Warning

 

Close

Confirm Action

Are you sure you wish to do this?

Confirm Cancel
BCM
User Panel

Site Notices
Posted: 3/25/2017 3:20:44 PM EDT
My friend wants me to tryout for an opening in his band. He tells me they just signed with a small label. Evidently the label requested $5,000 or so up front (and maybe the rest of fee at a later date).

I don't have an interest in playing in a band now, but something seems not quite right about this. What record label no matter how small requires a fee from the artist? Shouldn't it always be the other way around?
Link Posted: 3/25/2017 3:21:44 PM EDT
[#1]
Record labels are really horrible. It would not surprise me at all if they charged a fee.
Link Posted: 3/25/2017 3:22:13 PM EDT
[#2]
Quoted:
What record label no matter how small requires a fee from the artist? Shouldn't it always be the other way around?
View Quote


More than you'd think, apparently.

Hold on a sec, let me find Moog's story about a "record deal" he was offered that he posted on FB a few days ago.

ETA: Here it is -

Originally Posted By Blair Joscelyne (Moog):
Record Deals - A lot of people who listen to my music send in messages and say things like “wow you should get a record deal” or “soon the big companies will sign you up”. Interestingly, while this narrative feeds into the fantasy of being a ‘rock star’ it doesn’t always equate into an environment that is going to look after the needs of the artist.

And as such, I’d like to share something that I wrote up a little while ago. I didn’t share it at the time because I wanted the dust to settle, but being that you don’t usually see the details of what a contract entails, here was the offer that I received after one of my albums went to #1 on the iTunes Charts.

So here goes, the year is 2014 and my Record Deal and contract has just arrived:
"I've just been offered a Record 'Deal' with one of the well known labels. The day my record went to #1 on iTunes the phone started ringing with vultures circling on the hunt for fresh meat. The first contract came through three days later. After I sign it, they will own my name and image. I won't be allowed to make music for anyone else (which is a little inconvenient when my full time salaried job is writing songs)

I have to pay for 100% of the production costs of all of my albums while under the label. It's a three year deal and during that time, after I've paid all the singers, mixing time, mastering and artwork fees, the label will take 80% of anything it earns. But before it even gets to this point they will have up to 5 'listening sessions' so they can tell me whether my music is any good or not and give me feedback. If they don't like it, they own it anyway, even though they haven't paid a cent for it and if they decide to shelve it I won't be able to do any music for anyone else for at least three years. (They don’t have to release it at all if they don’t want to and then I’m not allowed to either)

The amazing part is that the contract includes a self-funded album that I've already released earlier this month so technically I would have to tally up any profit it's made and forward 80% of it to the company. (Yes an album I've already done - I'll have to pay them because they'll give it some promo and 'label support')

I also have to remix other artists on their label (free of charge for three albums) and appear live as a 'DJ' multiple times each year (also free of charge). I"m not a DJ so I'll have to call Paris Hilton and get some tips.

But luckily, there's a 'Sign On Bonus' which is… hold on where has it gone? Oh there it is, sorry I almost couldn't see it. It's right there in the box that says 'Artist Fee': $0.

So I pay to make my own music. I pay them for the music I've already made. They pay me nothing, contribute zero towards he costs and in return own my name and image and then take 80% of anything it earns. Someone pass me a pen because this 'deal' is incredible"
View Quote
Link Posted: 3/25/2017 3:28:03 PM EDT
[#3]
Nowadays...who knows?

Generally speaking, the way it works (or used to work?) is that the record company would front you the money to record an album, have some walking around money, etc, etc. Basically it was "Here's a pile of cash. You no longer need a day job. Your new job is to take this money, not worry about food, or paying your bills, etc - and come back with a finished, professional album by this date. You've got enough here to pay for studio time, engineering, production, living expenses, etc". 

You as an artist would then reimburse the record company for the pile of money they fronted you. It was taken from a percentage of your record sales. And this part right there, is where 90%+ of the artists who ever signed under this system/arrangement got absolutely dry fucked in the ass. 
Link Posted: 3/25/2017 3:28:50 PM EDT
[#4]
It's been longer than I would like to admit, but I was in a band that had a record deal on a mid size label back in the late 90s with national distribution. I've never heard of having to pay anything up front but my experience is a bit dated now.  

Generally the gist is they loan you money to record and you pay it back over time.  Ideally in the meantime they help book and promote shows.  

