What are music royalties?

Music royalties are recurrent payments that a music rights holder receives periodically from royalty distributors as compensation for the use of their copyrighted musical creations. The more a song is used over a specific period, the more royalties it can generate.

Royalties are due by anyone who uses music commercially - including streaming platforms, radio stations, TV broadcasters, film producers, live venues, shops and even restaurants. These businesses pay license fees to the rights holders directly or to the companies that represent them to play or broadcast their music to the public.

Depending on the type of use of the music and on the type of music rights involved, there are different categories of royalties generated for the original rights holders. If you want to learn more about music royalties, check our dedicated article on the blog.

How do royalties work on ANote Music?

When you buy shares in a music catalogue on our platform, you acquire the right to receive a percentage of the future royalty income (royalty interests) that one of the rights holders of the songs included in the catalogue (for example, the songwriter, artist, record label, or music publisher) is paid periodically for the use of their works.

When a catalogue is listed on ANote Music, the original rights holder determines the specific set of royalty interests that will be listed. These may include, but are not limited to:

• Master recording royalties
• Mechanical royalties
• Neighboring rights royalties
• Public performance royalties
• Sync licensing fees

The rights owner may choose to list all types of royalty interests or only specific ones. For example, if a rights owner lists only royalty interests from streaming, you will receive earnings from streaming platforms but not from public performance or sync licensing fees.

For more details and questions about music royalties, contact our team at the email address support@anotemusic.com.