Performance Royalties Explained

Published: Tue, 02/16/10

Performance Royalties Explained
Recently one of my newsletter subscribers emailed me a question regarding how performance royalties work. I thought this would make a great newsletter topic. I've touched on this subject before but today let's delve a little deeper and break down how you get paid when one of your songs is aired on a television broadcast. Remember that the royalty is money you make in addition to the licensing fee you receive on the front end when you initially license the rights to use your song.

There are three main performing rights organizations in the US, although internationally there are many more. The performing rights organizations charge television networks a blanket fee each year for the rights to use music in their respective catalogs. Individual television productions then submit what are called "cue sheets" to PRO's that indicate what songs and artists are being used in their broadcasts. The PRO's keep track of all this information and then distribute quarterly payments to artist's whose songs have aired. The amount of the royalty is based on a weighted payment system. There are a number of variables, but to keep it real simple, the longer and more prominently your song is used the more you get paid.

I typically receive between three hundred and and fifteen hundred dollars per placement. This amount is in addition the amount you receive as a licensing fee and if and when the show is re-brodcast you receive another performance royalty. This is where the real potential to generate a passive income stream starts. The more songs you have being picked up the more this sort of occurence will happen. And of course the same song can be used at different times by the same broadcast or by different shows at different times.

If you're serious about licensing your music and generating a passive income stream with your music the be sure to check out my program "The A-Z Of Music Licensing". It's the most comprehensive program I offer and explains very clearly EVERYTHING you need to know to start licensing your music. I also offer the program with one on one coaching where I work with your directly to help you get started. I'll work with you personally both via the phone and email to help you develop a game plan based on your own unique situation that you can implement immediately.

Visit http://www.howtolicenseyourmusic.om/programol for more!

Or if you're already familiar with how the music licensing business works and just want to know who to contact, then be sure to pick up the 2010 TV And Film Music Business Directory. The directory is included in The A To Z Of Music Licensing, or it can be purchased separately. If you buy it between now and Friday you'll save $5.00 off the regular price. Check it out here!

To learn about my private coaching services visit: http://www.howtolicenseyourmusic.com/coachingservices

For a complete list of my products and services visit my product page at: http://www.howtolicenseyourmusic.com/productpage

Until Next Time... Happy Songwriting
Aaron Davison

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Performance Royalties Explained

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