What Does a Music Publisher Do, anyway?
article by Theodora Michaels
My last article discussed situations in which songwriters who've written hit
songs, or their heirs, are being underpaid. I suggested that songwriters and
heirs who haven't recently reviewed their contracts work with an attorney to
determine whether they're being paid correctly and whether they have the option
of negotiating a contract with more favorable terms.
You may be wondering why songwriters and their heirs should deal with music
publishers at all? What does a music publisher do, exactly?
In a nutshell, a music publisher owns or administers copyrights of songs, and
licenses them to companies and other entities that use music, such as record
labels, radio stations, filmmakers, and advertisers. The publisher then collects
the license fee, keeps a cut, and pays the rest to the songwriters or them
heirs. Note that a music publisher controls the song -- the words and
music -- as opposed to any particular recording of the song. Recordings are
generally owned by recording artists and record labels.
The most important function of a music publisher is to promote songs to
licensees, thus getting the songs used in ways that earn money. Today, many
large music publishers' control so many thousands of songs that the employees of
the company can't be familiar with all of them, and wind up promoting only them
newest or best-known songs. But other companies, especially smaller ones, still
actively promote a larger percentage of their catalogs: talking to record label
executives to get new versions recorded; talking to music supervisors to get the
songs into films, TV shows, and advertisements; and licensing newer uses like
ringtones, videogames, and digital downloads. Printed sheet music, once the
largest source of income for songwriters and publishers, is now generally the
smallest, but it can still be an important source of revenue for some works,
such as those written specifically for use in music classes.
A good music publisher will have contacts and experience allowing him or her
to promote songs to the maximum number of potential licensees and negotiate good
terms for their use. Most subscribe to specialized industry publications and
services that give them an early "heads up" if someone is looking for music for
a particular recording artist or film, for example. A good publisher will also
stay on top of industry developments and actively seek out new sources of
income. Without access to industry contacts, publications, and experience, an
independent songwriter may be unable to place music with licensees at favorable
terms.
All these different kinds of licenses and royalties require that the
publishers create, receive and review a lot of paperwork consisting of various
contracts, forms, and royalty statements. Some are simple and some are complex.
Forgetting about or making an error on a form or contract can mean a loss of
royalties.
For example, if the publisher and a filmmaker agree that a particular song
can be used in a film, the rights are granted in a synchronization license (or
"synch" license for short). The terms of these can vary widely. If the contract
is written by a lawyer at a large film production company, the first draft may be
very biased in favor of the film company. Conversely, a new, independent
filmmaker may not know how to write a synch license and may leave out important
points, which could cause problems or even lawsuits down the road. A music
publisher can help negotiate a better agreement in both of these situations. The
music publisher will also ensure that a cue sheet, listing every song used in
the film, has been provided to the performing rights societies, allowing the
writers and publishers receive additional royalties each time the film is
broadcast on television or cable channels.
After the music publisher negotiates a license, he collects the fee from the
licensee, keeps the publisher's share (usually 50%), and forwards the rest to
the songwriter or heir at the end of each royalty period (usually every six
months). The task of collecting royalties from a large number of licensees, and
forwarding the correct percentages to the correct writers and heirs, can be
labor- and paperwork-intensive. Many publishers use specialized
royalty-processing software to do the calculations. If a particular license
doesn't pay the agreed-upon fee, a publisher may have an attorney or specialized
collections person on staff to go after them.
A music publisher also has foreign affiliates to collect royalties on foreign
uses. For example, a TV show or film produced in one country may eventually be
shown on cable channels in many different countries. Foreign affiliates are
better equipped than the songwriter or original publisher to become aware of
such uses and ensure that the proper royalties are paid. The foreign affiliate
can also negotiate and promote uses originating in the affiliate's territory,
such as translations of lyrics into the local language or advertisements for
local products. The foreign affiliates collect royalties in their territories,
keep their cuts, then forward the royalties to the U.S. publisher, who keeps a
cut and pays the songwriter.
Another reason to have a publisher is that many potential licensees don't
want to deal with individual songwriters. For example, if you call up a cell
phone service provider and said "I just wrote a song and I'd like to make it
available as a ringtone," I doubt they'd be interested. Generally, cell phones
companies license catalogs of songs in order to provide ringtone choices for
their customers.
