From Self Release to Major Label

What are you giving up to become a recording artist?

So you’re an artist or a singer/songwriter and you’re looking at an opportunity to sign with a major label. Or maybe you’re not sure that’s even the way to go.  What should you know before you pick up that pen?

Austen Adams

“What are you giving up to become a recording artist? What are you giving back for artist development?”

Noah McPike

Those are the questions posed by session moderators, Austen Adams and Noah McPike.  Adams and McPike both serve as OF Counsel for Dickinson Wright, the Nashville Legal firm that co-sponsored the session on opening day of Music Biz 2018 in Nashville.

The room at the Omni Hotel was ‘standing room only,’ packed with both creators and music business execs. The session title was ‘The Modern Approach to Artist Development: From Self Release to Major Label and Everywhere In-Between.’

Be prepared to ‘give back’

The panel made it clear that you must be prepared to give up certain things when you transition from being an Indie artist to an artist signed to a major label.  You must also be prepared to ‘give back’ to the label in terms of time and effort to promote yourself and your music on the label’s schedule.

The panelists all agreed that, in today’s business climate, almost all labels will want a percentage of an artist’s touring income if they are going to make an investment in you as an artist.

(My note:  These types of arrangements can often include what’s called a ‘360 Deal’ or ‘Multiple Rights Deal’ in which the artist agrees that the label will earn part of the artist’s ancillary rights such as income from, say, merchandise sales, endorsement deals and concert revenue.  In exchange, the label agrees to actively promote the artist’s career, and often takes on certain aspects of the client’s management.)

Find a music attorney

Noah McPike then gave attendees perhaps the best advice that will have heard all day. “If you enter into any type of deal like this, ask for a separate advance so that you can employ a lawyer.  You need someone who works just for you!”

Photo: pixabay.com

Having someone in your corner who is looking out for your interests and representing you in any negotiations with a label is essential. Failing to do so can cause problems, misunderstandings and resentment that last for years.  Never forget that a contract is written to benefit the party that wrote it. The panelists agreed than an artist doesn’t need just any lawyer.  You need to find an attorney who specializes in the music business and is familiar with negotiating on behalf of recording artists.

What makes a record label want to talk to you?

Photo: Pixabay.com

Panelist Martha Earls, GM of EFG Management, emphasized, “You have to have a fan base in place. If you don’t, it’s like shouting in an empty parking lot.”

She added that, before a major label will be interested in you, “You need to build a brand, build a fan base, but there are lots of ways to waste your money such as making expensive music videos you don’t need.”

When should a manager come on board?

According to Earls, an artist needs a manager by the time he or she is ready to undertake major touring and needs direction with social media.  “A manager should understand what the artist is trying to do and then amplify what’s happening.” She noted that “A large part of a manager’s role is protecting the artist – sometimes from him or herself!”

It’s not unusual for an artist to be receiving all kinds of conflicting advice from every direction. A good manager will “unify the message” and keep the artist’s career direction focused.

How can an earlier self-release affect your move to a major label?

Photo: Pixabay.com

The panelists recommended that artists be knowledgeable about what they have ‘out there’ in the way of recordings and posted videos, etc.  When you are unsigned, you probably recorded some material and people involved in that project were not particularly concerned about what you were doing with it.

“When money is on the table, people [from your past] can come out of the woodwork,” said McPike. People are suddenly wanting a piece of something they believe they have a claim to.  If you have not got a signed agreement now that proves you own your material, you are open to problems in the future. If you don’t have ownership rights to what’s posted, you create problems for any label that signs you.

‘Old’ music can impede ‘new’ release

“By the time it gets to me, it’s often too late,” noted Robert Femia, VP of Business & Legal Affairs, Universal Music Group Nashville.  “A label might have a major release upcoming, then an artist’s former publisher puts out an old EP on Spotify. That can impede the ‘real’ release.” He added, “We try to ‘dead’ stuff that’s out there,” meaning that the label wants to make sure there’s nothing by the artist that another entity can release.  “A ‘clean’ deal makes the job easier,” he added.

If you have to go into litigation, it can put your career on hold for four years or more while lawyers sort out who owns what.  Femia reiterated, “As soon as money is there, everyone remembers what they did.”

Kerry O’Neil, co-founder of McNeil Hagaman, PLLC, recommended that artists should make a checklist to be sure that they have a file with signed agreements from producers of any previous recordings and copies of any licenses relating to recordings. Double-check any visual media such as music videos to be sure you have legal ownership and take down anything you’re not certain of.

Here’s where the work really starts

A label expects some ‘give back’ from a signed artist in more ways than just a share of income from touring and merch sales. “When you join a major label as an artist, that’s when the work really starts,” warned Femia.  “It’s a real grind.”  He said that artists have to spend a considerable part of their time on promotion.

Photo: pixabay.com

For example, “You’ll be out there doing radio tours to Podunk stations in places you’ve never heard of,” said Femia. You have to show up and do personal appearances when you’d rather not, but you have to understand the label has a lot invested in your career and you have to do your part.

Jeremy Stover, owner of Red Creative Group, advised newly-signed artists to work with their management and the label to set timelines with specific goals.  This helps artists to keep their career on track and moving forward.

Artist development, the panel agreed, takes teamwork and an artist must be prepared to put in the hours to make it work.

Preshias Harrisis a music journalist and music career development consultant with the emphasis on new and aspiring artists and songwriters. Her book, ‘The College of Songology 101: The Singer/Songwriter’s Need to Know Reference Handbook’ is available at www.collegeofsongology.com  Follow her blog at www.nashvillemusicline.com