Music publishing refers to the exploitation of a song’s composition copyright. A song’s composition is its lyrics and music as written by one or several songwriters. This distinction is important to make between two types of copyright that we discussed in our Copyright 101 guide: composition copyright and sound recording copyright.
What royalties can music publishing earn me?
Songwriters make a living from their compositions in a variety of ways.
- Performance royalties
- Mechanical royalties
- Sync licensing fees
- Sample licenses
- Printing sheet music
What is the best way to make money from music publishing?
There are a few factors that will affect the amount of money you make from publishing. No one number can be guaranteed. The publishing royalties that you receive are dependent on the amount of work you do to promote your music.
Publishing is a significant source of revenue in the music industry. Independent artists can make money by writing their songs. The sources listed in this section can help you earn royalties beyond what you already collect from ticket sales, downloads, streams, and other means. Only the sound recording is eligible for sales and streaming revenue. This is because it is one type of copyright. If you don’t seek publishing royalties for your composition copyright, you are only earning half the copyrights that you have. Publishing is a great opportunity to earn money!
In the United States, courts are constantly arguing over the actual royalty amount that you can make from interactive streaming. The Copyright Royalty Board, also known as the Copyright Royalty Board, is an organization that defends the rights and interests of publishers and songwriters. It works in their best interest to ensure they are paid fair compensation for their work. The C.R.B. decided to raise the rates that streaming platforms such as Spotify and Amazon would be charged for songs included in their catalogs. The board plans to increase rates by up to 44% by 2023. Each year will see an increase in fees until that date. The platforms appealed earlier this year. Now it’s just waiting for the courts to decide between the C.R.B. or the streaming service. This means that songwriters could make significantly more per stream if the platforms deny the appeal.
How can I collect all my publishing royalties?
Independent artists who perform and write their songs must be aware that although you have copyrights to your music, it is extremely difficult to collect any royalties from your composition copyright. To collect every royalty due to you, you must register your songs with hundreds if not all organizations in the world. You also need to have enough catalogs to be considered a publisher. While you can collect some publishing royalties from domestic sources, there is a chance that you aren’t able to claim royalties from foreign sources.
CD Baby can help me with music publishing.
Yes. Yes!
- If you are in the U.S.A. or Canada, affiliation with a right performing organization.
- Register your songs with the performing rights organization
- Register songs with all performing rights organizations around the globe
- A global collection of performance royalty payments
- Song registration through mechanical agencies
- Collection from various mechanical agencies around the globe
- Any royalties from sync placements can be collected.
What is performance royalty?
A performance royalty is paid when a song you have composed is performed in public, whether via radio or live performance. These royalties are collected from the PRO (performer’s rights organization) in which the performance occurred.
What’s a right performing organization (PRO)?
An agency that monitors radio airplay and live performances are called a performing rights organization. The P.R.O.s then pay royalties for the song’s authors and publishers. For the right to host songs from the P.R.O.s’ catalogue, P.R.O.s charge a flat fee. This fee can be charged to radio stations, venues or restaurants. The fee is based on the station’s size or venue. The P.R.O.s pay more if the fee is larger. The P.R.O.s use this money to pay songwriters or publishers.
It’s a smart idea to register your setlist with the PRO if you are touring or performing a few shows in your area. You have performance revenue; all you need is some basic data.
How can P.R.O.s earn performance royalties?
P.R.O.s share performance royalties 50/50 with the publisher and songwriter.
CD Baby Pro will collect the publisher’s portion. Each songwriter will receive their share from the PRO directly.
To which performing rights organization (PRO) should I belong?
New songwriters often ask this question since the U.S. has two main P.R.O.s: ASCAP (the American Songwriters Association) and B.M.I. (the American Songwriters Institute).
ASCAP and B.M.I. collect royalties the same way, so there’s no real “better” PRO. B.M.I. charges $150 to create a publisher while ASCAP charges $50 for an affiliate. B.M.I. charges $150 to create an editor, and ASCAP $50 to associate as a publisher. ASCAP requires that you affiliate a publisher to collect the publisher’s share of royalties. B.M.I. permits songwriters to directly collect the publisher’s share.
SESAC, the third-largest PRO in the U.S. They are invitation-only. You must be invited by them or recommended by a member to join.
Is CD Baby able to help me become an affiliate with a PRO?