What's the reason they gave for the up front money?
Link Posted: 3/25/2017 3:37:23 PM EDT
[#5]
One of my friends growing up was a rapper. He told me that he didn't make anything off of album sales only touring. But nowadays the record companies want a percentage of your tour money too.
Link Posted: 3/25/2017 3:42:23 PM EDT
[#6]
Don't sign, there's no point in doing business that way. There are tons of horror stories from writers doing the same thing, but the way a real label or publisher works is this: They give you money for artistic output, until they decide not to.

They pay for recordings, you negotiate things like tour expenses and merch.
Link Posted: 3/25/2017 3:49:06 PM EDT
[#7]
With YouTube.  Why bother with a outdated business model?
Link Posted: 3/25/2017 3:50:27 PM EDT
[#8]
These days, shady "labels" are more preying upon wanna-be artist's desire for fame, than actually trying to develop artists and record and release music. Those idiots will actually pay the label just so they can say they're a "signed artist".

Think of vanity publishing labels - you pay to have your book printed, so you can say you're a "published author".
Link Posted: 3/25/2017 3:55:26 PM EDT
[#9]
sounds fishy.

like the companies that want you to be a model but you need to pay them x thousand dollars up front so that they can create a portfolio that will be used to promote you.

another thing going on today is that the cable providers dont have enough content. so some hucksters are approaching small business people and telling them that their product is great and that they want to make an info-mercial about your business and all they need is 20k up front to create the commercial.

i suspect some of the 'patent your invention' scams are similar.
Link Posted: 3/25/2017 3:58:18 PM EDT
[#10]
Quoted:
My friend wants me to tryout for an opening in his band. He tells me they just signed with a small label. Evidently the label requested $5,000 or so up front (and maybe the rest of fee at a later date).

I don't have an interest in playing in a band now, but something seems not quite right about this. What record label no matter how small requires a fee from the artist? Shouldn't it always be the other way around?
View Quote


There was a case in Atlanta of a guy pretending to run a record label. He was taking cash payments upfront from artists to sign them up, then he did nothing for them. Those musicians never got their money back.
Link Posted: 3/25/2017 4:01:57 PM EDT
[#11]
Coworkers son is in a band signed with Sony.  They spent a year or so opening on a tour, then got signed and are headlining a tour.  They play at 250-500 seat venues, so not small bars.  Also getting paid to do music lessons with other musicians. Basically rich people and/or their kids want lessons from a known act so they can brag and post online about it.

Don't think they had to pay for the album and pretty sure Sony fronted some money to get them on their own tour.
Link Posted: 3/25/2017 4:07:07 PM EDT
[#12]
Quoted:
My friend wants me to tryout for an opening in his band. He tells me they just signed with a small label. Evidently the label requested $5,000 or so up front (and maybe the rest of fee at a later date).

I don't have an interest in playing in a band now, but something seems not quite right about this. What record label no matter how small requires a fee from the artist? Shouldn't it always be the other way around?
View Quote


First, that deal is shit. If you and the band signs it, you deserve whatever you have coming from them.
Second, ask your friend if they have an attorney on retainer. That attorney will have better contacts in the industry than just some guy who knows someone's cousin who is in the business.
Third, NEVER, EVER, EVER, EVER, EVER sign away your music publishing rights. That is your retirement savings right there. That is where the royalties come from.
Fourth, the music business is BUSINESS. Not music.
Fifth, don't expect any real money until several years from now.
Good luck.
Link Posted: 3/25/2017 4:35:23 PM EDT
[#13]
Not that I know shit about record deals these days, but I am always highly suspicious of bands that aren't really bands, but that are somehow on the brink of getting a major recording contract.

You see this sort of crap on craigslist all the time, "Band getting signed to record label, needs drummer, bass player, keyboardist, and lead guitarist." 

Record companies want to see established bands with a track record of headlining shows and selling their shit. How are you about to get signed when you don't even have the personnel together?

Go audition if you have time and ask questions. You'll find out soon enough if your musician friend is being sold a line of crap, or if he is full of it himself.
Link Posted: 3/25/2017 5:02:03 PM EDT
[#14]
If your friend signs to that contract he's foolish. If a label has a lot of faith in you they will front the money
knowing for them it's a win win. That typically doesn't happen anymore though.
Link Posted: 3/25/2017 5:10:10 PM EDT
[#15]
A record label, any more, is a method to advertise to other record labels, and, perhaps, win you opening acts for marginal bands, or afternoon slots on the C stage at a festival.

$5000 for internal advertising.
Link Posted: 3/25/2017 5:12:26 PM EDT
[#16]
Quoted:
My friend wants me to tryout for an opening in his band. He tells me they just signed with a small label. Evidently the label requested $5,000 or so up front (and maybe the rest of fee at a later date).

