The license fees paid to SoundExchange are passed on to the copyright owners of the sound recording master as follows:. In order to maximize your royalty payouts, you should join SoundExchange to receive payouts for digital statutory royalties for example, when your music is played on Pandora , and either BMI, ASCAP, or SESAC to receive payouts for public performance royalties when your music is played on the radio , in a restaurant, etc. While you don't need to copyright your music to be a part of a PRO, it's probably a good idea to do this as well to protect your work.
Toggle navigation Dozmia Blog. Let's break it down for you. A PRO includes artists, composers, producers, publishers etc. Broadcast Music, Inc. BMI is the youngest of the three, started in This means that they represent writers and publishers that are based in the United States, and they collect royalties for the performances that only occur in the United States.
SESAC, on the other hand, is a private company, which means that it is driven by the profit model. However, all three charge a fee for their services, which is deducted from the royalties before they are passed onto the artists and publishers.
Each has their own benefits and detriments. The right choice will be based on your needs as a professional, working artist. Other types of professionals interact with PROs too. If you run a restaurant or retail location, you must pay specific licensing fees to play music in your store. Similarly, theaters, offices, and other businesses that want to play music need to pay licensing fees.
PROs work with these organizations on the best prices for licensing, based on business need and size. The exact catalogue offered by a certain PRO may be more appealing to you, as a business owner, compared to another catalogue.
PROs help businesses like restaurants, theaters, retailers, and gyms access popular music to set a specific ambiance for their customers. We'll provide an overview of the three biggest PROs in this article, so you can determine if one catalogue is enough for your business or if you need access to all three options.
Aside from these price discrepancies, both companies are relatively similar. The company was founded in , and the SESAC catalogue has remained small, with 30, members and about 1 million songs.
This may indicate that they spend less money improving their services and the music industry for their members. This organization goes only by its acronym since it stopped using the full name in Again, they may charge you, as a business, more for their catalogue than other PROs since their focus is collecting income and distributing it to their artists. That being said if you are an artist, this can be a benefit.
The organization fights for your licensing rights so you can make more money. Any time someone streams or performs your song in a public place, you could be eligible for payment. Any time your music is played on the radio, it becomes money in the bank. This website uses cookies to ensure you get the best experience on our website. Learn more Got it! All Mechanics Music Markets Insiders. Log in Get Started. Get Started. By Dmitry Pastukhov Published February 18, Jump to What are performance royalties?
BMI 2. ASCAP 3. SESAC 4. Do I need to join a PRO? When should I join a PRO? How do I join a PRO? Metadata: the other critical component of performance royalties Measuring data with new-age accuracy Conclusion.
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