What is a SoundExchange letter of direction?

A SoundExchange Featured Artist Letter of Direction (LOD) is a document (found on the How To Guides & Useful Links page here) by which a Featured Artist directs SoundExchange to pay a portion of the Featured Artist's sound recording performance royalties to a participant involved in the creative process producers, ...

Do producers get recording royalties?

Most times producers receive a percentage of around 3 to 5% of the record's sale price or 20 to 25% of the artist's share. This can vary depending on the producer and on the recording artist. If the artist is signed to an indie label or is independent, the producer usually takes a higher percentage.

Is the producer entitled to a percentage of SoundExchange revenue?

The way this calculation is typically done is by expressing the producer royalty as a percentage of the artist revenue. In our example above, the producer is entitled to 4 points, or 4% of the artist's revenues from record sales.

How do I collect SoundExchange royalties?

How do I collect Digital Performance Royalties from SoundExchange? You should sign up directly with SoundExchange as an artist, register your sound recordings, and claim the Featured Artist Share (and Non-featured Artist Share if applicable). SoundExchange will pay the Featured Artist share directly to you.

How do producers get paid royalties?

Usually, a producer is paid by the hour, by the number of master recordings completed, or a flat fee. He or she probably will ask for a royalty from the sale of the record as well. If you agree to such an arrangement, you'll have to account to the producer and make regular royalty payments, based on record sales.

Do producers get paid from SoundExchange?

SoundExchange collects performance royalties for Sound Recording Copyright Owners and Featured Artists. SoundExchange will only pay performance royalties to creative participants (producers, mixers, or engineers) when a direct registrant submits a SoundExchange Letter of Direction (LOD).

Does SoundExchange pay non-featured artists?

SoundExchange collects the royalties and then passes them on to artists and rights owners. Under the law, 45 percent of performance royalties are paid directly to the featured artists on a recording, and 5 percent are paid to a fund for non-featured artists.

How much does SoundExchange pay out?

Under the law, 45 percent of performance royalties are paid directly to the featured artists on a recording, and 5 percent are paid to a fund for non-featured artists. The other 50 percent of the performance royalties are paid to the rights owner of the sound recording.

Get SoundExchange Letter of Direction

Ange to collect and distribute royalties on their behalf, SoundExchange permits such featured artists to designate that a percentage of the royalties due them from SoundExchange relating to certain sound recordings be remitted to creative personnel credited or recognized publicly for the commercially released sound recording on which the featured artist performs or other usual and customary royalty participants in such sound recording. Please note that a performer need not execute this Letter of.

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