoven’s 5 Symphony. See above for more about intellectual property.
th
Rate Per Song
The mechanical royalty amount owed to the publisher per song for each copy of the
song that is distributed and/or downloaded. The rate per song is often based on
a statutory rate set by the Copyright Statute (which is currently 9.1¢ per track or
1.75¢ for each minute of playing time, whichever is greater), but there are exceptions
in which the rate per song is less than the full statutory rate. See below for more
about statutory rates.
Reversion Clause
A clause included in some publishing contracts stating that ownership of some or all
works contained within the agreement will revert back to the songwriter after a
certain period of time or if certain conditions are met, like successful placement on a
major label release.
Royalties
Payments made on a per-use basis. In the context of music publishing, royalties refer
to the income earned through the use of a song. This can include album sales, digital
downloads, streams, radio airplay and a host of other forms through which songs
earn income for songwriters and music publishers. See below for more about
different kinds of royalties.
Sampling
The act of taking material from a previously existing sound recording and
incorporating it into an entirely new sound recording. Sampling began as a
technique used by experimental composers, but became a popular production
technique in 1970’s hip-hop culture and then spread to electronic music and other
genres. In order to avoid copyright infringement, samples almost always require a
license to use the sound recording and often require a license to use the underlying
composition.
Score
The music composed for an audiovisual work, such as a film or TV show. Scores are
often used to create a specific mood in a way that a previously existing, licensed
work cannot. Scores are often written by a composer as a “work for hire” by the
production company. This means that while the composer is the creator of the
musical works, he was paid by the production company specifically to do so.
Therefore, the musical works fall under the scope of his employment and are owned
by the production company, not the composer.
Sub-Publisher
A Sub-Publisher is a company that is assigned the right to administer songs outside
of a publisher’s territory. For example, an American publisher would engage the
services of a sub-publisher in Germany to handle its affairs in that country.
Sales
Sales or record sales refer to both the physical and digital records sold.
Composition/Underlying Composition
The composition refers to the actual song: music and the accompanying words. It
has nothing to do with the sound recording of that song.
Writer’s Share
When a writer has a deal with a publisher, the contract will state what percent the
writer will receive from the overall income of the writer’s works.
Publisher’s Share
When a writer has a deal with a publisher, the contract will state what percent the
publisher will receive from the overall income of the writer’s works.
Splits
Splits represent the percentage each songwriter owns of a specific song.
Topline
The topline of a musical work covers the vocal tune and the lyrics.
Arranger
A music arranger arranges the many parts of a musical composition. Voice, harmonic
structure, instrument, tempo, rhythm, and tone balance are all taken into
consideration in order to attain the intended composition.
Session Musician
Session musicians or studio musicians, are instrumental and vocal performers who
assist other artists with their live performances or recording sessions.
Split Sheet
A split sheet is a document that states who wrote what percentage of a work. A split
sheet should be created for each and every song you write, before ever shopping it
to a third party to be published commercially.
Joint Work
Joint work or co-authorship refers to a work that is written by multiple songwriters.
Work
Work refers to a song or composition.
Co-Publishing Agreement
A publishing agreement where a songwriter assigns a certain percentage of their
copyright to a publishing company in exchange for creative and administrative
services, and usually an advance.
Letter of Direction
A LOD is used to notify a PRO that a publisher will be taking administrative control
of a songwriter’s catalog on that songwriter’s behalf.
Synchronization
Synchronization or “sync” is used to describe the overall use of music in audiovisual
projects.
License
Licenses are agreements for the use of music in audiovisual projects. Used in its
strictest sense, a sync license refers to the use of a musical composition in an
audiovisual work and a master use license refers to the use of a music recording
(master) in an audiovisual work.
Advance
The upfront amount of money you get when signing with a publishing companies.
Copyright Act
The Copyright Act is a United States copyright law. The Act spells out the basic rights
of copyright holders, codified the doctrine of "fair use," and for most new copyrights
adopted a unitary term based on the date of the author's death rather than the prior
scheme of fixed initial and renewal terms. The copyright law protects “musical works”
including songs and any accompanying words as well as orchestral works, librettos
and other musical compositions. Copyright also protects recordings of musical
compositions.
PRS
Performing Right Society. As the foremost PRO in the UK, PRS is the UK counterpart
of ASCAP, BMI and SESAC. PRS partnered with MCPS (Mechanical-Copyright
Protection Society), the Harry Fox Agency’s UK counterpart, in 1997 to manage both
performance and mechanical rights. Their partnership is called “PRS for
Music”. Visit PRS for Music’s official website for more information.
SOCAN
Society of Composers, Authors and Music Publishers of Canada. As the foremost PRO
in Canada, SOCAN is the Canadian counterpart of ASCAP, BMI and
SESAC. Visit SOCAN’s official website for more information.
Performing Rights Organizations
Name Country
ABRAMUS Brazil
ACUM Israel
AEPI Greece
CMRRA Canada
COMPASS Singapore
IMRO/MCPSI Ireland
KODA Denmark
MUSICAUTOR Bulgaria
NCB Denmark
SABAM Belgium
SACEM/SDRM France
SACM Mexico
SGAE Spain
SODRAC Canada
SPA Portugal
STIM Sweden
SUISA Switzerland
TEOSTO Finland
TONO Norway
RIAA
Recording Industry Association of America. The trade association representing the
American recorded music industry. Its members include record labels and
distributors. The RIAA lists the following as its goals as: to protect intellectual
property rights and the First Amendment rights of artists, to perform research about
the music industry, and to monitor and review relevant laws, regulations and
policies. Visit the RIAA’s official website for more information.
NMPA
National Music Publishers Association. The trade association representing American
music publishers and their songwriting partners. The NMPA’s mandate is to protect
and advance the interests of music publishers and songwriters in matters relating to
the domestic and global protection of music copyrights. Visit the NMPA’s official
website for more information.
AIMP
The Association of Independent Music Publishers. A trade organization whose
members include independent music publishers and other members of the
entertainment community. The AIMP’s mandate is to educate music publishers and
other entities about current industry trends and platforms. Visit the AIMP’s official
website for more information.
MCPS
Mechanical-Copyright Protection Society. The foremost mechanical licensing,
collections, and distribution agency for UK music publishers. MCPS is the Harry Fox
Agency’s UK counterpart. MCPS partnered with PRS (Performing Right Society),
ASCAP, BMI and SESAC’s UK counterpart, in 1997 to manage both performance and
mechanical rights. Their partnership is called “PRS for Music”. Visit PRS for Music’s
official website for more information.
CMRRA
Canadian Mechanical Rights Reproduction Agency. The foremost mechanical
licensing, collections, and distribution agency for Canadian music publishers. CMRRA
is the Harry Fox Agency’s Canadian counterpart. Visit CMRRA’s official website for
more information.
songtrust.com