CD Baby Pro allows you to be affiliated with ASCAP and B.M.I. If you’re not already. You don’t need to be affiliated with either ASCAP or B.M.I. before signing up for Pro. As part of our publishing management service, we also register your songs with PRO.
Can CD Baby Pro be used if I’m not in the U.S.A.?
Pro is currently available in more than 80 countries.
CD Baby Pro Publishing is available to anyone who lives in any of these countries. Are you not seeing your country on this list? Each year, we sign agreements with P.R.O.s to manage the publishing of songwriters in their countries. We may be in discussions with your country’s PRO right now!
Is CD Baby able to help me become an affiliate with a professional outside the U.S.?
CD Baby Pro Publishing can associate you with SOCAN if you are in Canada. All other P.R.O.s require that songwriters apply direct. Before you sign up to CD Baby Pro Publishing, you will need to be affiliated with your PRO if you are in another country on the list.
Can I use CD Baby Pro even though I’m not in the U.S.A.?
The short answer is yes Even if your international PRO is already associated with the corresponding mechanical agency, and you collect royalties from them directly, Pro is still an advantage. Instead of passively collecting royalties from songwriters, our publishing administration service actively collects them.
Although the P.R.O.s can report royalties to one another through what is known as a “reciprocal arrangement”, this can take time and is not guaranteed. CD Baby collects directly from each organization because we register your songs with them. This allows for faster and more complete payments than you would get collecting your songs.
What is mechanical royalty?
A mechanical royalty is earned when your composition is reproduced in a “mechanical” format. This term was first used when music was only available on physical media. Each reproduction of a composition on CD, vinyl or tape generated mechanical royalties.
Digital media has seen mechanical royalties expand to digital streams and sales. A mechanical royalty is a payment made to you when your composition is downloaded via a service such as iTunes or streamed through an interactive streaming service such as Apple Music or Spotify.
Artists recording your song generate mechanical royalties. To record a song you have written, an artist must pay the current U.S. mechanical rate of 9.1 cents per copy. This is the price they expect to sell. These mechanical royalties go to a mechanical agency.
What’s a mechanical agency?
A mechanical agency collects mechanical royalty, much like a performing rights group. These royalties are collected from labels that press physical media, as well as digital services such iTunes/Apple Music or Spotify for downloading and interactive streaming. They also collect directly from artists who pay them the mechanical fee for covers songs.
How can I join a machine agency?
The Harry Fox Agency (H.F.A.) is the only U.S. mechanical agency. They are well-known by artists because of their licenses for cover music, but H.F.A. also receives mechanical royalties through digital platforms. Other countries also have mechanical agencies. However, smaller countries often combine them with the PRO to make them one entity like H.F.A. in the U.S.A.
As an independent artist, it is difficult to join Harry Fox. H.F.A. can only be affiliated with publishers. They require that the publisher have a large song catalog. CD Baby Pro is your solution! CD Baby Pro is a publisher and has access to a large catalogue. They also register any Pro submissions with H.F.A. We have a publisher account so that we can handle all H.F.A. registration.
How can I collect mechanical royalties?
Mechanical royalties cannot be paid to publishers as only publishers are allowed to join a mechanical agency. CD Baby Pro will collect these royalties for you as part of our publishing management service.
Independent songwriters will find this aspect of the publishing administration services particularly useful. Not only are they required to be affiliated with H.F.A., but it also makes it difficult to collect mechanical royalties internationally. The digital service that includes the mechanical royalty is included in the price of the song. This includes the revenue from the sound recording they pay to the distributor (CD Baby in this instance).
Internationally, it is not so. The mechanical royalty is paid to the country whose user purchases a download of the song you created on a digital platform other than the U.S. They keep the money until a publisher claims them. CD Baby Pro Publishing collects the royalty. If you have a large international following, you are wasting money if you don’t have a publishing administrator.
What is the Mechanical Licensing Collective (M.L.C.)?
The U.S. has just designated the Mechanical Licensing Collecting as a new U.S.-based Mechanical Rights Organization. The Copyright Office is authorized to issue and manage the digital audio, mechanical blanket licence according to the Music Modernization Act to D.S.P.s within the United States. They now collect mechanical royalties from streaming services in the U.S. This distinction is crucial, as the M.L.C. does not collect international royalties. It will not collect royalties from streams outside the U.S.
