Working in the Music Business

www.unlimitedmedia.co.uk

the business of music

Chris CookeMD, UnLimited Media Group

Founder & Business Editor, CMU


introduction

It’s all about the music business ie: the business of music music = funky beats business = making money music business = making money out of music But why make money out of music at all?


why make money from music?

Costs to do music full time per yearFlat £6000Other living costs £6000Travel to gigs £3000Recording costs £1000Kit £500CD manufacture £1000Distribution £500Marketing & PR £4000Tax + NI? £2000TOTAL £24,000

Band of 4£15000£24000£6000£1000£1000£1000£500£4000£7000£59,500


making money from music

PERFORMING INTELLECTUALPROPERTY

ARTIST/FANRELATIONSHIP

DIY gig Get booked

Venue Tour Festival

Corporate gig


introducing intellectual property

Expressions of creativity - that can be owned Set out in ‘intellectual property acts’

Copyright, Designs & Patents Act 1988 Trademarks Act 1994

IP rights you might own as an artist literary copyright in lyrics musical copyright in musical score sound recording copyright in recording of your music film copyright in video artist copyright in artwork trademark in names and logos - must be registered


making money from intellectual property

Copyright owners control access to music So if people want it… charge for access Either make copies of work + sell to consumers Or licence it to others to copy or perform Standard licencing: charge what you like/can Compulsory licencing: standard royalty rates Collecting societies





DIY gig Get booked

Venue Tour Festival

Corporate gigs

Sell CDs/downloads Others’ CD sales Others’ gig revenues Radio/TV royalties Pub/shop etc royalties Sync royalties Sell sheet music Sell merchandise

Fan clubs etc Product endorsement





DIY gig Get booked

Venue Tour Festival

Corporate gigs

Sell CDs/downloads Others’ CD sales Others’ gig revenues Radio/TV royalties Pub/shop etc royalties Sync royalties Sell sheet music Sell merchandise

Fan clubs etc Product endorsement


so…

GOOD NEWS Lots of ways to make money from music

BAD NEWS It’s going to take a lot of time… …and money


meet the music business



Venues Sound/Lights Security Bar

Tour logistics Ticketing Marketing & PR PROMOTERS

AGENTS

Recordings Artist Development Studio etc Distribution/Retail Licensing Marketing & PR

RECORD LABEL

Songs (lyrics & notes) COLLECTING SOCIETY PUBLISHER

Merchandise MERCHANDISER

Fan management FAN MANAGEMENT AGENCIES

Brand partnerships ADVERTISING AGENCIES





Venues Sound/Light Technicians Security Bar Operators Tour Management Ticket Agencies Marketing & PR Agencies PROMOTERS AGENTS

Artist Development Studios/Producers Distributors/Retailers Licensing Agents Marketing & PR Agencies RECORD LABEL COLLECTING SOCIETY PUBLISHER MERCHANDISER

FAN MANAGEMENT AGENCIES ADVERTISING AGENCIES





THE MANAGER

LAWYER ACCOUNTANT


but…

We know how to make money from music We know the people/companies who help But time is money! Who pays for all these people, and you? Start up money…


getting started

GOOD NEWS Some people will work for free Some people will cover other costs Some people will pay you some money


might work for free…





FAN MANAGEMENT AGENCIES ADVERTISING AGENCIES

THE MANAGER / lawyer / accounts


might cover other costs and give you cash





FAN MANAGEMENT AGENCIES ADVERTISING AGENCIES THE FANS

THE MANAGER / lawyer / accounts


getting started

BAD NEWS They will want something in return Cut of future revenue

What revenue? What percentage? For how long?

Ownership of copyright Exclusivity Will want some control to ensure return


making it as a band

Think about costs and revenues Formalise business partnership between band Get a good manager (and lawyer) Think about deals carefully…

How many deals to be done? Who has artistic and commercial control? Will you give up copyright? Big v small, major v independent

Exit strategy…


working in the music business

Investigate sectors within the industry


music companies…



PROMOTERS Live Nation AEG Live MAMA Group SJM DF Concerts Kilimanjaro CPA/AIF

BOOKING AGENTS CODA Primary Talent Helter Skelter

RECORD COMPANIES EMI Music Sony Music Universal Music Warner Music Beggars Group Domino Ministry Of Sound AIM

INSIDE THE LABELS A&R Marketing/Product Management Press & Publicity/ Radio Promotions Licensing Creative


music companies



PROMOTERS Live Nation AEG Live MAMA Group SJM DF Concerts Kilimanjaro CPA/AIF

BOOKING AGENTS CODA Primary Talent Helter Skelter

PUBLISHERS EMI Music Publishing Sony/ATV Music Publishing Universal Music Publishing Warner/Chappell Music Bucks Music Group Chrysalis Music Notting Hill MPA

MERCHANDISERS Bravado Backstreet

MANAGEMENT ie:music 19 Management ATC Modest Management Supervision Frontline Nettwerk

FAN FUNDING Bandstocks Pledge Music Sellaband Slice The Pie


working in the music business

Investigate sectors within the industry Look for internships and work experience Look for relevant part time work Consider vocational qualifications Help grass roots artists - in at the deep end Write about music - student press, blog etc Network, network, network Keep up to date with the industry…


keep up to date with the industry

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Working in the Music Business