Understanding the Differences Between ASCAP and BMI for Music Royalties
ASCAP and BMI are performance rights organizations (PROs) that pay artists for their music. They also consider different types of usage (like a song used in a TV show) when calculating royalties.
If you’re an artist, you may wonder whether you should sign up with ASCAP or BMI. This article will discuss the differences between these two PROs so that you can make an informed decision.
ASCAP is a non-profit organization
ASCAP and BMI are non-profit organizations collecting licensing fees from businesses that use music publicly. The organizations then distribute those fees as royalties to songwriters and composers. However, there are some differences between ASCAP vs BMI. For example, ASCAP provides its artists with more information about how their royalties are calculated and paid. ASCAP also offers a one-time joining fee for musicians and no annual membership fees.
ASCAP focuses on representing songwriters, composers and music publishers. It also lobbies on behalf of its members to ensure that they receive performance royalties for their musical works. ASCAP also publishes music catalogs and provides educational programs.
ASCAP has a large music catalog, representing over 735,000 songs. It also pays out royalties to its members every quarter. Its members include professional musicians, songwriters and composers, and music users such as radio stations and restaurants. In addition to performing rights, ASCAP administers copyright law and provides grants for music scholarships.
ASCAP and BMI are not-for-profit organizations that invest money back into the music industry in various ways. They give money to charities, musician services and other music industry advocacy organizations. Both services are based in the United States and operate under federal copyright laws. However, they do differ in the way they handle performance royalties and licenses.
ASCAP collects royalties on behalf of its members
When you’re a musician, knowing how your royalties work is important. Performing rights organizations (PROs) collect licensing fees from businesses that use music publicly, like radio stations and concerts, and distribute the money to their members. The organization you choose depends on your specific needs and goals.
BMI works similarly to ASCAP, but they’re more oriented towards public performances of songs in the US. They’re known for their vast music catalog and have worked with several notable artists. BMI also has lower licensing fees than ASCAP, which may make it a better option for smaller businesses or venues.
ASCAP and BMI will split the royalties for a song between its songwriters and publishers. Artists can decide which percentage they want to keep during song registration. Artists can register songs individually or in bulk and must submit them by certain deadlines to avoid missing out on royalties.
Choosing which PRO to join is a personal decision that should depend on your individual needs and goals as a musician. Each company has advantages and disadvantages, but it’s important to research before deciding which is best for you. Also, remember the kind of company you want to license your music to, as they all have distinct needs.
ASCAP collects royalties on behalf of its members
Performing Rights Organizations like ASCAP, BMI, and SOCAN (in the UK and Canada) protect musicians by collecting royalties on their behalf. When a third party publicly uses your music, such as a bar manager playing your song on their speakers or Spotify users streaming it, they owe you a royalty. These PROs manage a library of musical compositions and grant licenses to businesses and individuals who want to use them. They also track what type of medium your music is used in and distribute the proper royalties accordingly.
For example, if you register with ASCAP and a business plays your song on the radio, ASCAP will track those plays and pay you accordingly. However, if that same business has its own piped-in Muzak system and plays your song over its speakers, it needs to be tracked or paid for by ASCAP. In this case, you must register with BMI or another Performance Rights Organization to collect those royalties.
You are not allowed to be a member of both ASCAP and BMI (or any other PRO, for that matter). You must pick one or the other to maximize your royalties. You’ll likely be able to negotiate a better percentage of royalties and a faster payout with BMI over ASCAP. Lastly, BMI offers more benefits to its members than ASCAP, including healthcare and insurance discounts and bigger conventions that can be good networking opportunities for your music career.
ASCAP collects royalties on behalf of its members
ASCAP is a performing rights organization (PRO) that collects royalties for music performed in public. This includes concerts, radio broadcasts, TV appearances, and short films shown in theaters. It also contains songs that are streamed on services such as Spotify.
You can join ASCAP as a songwriter or publisher and pay a one-time fee to be a member. If you are a songwriter, ASCAP will collect performance royalties for your songs and distribute them to you. If you are a publisher, ASCAP will collect performance royalties for the songs you publish and distribute on behalf of other writers.
ASCAP does not collect mechanical royalties paid for selling physical or digital music. You must contract with a music publisher or publishing administrator to get these royalties.
A similar-functioning ASCAP rival is BMI. They provide members with various benefits, such as periodic subscriptions and price breaks for joining other music-related organizations. BMI offers live artists several savings, including hotel and travel reductions.
The best action is to choose and stay with it when registering your music with ASCAP or BMI. Avoiding writing the same song with both PROs would be beneficial since this would lead to double payments. Generally, it is more helpful to register your music with the PRO that has a better reach in your genre or region.