The M.L.C. and the Harry Fox Agency (H.F.A.) are collaborating to create a works database. All CD Baby Pro members will have all their songs transferred from H.F.A. into the M.L.C.’s database. CD Baby Pro, a publishing administration service, is already registered with M.L.C. to collect royalties. You don’t have to register with CD Baby Pro to collect royalties.
What’s a sync licensing?
Sync licensing allows music to be used in other media, such as movies, T.V., or commercials. The synchronization between music and moving images is what gives rise to the “sync” term. You are entitled to sync royalties if a song you have written is licensed for placement on other media. This placement can result in two types of royalties:
- The upfront placement fee: This fee is paid by the production company to place your song. It is a one-time payment.
- The performance royalty: Your song’s media is automatically synced whenever it is played. The T.V. network records those plays and files a Cue Sheet to report them to your PRO. They then pay you royalties.
How can I collect sync license royalties?
CD Baby’s music library contains thousands of songs that are available for placement. You can opt-in for sync licensing at the time you submit your music. Your songs will be added immediately. We negotiate placements on your behalf if a music supervisor requests one of your songs.
Songs from independent artists like you have been featured on major TV programs and commercials. CD Baby has a wide selection of music that can easily be licensed without major labels interference. This is why more music supervisors are turning to CD Baby for music. Music supervisors know that CD Baby sync is licensing means that the artist owns both the composition and the sound recording. This makes licensing easy for them as they can easily clear all rights from one source.
We’ll also collect any royalties from sync placements if you sign up for Pro Publishing. You’ve fully covered for song placements and royalties thanks to CD Baby’s sync license program and our publishing administration.
How can I credit other songwriters?
Split sheet forms are required if you are collaborating with other songwriters. This will allow you to put in writing the percentage of each song that was written. Split sheets are a simple way to declare who is owed what once royalties begin to arrive. When you sign up to Pro Publishing, P.R.O.s will ask for song percentages. CD Baby also requests this information. So we can report the publishing royalty amounts, we need to know how much each songwriter is due.
Do I have to give my producer some publishing?
Producers play an increasing role in song creation in today’s music industry. Should you give credit to a producer that helped you create your song? It all depends.
A song is only the lyrics and the melody. Producers can make a song more complete by adding additional elements, but they are not legally allowed to add words or melodies to the song.
There are many situations where the producer’s input is crucial to the final product. If your producer has contributed to the song and you feel it is important, you can split a portion of the song. Each case is unique, so it’s a good idea to talk with your producer before signing a contract.
Can cd baby publish other songwriters’ songs?
You can add other songwriters to your songs as collecting songwriters. This is how you add songwriters to your songs. These are the steps to follow:
- Click Add a New Songwriter
- Please enter their legal name.
- Select “Yes” in the Collecting songwriter option
Any additional collecting songwriters above the first will be charged a $10 one-time fee.
How can I pay other songwriters?
We will detail the amount of revenue owed to each songwriter when we receive your publishing royalty reports. As an account holder, it is your responsibility to pay the songwriters their share. Remember that the publisher is not entitled to any royalties. The P.R.O.s will directly pay the songwriters.
What other royalties can I earn?
Music is an ever-changing industry. There are new ways to listen to music, which opens up new revenue streams. What about satellite and Internet radio, such as Pandora and SiriusXM? Although they are radio stations, they function differently from regular AM/FM radio. The P.R.O.s pay performance royalty to songwriters, publishers, and for airplay on terrestrial radio. However, royalties from satellite and Internet radio airplay are paid to artists and labels because that revenue is generated through the sound recording copyright.
Sound Exchange collects the revenue from satellite and Internet radio airplay. The label and artist share 50/50 royalties. It is a digital performance royalty, where the performing artist and the label are entitled to the same revenue as songwriters or publishers for AM/FM radio airplay. Sound Exchange offers a way to get royalties if you are getting rotation on the Internet and satellite radio. CD Baby has an agreement to collect any unclaimed labels royalties from them. However, you will need an artist affiliation and register your songs to claim your share.
Closing thoughts
Like all other areas of the music business, music publishing is constantly changing with new ways that people listen to music. Its core principle is to ensure that songwriters get paid for their hard work in creating music for others. CD Baby, as always, is a part of this tradition and is there to assist our artists in navigating the world.