How to Collect Performance Royalties
Collecting performance royalties is an essential aspect of the music industry for artists and composers. Performance royalties are the compensation paid to creators for the public performance of their music, whether it’s on the radio, television, or in a live setting. Understanding how to collect these royalties is crucial for ensuring that artists receive fair compensation for their work. In this article, we will explore the steps involved in collecting performance royalties and provide valuable insights for both new and established artists.
1. Understand the Different Types of Performance Royalties
Before diving into the collection process, it’s important to familiarize yourself with the different types of performance royalties. There are three main categories:
– Public Performance Royalties: These are paid when your music is played on radio, television, or other public venues.
– Broadcast Performance Royalties: These are specific to terrestrial radio and television broadcasts.
– Digital Performance Royalties: These are paid when your music is streamed online or broadcast over digital platforms like Spotify, Apple Music, or YouTube.
2. Register Your Music with Performing Rights Organizations (PROs)
Performing Rights Organizations (PROs) are non-profit organizations that collect and distribute performance royalties on behalf of their members. To collect performance royalties, you need to register your music with one or more of the following PROs:
– ASCAP (American Society of Composers, Authors, and Publishers)
– BMI (Broadcast Music, Inc.)
– SESAC (Songwriters, Entertainment, and Artists Rights Alliance)
Each PRO has its own set of requirements for registration, so be sure to research the specific guidelines for each organization.
3. Ensure Proper Music Ownership and Registration
To collect performance royalties, you must have the legal rights to your music. This means that you should own the copyright or have obtained the necessary permissions from the copyright owner. Additionally, ensure that your music is properly registered with the appropriate PROs. If you’re a co-writer, make sure all co-writers are also registered with the same PROs.
4. Monitor Your Royalty Statements
Once you’re registered with a PRO, you’ll receive royalty statements detailing the performances of your music and the corresponding payments. It’s crucial to monitor these statements regularly to ensure accuracy and identify any discrepancies. If you notice any errors, contact your PRO immediately to resolve the issue.
5. Collect Your Royalties
Once you’ve received your royalty payments, it’s important to manage them responsibly. Consider opening a separate bank account for your royalties to keep track of your earnings. Additionally, you may want to consult with a financial advisor to ensure you’re maximizing your income and planning for the future.
6. Stay Informed About Changes in the Music Industry
The music industry is constantly evolving, and so are the methods for collecting performance royalties. Stay informed about any changes in the industry, such as new digital platforms or regulations that may affect your royalties. This will help you adapt your strategy and ensure you’re always collecting the maximum amount of royalties for your work.
In conclusion, collecting performance royalties is a vital process for artists and composers. By understanding the different types of royalties, registering with a PRO, ensuring proper ownership and registration, monitoring your royalty statements, and staying informed about industry changes, you can ensure that you’re fairly compensated for the public performance of your music.
