Entertainment Law: Making The Most of Music Licensing

 

What is Music Licensing and How It Can Work For You

By Emily Kulinowski

Woman recording piano music with her laptop

According to Digital Music News, “The U.S. recorded music industry grew 27 percent year over year during 2021’s opening half, generating $7.1 billion at retail value, according to a newly released mid-year report from the RIAA.”

As musicians, we need to protect and promote the music we create. One way you can do so is with the use of licenses- a form of copyright law. Whether you’re allowing others the right to use your music or not, understanding how music licensing works will help you make the most of them and what they can provide.

How Music Licensing Works

Music Licensing is a form of copyright and entertainment law. “Music licensing is intended to ensure that the owners of copyrights on musical works are compensated for certain uses of their works. A purchaser has limited rights to use the work without a separate agreement,” as defined by Wikipedia.

In the music industry, rights to use music are exchanged all the time. Copyright law and  music licensing provide protection of sound recordings, audiovisual work, digital performance, and other forms of recording projects. 

When people sign music licensing contracts, they are agreeing to certain terms and conditions decided by the original owner. If that person violates the contract they will be held accountable.

Music licensing holds a lot of benefits for musicians, and it’s important to be aware of how important they are when it comes to copyright and entertainment law.

1.Making Extra Money

It never hurts to have a way to make extra income. When you create music licensing agreements, you have the ability to charge fees for people to use your music. 

Not only are you able to make money from the original plays of your music, but you can make money by allowing others to use it under certain agreements.

If someone violates the music licensing agreement you can charge a fee for violating the contract, or you could take them to court if you find the damages to have a high impact.

2.Expanding Your Audience

With the digital space that’s constantly growing, it’s important to keep in mind your audience is not limited to only a specific area. If you want to become a well established artist globally, you have to be able to get your music to other parts of the world.

Music licensing allows you to promote your music by sharing it with potential clients who buy your music along with the sync license, and your music gets promoted through their network.

Essentially, because you’re allowing people to use your music, your music will get more exposure and in turn more people will listen to it. If your music gets placed on TV, not only could you receive royalties but a new audience of listeners as well.

In The Den Tips For Licensing Your Music- The Den Collective

In The Den Tips For Licensing Your Music- The Den Collective

3.Performance Royalties

Most of the money you will get will come from those who use your music in a digital space such as TV, commercials, or radio. However, you can earn even more if you charge performance royalties for your music.

If your music is licensed for use at a big show, that is huge audience exposure and opportunity for a lot of money. You can earn money each time your song is played, and this is a great way to make passive income. 

Because streams of your music alone likely won't hit your financial goals, music licensing provides the opportunity to charge for performances and broadcasts.

4.More Opportunities and Experience

Sometimes getting gigs can be hard if the venue doesn’t know you or you aren’t established enough. With the help of music licensing, your music can become more well known and that exposure will create a higher demand for you. This can help you land gigs because venues are more likely to hire someone they know will have a higher return on investment.

Showing venues this isn’t your first time will help you land even more gigs in the future. 

Licensing your music can create more opportunities for you; you might notice the more your music is featured digitally such as TV, the more work you may find. This is due to the exposure and growing popularity of your music.

People often prefer to work with those they already know, and licensing your music can help you establish yourself and your experience.

5.Keeps Your Music Alive

Sometimes in the music industry records can fade into the back and be forgotten. Sync and music licenses will often help a good record be played constantly.

When your music is heard in a variety of places within the media, it can help spark interest in it over time. As time passes, listening to a song in an older movie can spark interest and demand for it again.

With the majority of music today being streamed digitally, music can stay relevant longer because anyone can listen to it anytime. Music licensing provides longevity and increased avenues for your music to be heard.

Headphone on top of a tablet displaying a music streaming service

The Importance of Music Licensing

There are numerous benefits to having music licenses, and understanding these benefits will help you protect and promote your music you’ve worked hard to create.

The Den Collective partners with Law In The Limelight, an entertainment law podcast that provides insight on the entertainment law industry. In The Den Resources Peter Speroni, Wynton Yates, and Max Hass are entertainment lawyers providing courses and resources in entertainment law. More information on the resources offered can be found here.

Want to know more? Check out Law In The Limelight featuring our In The Den lawyers!

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@lawinthelimelight / @maxhassesq  / @wyntonyates / @peter.speroni.musicattorney

 
Entertainment Law, Music IndustryEmily KulinowskiEmily Kulinowski, Music License, Music Licensing, Copyright, How music licensing worksComment