Label Artist Contract

A recording artist who wishes to secure a record deal may choose to sign with either a major record label or a smaller, independent record label. Artist contract terms may differ greatly depending on the type of record label an artist signs with. Smaller labels tend to give artists more creative control and freedom, while larger record labels have bigger budgets and are able spend more to promote artists, though they exert more control over an artist's output. Advance payments are common in record label contracts, though often these advance payments must be paid back to the record label. Consequently, new artists may not see a profit for some time, as any profits made initially will be used to back back their monetary advance. Many recording artists find this practice unfair, and even the most successful musicians have been trapped in contracts that made them little money to support themselves with.

Fast Facts

  • Rock group Def Leppard signed their first recording contract in 1979.
  • About 1 out of every 10 music acts signed by record labels manage to turn a profit.

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  • What is an Artist Contract?

    An artist's contract is the agreement by which an artist is legally bound to perform....
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  • Music Publishing and Distribution Contracts

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    Any music artist or company that wants to make money and have acclaim in the music industry needs to be aware ...
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