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The major label treated many of their artists like slaves and barely gave them enough of the money to survive. They really didn't have a lot of choice if they wanted to get their music recorded. Additional Article Information: =============================== 650 Words; formatted to 65 Characters per Line Distribution Date and Time: 2006-06-06 10:00:00 Written By: Ty Cohen Copyright: 2006 Contact Email: mailto:[EMAIL PROTECTED] TEXT and HTML Copy-and-Paste Versions Of Article: http://thePhantomWriters.com/free_content/db/c/earn-more-profits-as-independent-label.shtml#get_code Ty Cohen's Picture: For more free-reprint articles by this Author, please visit: http://thePhantomWriters.com/free_content/d/index.shtml#Ty_Cohen --------------------------------------------------------------------- Why Starting Your Own Small Indie Record Label Can Be More Profitable Than Signing With One of Their Big Brothers? Copyright © 2006 Ty Cohen The Ultimate Record Label http://www.theultimaterecordlabel.com/landing_page.htm Many years ago people believed that the only way you could make money in the music business was to sign up with a big record label. The major label treated many of their artists like slaves and barely gave them enough of the money to survive. They really didn't have a lot of choice if they wanted to get their music recorded. The second alternative back then was to find someone with a lot of money that was willing to back them. Many artists found out the hard way that sometimes it would have been cheaper to have sold their soul to the record company. The reason this happened was because the equipment needed to record music with professional sounding quality was outrageously expensive. Also, it took a large organization to promote and distribute the record and take care of all of the legal and tax issues involved. However, some of the large record companies charged up to 90% of the profits to perform all of those services. Legendary entertainers like the Beatles had to work for several years before they started seeing any real money. To make matters even worse, the record companies usually demanded a certain amount of creative control. Sometimes that made the recording better but sometimes it ruined the artist's originality. Thank God... Times Have Changed A decent home recording studio can be had for under $10,000 and it will produce the quality that would have cost a half a million dollars 20 years ago. This trend has allowed the artist to decide what parts of the recording business they want to handle themselves and what parts they want to hire out to others. The result is that many artists are electing to start their own independent record label. These indie labels can frequently be more profitable than a larger label. One of the reasons for this is the overhead the large record labels have. Most have huge business complexes, very expensive sound studios, high priced sound and equipment engineers, artists, writers, marketers, etc., etc. For example, Fred Eaglesmith owner of Sweetwater Records constantly tours the country to promote his records and his wife handles all of the internet orders. Ricky Scaggs started his own record label and found out he could sell as little as 25% on his own of what he had to sell with the big record label to make the same amount of money. He later started another label and signed the Del McCoury band. Now all the band members are flush in a fraction of the time it would have taken with a big label. Smaller business are by their very nature more efficient that larger companies. This is primarily because small businesses have significantly less overhead. Another new development is re-releasing older records when the big labels decide it isn't profitable enough for them to do it so they let the copyright revert to the artist. For example, Emmylou Harris' manager owns the Eminent record label. He re-released two of her earlier "Never before released on CD" recordings last year. Except for the cost of burning the discs and the marketing, this is total profit for them. The Future If the big labels don't get their act together, they could easily cease to exist. There are also several small media companies that have found their niche marketing these independent labels and they are doing an excellent job. The artists themselves now have websites where you can listen to samples of their music and then order the CD online if you like it. You are buying either from the artist or the small indie label that produces the CD. Either way, the system works and is raking in money. This revolution happened quietly and the result is a greater variety of good music than ever before. The trend will continue and, personally, I think everyone except the big record labels has benefited. --------------------------------------------------------------------- Ty Cohen is the acclaimed author of over a dozen best-selling music industry "How to" books and courses. Grab a copy of Ty Cohen's latest book title by visiting http://www.MusicBooksByTy.com and to learn more about starting or turning your existing record label into a world wide, profit pulling record label visit: http://www.TheUltimateRecordLabel.com/landing_page.htm Start A Record Label Today! --- END ARTICLE --- Get TEXT or HTML Copy-and-Paste Versions Of This Article at: http://thePhantomWriters.com/free_content/db/c/earn-more-profits-as-independent-label.shtml#get_code ..................................... 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