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December 3, 2020

Artist Distribution Agreement

Filed under: Uncategorized — Mark Baker @ 6:33 am

When an artist decides to put back the music he has created with passion and hard work, he often worries that it will be abused or modified to his liking. It is a music agreement to protect the interests of the artist and the digital music distributor and allow them to be treated peacefully and, subsequently, to have a longer relationship. Digital Music Distribution Agreement is a legal document signed by the artist and given to the music distributor or aggregator who legally agrees with artists or record companies to transfer the final product of their music to digital platforms or other streaming sites for a flat fee or a portion of their revenue, also mentioned in the contract. Some other elements of the agreement that require careful consideration are the transfer of rights or ownership of the song. The artist most often gives the distributor the exclusive right to manufacture, reproduce, distribute and sell the artist`s works in a territory. In addition to kern rights, music distributors now generally call for the maintenance of rights that could allow distributors to sell songs to films and television shows. Distributors often charge such fees to afford to find additional alternatives to get revenue from one hand – which generates additional revenue from existing albums. The problem is that if a label offers you a record contract, you may find that your sales contract can cause problems and water down your royalties, especially if your label and distributor make a cut. Given the recent shift of the music industry on online platforms, this type of distribution agreement is no longer as important for the commercial success of many artists.

But as with many things in the music industry, it`s not always that simple. Overall, there are three different types of agreements that can be referred to as distribution contracts or distro-deals. It may sound silly to say, but it`s important to know what you need and to know what you`re signing at the end! Today, the fees you pay are usually a fixed annual fee (about $20 of $20) for unlimited downloads and distribution. In most cases, these fixed fees mean that you will keep 100% of your royalties. So I would never recommend going into that kind of distro-deal that claims a percentage of your licence fee – a fixed annual fee is the best and cleanest option.

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