Final Review for Recording Survey

Question 1

What do Personal Representatives do?

Answer 1

act as a watchdog, source of expertise, act on artist behalf, insulate artist.

Question 2

What are the two kinds of attorneys and what do they do?

Answer 2

Transaction: make deals and handle your business
Litigation: represent you in court

Question 3

How do you find Attorneys?

Answer 3

either by referral or by interview

Question 4

What skills should they have?

Answer 4

contracts, copyright, negotiation, knowledge of music business, communication skills, reputations/ contacts.

Question 5

How are they paid?

Answer 5

flat fee or hourly. NOT A PERCENTAGE

Question 6

In what ways may they have a conflict of interest?

Answer 6

If they are paid a % and it they have too many acts. Cannot represent the other party. To be exact: Fees, Too many Hats, and Multiple Clients

Question 7

What are the two roles of a personal Manager?

Answer 7

develop careers and coordinate details

Question 8

What qualities should a personal manager have?

Answer 8

share the artist vision, track record, knowledge of music business, communication skills, reputation, contacts, organized. Also, needs to believe in the artist.

Question 9

What are the basic deal points of a management agreement? What is standard commission?

Answer 9

1-3 year duration and their duties are vaguely defined. manager will want authority/ power of attorney and to be able to act on the artists behalf without their permission. standard commission is 10-20%, 15% being most common.

Question 10

What is the sunset clause?

Answer 10

Ability for the manager to collect commission on work made during their agreement after the agreement has ended.

Question 11

Major functions of a business manager?

Answer 11

They handle money, structure transactions, tax planning, administer budgets, make investments, estate planning.

Question 12

How are they paid?

Answer 12

flat fee, hourly, or percentage (5%)

Question 13

What do Agents do?

Answer 13

They find work for the artist

Question 14

2 Major booking agents

Answer 14

WME & CAA

Question 15

What state requires a License?

Answer 15

California

Question 16

What should you look for in an agent?

Answer 16

negotiating ability, personal attention, knowledge of the marketplaces, Roster (marketing and clout).

Question 17

What is their standard commission?

Answer 17

10-20%, 10% being the most common

Question 18

Reasons for importance of live performance?

Answer 18

Hone craft, Sell stuff, Build a fan base, highlight creative inventory, Create relationship with fans, creates a mini buzz, and allows you to make money.

Question 19

Who are the big promoters?

Answer 19

Live Nation, AEG, and House of Blues

Question 20

How are the Artists paid by promoters?

Answer 20

Flat fee, percentage of gross, Guarantee or plus % of profit after breakeven.

Question 21

What do the following terms mean: Gross Potential, Gross, Breakeven Point?

Answer 21

Gross Potential: How much money can be made
Gross: How much money is made
Breakeven point: Amount needed to cover expenses so profit can begin.

Question 22

What are the Biggest Promoter expenses?

Answer 22

Venue, Paying the artist, and Marketing.

Question 23

How are royalties handled in a merchandising agreement?

Answer 23

25-35% or higher. 10-20% of retail

Question 24

Duration of a work before 78

Answer 24

95 years from date of first publication

Question 25

Duration of a work made in 78 or after

Answer 25

life of author + 70 years

Question 26

Duration of a work made for hire

Answer 26

95 years from date of first publication or 120 years after date of creation. Just depends on what's sooner

Question 27

What is the termination window

Answer 27

35-40 years after transferred. Must notify 2-10 years before date of termination

Question 28

Work Made for Hire test applications

Answer 28

is it a contribution to a collective work? is it a part of a motion picture or other audiovisual work? is it used as a translation? is it a supplementary work? it is a compilation?

Question 29

3 Elements of a copyright notice

Answer 29

small circle c, year of publication, and name of owner

Question 30

Elements of infringement.

Answer 30

Substantial similarity, actual copying, proof that they had access to work

Question 31

When is a sampling license necessary?

Answer 31

Anytime you sample a SR a licenses is needed. Music has to be original in order to not need one for a musical work.

Question 32

Calculation of split and recoupment under a full publishing deal.

Answer 32

50/50 income. All personal advances are recoupable as well as 50% of demo costs.

Question 33

Ownership, Control, and Income split in co-pub deal.

Answer 33

Ownership: 50/50 Control: 100% publisher Income: 50% writer, 25% publisher, 25% copublisher

Question 34

Licensor & Licensee in mech. , Perf. , and Sync licenses

Answer 34

Mech: publisher and record label Perf: publisher and anyone live performing or publicly performing Sync: publisher and movie, tv, commercial, any audiovisual work

Question 35

Definition of a blanket license

Answer 35

Allows use of all songs in a PROs repertoire during licensing period.

Question 36

Role of Harry Fox Agency

Answer 36

they are a 3rd party that issues mechanical licenses to publishers at a rate of 11.5%

Question 37

Likely Agreement for a subpublisher

Answer 37

represents artist overseas

Question 38

Mechanical Royalty Calculation

Answer 38

%0.12 is statutory rate

Question 39

3 Characteristics of advances

Answer 39

non returnable, recoupable, may be subject to some type of cross colateralization.

Question 40

Role of a RackJobber

Answer 40

Helps retail stores select which albums and music to sell.

Question 41

Recording Agreement Duration

Answer 41

1+6 albums

Question 42

Function of promotion, Publicity, A&R admin, creative services, and product management departments of label.

Answer 42

promotion: secure radio airplay Publicity: get exposure, interviews, press releases, etc A&R admin: talent scouting, artists and commercial development, acts as liaison creative services: album covers, graphic design, etc Product management:publicity, sales, promotion, advertising, artist relations, strategic partnership, digital marketing, and touring.

Question 43

Standard range for artist royalties and producer royalty.

Answer 43

50% for artist and producer

Question 44

Definition of All-in Royalty

Answer 44

combined royalty of artists and producer

Question 45

who are soundscan and BDS?

Answer 45

They keep up with records and measure airplay. BDS is more accurate than soundscan

Question 46

Market share for independent labels

Answer 46

ownership: 1/3 Distribution: 10-20%

Question 47

Who owns master agreements under a recording agreement and how?

Answer 47

the Record label owns a master agreement as a work made for hire or, if not a work made for higher, the contract will state that the artist transfers their rights.

Question 48

6 rights of copyright

Answer 48

Publicly perform, publicly Display, reproduce, distribute, create a derivative of the work, perform digital audio transmission

Question 49

3 income streams

Answer 49

recording, publishing, and Live performance

Question 50

4 Pros

Answer 50

ASCAP, BMI, SESAC, GMR

Question 51

3 Majors

Answer 51

Universal, Sony, Warner

Question 52

3 Producer skills

Answer 52

managerial, technological, musical

Question 53

3 recoupable expenditures

Answer 53

Personal advances, tour support, recording costs

Question 54

4 Ps of marketing

Answer 54

product, place, price, promotion

Question 55

2 unions

Answer 55

SAG and AFM

Question 56

2 most important things to do to sell records and get streams

Answer 56

"Get Behind the album" "Create mini buzz"

Question 57

Know some Manager names:

Answer 57

colonel Tom Parker, Peter Grant, Albert Grossman