Glossary
The words in the contract, explained plainly.
If a term shows up in an agreement, a royalty statement or a distributor dashboard, it should be here.
50 terms
- 360 Deal
- An agreement in which a company shares in income beyond recorded music sales, such as touring, merchandise, endorsements or publishing. Which income streams are included varies by contract.
- Before You Sign Anything: The Questions to Ask →
- AI Disclosure
- Identifying when AI tools generated part of a work. Copyright registration in the U.S. expects AI-generated material to be identified, and some platforms have their own disclosure policies.
- How Independent Artists Can Use AI Responsibly →
- Advance
- Money paid to an artist before royalties are earned. Advances are often recoupable, meaning they are repaid from the artist’s future royalties before the artist receives further payments.
- Before You Sign Anything: The Questions to Ask →
- Brand Equity
- The recognition, trust and familiarity an artist builds over time that make new work easier to introduce.
- How to Build an Artist Brand →
- Catalog
- The full body of recordings and compositions an artist or company owns or controls. A well-documented catalog can continue to earn over many years.
- Independent Artist Revenue Streams →
- Composition (Musical Work)
- The underlying song: melody, lyrics and musical structure, separate from any particular recording of it. Compositions are the basis of publishing rights.
- Who Actually Owns a Song? →Master Rights vs. Publishing Rights →
- Conversion Rate
- The share of visitors who take a desired action, such as joining an email list or making a purchase. Calculated as actions divided by visitors.
- Music Marketing Without Begging for Streams →
- Copyright
- A form of legal protection for original works of authorship fixed in a tangible form. In the U.S., copyright exists upon fixation; registration with the Copyright Office provides additional legal benefits.
- Who Actually Owns a Song? →
- Cue Sheet
- A document listing the music used in a film or television production, including timing and rights holders. Performance rights organizations use cue sheets to distribute royalties.
- DSP (Digital Service Provider)
- A streaming or download platform that makes music available to listeners.
- What Does a Music Distributor Actually Do? →
- Direct-to-Fan
- Selling music, merchandise or access directly to listeners through a storefront the artist controls, keeping the customer relationship and contact information.
- How to Sell Music Directly to Fans →
- Distributor
- A company that delivers recordings and metadata to streaming and download platforms and passes back revenue and reporting. Distribution is delivery, not ownership.
- What Does a Music Distributor Actually Do? →
- EIN (Employer Identification Number)
- A federal tax identification number issued by the IRS to identify a business entity.
- Should an Independent Artist Form an LLC? →
- EPK (Electronic Press Kit)
- A single place containing an artist’s bio, photos, music, videos, notable facts and contact information for press, promoters and partners.
- How to Build an Artist Brand →
- Email List
- A list of people who have given permission for an artist to contact them by email. One of the most durable forms of owned audience.
- Streaming Audience vs. Owned Audience →
- Exclusive License
- Permission to use a right that only the licensee may exercise, often excluding even the owner, for the term and territory stated.
- Before You Sign Anything: The Questions to Ask →
- IPI Number
- An identifier assigned to songwriters and publishers within the collection society system, used to match registrations and payments.
- Metadata: Why It Decides Whether You Get Paid →
- ISRC
- International Standard Recording Code. A unique identifier for a specific sound recording. Each distinct version of a recording should have its own ISRC.
- Metadata: Why It Decides Whether You Get Paid →
- ISWC
- International Standard Musical Work Code. A unique identifier for a composition, generally assigned through collection society registration.
- Metadata: Why It Decides Whether You Get Paid →
- Interactive Streaming
- On-demand streaming where the listener chooses what to play. Interactive streams generally generate recording revenue plus publishing performance and mechanical royalties.
- How Music Royalties Actually Work →
- LLC (Limited Liability Company)
- A business structure created under state law that is generally intended to separate business liabilities from personal assets when operated properly.
- Should an Independent Artist Form an LLC? →
- Label Services
- Services such as marketing, playlist pitching, funding or project management offered by a distributor or company, sometimes in exchange for a revenue share or other terms.
- What Does a Music Distributor Actually Do? →
- Master Recording
- The original, final recording of a performance from which copies are made. “Owning your masters” means owning the copyright in your recordings.
- Master Rights vs. Publishing Rights →
- Master Use License
- Permission from the owner of a recording to use that specific recording, for example in film, TV, ads or games. A sync license for the composition is usually needed too.
- Master Rights vs. Publishing Rights →
- Mechanical Royalty
- A royalty owed to songwriters and publishers when a composition is reproduced, including in downloads, physical copies and interactive streams.
