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"SESAC" putting the kibosh on the Music Modernization Act
Old 9th September 2019
  #31
Here for the gear
Quote:
Originally Posted by Etch-A-Sketch View Post
Hi Evita...

From what you described I think you might be looking at the purpose of the Harry Fox Agency incorrectly.

I noticed you are from outside the US. The way this whole thing functions outside the US can be very different from the way it functions inside the US... so that might be where the discrepancy in understanding is.

the Harry Fox Agency only has a legal right to represent songs for PHYSICAL sale. They collect a mechanical (not synchronization) license from the record label that made the physical product.

Since you do not have a record deal with a label, it doesn't make sense for you to have an account with HFA for your original works... otherwise you would have to pay HFA $0.095 per song per physical album you sold as your record label, only to have them pay you that mechanical royalty money back as you are your own publisher.

When doing cover songs, you need to pay HFA the $0.095/song per album mechanical royalty for each copy of each cover song you sell, so they can forward that money over to each song's original publisher. When doing cover songs, you are acting as the record label and the original publisher of each cover is the publisher.

But for your own material you are the publisher and the record label... so it doesn't make sense to register with HFA until you get a record deal for your original music.

Second... you said you are getting licensing of your original music... by licensing are you referring to synchronization licensing for TV shows, commercials, films, etc? If yes, then to collect those royalties you need to sign up with a Performing Rights Organization (PRO for short) like ASCAP, BMI, SESAC or whatever PRO is in your country of origin.

PROs like ASCAP and BMI collect "performance license royalties" which are separate and completely different than "mechanical license royalties". Performance royalties are money paid by the BROADCASTER (whatever network or venue is publicly playing your song) for each airing of a piece of music whereas Mechanical royalties are paid by the RECORD LABEL for each copy of an album or single sold (or more recently, streamed).

Unfortunately here in the US, the US government decided back in the 30s and 40's that there will be no mechanical license royalty for public broadcasts. In other countries like France, Germany, UK, etc there is also a mechanical license royalty paid for a public broadcast in addition to a performance royalty. And usually in those countries, their PRO collects both and pays both to the composer and publisher... but it doesn't work that way here in the US.

Here in the US it is expected that the upfront synchronization license you charge to a client to use your music in visual media (i.e., video) that will be broadcast publicly, already includes additional money added into it to cover the mechanical license.

This is one of the plethora of reasons why synchronization licenses tend to be much higher in the US than in other countries.

Anyway, I hope this clears things up for you. If you have any questions, please feel free to reply and ask!

Cheers,
Dear Derek,
Thank you very much for your detailed answer , now I understand better , the only thing I don't understand they have yet choosen some songs of mine ( cover songs and original, approx 12 ) they ticked as " accepted " and NOi -s license offers are coming from them still day by day although I am not a member there .............. I registered at soundexchange a year ago but I never got a cent from there either .......yes I am considering to join another PRO but as I noticed some of them asks for US issued credit card, another 50 Usd signup fee.....it is hard if you don't make any money from music , and you feel you are ripped of at every corner of this business .....:-(
Old 9th September 2019
  #32
Quote:
Originally Posted by Evita View Post
Dear Derek,
Thank you very much for your detailed answer , now I understand better , the only thing I don't understand they have yet choosen some songs of mine ( cover songs and original, approx 12 ) they ticked as " accepted " and NOi -s license offers are coming from them still day by day although I am not a member there .............. I registered at soundexchange a year ago but I never got a cent from there either .......yes I am considering to join another PRO but as I noticed some of them asks for US issued credit card, another 50 Usd signup fee.....it is hard if you don't make any money from music , and you feel you are ripped of at every corner of this business .....:-(
Sound Exchange isn't actually a PRO either. Sound Exchange collect neighboring rights for internet radio performances.

The music industry can be confusing at first because there are so many different ways to make money depending on how your music is used.

What I would suggest... look at how your music is mainly getting used and then figure out what would be best for you. For example, if your music isn't getting used on TV in the US... don't bother signing up for a US PRO. If your music isn't getting used on Pandora or XMSirius radio, don't bother signing up for Sound Exchange. If you aren't signed to a record label who is selling your albums for you, don't bother signing up with HFA.