I don't have an interest in playing in a band now, but something seems not quite right about this. What record label no matter how small requires a fee from the artist? Shouldn't it always be the other way around?
View Quote



<- Played in a band with a record deal, toured the country several times in a van and later worked on the label side while not wildly successful did have one band crack the billboard charts.  Spent plenty of time around much larger bands and much more successful industry folks along the way and learned plenty.


Yes, that story stinks to high heaven.  That's no record deal, that's a con job.  The most fundamental function of a record label is to act as a financier of studio projects.  That's the reason they exist.

They don't exist to record albums, that's the recording studio's job.
They don't exist to manufacture albums, that's the pressing house's job.
They don't exist to distribute albums, that's the distributors job.
They don't exist to market and promote albums, that's a marketing company's job.
They don't exist to book tours, that's the booking company's job.

So what the fuck is this "label" doing for your friend if they aren't financing the album?  I'm going to take a wild guess and bet that this "label" is some guy in his garage with hardly two nickels to rub together.

For a record deal to be even remotely legit there should be an exchange of consideration in the form of an advance to the band in order to record the album.  Now there is such a thing as a legit garage label but even then there should be money changing hands in the direction of the artist being signed even if it's only a few hundred bucks.  Any label that asks the artist to pony up money is front for a scam.  There is just about zero chance that a label like that will do anything meaningful for the artist other than take their money.  There is zero reason to tie up the rights to your music with anyone if they aren't taking on some of the financial risk of the project.

Your friend can just as easily pay for his own studio time directly, hire his own booking agent, hire his own publicity company, and distribute his own music both physically and digitally, and retain ALL of the profits if he's going to spend the upfront money anyway.
Link Posted: 3/25/2017 5:13:32 PM EDT
[#17]
My band just signed a 3 million dollar recording contract with Sony Records.  

Now if we could only get Sony to sign it too.   
Link Posted: 3/25/2017 5:16:57 PM EDT
[#18]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Not that I know shit about record deals these days, but I am always highly suspicious of bands that aren't really bands, but that are somehow on the brink of getting a major recording contract.

You see this sort of crap on craigslist all the time, "Band getting signed to record label, needs drummer, bass player, keyboardist, and lead guitarist." 

Record companies want to see established bands with a track record of headlining shows and selling their shit. How are you about to get signed when you don't even have the personnel together?

Go audition if you have time and ask questions. You'll find out soon enough if your musician friend is being sold a line of crap, or if he is full of it himself.
View Quote
You know enough.  Show business is thick with wannabees and pretenders.  It's meaningless until someone actually gets their name in ink and their hands on the check.
Link Posted: 3/25/2017 5:27:08 PM EDT
[#19]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Record labels are really horrible. It would not surprise me at all if they charged a fee.
View Quote
There's two sides to that story.  

First, the label in OP's story is not a label.  It's almost certainly some chump in his basement pretending to be a record label with a logo, maybe some tshirts, and not much else.  No, you should never pay a label for a deal.

As far as legitimate labels go who actually pony up the cash to finance projects, the business model is frequently misunderstood by artists.  The truth of the music business is that the majority of projects fail to turn a profit.  I've heard the statistic quoted as anywhere between 1 in 6 to 1 in 8 projects actually break even and that was 15 years ago when I was in that business.  As result, the take from album sales is by necessity going to be lopsided in the favor of the record label.  It's just not mathematically sound for a label to split the profits 50/50 with the artist when the label takes all the financial risk and has an 87% chance of losing some or all of their investment on a flop.

If artists want to keep the majority of their album sales revenues then they need a bank loan to finance their album, not a record deal.  Getting a record deal is like getting a business partner.  If your business partner is bringing all the capital to the table for the project and taking all the risk, don't be surprised if they get to keep most of the profits.
Link Posted: 3/25/2017 5:37:24 PM EDT
[#20]
Just like those "agents" that tell the somewhat cute girls in their late 30's they could be on the cover of Vogue Magazine . . . . all we need is some great looking modeling shots of you!

What a coincidence here's our professional photographer now who only charges $1500.00 for a photo session.

It's a scam . . . .
Link Posted: 3/25/2017 6:00:26 PM EDT
[#21]
Discussion ForumsJump to Quoted PostQuote History
Quoted:



<- Played in a band with a record deal, toured the country several times in a van and later worked on the label side while not wildly successful did have one band crack the billboard charts.  Spent plenty of time around much larger bands and much more successful industry folks along the way and learned plenty.


