Music royalty companies play a vital role in safeguarding the income of musicians, songwriters, and composers by collecting and distributing royalties whenever their music is played on different media outlets.

This includes performances on radio, television, and Songs in the store public spaces. Artists earn mechanical royalties when their music is sold on platforms like iTunes or streamed on services like Spotify. Sync royalties are collected when a song is featured in media like films, commercials, or TV shows.

In the U.S., music royalty companies like ASCAP, BMI, and SESAC are well-known, each of which has a slightly different focus and membership. BMI and ASCAP are open to nearly all artists while SESAC is selective and often invites artists based on genre or popularity.

These companies are paid by businesses, venues, and broadcasters that play copyrighted music in their operations. They then pay a portion of these earnings back to their members, allowing artists to earn a steady income for their work.

In short, music royalty companies provide a reliable income stream, so artists can continue creating music. These organizations are vital for protecting artists’ financial rights in an industry where earnings are sometimes inconsistent.