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A music distribution deal is a contract between a record label and a music distributor. The distributor will then distribute the music to various retailers, such as iTunes, Spotify, and Amazon who will sell the music to consumers.
Same as before, digital distributors might take a percentage of every sale before the funds reach your bank account, but this percentage is usually under 15%. Usually, your record label would take a hefty cut of your earnings at this point, but the benefit of being independent is that you get to keep everything.
Check out your record collection?many albums list the distributor in the liner notes. Independent record stores can also be a great resource?get someone on the staff to tell you which distributors they buy from and what they think of them. Once you have made your shortlist of ideal distributors, start making calls.
Ideally, a distribution deal will include global distribution of your music, data & analytics to use for marketing and setting up tours, artist funding, and some other basic label services. For those who don't like the major record label deal, distribution deals are tasteful.
Some companies forgo an initial upfront fee so they can take a portion of all money made when fans stream or purchase songs or complete projects. These percentages are usually around 15%, though that's not always the case.