All About Music Publishing Development Deals

August 20th, 2008 by Dave Weston
Posted in Music Publishing | No Comments »

Of great importance to many aspiring artists and bands is the “publishing development deal,” whereby a major publishing company will offer an advance to a promising songwriter/artist, in the hopes that his artist will eventually secure a record deal and establish a successful artist career.

For many young artists, this publishing offer is a “dream opportunity,” where he/she gets to quit their day job, so they can concentrate strictly on doing what they love best: working on their music. The idea that a publishing company (which is often affiliated with a major label) will pay for their demo costs, new studio equipment, some living expenses, and help shop you for a record deal, can be incredibly appealing.

There have been many artists who have benefited from this type of deal. Two current stars that come to mind are Beck and Paula Cole. Their respective publishers believed and invested in them at a very early stage, and these artists went on to become major acts, subsequently earning great royalties for themselves and their publishers.

Here’s how this deal usually works: a publisher will offer the young writer/artist an advance of about $25,000-$30,000 for a one-year deal, with options for two or three more years. In return, the artist assigns half (50%) of the publishing rights of all songs written during the term of the agreement. In most cases the publisher will retain their half of the rights for the life of copyright, with no reversion clause included in this contract. This is because the publisher is taking a chance on investing in a young artist, without any guarantee that this artist will even get a record deal, let alone have a hit and generate royalties.

In addition to providing the financial support, the publisher will try to work closely with the artist, offering valuable feedback and direction. The publisher may act in an A&R capacity, helping the artist assemble the best demo presentation to impress the labels when it is time to shop for a label deal. The publisher may also hook the artist up with a hit record producer to create some master quality recordings, and set up collaborations with other talented writers to come up with the best songs possible.

When the artist’s presentation is finally ready, the publisher will help shop the artist for the coveted record deal. At this point, the situation gets a little more intense. As the label execs start to give their definitive feedback, the artist and publisher get an immediate indication whether or not their publishing relationship (and all their hard work together) is going to result in the securing of the record contract.

If the artist does land the record deal, the publisher and the artist are on their way to establishing a longer-term, working relationship. The publisher will want to pick up their options for the publishing rights for the next several years, and they’ll be happy to pay the artist additional advances and bonuses. It is common for the publisher to pay an immediate bonus of about $20,000 when the artist signs their record deal, and advance another $20,000 when the album is finally released. The publisher can also be helpful in placing songs in films and TV shows, and in soundtracks.

If this publishing scenario sounds terrific for the aspiring artist, then it can be pursued. However, there are other factors to be aware of. First, by signing this type of development deal, the artist usually gives up reversion rights on these songs in the contract. Secondly, by going for the development deal first, the artist might miss a chance to ultimately attract a much larger advance ($100,000 or more) should they secure a record on their own. Of course, some artists simply want to keep all of the publishing rights, and not make any deal.

It is certainly not for every writer/artist, but this publishing development deal has proven to help many talented young artists. It is ultimately up to the artist to decide whether to give up publishing at an early stage to help boost their career.

By Dale Kawashima

Article Source: http://www.songwriteruniverse.com

For more education on careers in the music industry, check out http://www.music-career-guide.com

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When To Copyright Your Songs

August 15th, 2008 by Dave Weston
Posted in Songwriting | No Comments »

The decision on when a songwriter should officially copyright his or her songs seems to be a fairly simple one, but there are actually several viable options that could complicate a songwriter’s decision.

Many young or new writers are under the misconception that they must immediately file their song(s) with the Register Of Copyrights in Washington, D.C., or else it will not be protected by U.S. copyright law. But under the present copyright law (which became effective in January, 1978) a song (or “work,” as described in the information pamphlet issued by the Register Of Copyrights) is automatically protected by copyright when it is created.

The Register Of Copyrights states that a “work is created when it is ‘fixed’ in a copy or phonorecord for the first time. Neither registration in the Copyright Office nor publication is required for copyright protection under the present law.”

So if a writer’s song is “automatically protected” by copyright law, is it truly necessary for a writer to immediately file the song with the Copyright Office, which entails filling out the application form (knows as Form PA), plus submitting a CD, tape or sheet music of the song, plus paying a $45.00 fee for each filing?

There isn’t a simple answer. I know many professional writers (and their publishers) who only bother to copyright their song once it is actually released on a major label album. In contrast, I also know of many aspiring writers who almost obsessively send in their PA Forms and $45.00 every time they write a song.

