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The Music Business Section -
Performing Rights Organizations
Performance Rights Organizations or (PROs) were created to ensure that songwriters, composers, and publishers receive royalties due them for the public performance of their songs. Any public performance including television, elevator music, internet, night clubs, restaurants, juke boxes, live concerts, etc., of their copyrighted work, entitles the writer to receive royalties from these performances. A hit song may be used in thousands of venues and therefore thousands of requests must be granted to use it. It would be impossible for an artist to keep up with these requests but a PRO is equipped to deal with them. PROs also have monitoring technology in place to ensure every member receives the royalties due them.
The three main PROs in the United States are BMI (Broadcast Music, Inc.), ASCAP (American Society of Composers, Authors, and Publishers), and SESAC (Society of European Stage Authors and Composers). Each of these works basically the same way but with a few slight differences. Each boasts thousands of members and many great artists and performers. For instance BMI has over 350,000 members including Jimmy Buffet and The Beatles. ASCAP also has over 300,000 members including Elvis Costello, Jay-Z, and Alan Jackson. SESAC has Garth Brooks and Bob Dylan in their stable.
Before a songwriter, composer, or publisher can join one of these organizations they must have had a song published, commercially recorded, or performed publicly. Any artist who has a song that has been published and copyrighted should join one of the three major PROs, not only for royalty collection but also for other benefits such as seminars, collaboration with other artists, and credibility. The costs to join these PROs are minimal but the percentage paid for royalty recovery can vary greatly. Be sure to investigate each and have a lawyer read over the contracts before signing.
There are other rights to a song that may be purchased and in which royalties are due. They include mechanical rights and synchronization rights. Mechanical rights are given for the commercial duplication of songs on CDs and synchronization rights are given for music used along with still pictures and videos such as on the internet and television. None of the above mentioned PROs handles these types of licenses but others such as the Harry Fox Agency do.
The internet has opened a Pandora’s Box of problems for the PROs and the artists who write, record, and perform the music. Illegal downloads threatens profits of major record labels as well as the writers, composers, publishers, and subsequently the PROs. It is the PROs that are leading the fight against illegal downloads and distribution of the songs belonging to their members. Joining a PRO will ensure the songwriter that their best interests are taken into consideration and that every effort will be made to collect royalties whenever they are due and from whatever source. Besides, that’s how they stay in business.
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