First writing gig - rep wants buyout

[keif]

I'm getting my first songwriting gig through a label who wants to produce a 5 song demo for a group and in turn bring it to a larger label. They want to know what I charge, and I have no idea what to charge since I have never been paid for writing; for the past few years I have written for various people in hopes they would get interest. Well, that day is here. I have to call him back today and I will bring up royalties, but I think he wants a buyout figure per song. Please help. Thanks!

[musicliner]

What music style is this? Buyouts are not that common in popular music genres; They are in the video game business. As a songwriter, you are entitled to songwriter's share of the publishing rights.

[mazz]

As far as what to charge, the question is: what are you comfortable charging to basically sign away a percentage of your rights to these songs and possibly the ability to promote them yourself forever (see below). How much is that worth to you and what is the potential of this band to actually get signed and generate any significant future income? If the songs are good and the band sucks, then that might drive a different fee, if any, than if the band is awesome and on the cusp of getting signed. Getting a bigger piece of the action for the future might be a better than a handful of cash today. Hard to say.

A buyout could mean "work for hire", which means they own the copyright and probably the publishing, but you NEVER sign away the writer's share of the Performance Royalties (paid by ASCAP, BMI, etc.), which is 50% of the entire performance royalty payment. This royalty is paid if a song is licensed for film/TV, for instance. It's a separate payment from a sync and master license fee, which is usually a one time fee, and is often split between the writer and the publisher, depending on what was negotiated with them.

It's possible to share in profits if an album or single(s) is released. This is more often referred to as "points" rather than royalties and the percentage can be negotiated.

You could choose to forgo a buyout payment in lieu of a larger share of possible profits in the future. Depending on how much of a gambler you are, this may or may not be a way to go. It depends on if the producer is open to this as well. Sometimes a bird in the hand, as they say.

You should probably do some research on this and get your terminology straight as well. There are several good books out there including one by Donald Passman that is written in layman's language for the most part. John Brahaney's book is excellent as well.

If this is a big deal, then seeing an attorney is the best bet. Of course, the attorney should be an entertainment attorney.

Good luck,

Mazz

[eliotpister1]

I'll make a blanket statement, based on a couple folks I know that were signed to exclusive writing deals with Nashville publishers... before I do, let me say that their situation was different than yours, because a big perk for them that they saw was that they'd be spinning in a circle of writers that would be fantastic for networking.

So here's the thing: I'd say whatever fee you could reasonably ask for (assuming this band isn't the next U2), would not change your life on its own. So say you ask for $1000-$5000/song? That's nothing but rent money at the end of the day. I'd agree with Mazz (as usual) - hold out for your backend royalties, and ABOVE ALL, make sure your writing credit is maintained. THAT'S where the gold is for you. I've heard of arrangements whereby the writer that is on a work-for-hire contract, and the only writing credit goes to the artist! This would happen when they're trying to create some musical credibility for an otherwise under-talented artist, so they use a phoney writing credit to get it - at the true writer's expense. This happens in Nashville quite commonly, apparently.

I would suggest you lobby hard for back-end royalties, rather than a little up-front buy-out, and definitely make sure you get the writing credit you deserve on the album. That part can't be negotiable (for all of your fellow songwriters' sake)!

Cheers, and oh by the way - congratulations on this big breakthrough for you!


Eliot Pister.

[fret17]

It's been my experience(though sparse), that if they are pressuring you to sign something and won't give you the time to have a music lawyer that you've hired to represent your interests look over the contract, then you may regret anything done hasty....if they are professional, they'll pay standard and play fair, but if you don't feel comfortable doing this all by yourself then You should seek out a good music lawyer to negotiate and go over your options with and for you....If they want you that bad they'll work with you , not pressure you into a corner....good luck!

[jonathanm]

Hey, Keif, let us know how this turned out, even if you stuck a deal you don't like. This is all about learning the ropes.

Thanks, man.