Over time as you expand your musical "brand" and start getting into these various things... then you can sign up for them. But until then, it's probably not worth it for you.

And if you aren't getting a lot of uses on a particular platform, the money isn't going to be worth signing up anyway. Maybe your music is on Pandora and SiriusXM, but maybe it only airs 3 or 4 times a year... that will be something like a total of $0.00004 in royalties. Maybe you have stuff on TV, but it's not that much and it's only on cable channels that don't have a lot of viewers... so your royalties for the year might be $4.

And so on...

The other good thing about these organizations like the PROS, HFA, Sound Exchange, etc... they will hold onto your money for 3 years from the airdate that generated the money. After that you can't claim it. But if you suddenly get a HUGE placement, you can then start the process of getting signed up with the correct organization to get paid your royalties and know that you aren't going to miss any. Heck the US PROs are usually 9months to a year behind on their payments anyway (something that airs today I won't get paid for until 9 to 12 months from now).

So there isn't this massive urgency to sign up with them. You can if you want to have them in place. But if it doesn't seem worth it right now, it probably isn't. Just focus on making your music and getting it out through the avenues you've established and over time as it grows you can start adding these additional revenue streams.
Old 10th September 2019
  #33
Here for the gear
Quote:
Originally Posted by Etch-A-Sketch View Post
Sound Exchange isn't actually a PRO either. Sound Exchange collect neighboring rights for internet radio performances.

The music industry can be confusing at first because there are so many different ways to make money depending on how your music is used.

What I would suggest... look at how your music is mainly getting used and then figure out what would be best for you. For example, if your music isn't getting used on TV in the US... don't bother signing up for a US PRO. If your music isn't getting used on Pandora or XMSirius radio, don't bother signing up for Sound Exchange. If you aren't signed to a record label who is selling your albums for you, don't bother signing up with HFA.

Over time as you expand your musical "brand" and start getting into these various things... then you can sign up for them. But until then, it's probably not worth it for you.

And if you aren't getting a lot of uses on a particular platform, the money isn't going to be worth signing up anyway. Maybe your music is on Pandora and SiriusXM, but maybe it only airs 3 or 4 times a year... that will be something like a total of $0.00004 in royalties. Maybe you have stuff on TV, but it's not that much and it's only on cable channels that don't have a lot of viewers... so your royalties for the year might be $4.

And so on...

The other good thing about these organizations like the PROS, HFA, Sound Exchange, etc... they will hold onto your money for 3 years from the airdate that generated the money. After that you can't claim it. But if you suddenly get a HUGE placement, you can then start the process of getting signed up with the correct organization to get paid your royalties and know that you aren't going to miss any. Heck the US PROs are usually 9months to a year behind on their payments anyway (something that airs today I won't get paid for until 9 to 12 months from now).

So there isn't this massive urgency to sign up with them. You can if you want to have them in place. But if it doesn't seem worth it right now, it probably isn't. Just focus on making your music and getting it out through the avenues you've established and over time as it grows you can start adding these additional revenue streams.
Dear Derek,

Thank you very much , now I think I understand better , I stay at Soundexchange to see what happens in a couple of years, but at least I will not get nervous what HFA done to me ......thank you again for this great detailed info ! Wishing all the best to you : Evita ♪
Old 2 weeks ago
  #34
Here for the gear
Quote:
Originally Posted by Evita View Post
Dear Derek,

Thank you very much , now I think I understand better , I stay at Soundexchange to see what happens in a couple of years, but at least I will not get nervous what HFA done to me ......thank you again for this great detailed info ! Wishing all the best to you : Evita ♪
Dear Derek,

What if I registered to BMI , will I get the royalties I earn at HFA thru BMI ?

I am asking, because, I get daily licenses from HFA to my e-mail and they still not allow me to log in , although I send them daily e-mail to restore my account . ( When I try to log in , system says my account is " currently inactive " )

So it seems like I earn money , but they - HFA will keep it . .......

