The Role of Music Publishing in Collecting Royalties

As a songwriter, understanding how to collect royalties is crucial for ensuring you’re compensated for your work. Music publishing plays a significant role in this process, handling tasks like licensing, promoting compositions, and collecting various types of royalties. One of the primary functions of music publishing is to collect royalties on behalf of songwriters and composers. There are two primary types of royalties in music publishing: mechanical royalties and performance royalties.

Mechanical Royalties

Mechanical royalties are earned when a song is reproduced or distributed, such as when a song is streamed or downloaded. These royalties are paid by record labels, digital music services, and other entities that reproduce and distribute music. In the United States, the statutory mechanical royalty rate for physical products and digital downloads is set by the Copyright Royalty Board (CRB). As of January 1, 2025, this rate increased to 12.7 cents per song or 2.45 cents per minute of playing time, whichever is greater.   

Performance Royalties

Performance royalties are earned when a song is performed in public, such as on radio or television, in a live concert, or in a film or TV show. These royalties are collected by performing rights organizations (PROs) such as ASCAP, BMI, and SESAC, which collect fees from broadcasters, venues, and other users of music. In the United States, PROs collect and distribute performance royalties to songwriters and publishers.

Licensing and Promotion

In addition to collecting royalties, music publishers also license music for use in various media. This includes licensing music for use in films, TV shows, commercials, video games, and other media. Music publishers also work to promote their catalog of music and secure placements for their songs.

The Difference Between a Song’s Recording and Composition

It’s important to note that there is a difference between a song’s recording and its composition. The recording is the actual performance or recording of a song, while the composition refers to the underlying music and lyrics. For example, a song can be recorded by multiple artists or in different styles, but the composition remains the same. The composition is the creative work of the songwriter or composer and is protected by copyright law.

Copyright law protects the composition of a song, including the melody, lyrics, and arrangement, while the recording of a song is protected by a separate copyright. This means that a songwriter or composer can own the copyright to the composition of a song, while the artist or record label owns the copyright to the recording of the song.

In conclusion, music publishing is a crucial part of the music industry. It allows songwriters and composers to earn royalties from their creative work and ensures that their music is properly licensed and promoted. Understanding the difference between a song’s recording and its composition is also important for those in the music industry, as it affects how royalties are collected and distributed. By working with a reputable music publisher, songwriters and composers can maximize their earning potential and protect their creative work.