I recently met a writer from Philadelphia, who was in Los Angeles because he had a meeting with a manager who might represent him. He was fearful that this manager might actually rip off his music, and he desperately wanted to send his new song to the Copyright Office before the meeting, to protect himself. It amazed me that this writer would be so worried about one meeting in L.A. with a legitimate manager.

While crazy things do sometimes happen in the music business, the odds that this manager would be out to rip off this writer are absolutely, incredibly remote. Legitimate industry managers or execs are fully occupied with just trying to find new talent, and are certainly not looking to plagiarize anyone.

Still, many writers would ultimately prefer to be very cautious, and dutifully file their copyrights. And truthfully, it is hard to argue with this point.

Arlo Chan, Director of Contract Administration, Legal & Business Affairs at Warner/Chappell Music, also prefers being cautious, telling me he “could not in good conscience recommend that a writer not file the PA Form, because you never know for sure what will happen.” In addition, Chan said that unless the writer and/or publisher have previously filed the copyright, they cannot initiate a plagiarism suit against another party on the specific song in question.

Nevertheless, copyright every song can become an expensive proposition for a songwriter. At $30 per PA form, a writer can easily spend hundreds, perhaps thousands of dollars on copyright fees. And frankly, there are many aspiring writers who have spent a lot of money on fees, yet have never earned any significant royalties from their songs.

Fortunately, there is a way to save money on fees. A writer can copyright several new songs under one PA Form and pay just one fee, if these songs are listed as a “collective work” on the form. However, the songs must be all written by the same writer or writing team. If a writer collaborates with different partners, these songs need to be filed on separate PA Forms, at an extra $45 per form.

For more information on registering your copyrights, and on how you can obtain PA and other forms, you can call the Copyright Public Information Office at 202-707-3000. The application forms and pamphlets are free.

By Dale Kawashima

Article Source: http://www.songwriteruniverse.com

For more education on careers in the music industry, check out: http://www. music-career-guide.com

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Careers In Music Publishing

August 14th, 2008 by Dave Weston
Posted in Music Publishing | No Comments »

If you are interested in getting into the business side of the music industry, you may want to consider a career in music publishing. There are a wide variety of jobs in this field, such as talent acquisition, songplugging, copyrighting, licensing, business affairs and royalty collecting.

A publishing career may not seem quite as glamorous as working for a record label, but it is just as creative, and often provides more stability and job security. When the corporate powers are deciding which employees should be fired at their struggling music divisions, they usually start with the top execs at the record label. This is because publishing has always been looked upon as a very long-term business, where the royalties and profits are projected to develop at a steady but more gradual pace.

Of course, the most popular job in publishing is the A&R/talent acquisition exec, whose duties are quite similar to an A&R person’s job at a label. This position has two, main objectives: (1) discovering and developing new songwriting talent (usually artists/bands or writer/producers); and (2) acquiring the available publishing of artists already on the charts or purchasing older, classic catalogs.

As could be expected, competition is absolutely fierce for these top creative jobs. Most execs start out as interns or assistants, pay their dues, and work their way up the corporate ladder. However, sometimes a person will prove their creative success in a related field (as an artist, manager, club booker, music journalist, radio programmer, etc) and jump right into a high-level, exec position.

Another, sought after creative position is that of a “songplugger.” This job previously entailed simply plugging songs demos for current recording artists who needed outside songs. But over the past decade, it has evolved into developing writer/producers, and setting them up to collaborate with artists, because most acts today insist on co-writing most of the material for their albums.

An additional, different type of songplugging has emerged, which is promoting songs for film, TV and soundtrack projects. Every major publishing company now has a staff of execs whose objective is to exclusively focus on this increasingly lucrative field. It can now be said that film & TV pluggers probably earn more income for their companies that the traditional record pluggers. The exception would be in Nashville, where placing songs on country artists’ albums is still far more lucrative than film and TV royalties from country usage.

The creative/A&R side of publishing might seem more attractive, but there are many interesting and rewarding jobs on the administrative and business affairs side also. The administrative and business departments provide an equally important facet of the company. For instance, the copyright staff performs a critical function: making sure the literally thousands of songs published by the company are fully protected, via copyright and renewals.

The licensing department works hand-in-hand with the film and TV staff to negotiate the best fees for each song usage, and to help close each deal. The licensing execs play a crucial role in the song placement process. They must develop great relationships with their licensing counterparts at the film and TV studios, or else many deals will fall through.

The business affairs department, of course, is of vital importance to any publishing company. The business execs draw up and negotiate all of the contracts, and are key in establishing a vision of the company’s overall operations. Most business affairs execs are attorneys, but there are other key positions where a law degree is not necessary.

