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How do labels pay artists?

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cruelcore1
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Croatia (Hrvatska)
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Posted - 2012/01/13 :  19:50:25  Show profile Send a private message  Visit cruelcore1's homepage
I've heard something about submission fees so Im confused. Do labels pay immediately or do artists pay to get special rights?

And if you still don't have 100% legal rights to pay artists, how dangerous is it to pay them? (with popularity like an averagely popular HC label)


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Edited by - cruelcore1 on 2012/01/13 19:53:50
Dys7
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United States
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Posted - 2012/01/13 :  19:57:40  Show profile  Send a private message  Visit Dys7's homepage
I've wondered this as well. I know a few people on here are on labels.

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The above comment was likely written when I was *literally* 13, so please don't judge me too hard.

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Archefluxx
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United Kingdom
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Posted - 2012/01/13 :  20:15:47  Show profile  Send a private message  Visit Archefluxx's homepage
Waste of time if you ask me. I much prefer managing the release of my own stuff


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cruelcore1
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Posted - 2012/01/13 :  20:33:35  Show profile  Send a private message  Visit cruelcore1's homepage
Thnx. Ive talked to my CEO and it seems like we have to keep up with free tracks for another year because then he'll have plenty more free time. They I guess our another HC album will be Hardcore Eternity again. =)

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Wilky
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United Kingdom
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Posted - 2012/01/13 :  21:52:14  Show profile  Visit Wilky's homepage
quote:
Originally posted by cruelcore1:
Thnx. Ive talked to my CEO and it seems like we have to keep up with free tracks for another year because then he'll have plenty more free time. They I guess our another HC album will be Hardcore Eternity again. =)



come again


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Karthy
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United Kingdom
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Posted - 2012/01/13 :  22:29:22  Show profile  Send a private message  Visit Karthy's homepage
quote:
Originally posted by Wilky:
quote:
Originally posted by cruelcore1:
Thnx. Ive talked to my CEO and it seems like we have to keep up with free tracks for another year because then he'll have plenty more free time. They I guess our another HC album will be Hardcore Eternity again. =)



come again



with pleasure


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jay g
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United Kingdom
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Posted - 2012/01/13 :  22:44:08  Show profile  Send a private message  Visit jay g's homepage
ha ha well done karthy



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cruelcore1
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Croatia (Hrvatska)
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Posted - 2012/01/13 :  23:20:00  Show profile  Send a private message  Visit cruelcore1's homepage
quote:
Originally posted by Wilky:
quote:
Originally posted by cruelcore1:
Thnx. Ive talked to my CEO and it seems like we have to keep up with free tracks for another year because then he'll have plenty more free time. They I guess our another HC album will be Hardcore Eternity again. =)



come again


(Correction: Then*)

Hardcore Eternity 1 was posted here: http://www.happyhardcore.com/forums/topic.asp?topic_id=56707


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silver
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Japan
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Posted - 2012/01/14 :  09:20:00  Show profile View artist profile  Send a private message  Visit silver's homepage
quote:
Originally posted by cruelcore1:
I've heard something about submission fees so Im confused. Do labels pay immediately or do artists pay to get special rights?

And if you still don't have 100% legal rights to pay artists, how dangerous is it to pay them? (with popularity like an averagely popular HC label)



Submission fees? Not a real thing.

Depends on the deal you strike with the artist.

But 90% of the time the label will sign the track from the artist meaning the copyright is owned by the label.

Don't confuse this with publishing rights.

A "standard" hardcore deal is 50/50 split on profits after expenses. Meaning if it cost you 1000 pounds to release the track then what ever money is earnt after the inital 1000 pounds is recovered is split. This is generally done twice a year.

I'll give you a few examples (the prices are really wrong so don't think it costs 1000 pounds to press 1000 vinyl :p )

Artist A:
Not exclusively signed to a label
Has publishing rights with publisher C

Label B:
Standard hardcore label

Artist A signs track to label B, handing over copyright to label B, from this point on the song is consider property of label B, the artist can't give out promos, sell it anywhere else or give it out for free (without direct permission from the label).

