This has become a running list from the Future of Music Coalition (FOMC), which now counts 42 different, discrete revenue streams that artists can exploit.
Take a look; add your own.
Songwriter & Composer Revenue
1. Publisher advance
Bulk payment to songwriter/composer as part of a publishing deal.
Paid to: songwriter composer by publishing company.
Rate: varies according to deal.
2. Mechanical Royalties
Royalties generated through the licensed reproduction of recordings of your songs — either physical or digital.
Paid to: songwriter/composer by publisher, label, Harry Fox, or digital aggregator like CD Baby.
Rate: 9.1 cents per manufactured copy of song/composition.
3. Commissions
Typically a request from an ensemble, presenter, orchestra or other entity for a composer to create an original work for them.
4. Public Performance (PRO) Royalties
Revenue generated when your songs are played on radio, TV, in clubs and restaurants. Paid to songwriter/composer/publisher by ASCAP/BMI/SESAC.
5. Composing Original Works for Broadcast
Typically a commercial request to compose an original jingle, soundtrack, score, or other musical work for a film, TV or cable show, or an ad agency.
6. Synch Licenses
Typically involves licensing an existing work for use in a movie, documentary, TV, video games, internet, or a commercial. Paid to songwriters/composers either via publisher or record label, or via a direct licensing deal with the licensee (movie studio, ad agency, etc) if you are self-published..
7. Sheet Music Sales
Revenue generated by the sale of songs/compositions as sheet music. Paid to songwriter/composer by publisher, or directly from purchasers if you are selling it on your website or at performances..
8. Ringtones Revenue
Generated from licensing your songs/compositions for use as ringtones. Paid to songwriter/composer via your publisher, your label or Harry Fox..
9. ASCAPlus Awards Program
Awarded by ASCAP to writer members of any genre whose performances are primarily in venues outside of broadcast media.
10. Publisher Settlement
Payment from publishers to writers for litigation settlements.
Performer & Recording Artist Revenue
11. Salary as Member of Orchestra or Ensemble
Income earned as a salaried member of an orchestra or ensemble.
12. Shows/Performance Fees
Revenue generated from playing in a live setting (for non-salaried players).
13. Record Label Advance
Paid to artist as part of signing a deal.
14. Record Label Support
Money from label for recording or tour support.
15. Retail Sales
Revenue generated from selling physical music in retail stores or via mailorder. Paid to artist/performer by your label, or digital aggregator like CD Baby.
16. Digital Sales
Revenue generated from selling music digitally/online. Paid to artist/performer by your label, or digital aggregator like CD Baby or Tunecore.
17. Sales at Shows
Revenue generated from selling recordings of music at shows/live performances. Paid to artist/performer directly by fans.
18. Interactive Service Payments
Revenue generated when your music is streamed on on-demand services (Rhapsody, Spotify, Rdio). Paid to artist/performer by your label, or digital aggregator like CD Baby or Tunecore.
19. Digital Performance Royalties
Revenue generated when your sound recordings are played on internet radio, Sirius XM, Pandora. Paid to performers by SoundExchange.
20. AARC Royalties
Collected for digital recording of your songs, foreign private copying levies, and foreign record rental royalties, distributed to US artists by AARC.
21. Neighboring Rights Royalties
Collected for the foreign performance of your recordings.
22. AFM/Secondary Markets Fund
Paid to performers on recordings used in TV and other secondary uses.
23. AFM/Sound Recording Special Payments
Paid to performers for the sales of recorded music.
24. AFTRA Contingent Scale
Payments paid to performers when a recording hits certain sales plateaus.
25. Label Settlements
Payments from labels to recording artists for litigation settlements (MP3.com, Limewire).
Session Musician Revenue
26. Session Musician/Sideman Fees for Studio Work
Revenue paid to you for playing in a studio. Paid by label, producer or artist, depending on situation.
27. Session Musician/Sideman Fees for Live Work
Revenue paid to you for playing in a live setting. Paid by label, producer or artist, depending on situation..
28. AFM/AFTRA Payments
Payments from the AFM/AFTRA Intellectual Property Rights Distribution Fund, which distributes recording and performance royalties to non-featured artists.
Knowledge of Craft: Teaching & Producing
29. Music Teacher
Revenue generated from teaching your musical craft.
30. Producer
Money from producing another artists’ work in the studio or in a live setting.
31. Honoraria or Speakers Fees
Brand-Related Revenue
32. Merchandise Sales
Revenue generated from selling branded merchandise (t-shirts, hoodies, posters, etc.). Paid to artist/performer by fans.
33. Fan Club
Money directly from fans who are subscribing to your fan club
34. YouTube Partner Program
Shared advertising revenue, paid to partners by YouTube
35. Ad Revenue
Or other miscellaneous income from your website properties (click-thrus, commissions on Amazon sales, etc.)
36. Persona Licensing
Payments from a brand that is licensing your name or likeness (video games, comic books, etc)
37. Product Endorsements
Payments from a brand for you endorsing or using their product
38. Acting
In television, movies, commercials
Fan, Corporate, & Foundation Funding
39. Fan Funding
Money directly from fans to support an upcoming recording project or tour (Kickstarter, Pledge Music)
40. Sponsorship
Corporate support for a tour, or for your band/ensemble
41. Grants
From foundations, state or federal agencies
Other Sources of Revenue
42. Arts Administrator
Money paid to you specifically for managing the administrative aspects of a group that you are a member of.
Keep in mind that these are entirely recoupable.
13. Record Label Advance
Paid to artist as part of signing a deal.
14. Record Label Support
Money from label for recording or tour support.
Try getting the same deal from a bank.
The minute the artist is memorizing all of these is the minute they stop focusing on their music. You need good labels, good managers you can trust.
Are labels and managers even *aware* of these channels? Seems like I don’t hear much about most of these.
Tomen Nota!
Great list. Anything missing?
Acting? Really?
Not all of these are realistic these days.
#2, Mechanical Royalties – does the phrase “manufactured copy” include sales as downloads, which are not actually manufactured, merely transmitted??
The term needs to be changed to “copies sold” I think.
So cool how there are no expenses, start up costs or downsides to any of these.
I’m going to start a nuclear reactor in the middle of Central Park because they generate a lot of money.
Thanks for the music tips!
so whats the catch ?
This is impossible for a musician. Today – more than ever an Artist MUST get signed or have some way to “make money” to Spend money, similar to a poloitical campaign The minute we Artists start concenttrating on other stuff, as mentioned in a comment, we will drop the ball with our craft. I know. For 8 years I practiced close 10 HOURS a day. This past year trying to do all of the above, I barely practice 10 MINUTES a day and still cant get ahead in music. Oh yea, and my group has been “on the verge” of “something happening” for oever a year now. I’ve grown tired as expected.
Anand
the Plants Music Factory
i hear you, these are rules for someone who, has already been sign by major label, someone like my group can not make music, if we keep 2 these rules, all rules are may to be broken.
I think you may have left one out . . . There are many musicians that start out their career “Busking” that is playing in public for tips. Just an idea for those people that want to try their skill in front of a “Real Audience” it costs nothing to start , and some make a pretty decent amount of money . . . If nothing else , you will get pleanty of practice.
Another good read for all up-and-coming artists.
Don’t make excuses, make money!