The above is just a brief summary of some of the benefits of having your
songs represented by a music publisher. Every songwriter and every song have
unique attributes, so if you are a songwriter or songwriter's heir and have
questions about your own situation, you should consult an attorney with
experience in this area.
article by Theodora Michaels
My last article discussed situations in which songwriters who've written hit
songs, or their heirs, are being underpaid. I suggested that songwriters and
heirs who haven't recently reviewed their contracts work with an attorney to
determine whether they're being paid correctly and whether they have the option
of negotiating a contract with more favorable terms.
You may be wondering why songwriters and their heirs should deal with music
publishers at all? What does a music publisher do, exactly?
In a nutshell, a music publisher owns or administers copyrights of songs, and
licenses them to companies and other entities that use music, such as record
labels, radio stations, filmmakers, and advertisers. The publisher then collects
the license fee, keeps a cut, and pays the rest to the songwriters or them
heirs. Note that a music publisher controls the song -- the words and
music -- as opposed to any particular recording of the song. Recordings are
generally owned by recording artists and record labels.
The most important function of a music publisher is to promote songs to
licensees, thus getting the songs used in ways that earn money. Today, many
large music publishers' control so many thousands of songs that the employees of
the company can't be familiar with all of them, and wind up promoting only them
newest or best-known songs. But other companies, especially smaller ones, still
actively promote a larger percentage of their catalogs: talking to record label
executives to get new versions recorded; talking to music supervisors to get the
songs into films, TV shows, and advertisements; and licensing newer uses like
ringtones, videogames, and digital downloads. Printed sheet music, once the
largest source of income for songwriters and publishers, is now generally the
smallest, but it can still be an important source of revenue for some works,
such as those written specifically for use in music classes.
A good music publisher will have contacts and experience allowing him or her
to promote songs to the maximum number of potential licensees and negotiate good
terms for their use. Most subscribe to specialized industry publications and
services that give them an early "heads up" if someone is looking for music for
a particular recording artist or film, for example. A good publisher will also
stay on top of industry developments and actively seek out new sources of
income. Without access to industry contacts, publications, and experience, an
independent songwriter may be unable to place music with licensees at favorable
terms.
All these different kinds of licenses and royalties require that the
publishers create, receive and review a lot of paperwork consisting of various
contracts, forms, and royalty statements. Some are simple and some are complex.
Forgetting about or making an error on a form or contract can mean a loss of
royalties.
For example, if the publisher and a filmmaker agree that a particular song
can be used in a film, the rights are granted in a synchronization license (or
"synch" license for short). The terms of these can vary widely. If the contract
is written by a lawyer at a large film production company, the first draft may be
very biased in favor of the film company. Conversely, a new, independent
filmmaker may not know how to write a synch license and may leave out important
points, which could cause problems or even lawsuits down the road. A music
publisher can help negotiate a better agreement in both of these situations. The
music publisher will also ensure that a cue sheet, listing every song used in
the film, has been provided to the performing rights societies, allowing the
writers and publishers receive additional royalties each time the film is
broadcast on television or cable channels.
After the music publisher negotiates a license, he collects the fee from the
licensee, keeps the publisher's share (usually 50%), and forwards the rest to
the songwriter or heir at the end of each royalty period (usually every six
months). The task of collecting royalties from a large number of licensees, and
forwarding the correct percentages to the correct writers and heirs, can be
labor- and paperwork-intensive. Many publishers use specialized
royalty-processing software to do the calculations. If a particular license
doesn't pay the agreed-upon fee, a publisher may have an attorney or specialized
collections person on staff to go after them.
A music publisher also has foreign affiliates to collect royalties on foreign
uses. For example, a TV show or film produced in one country may eventually be
shown on cable channels in many different countries. Foreign affiliates are
better equipped than the songwriter or original publisher to become aware of
such uses and ensure that the proper royalties are paid. The foreign affiliate
can also negotiate and promote uses originating in the affiliate's territory,
such as translations of lyrics into the local language or advertisements for
local products. The foreign affiliates collect royalties in their territories,
keep their cuts, then forward the royalties to the U.S. publisher, who keeps a
cut and pays the songwriter.
Another reason to have a publisher is that many potential licensees don't
want to deal with individual songwriters. For example, if you call up a cell
phone service provider and said "I just wrote a song and I'd like to make it
available as a ringtone," I doubt they'd be interested. Generally, cell phones
companies license catalogs of songs in order to provide ringtone choices for
their customers.
The above is just a brief summary of some of the benefits of having your
songs represented by a music publisher. Every songwriter and every song have
unique attributes, so if you are a songwriter or songwriter's heir and have
questions about your own situation, you should consult an attorney with
experience in this area.
