Music publishing is the business of managing and monetizing the rights of musical compositions, ensuring songwriters are compensated when their work is used. For those with a passion for music and a strategic mindset, establishing a publishing entity can be a rewarding venture. This guide provides a pathway for aspiring publishers, detailing the knowledge, business requirements, and operational strategies necessary to build a successful company.
Understanding the Role of a Music Publisher
A music publisher’s fundamental job is to act as the business partner for a songwriter. Their primary responsibility is to manage the songwriter’s compositions—the melody and lyrics—not the specific sound recording of a song. This distinction separates a publisher from a record label, which focuses on marketing a particular recorded version. Publishers work to find opportunities for the compositions they represent, ensuring the songwriter gets paid.
Publishers generate income by collecting royalties on behalf of the songwriter. Performance royalties are earned whenever a song is played publicly, such as on the radio, in a restaurant, on a streaming service, or during a live concert. The publisher collects these fees from Performing Rights Organizations (PROs) and distributes the writer’s share.
Mechanical royalties are generated from the reproduction of a composition. This includes every time a song is streamed online, downloaded from a digital store, or sold on a physical format like a vinyl record or CD. The publisher is responsible for licensing these reproductions and collecting the resulting fees.
A significant revenue source comes from synchronization royalties, earned when a composition is paired with visual media. A publisher actively “pitches” songs to be used in movies, television shows, commercials, and video games. Securing a “sync” placement can be highly lucrative and provide valuable exposure for a songwriter’s work.
Essential Skills for Music Publishing
Success in music publishing requires a blend of creative sensibility and business knowledge. A primary skill is having a good “ear” for music and the ability to identify songs with commercial potential. This A&R (Artists & Repertoire) skill involves recognizing strong melodies, memorable lyrics, and compositions that could fit well in various media.
Strong networking and communication abilities are indispensable. Publishers constantly build and maintain relationships with songwriters, record label executives, music supervisors, and brand managers. The ability to effectively pitch songs and negotiate deals relies on a robust professional network. This means attending industry events and building trust within the creative community.
Business acumen is necessary for managing the financial aspects of the company. This includes tracking royalty statements, managing expenses, and understanding profit and loss. A publisher must be organized to ensure that all income is collected and that songwriters are paid accurately and on time.
A foundational understanding of music copyright law and contracts is a prerequisite. Publishers deal with complex legal agreements that define the ownership and administration of songs. Knowing the basics of copyright and licensing terms protects both the publisher and the songwriter and safeguards the value of the musical compositions.
Establishing Your Publishing Company
The first practical step is to create a distinct business entity, beginning with choosing a unique name for your company. The name should be memorable and professional. Before finalizing, conduct a thorough search to ensure the name is not already in use by another publisher to avoid legal conflicts.
Once you have a name, forming a legal business structure is the next step. Many publishers choose to operate as a Limited Liability Company (LLC). An LLC provides liability protection, meaning your personal assets are shielded from business debts and lawsuits.
A key administrative step is affiliating your new company with a Performing Rights Organization (PRO). In the United States, the major PROs are ASCAP, BMI, and SESAC. You must register your company as a publisher with one of these organizations. If you are a songwriter, you will affiliate your publishing entity with the same PRO you use as a writer.
Finally, establishing a dedicated business bank account is a non-negotiable step. All income generated from royalties and licensing fees should be deposited into this account, and all business-related expenses paid from it. This practice keeps your company’s finances separate from your personal finances, which is essential for accurate bookkeeping, tax reporting, and maintaining the legal protections offered by your LLC structure.
Building Your Song Catalog
With the business structure in place, the focus shifts to acquiring songs. Building a catalog begins with discovering and signing talented songwriters. This process involves immersing yourself in the music scene by attending songwriter showcases, open mic nights, and industry networking events to identify writers with commercial potential.
When you find a songwriter you want to work with, you will formalize the partnership through a publishing agreement. A co-publishing agreement is frequent, where the songwriter and the publisher co-own the copyright to the songs, typically in a 75/25 split in favor of the writer (the writer gets their 50% writer’s share plus 25% of the publisher’s share).
Another common arrangement is an administration deal. In this scenario, the songwriter retains full ownership of their copyrights, and the publisher is hired to handle the administrative tasks of registering songs and collecting royalties for a percentage of the income, usually between 10-20%. These agreements are often preferred by established writers who don’t need creative services but require help with the complex back-end work.
Actively Monetizing Your Catalog
Once you have songs in your catalog, the ongoing work of monetization begins, divided into administrative and creative functions. The administrative side involves meticulous record-keeping. Every song must be correctly registered with all relevant collection societies, including your affiliated PRO and organizations like The Mechanical Licensing Collective (The MLC), to ensure royalties flow back to your company.
The creative function is where you actively generate income by pitching your catalog for licensing opportunities. This involves sending songs to music supervisors who select music for films, TV shows, and commercials. Building relationships with these supervisors is a key part of the job to secure lucrative synchronization licenses.
Effective monetization requires a deep knowledge of your catalog and an understanding of what music supervisors are looking for. You need to be able to quickly find and pitch the right song for a specific scene or campaign. This combination of diligent administration and creative pitching is what drives the revenue for a music publishing company and delivers value to the songwriters you represent.