Yes, that story stinks to high heaven.  That's no record deal, that's a con job.  The most fundamental function of a record label is to act as a financier of studio projects.  That's the reason they exist.

They don't exist to record albums, that's the recording studio's job.
They don't exist to manufacture albums, that's the pressing house's job.
They don't exist to distribute albums, that's the distributors job.
They don't exist to market and promote albums, that's a marketing company's job.
They don't exist to book tours, that's the booking company's job.

So what the fuck is this "label" doing for your friend if they aren't financing the album?  I'm going to take a wild guess and bet that this "label" is some guy in his garage with hardly two nickels to rub together.

For a record deal to be even remotely legit there should be an exchange of consideration in the form of an advance to the band in order to record the album.  Now there is such a thing as a legit garage label but even then there should be money changing hands in the direction of the artist being signed even if it's only a few hundred bucks.  Any label that asks the artist to pony up money is front for a scam.  There is just about zero chance that a label like that will do anything meaningful for the artist other than take their money.  There is zero reason to tie up the rights to your music with anyone if they aren't taking on some of the financial risk of the project.

Your friend can just as easily pay for his own studio time directly, hire his own booking agent, hire his own publicity company, and distribute his own music both physically and digitally, and retain ALL of the profits if he's going to spend the upfront money anyway.
View Quote
In light of this, I have to wonder what the point of a record label is in 2017. Unless you're dirt poor (and I suppose many aspiring musicians are...), you can certainly record your own material. And I'm not talking about you and your buddies firing up GarageBand on the guitar player's Mac - I mean you can flat out book studio time, and even pay a producer for his time and expertise. It's not that expensive, especially if you already have the songs written and rehearsed, and have a really solid idea of what the final product will sound like in your head. I mean, if you're going to pay $200/hr+ to use a professional studio as a place to write and practice (or worse, insist on a 100% analog production down to whipping out a razor blade for the tape edits), then sure - its expensive as all get out.  But otherwise...it's honestly not that bad. 

I'd even hypothesize that you could (as a vanity project) straight up hire studio musicians by the hour to play and record what you've got in your head, or at least a reasonable approximation of it. Seriously, I'll bet I could scrounge $10k up all by my lonesome and come out the other end with about 40-50 minutes of a finished, professionally recorded and mastered rock or country album - as long as I had a really good idea of what the finished product should sound like, and wasn't insanely ambitious with the production. If you've got every track more or less mapped out in your head (for every song) and just need some technical talent (seasoned musicians) as hired guns to actually perform it, I actually think it'd be doable. 

And I know for a fact that I could fork out $3k for a 500 vinyl LP run at a pressing plant, as long as I didn't go full retard with the packaging. And if it's really only being done as a vanity project (instead of a real business), I could probably get somebody to do a 100 vinyl LP run for $1,500. Vanity project...done. And that's doing something insane, like deliberately choosing what is probably the most (objectively) useless and expensive way to sell your product in the modern age. And if it happens to become some kind of unexpected viral hit - fine. Economies of scale kick in. Lucky me. 
Link Posted: 3/25/2017 7:28:01 PM EDT
[#22]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
In light of this, I have to wonder what the point of a record label is in 2017. Unless you're dirt poor (and I suppose many aspiring musicians are...), you can certainly record your own material. And I'm not talking about you and your buddies firing up GarageBand on the guitar player's Mac - I mean you can flat out book studio time, and even pay a producer for his time and expertise. It's not that expensive, especially if you already have the songs written and rehearsed, and have a really solid idea of what the final product will sound like in your head. I mean, if you're going to pay $200/hr+ to use a professional studio as a place to write and practice (or worse, insist on a 100% analog production down to whipping out a razor blade for the tape edits), then sure - its expensive as all get out.  But otherwise...it's honestly not that bad. 

I'd even hypothesize that you could (as a vanity project) straight up hire studio musicians by the hour to play and record what you've got in your head, or at least a reasonable approximation of it. Seriously, I'll bet I could scrounge $10k up all by my lonesome and come out the other end with about 40-50 minutes of a finished, professionally recorded and mastered rock or country album - as long as I had a really good idea of what the finished product should sound like, and wasn't insanely ambitious with the production. If you've got every track more or less mapped out in your head (for every song) and just need some technical talent (seasoned musicians) as hired guns to actually perform it, I actually think it'd be doable. 