Last but certainly not least, with usually the largest staff within any publishing house, is the royalty department. Numerous, well-trained employees are needed to meticulously collect and distribute song royalties from thousands of songs which are generating income from around the world. Every songwriter who ever had songs published by the company, must rely on the royalty department to deliver their hard-earned royalty checks to them, on time and with the precise amount.

In closing, there are truly a wide arrange of opportunities available in all facets of the publishing business, and you can explore and decide which department looks like the most interesting and suitable for your potential career.

By Dale Kawashima

Article Source: http://www.songwriteruniverse.com

For more education on careers in the music industry, check out: http://www.music-careers-guide.com

***

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Q&A: Jermaine Dupri On The Future Of Music

August 13th, 2008 by Dave Weston
Posted in Music Industry, Music News | No Comments »

Way back in the pre-YouTube days of 1998, a musician couldn’t survive without a record company unless he wanted to stick to the coffee house circuit. A lot has changed in 10 years. Musicians can now turn to the Internet to promote and sell their work, and connect directly with fans. When you can do it yourself on a national level, why should artists sign up with a middle man like a record company that will take a cut of their profits?

Forbes recently sat down with Jermaine Dupri, the Grammy-winning songwriter, producer and rapper, who has worked with performers ranging from Mariah Carey to Jay-Z to Alicia Keys, to try to answer that question. Dupri, 35, is now the president of Island Def Jam’s Urban Music division. Here, he discusses how YouTube has taken the place of radio, how record companies need to do a better job of distributing music and why there needs to be the equivalent of a stock market crash in the music industry.

Forbes.com: What can a music label still do for an artist that he couldn’t do for himself?

Jermaine Dupri: The setup that comes from a record company is still the biggest setup. If somebody independent showed a real rollout, then I think that it would definitely pose a problem. But if a record company does what a record company is supposed to do–and we’ve seen that many times when an artist sells 10 million or whatever records–when a record company is dead balls on, it’s hard to beat the movement and the machine.

Do you think YouTube has taken the place of radio?

YouTube has taken the interest of radio. Radio is not interesting to fans. Radio has become lost basically. The fans are obviously showing me that radio is not the way they’re learning about an artist. The fans have spoken and said “we’re tired of not knowing about these artists you keep trying to force us to go buy. Let us know about the artist. Let us know the artist likes pink, let us know the artist lives in this place, let us know they drive this.” YouTube and MySpace have opened the door to fans actually getting to know the people that we’re putting out again. They offer more to a fan.

Madonna and Jay-Z both recently signed so-called 360 deals with LiveNation that include record sales, touring revenue, merchandising and sponsorship agreements. Do you think that these types of deals are good for the industry?

It’s great for the artist. The label, on the other hand, I don’t know. If the label does a 360 deal with an artist that’s got seven albums left in them and is really showing that they’ve got that many albums left in them, then it’s a smart deal to do. I think that right now they’re doing these deals with these older artists that have almost done 10 albums of a career. I don’t know how many albums Jay-Z has left in him. I don’t know how many albums Madonna has left in her.

What needs to change to get more people to buy music?

I have a new theory about record selling that I call my “quench my thirst theory.” When fans are hungry for music, we’re not giving it to them. Take movies. When a movie comes out, they promote the movie, they see the excitement, they give it. In the music business, we look for signs that don’t mean nothing really and we don’t pay attention to the signs that mean something. With that being said, put the records out faster, and you’ll see that people are still buying albums.

What signs should we be looking for?

MySpace, YouTube, Facebook–things where people are talking. I set my own channel up on YouTube, and I started promoting things. The comments are what I’m watching. I’m not watching the numbers.

What signs do people look at now that they shouldn’t?

They’re looking at signs of radio, signs of how much press they get, lot of things that don’t really matter like that. MTV and BET for example, they play our videos probably 20 times a week, if that. MTV wasn’t playing no videos a minute ago. YouTube, you can put a video up and get 200,000 plays in a week.

Is spending money on videos still worth it?

Yeah, based on the outlets that we have. When we put out Kriss Kross, there was no YouTube. You spent money on artists back then, and this was back in ‘91, ‘92. Big-money videos were coming out based on being seen on BET and MTV. It makes sense to spend money on a video if you put it in on YouTube because viewers will watch it endless times. They keep clicking on it, and you can see how many times they watch it and understand that you’re getting your money’s worth.

