When your songwriting career reaches the point the point where collecting performance royalties are in your near future, one of the initial decisions you have to make is with which performing rights organization (PRO) you should affiliate with. In the U.S., you have three PRO choices and guess what? You have to pick one and only one. No hedging! So which one should you affiliate with? It comes down to a personal decision, sometimes based on your gut, your friends’ own experiences, or the proverbial random throw of a dart. There are marked differences between them that can and should play into your decision so let’s explore, shall we?
The American Society of Composer, Authors and Publishers (ASCAP) is the oldest of the three PROs, being founded in 1914. More than 470,000 composers, songwriters & publishers call ASCAP home. One unique thing about ASCAP as compared to the others is that it is member-controlled as its Board of Directors is actually elected by its members.
Membership: $50 to affiliate as a writer / $50 to affiliate as a publisher
Distributions: Quarterly for domestic and international distributions.
Publisher’s Share: You have to either affiliate as an ASCAP publisher or have a publishing or administration agreement with another ASCAP publisher to collect the publisher’s share of performance royalties.
Note: If you are a songwriter who has potential income from television or film placements, ASCAP recently relegated “background vocal” usages to the same pay rate as “background instrumental.” Previously, background vocal usages paid a higher rate than instrumental music. Now there the same rate which could significantly affect your income if you are placing vocal songs in TV and film.
Radio executives founded Broadcast Music, Inc. in 1939. Its membership today boasts more than 600,000 songwriters, composers and publishers.
Membership: Free to affiliate as a writer / $150 to affiliate as a publisher as an individual ($250 if a business entity)
Distributions: Quarterly for domestic and international distributions.
Publisher’s Share: Unlike ASCAP, BMI will pay you your publisher’s share of performance royalties without you having to also affiliate as a publisher, most likely due to their higher fee associated with publisher affiliation.
SESAC was originally founded in 1930 to represent European composers here in the United States. Today, SESAC has grown as a full service PRO representing songwriters and publishers of all kinds. What makes SESAC unique as compared to ASCAP & BMI is that songwriters and publishers have to be invited to join. ASCAP & BMI are open to all who apply (after meeting basic requirements). This selective process not only keeps their roster much smaller but also, as SESAC claims, leads to a more personal relationship between the writers/publishers and SESAC.
Membership: Free to affiliate as a writer and/or publisher (again, invite only)
Distributions: Quarterly for domestic & international distributions. However, if you have radio performance royalties, you can now enroll to be paid monthly for radio royalties.
Publisher’s Share: SESAC will collect your publisher’s share of performance royalties and forward to your writer’s account; no need for a separate publisher affiliation.
Choices, choices, choices….
Okay, those are the facts but which one should you choose? From a royalty calculation perspective, generally the rates are in roughly the same ballpark. The big difference really being that if you are a songwriter with vocal songs being placed on TV, you will have a lower royalty rate with ASCAP as compared to BMI & SESAC. And if you have a lot of performances on radio, SESAC’s monthly radio distribution is nice way to have a steadier income stream versus the regular 4 times a year. Ultimately, it sometimes comes down to the personal relationship you will have with a given PRO. If there is royalty discrepancy, you want to know that whomever you call or email at a PRO will work on your behalf to resolve things in an efficient manner. I understand that it can seem like a crystal ball. I’d advise speaking with your writer and publisher friends to gather their own feelings and experiences. You’ll get plenty of recommendations as well as a healthy dose of bad experiences with each of the PROs. A fruitful relationship with a PRO isn’t just about the mundane collection of royalties but they can be a resource for your career. Both ASCAP & BMI have excellent workshops, expos and conventions, and the personal relationship with a SESAC rep can provide individual guidance.
So certainly do your research and homework with regards to the factual differences but call or meet with a representative from each PRO for the old “gut check.” Whatever you decide is the best fit for you, definitely do take advantage of all that your new PRO has to offer in your career development. Don’t just think of your PRO as simply a royalty collector!
by Marc Caruso