If somehow BMI follows my licenses would the pay me - if HFA not ?

Will BMI pay only after my original songs - those are registered at BMI - or will they pay me after my cover songs - those are not allowed to register at BMI but I got licenses from HFA to my cover songs as well........

Thanks for yor answer, in advance, kind regards Evita ♪
Old 2 weeks ago
  #35
Lives for gear
 
ionian's Avatar
I remember a few years ago, in the AAA (Automobile Association of America for those who aren't familiar) magazine that members get, they had revealed that an investigation showed that Geico had donated $50,000 worth of radar guns to police stations across the nation. I don't trust anyone to have my best interests in mind, except for me.

Not sure how this exactly applies to SESAC putting the kibosh on the Music Modernization Act, but it felt like it did.
Old 2 weeks ago
  #36
Quote:
Originally Posted by ionian View Post
I remember a few years ago, in the AAA (Automobile Association of America for those who aren't familiar) magazine that members get, they had revealed that an investigation showed that Geico had donated $50,000 worth of radar guns to police stations across the nation. I don't trust anyone to have my best interests in mind, except for me.

Not sure how this exactly applies to SESAC putting the kibosh on the Music Modernization Act, but it felt like it did.
$50,000 worth of radar guns to police stations across the nation? That isn’t a lot of money for radar guns.

If they were $1 apiece, maybe. But $50k for radar guns for the whole United States? That is nothing.

Multiply that times 1,000 and then you would generate more interest from me.
Old 2 weeks ago
  #37
Quote:
Originally Posted by Evita View Post
Dear Derek,

What if I registered to BMI , will I get the royalties I earn at HFA thru BMI ?

I am asking, because, I get daily licenses from HFA to my e-mail and they still not allow me to log in , although I send them daily e-mail to restore my account . ( When I try to log in , system says my account is " currently inactive " )

So it seems like I earn money , but they - HFA will keep it . .......

If somehow BMI follows my licenses would the pay me - if HFA not ?

Will BMI pay only after my original songs - those are registered at BMI - or will they pay me after my cover songs - those are not allowed to register at BMI but I got licenses from HFA to my cover songs as well........

Thanks for yor answer, in advance, kind regards Evita ♪
No, BMI is for performance royalties when your music is broadcast on TV or Radio. Harry Fox collects Mechanical Licenses when your songs are sold through retail stores.
Old 2 weeks ago
  #38
Here for the gear
Quote:
Originally Posted by Etch-A-Sketch View Post
No, BMI is for performance royalties when your music is broadcast on TV or Radio. Harry Fox collects Mechanical Licenses when your songs are sold through retail stores.
Dear Derek,

Thank you very much , this way I don't have to be sad as record stores don't exist anymore - As Al Jarreau told in his great duet with Debbie Davies -and my music will not be sold thru retail stores :-) and I don't even have phisical songs in any form ......

Thank you very much for your answer ! Kind regards . Evita ♪
Old 2 weeks ago
  #39
Quote:
Originally Posted by Evita View Post
Dear Derek,

Thank you very much , this way I don't have to be sad as record stores don't exist anymore - As Al Jarreau told in his great duet with Debbie Davies -and my music will not be sold thru retail stores :-) and I don't even have phisical songs in any form ......

Thank you very much for your answer ! Kind regards . Evita ♪
I miss Al, may he rest in peace. He was a great guy. I engineered one of the last, if not the last, recording session he did before he passed away.
Old 2 weeks ago
  #40
Here for the gear
Quote:
Originally Posted by Etch-A-Sketch View Post
I miss Al, may he rest in peace. He was a great guy. I engineered one of the last, if not the last, recording session he did before he passed away.
You are very fortunate you knew him ! I meant this video :
https://www.youtube.com/watch?v=MqeweSIlvJQ

I adore this duet , one of my favourite duets of my life if not the favourite - and gave me so much inspiration ....... I didn't know him only his music but I know he was a great man and also so humble - it is a fortune his music stays here for us forever !
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