By Alwyn Thomas,
commercial property specialist at award winning Harding Evans Solicitors.

Finding a Manager

One of your first problems will be finding a manager. There will be plenty of people out there prepared to act as your “manager” for a share of your income and a controlling interest in you as an artist. Great care should be taken in appointing your manager. The person or company needs to be experienced and trustworthy and have the necessary contacts in the music industry to move your career forward at a pace that is acceptable to you.

Your manager’s role will be to advise on the selection of your material, publicity arrangements, your wardrobe and image and the general development and presentation of your talent. The manager will expect to receive a fee for his work plus expenses normally in the rage of 15-25% of your earnings. These arrangements will be set out in a legally binding contract called an Artist’s Management Agreement. These contracts typically run to some 20 pages or so. The manager’s work will, hopefully, assist you in obtaining that elusive record deal…..

The Recording Contract

Your Recording Contract will be lengthy and complex, governing your relationship with the record company. In essence, the contract will ensure your commitment to record your material and the company’s obligation to pay you royalties.

The contract may provide for one single release or for a number of albums. However, you will find that if your first record is a flop the record company will end the relationship. The ability for them to do so will be set out in the contract.

There is no standard royalty rate. Contracts which I have been involved in have varied between 7% and 20% of the wholesale price of the record depending on your bargaining power. You may be able to negotiate an advance against your royalties at the outset which will be recoupable by the record company from the royalty payable on sales income.

Music Publishing Agreement

If you write your own material you will require a Music Publishing Agreement to safeguard your income from the exploitation of your copyright in the material. This income will derive from the actual recording of the material by the record company, public performances of the material, music videos, etc. Your publisher will collect this income for you via membership of various royalty collection agencies. From my experience he will expect 30% of this income as a fee.

Producer Agreements

You will need a “hit producer” to control your recording project and to create a commercially acceptable sound. The Producer Agreement will provide for the number of tracks to be produced, timescale for the recording, a budget for the process and set out exactly what the producer is to deliver. The record company may well pay the up-front production costs but will seek to recoup these costs from the royalties payable to you.

There may be other contracts necessary, depending on the circumstances. These contracts are not for the faint-hearted and expert advice from an experienced lawyer is always necessary to avoid locking yourself into a contract you will later regret (ask George Michael about it!)