🎵 1. Performing Rights Organizations (PROs)

What they do:
PROs collect and pay performance royalties — money earned when your song is played publicly (radio, TV, live shows, streaming services, restaurants, etc.).

They represent songwriters and publishers, not the artists or record labels.

*They track performances, license use, collect money, and pay your share.

Main U.S. PROs:

• ASCAP (American Society of Composers, Authors and Publishers) — nonprofit, run by creators.

• BMI (Broadcast Music, Inc.) — nonprofit, very similar to ASCAP.

• SESAC — private, invite-only, more boutique.

• GMR (Global Music Rights) — private, small roster (founded by Irving Azoff).

Money Flow Example:

Your song plays on FM radio → ASCAP collects from the station → pays you (writer) and your publisher.

💿 2. MLC (Mechanical Licensing Collective)

What it does:
The MLC collects and pays mechanical royalties for streaming and digital downloads in the U.S.

• This royalty is for the composition (the songwriter and publisher), not the recording.

• It covers the reproduction and distribution of your song (even digitally).

Applies to:
Spotify, Apple Music, Amazon Music, YouTube Music, etc. — all pay mechanicals to MLC.

Who runs it:
The MLC is a nonprofit organization created by U.S. law (Music Modernization Act, 2020).

Money Flow Example:

Your song streams on Spotify → Spotify pays MLC → MLC pays you (if you’ve registered) for your composition share.

Important:
To get this money, you must:

• Be the songwriter or publisher

• Register your works with the MLC (they pay directly to you, not through your PRO).

🎧 3. SoundExchange

What it does:
SoundExchange collects and pays digital performance royalties for sound recordings (the master side, not the composition).

It covers non-interactive digital streams — like:

• Pandora (radio version)

• SiriusXM

• Internet radio stations

Who gets paid:

• Featured artist (main performer)

• Rights owner/label

• Non-featured musicians and vocalists (through AFM & SAG-AFTRA)

Money Flow Example:

Your recorded track plays on Pandora Radio → Pandora pays SoundExchange → SoundExchange pays the performer and label.

🏛️ 4. Copyright Registration (U.S. Copyright Office)

What it does:
This is the legal protection step. It establishes you as the owner and allows you to enforce your rights (sue for infringement, claim statutory damages, etc.).

There are two copyrights in music:

1. Composition (song) — melody, lyrics — belongs to songwriter/publisher.

   • Register with the U.S. Copyright Office.

2. Sound Recording (master) — the actual recording — belongs to artist/label.

   • Also registered with the U.S. Copyright Office.

🌍 5. Distribution Companies

What they do:
Distributors deliver your recordings (masters) to streaming services like Spotify, Apple Music, and Amazon.
They collect streaming revenue and sales money from your recordings.

Examples:

• DistroKid

• TuneCore

• CD Baby

• UnitedMasters

• The Orchard

• Stem, AWAL, etc.

They handle master royalties, not publishing.

Money Flow Example:

Your song streams on Spotify → Spotify pays DistroKid → DistroKid pays you for your share of the master recording revenue.

🎬 6. Sync Licensing (Synchronization Rights)

What it is:
A sync license is permission to use your song in sync with visual media — film, TV, commercials, video games, YouTube, etc.

Who handles sync:

• Sometimes your publisher (if you have one).

• Sometimes a sync licensing agency or music supervisor.

• You can also pitch or license directly.

Examples of sync agencies & libraries:

• Musicbed

• Songtradr

• Artlist

• Audio Network

• Pond5

• Epidemic Sound

• Universal Production Music

• APM Music

For a sync deal, both sides must approve:

• The composition owner (songwriter/publisher)

• The master owner (artist/label)