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If there are five writers and one publisher, the writer share would usually be split five ways (10% each) and the publisher would receive the full publisher share (50%). Additionally, if the songwriters received an advance under the deal, this advance is recoupable from the writer share of income.
A publishing split sheet (often simply referred to as a split sheet) is a document that states who wrote what percentage of the song(s) recorded by a band or artist. 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.
Traditionally, royalties from collection societies are separated between a 'writer's share' and 'publisher's share'. Performance royalties are split into two equal halves: writer's share (50%) and publisher's share (50%).
The record royalty for a producer is usually between 3% to 4% of the record's sales price or 20% to 25% of the artist's royalties. On a CD that sells for $10.98, the producer's royalty would be about 33 cents for each copy sold and for a digital download of an album priced at $9.98 the producer receives 30 cents.
For example, if there are four songwriters working together, and it's divided that everyone has an equal percentage, the songwriting split will work out at 25% each. Alternatively, if the songwriting has been all down to one songwriter's talented lyricism, then 100% will be the agreed amount.
Copyright is split into two main sections: copyright in the song (known as publishing rights) and copyright in the sound recording (known as master rights). The publisher only deals with the publishing right, which is the songwriting side and includes the music and lyrics.
Streaming royalties are derived from two sources: advertising and subscription revenue. This revenue amount is from the number of streams played multiplied by the revenue per stream. This amount is then split out among the artists that were played in that duration.
Points are simply defined as percentage points of the artist's royalty for major label deals. So, if an artist gets 18 (percentage) points for a major record deal and the producer gets 4, those 4 get subtracted from the artist's points. If you divide 4 by 18, the producer is getting about 22% of what the artist gets.
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