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Below is a list of the most common customer questions. If you can’t find an answer to your question, please don’t hesitate to reach out to us.

How do I make my own label?

Choose Your Business Structure and Label Name. Find Your Music. Indie Label Contracts: Framework and Artist Deals. Figuring Out Distribution. Figuring Out Promotion. Prepare Your First Release. First Release Redux: Ride the Learning Curve. Additional Tips.

How do you negotiate with a record label?

Agree on Obligations. Duration of the Record Contract. Agree on Royalties. Set Termination Clauses. Discuss Any Limitations for the Artist. Other Aspects to Consider When Negotiating a Record Contract.

How do record label deals work?

Label deals Call it what you want, but it all equates to a legally binding agreement between the artist and label. Under the deal, a label generally pays for making, distributing and marketing the recordings. The label invests in your music and development, then you pay them back a set amount from your earnings.

How much do record labels pay artists?

Large labels pay about $0.50 to $0.55 per CD on orders of 100,000 or more. Labels that buy less than 10,000 CDs per year pay approximately $1.20 per CD. Record labels pay two royalties: one to artists, and another to composers & publishers. Artists can receive 10% 15% of suggested album retail minus packaging costs.

How much do record labels pay in advance?

Per IFP, a record label will typically invest anywhere from $500,000 to $2,000,000 in a newly signed artist. That's a wide spread to be sure, and a large amount of money from the perspective of most. Here's the basic breakdown of how these funds are allocated: Advance: $50,000 to $350,000.

How long does a record label contract last?

Typically, the initial length of a recording contract is one year. This one year term is generally followed by several option periods, where the record label is free to renew your contract for additional time periods if they like the work you're producing.

How much do record labels take from artists?

Record labels pay two royalties: one to artists, and another to composers & publishers. Artists can receive 10% 15% of suggested album retail minus packaging costs. Composers and publishers receive 30% or more.

How do independent record labels make money?

Independent record labels make money the same way the big players do. They choose the artists, arrange for recordings, have the tracks mixed and mastered, get cover art designed, and put the music out into the world, either on CDs or digitally.

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