If you get a video seen 500,000 times, and you spent a nice piece of money on it, you should feel good about it because that’s 500,000 times on this one network. You could put it on MySpace and have another 500,000 times, and then you can take the little bitty spins that MTV and BET give you, and as far as I’m concerned you’ve had 2 million eyeballs see your video. I don’t believe that would have happened in ‘92.

Are you worried at all that people won’t buy a song because they can click and watch the video anytime?

No, because watching a video doesn’t really determine selling music. Watching a video to me is that you’re trying to get people to know who your artist is. You’re trying to introduce the artist to the world, and through the video is how the world sees the artist.

How do you deal with questions of piracy and illegal downloading?

I believe that works into the thirst thing. If a person posts your album early, that means they’re excited. That’s a sign that you should follow. If people are posting early, why are they posting early? Because I’m putting out the record too late, and this person already knows that the fans want it.

We buy bootlegs because we want to buy music when it comes out. I’m reading about this new album by Usher. I want to buy it because it sounds incredible. Then you walk down the street, and this dude is saying “I got Usher’s album.” All your excitement is right there. So they react on their excitement. That’s all it is. The bootleggers are beating the distribution to getting the record on the streets.

iTunes proves that nobody wants to steal music. If you were to ask Steve Jobs about that he’ll tell you, “Nobody wants to steal it, everybody wants to buy it. I put every record store out of the business the last five years because they all want to come to my store.” And iTunes was not meant to be like that. iTunes was something he just did based on the iPod.

Do you think that people still want to buy albums? Or are they only interested in buying singles?

We sell singles now because we don’t have the albums prepared, or we think that people don’t want to buy albums. People want to buy albums. It’s just like DVDs. People still buy things.

Do you think that singles will continue to sell for 99 cents online?

99-cent singles create excitement. Whoever came up with that was somebody who was a little bit older and remembered buying 45s. The thing about it is, once they buy the singles, what’s next. And that’s what the record companies are not doing.

Where do you think the industry is going?

I would hope that it crashes completely like the stock market and rebuilds because a person like myself would be able to deal with it. Only the strong can survive crashes. If you’re talented, the music business can’t crash; a crash won’t affect you. If you’re not talented and you just been bouncing from wall to wall and getting by, a crash will definitely destroy you. That’s what needs to happen.

We’ve got to weed out the ones who can’t keep pace with what’s going on because they’re hindering it. They’re still not doing anything about piracy. They’re still putting records out the same way they were putting records out when piracy first came in the game. Nobody’s changed.

Article Source: http://www.forbes.com

For more education on careers in the music industry, check out: http://www.music-career-guide.com

***

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Trent Reznor is showing show business how it’s done digitally

August 11th, 2008 by Dave Weston
Posted in Music Industry, Music News | No Comments »

Trent Reznor is busy demonstrating how a bankable artist can go independent, give away music for free, and still make a mint. Though he initially expressed concern over an album he produced for hip-hopper Saul Williams that was released as a “pay what you will” download, he’s changed his mind and now considers it a success — mostly because Williams made more money even with only twenty percent of fans paying for the album than he ever did at a label. And maybe more importantly, far more people heard the music. As for Reznor? His own giveaway of his latest album did pretty well in the marketplace as well, with a limited-edition box set garnering $750,000 and half a million CDs sold. So what, exactly, is the problem with the music business? As usual, greedy labels.

With Douglas Merrill’s hiring of Second Life co-founder Cory Ondrejka at EMI, at least one label is wising up to the fact that making music more difficult to buy and find is no way to compete with online file sharing. Say what you will about Second Life, but within the context of the virtual world it was very easy to participate in the economy (maybe even a little too easy) and buy and sell ephemeral, digital goods.

Now that labels have realized that their core business will no longer be moving units through outlets like the now-defunct Tower Records, they’re moving towards “360 degree” deals that ask for a piece of event income, licensing and merchandising. Which in the old model used to be the artist’s bread and butter, as musicians didn’t actually see much of a cut from album sales. The album was, as they say in Hollywood, a “tent pole” upon which other business opportunities were supported — and now the labels want the whole tent.

Reznor had the foresight to go independent as the old circus collapses around him. Owning his own production studio and promoting and distributing his content digitally means his costs are minimal. And production, promotion and distribution was exactly what labels used to lured artists into contractual cages. Reaching beyond the concept of moving units in mass volume and instead servicing hardcore fans with what they want, when and where they want it while making it easy for people to find and listen to his music, Reznor’s got an opportunity to make a lot more money for himself than he ever would have with a label — and more creative flexibility as well.

Article Source: http://valleywag.com

For more education on careers in the music industry, check out: http://www.music-career-guide.com

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