New Hampshire Royalty Split Agreement
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How to fill out Royalty Split Agreement?
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FAQ
Royalty splits when a song gets recorded and money starts rolling in2026 The publisher gets to first recoup the money they have paid a writer for advances and demo costs (for all songs, not just the one that got recorded). Therefore, they split royalties according to the contract.
In each accounting month, the label will receive their share of the revenue from the digital service provider (Spotify, Napster, Tidal, etc.). This revenue amount is from the number of streams played multiplied by the revenue per stream. This amount is then split out among the artists that were played in that duration.
What is a standard royalty contract? Usually, a royalty contract is signed when the licensor (innovator) wants to license the idea's intellectual property rights to a licensee to use the IP. It is a legally binding commitment, and it provides the licensee all such rights to use the licensor's intellectual property.
Specifically, there are four types of royalties (1) Mechanical Royalties, (2) Performance Royalties, (3) Synch Royalties, and (4) Print Music Royalties. To understand, royalties it is important to remember that every song has two copyrights associated with it.
Performance royalties are typically split into two equal halves: a writer share (50%) and a publisher share (50%). Performing Rights Organizations (PROs) and Collective Management Organizations (CMOs) collect and account for each of these revenue sources separately.
Oftentimes many producers work on a single track. Typically, each producer would split up the total producer percentage (if there's any other than the up front fee). So if the producer's backend is 20% for an indie release and there are 3 producers and they decide to split this equally, then each gets about 6.66%.
A distributor collects royalties directly from stores/streaming platforms on behalf of labels. An artist's label will then collect the recording royalties and distribute them to the artist. If an artist is not with a label, the artist will collect the recording royalties directly from the distributor.
A simple example would be a 50/50 split between the individual who wrote the lyrics and the individual who wrote the music. Some bands may split ownership equally i.e. if there are 4 members, then each member gets 25%. A producer may ask 10-50% of your publishing of a song in lieu of a producer fee.
A split sheet is an agreement executed by contributors to a song, detailing the personal information of the contributors and stating their individual ownership percentage in the song. It is a document primarily aimed at specifying each producer, songwriter, and performer's percentage stake in the song.
Other co-writers take it song by song and split up their ownership in a composition according to the percentage of the song they wrote. For instance, one writer might've done the melody, verse lyrics, and chorus lyrics for a song, but the other writer contributed a bridge section.
