Navigating the Maze of Record Deals: A Guide for Independent Music Artists?

As someone managing an indie band (Tonight’s Sunshine), I’ve been in situations where we had to seriously weigh the pros and cons of record deals. It’s not as simple as “sign or don’t sign.” There’s a lot of grey area, and every artist’s situation is different.

Record deals can open doors—but they can also lock you into something that doesn’t work for your long-term goals. If you’re a DIY artist or managing one, understanding your options is critical.

Vinyl records in a music shop

Types of Record Deals (And What They Really Mean)

There’s no one-size-fits-all deal anymore. These are the most common types we’ve looked into for Tonight’s Sunshine and artists I’ve worked with:

Major Label Deals

Think: Sony, Universal, or Warner. These deals come with big budgets, marketing machines, and access to massive distribution networks. But here’s the catch—you usually give up a lot of creative control and ownership. Many artists end up in 360 deals, where the label takes a cut of everything—merch, touring, brand deals, and more.

Unless you already have serious leverage (huge fanbase, viral success, etc.), these deals tend to benefit the label more than the artist.

Independent Label Deals

These are offered by smaller labels that often focus on niche genres or regional scenes. They might not have the same budget as majors, but they typically allow for more creative freedom and better royalty splits. We’ve had small indies reach out to Tonight’s Sunshine, and some of them offered really artist-friendly terms—but we still had to look closely at ownership clauses and contract length.

Distribution Deals

This one’s become really popular, especially with companies like Symphonic, The Orchard, and EMPIRE. You stay independent, but you get help getting your music into stores, playlists, and platforms. You keep your masters, and you call the shots creatively. But keep in mind: these deals usually don’t come with much (or any) marketing unless you pay extra.

We’ve considered this route seriously—it’s great for bands that already have a plan and just need help getting their music out there in a bigger way.

Licensing Deals

This is when you license a track to a company, film, commercial, or game. You retain ownership, and in many cases, you can license the same song multiple times. It’s not a traditional “record deal,” but it’s a solid income stream—especially if your music is sync-friendly.

What You Should Consider Before Signing Anything

When we first started getting interest from labels for Tonight’s Sunshine, I realized quickly that it’s easy to get excited—but harder to make the right decision without slowing down and asking the right questions.

Here are a few things we’ve learned to look for:

• Creative control: Can you still decide how your songs sound? Your visuals? Your release timeline?

• Ownership: Will you still own your masters? If not, for how long? What happens if you leave the label?

• Royalties: How much of each stream or sale actually comes back to you?

• Marketing and promo support: What kind of actual budget or plan does the label have to promote your releases?

• Contract length: Are you tied up for five albums? One year? Can you leave if things aren’t working?

How to Choose the Right Deal for You

Here’s what I’d recommend—whether you’re just starting out or you’ve got traction:

Know Your Goals

Do you want to stay independent? Are you hoping for a big tour push? Do you want help building a team? For Tonight’s Sunshine, our goal was to grow our fanbase organically while keeping ownership of our music. That shaped everything we considered.

Do Your Homework

Learn the basics of each deal type and read real-world examples. Don’t just Google it—talk to other artists, managers, and producers. You’ll learn a lot from people who’ve already been through it.

Get Legal Help

This is so important. Have an entertainment lawyer look over any contract before you sign. A good lawyer will explain the fine print, spot red flags, and help you negotiate terms that actually benefit you.

Negotiate

Almost every contract is negotiable. If something doesn’t feel right—ask for a change. If the label pushes back too hard, that’s a red flag in itself.

Final Thoughts

There’s no perfect deal, but there is a deal that’s right for you. Whether you’re an artist or a manager, take your time. The music industry moves fast—but signing a bad contract can lock you in for years.

For Tonight’s Sunshine, we’re not rushing into anything. We’ve built a solid foundation by owning our music, growing our fanbase, and staying connected with people who believe in what we’re doing. And when the right opportunity comes along, we’ll be ready for it—with eyes wide open.

Navigating the Maze of Record Deals isn’t just about knowing your options—it’s about knowing yourself, your value, and your vision as an artist. When you lead with that, the right deal becomes a lot clearer.