Label B makes 1000 x 12" vinyl record it costs 1000 pounds to produce.
Label B gets a remix from another artist it costs 200 pounds.
Label B gets the track mastered it costs 100 pounds
Label B gets some artwork done, it costs 100 pounds
Label B posts promo to 10 people, it costs 10 pounds.

So the total cost of releasing the track on Label B is 1410 pounds.

Label B sells all 1000 records at 2 pounds profit a unit

Total income for release is 2000 pounds.

Total profit is 600 pounds....

300 pounds is due to the artist from the label.

------------------------
Next example:

Same as above:

This time label B only sells 100 units with income of 200 pounds.

The label is still in the red and does not owe anything to the artist UNTIL the release starts earning money.
------------------------
Next example:

Same as above

This time label B only sells 200 units with income of 400 pounds.

The track also goes onto an album and the royalty for the track is 1000 pounds.

Total income for the album is 1400 pounds.

Since the cost of releasing this track is 1410 pounds, then the artist is not due any money.


------------------

There are more examples if you factor in advances for a release and I didn't even touch publishing rights.


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Hard2Get
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Posted - 2012/01/14 :  15:03:35  Show profile  Send a private message  Visit Hard2Get's homepage
I didn't think traditional labels existed in Hardcore anymore. There is no need for it anymore because everyone can just as easily release their music themselves.



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Archefluxx
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Posted - 2012/01/14 :  15:24:26  Show profile  Send a private message  Visit Archefluxx's homepage
I think digital labels are more relevant nowadays


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cruelcore1
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Posted - 2012/01/16 :  19:49:15  Show profile  Send a private message  Visit cruelcore1's homepage
quote:
Originally posted by Hard2Get:
There is no need for it anymore because everyone can just as easily release their music themselves.


No good commercial success especially when u don't have enough cash to afford decent promotion. Thts why artists usually go free to promote themselves.



Sounds pretty expensive, silver. But thank you very much for information


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Edited by - cruelcore1 on 2012/01/16 19:53:18
silver
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Posted - 2012/01/17 :  04:11:42  Show profile View artist profile  Send a private message  Visit silver's homepage
quote:
Originally posted by cruelcore1:
Sounds pretty expensive, silver. But thank you very much for information



There are no pressing costs for digital releases, you still might have to get a remix and mastering but pressing is nothing basically.

Like other people said, if you want to run a digital label you need brandage, promotion and a following, for example Next Generation, RaverBaby or HTID are also brands, so anything released or promoted under those names has a certain level of standard the release should expect.

If you are an up and coming artist making your own label vs getting your track signed to an existing label is going to be far quicker for you to be noticed (and it turn get paid and everything that goes along with it), as it is basically saying artist X's music is good enough to be released on X label.


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DJ Lawlzy
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Canada
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Posted - 2012/01/17 :  04:35:54  Show profile  Send a private message  Visit DJ Lawlzy's homepage
Consider switching to releasing your own tracks on Bandcamp after you've got releases on known labels (if you're not comfortable starting with your own label/store). You'll keep nearly 100% of the profits. I really can't stress Bandcamp enough, especially to the DJs making little to no return from labels. Promotion is something you can (and have to) build yourself when you're not on a big label.

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NekoShuffle
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United Kingdom
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Posted - 2012/01/17 :  04:54:28  Show profile  Send a private message  Visit NekoShuffle's homepage
quote:
Originally posted by DJ Lawlzy:
Consider switching to releasing your own tracks on Bandcamp after you've got releases on known labels (if you're not comfortable starting with your own label/store). You'll keep nearly 100% of the profits. I really can't stress Bandcamp enough, especially to the DJs making little to no return from labels. Promotion is something you can (and have to) build yourself when you're not on a big label.



Bandcamp is the best. I second this.


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Lilark
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United States
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Posted - 2012/01/17 :  18:20:38  Show profile  Send a private message  Visit Lilark's homepage
quote:
Originally posted by Archefluxx:
Waste of time if you ask me. I much prefer managing the release of my own stuff




I agree. I don't think I'd like someone having certain rights over my music.


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