It’s true that streaming alone doesn't pay much. But for an independent artist to build a real career, you have to exploit all the different ways to make money from your music. On this episode, I’m sitting down with Dae Bogan from the Mechanical Licensing Collective (MLC) to break down the complex world of music business and royalties.

Most artists only think about streaming and sales, but there is so much more money to collect on the back end, and it’s likely that some of it is already owed to you. We dive into why artists miss out on key income streams, the difference between the two major music copyrights (sound recording and musical work/publishing), how platforms like TikTok and Instagram pay out, and the difference between blanket and direct licensing. Dae also explains the MLC’s groundbreaking Distributor Unmatched Recordings Portal (DURP), which helps artists finally collect royalties sitting in the industry’s "black box".

If you’re a serious artist ready to collect all the money your music is earning, this episode is a must-watch.

It’s critical to understand that your music has two separate copyrights: the sound recording (the actual track/audio file) and the musical work (the composition/publishing).

• Sound Recording Royalties flow through your distributor and then to you (or your label).

• Musical Work/Publishing Royalties are split into two types: Performance Royalties (collected by PROs like ASCAP/BMI) and Mechanical Royalties (collected by the MLC and companies like Harry Fox Agency).

• If you do not have a record label, you are your own record label. If you do not have a publisher, you are your own publisher.

To get paid fully, you must register your music with the right organizations. The MLC is free to join and takes no commission. They collect blanket mechanical royalties from interactive streaming services like Spotify and Apple Music, and 100% of what they collect is paid out to you.

You must also consider other organizations for specific royalty types:

• Performance Royalties: Register with a PRO (ASCAP, BMI, SESAC, GMR).

• Direct Mechanical Licenses: Register with Harry Fox Agency (HFA) and Music Reports Inc. (MRI). This is for mechanical royalties from voluntary/direct licenses associated with services like TikTok, Facebook, and gaming apps.

• Digital Radio Royalties: Register with SoundExchange for digital performance royalties from non-interactive streams like Pandora, iHeartRadio, and Sirius XM.

Whether you need to acquire a separate license for a cover song depends on the platform, not the song itself.

• If you are only distributing to major streaming services (Spotify, Apple Music, Tidal, etc.), you do not need a cover song license because they operate under the blanket license.

• If you are creating a music video (audio-visual content) or distributing to platforms that use direct licenses, you do need to get a license.

Featured Guest Links:

• The MLC (The Mechanical Licensing Collective): themlc.com

• MLC DURP Partners (Find your distributor here): ⁠https://www.themlc.com/durp⁠

• Dae Bogan’s Website (Free E-book: DIY Musician Starter Guide to Being Your Own Label and Publisher): daeboganmusic.com

Connect with Music Makin Cents Podcast:

• Website: mmcpod.com