- How Music Royalties Actually Work →
- Metadata
- Information attached to music — titles, names, credits, codes and splits — that connects each use of the music to the people owed money.
- Metadata: Why It Decides Whether You Get Paid →
- Neighboring Rights
- Rights related to copyright that, in many countries, compensate performers and recording owners when recordings are publicly performed or broadcast. Rules differ by country.
- Non-Exclusive License
- Permission to use a right that the owner may also grant to others at the same time.
- Non-Interactive Streaming
- Radio-style digital streaming where the listener does not choose specific songs on demand. In the U.S., certain digital performances of recordings on these services generate royalties collected by SoundExchange.
- How Music Royalties Actually Work →
- Owned Audience
- People an artist can reach directly without a platform’s permission, such as email subscribers or customers on the artist’s own site.
- Streaming Audience vs. Owned Audience →
- PRO (Performance Rights Organization)
- An organization that licenses public performance of compositions and distributes performance royalties to writers and publishers. U.S. examples include ASCAP, BMI, SESAC and GMR.
- How Music Royalties Actually Work →
- Performance Royalty
- A royalty paid to songwriters and publishers when a composition is publicly performed, including on radio, streaming services, venues and businesses. Collected by performance rights organizations.
- How Music Royalties Actually Work →
- Pre-Save
- A link that lets listeners add an upcoming release to their streaming library automatically when it becomes available.
- The Independent Artist 90-Day Release Plan →
- Publishing
- The business of owning, licensing and collecting income from compositions. Publishing rights relate to the song, not a specific recording.
- Master Rights vs. Publishing Rights →
- Publishing Administrator
- A company that registers compositions and collects publishing royalties on a writer’s behalf for a fee, typically without taking ownership of the songs.
- Master Rights vs. Publishing Rights →
- Recoupment
- The process of a company recovering advances and certain costs from an artist’s royalties before the artist receives further payment. Which costs are recoupable depends on the contract.
- Before You Sign Anything: The Questions to Ask →
- Release Plan
- A timeline that covers preparation, launch and extension of a release, including paperwork, delivery, content, outreach and measurement.
- The Independent Artist 90-Day Release Plan →
- Reversion
- The return of rights to the original owner after a set period or under specified conditions in an agreement.
- Before You Sign Anything: The Questions to Ask →
- Right of Publicity
- A person’s right to control commercial use of their name, image, likeness and, in some jurisdictions, voice. Protections vary by state and country.
- How Independent Artists Can Use AI Responsibly →
- Royalty Statement
- A periodic report showing how much a rights holder earned, from which sources, and what deductions were applied.
- Sound Recording
- A copyrightable work consisting of a series of recorded sounds, such as a specific recorded performance of a song. Separate from the composition.
- Who Actually Owns a Song? →
- SoundExchange
- The U.S. organization designated to collect and distribute royalties for certain digital performances of sound recordings, such as on satellite and internet radio, to rights owners and artists.
- How Music Royalties Actually Work →
- Split Sheet
- A signed document recording each contributor’s ownership share of a composition (and sometimes the recording), ideally completed when the song is created.
- Who Actually Owns a Song? →
- Sync License
- Permission to pair a composition with visual media such as film, TV, ads or games. A master use license is usually also needed for the recording.
- Master Rights vs. Publishing Rights →
- Term
- How long an agreement lasts. A term may be a fixed period, a number of releases, or tied to conditions such as recoupment.
- Before You Sign Anything: The Questions to Ask →
- Territory
- The geographic area in which rights granted by an agreement apply.
- Before You Sign Anything: The Questions to Ask →
- The MLC (Mechanical Licensing Collective)
- The U.S. organization that administers the blanket mechanical license for digital audio services under the Music Modernization Act, collecting and distributing digital mechanical royalties.
- How Music Royalties Actually Work →
- UPC
- Universal Product Code. A barcode number that identifies a release product such as a single, EP or album.
- Metadata: Why It Decides Whether You Get Paid →
- Unclaimed (Unmatched) Royalties
- Royalties that a collection organization cannot match to a rights holder, usually because of missing or inconsistent metadata or registrations.
- Metadata: Why It Decides Whether You Get Paid →
- Work Made for Hire
- Under U.S. copyright law, a work created by an employee within the scope of employment, or certain specially commissioned works under a signed written agreement. The employer or commissioning party is treated as the author.
- Who Actually Owns a Song? →
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