And I know for a fact that I could fork out $3k for a 500 vinyl LP run at a pressing plant, as long as I didn't go full retard with the packaging. And if it's really only being done as a vanity project (instead of a real business), I could probably get somebody to do a 100 vinyl LP run for $1,500. Vanity project...done. And that's doing something insane, like deliberately choosing what is probably the most (objectively) useless and expensive way to sell your product in the modern age. And if it happens to become some kind of unexpected viral hit - fine. Economies of scale kick in. Lucky me. 
View Quote
None of that sounds infeasible. As a live music guy, through, I'm always going to approach music production from that angle. I think (hope) it is a well-grounded approach, given the current robustness of the live music and touring side of things.

The issue I see with the above approach is this: what does one do after his act goes viral via YouTube or social media? I know that there is money to be made from YouTube hits and such; maybe in this hypothetical situation the artist would be happy to crank out self-produced material and rack up subscribers or whatever.

Most musicians don't get into the game to limit themselves to bedroom stardom, however. They want to take their show on the road, and hear fans in the flesh screaming and asking them to take off their pants. That's how it should be.

I can tell you that I've done several live events with YouTube stars. It is usually an extremely awkward scene. They are more meet and greets than anything else, interspersed with brief skits and lip-synced musical numbers. The "performance" part is typically less than 30 minutes long, the rest of it is fans lining up to hug and get their pictures taken with the internet star.

This spectacle, in my view, is what you get when do-it-yourself entertainers, who have experience with technology but no live performance experience or infrastructure, find themselves in front of a real crowd.

Today, just as much as at any time in history, a band has to have a solid live act. This act still needs to hold up to certain traditional standards, e.g. a wide repertoire/ability to perform extended sets, solid stage presence, the power to excite and hold an audience's attention, having a backdrop with a cool logo, et cetera.

So yes, maybe record labels aren't needed in 2017, but that shouldn't change the fact that cranking out a great album is the cart and having your shit together as a performer is the horse. It shouldn't be the other way around, no matter how easy and cheap it is to record an album these days.
Link Posted: 3/25/2017 7:28:52 PM EDT
[#23]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Yes, that story stinks to high heaven.  That's no record deal, that's a con job.  The most fundamental function of a record label is to act as a financier of studio projects.  That's the reason they exist.

So what the fuck is this "label" doing for your friend if they aren't financing the album?  I'm going to take a wild guess and bet that this "label" is some guy in his garage with hardly two nickels to rub together.
View Quote View All Quotes
View All Quotes
Discussion ForumsJump to Quoted PostQuote History
Quoted:
Yes, that story stinks to high heaven.  That's no record deal, that's a con job.  The most fundamental function of a record label is to act as a financier of studio projects.  That's the reason they exist.

So what the fuck is this "label" doing for your friend if they aren't financing the album?  I'm going to take a wild guess and bet that this "label" is some guy in his garage with hardly two nickels to rub together.
See the story I posted from Moog.


Quoted:
In light of this, I have to wonder what the point of a record label is in 2017. Unless you're dirt poor (and I suppose many aspiring musicians are...), you can certainly record your own material. And I'm not talking about you and your buddies firing up GarageBand on the guitar player's Mac - I mean you can flat out book studio time, and even pay a producer for his time and expertise. It's not that expensive, especially if you already have the songs written and rehearsed, and have a really solid idea of what the final product will sound like in your head. I mean, if you're going to pay $200/hr+ to use a professional studio as a place to write and practice (or worse, insist on a 100% analog production down to whipping out a razor blade for the tape edits), then sure - its expensive as all get out.  But otherwise...it's honestly not that bad.
Yep. Again, refer to Moog.
Link Posted: 3/25/2017 7:30:21 PM EDT
[#24]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
With YouTube iTunes.  Why bother with a outdated business model?
View Quote
Link Posted: 3/25/2017 7:32:30 PM EDT
[#25]
So is that like paying the creep in the mall to take pictures of you and all of a sudden you're a "model"?
Link Posted: 3/25/2017 8:46:52 PM EDT
[#26]
Discussion ForumsJump to Quoted PostQuote History
Quoted:
It's a scam . . . .
View Quote
Yep.

You don't pay to do a deal.
Close Join Our Mail List to Stay Up To Date! Win a FREE Membership!

Sign up for the ARFCOM weekly newsletter and be entered to win a free ARFCOM membership. One new winner* is announced every week!

You will receive an email every Friday morning featuring the latest chatter from the hottest topics, breaking news surrounding legislation, as well as exclusive deals only available to ARFCOM email subscribers.


By signing up you agree to our User Agreement. *Must have a registered ARFCOM account to win.
Top Top