Recording first CD: BMI vs CDbaby, etc

[SongwriterFan]

Background info: I've written twelve songs (music and lyrics) by myself, and am in the process of recording the CD at a studio.

I intend to put out physical CDs and also distribute on streaming services.

I am not (yet) affiliated with any PRO, but would probably choose BMI based on what I've read and heard so far.

It looks like I can use CDbaby to not only do the CDs for me, but to administer ALL my rights, so I wouldn't have to go to something like SoundExchange and Harry Fox Agency myself to do this. I guess I could even skip joining BMI, as CDbaby would apparently do that for me.

Here's where I get confused. I don't intend to have a publisher. Some people have told me that BMI and/or ASCAP would require me to create my own publishing company. But a friend of mine apparently doesn't do this, and just puts 200% down as his songwriting share. The instruction on this form at BMI seem to indicate that this can be done, since songwriter shares can add up to more than 100%.

https://www.bmi.com/pdfs/work-reg-e.pdf

But at CDbaby's website, it becomes very unclear how I would actually accomplish this, since their page says that the songwriter's shares have to equal 100%.

https://support.cdbaby.com/hc/en-us/...shing-release-

Has anybody figured this out before?

[rick-slo]

See also:
https://cdbaby.com/songwriter-affiliation.aspx
For self produced originals seems like your shares are 100%.

[KevWind]

Originally Posted by SongwriterFan

Background info: I've written twelve songs (music and lyrics) by myself, and am in the process of recording the CD at a studio.

I intend to put out physical CDs and also distribute on streaming services.

I am not (yet) affiliated with any PRO, but would probably choose BMI based on what I've read and heard so far.

It looks like I can use CDbaby to not only do the CDs for me, but to administer ALL my rights, so I wouldn't have to go to something like SoundExchange and Harry Fox Agency myself to do this. I guess I could even skip joining BMI, as CDbaby would apparently do that for me.

Here's where I get confused. I don't intend to have a publisher. Some people have told me that BMI and/or ASCAP would require me to create my own publishing company. But a friend of mine apparently doesn't do this, and just puts 200% down as his songwriting share. The instruction on this form at BMI seem to indicate that this can be done, since songwriter shares can add up to more than 100%.

https://www.bmi.com/pdfs/work-reg-e.pdf

But at CDbaby's website, it becomes very unclear how I would actually accomplish this, since their page says that the songwriter's shares have to equal 100%.

https://support.cdbaby.com/hc/en-us/...shing-release-

Has anybody figured this out before?

First I have not tried to publish a CD with CD Baby SO WITH THAT.

Yes the whole 100% -200% thing is a bit confusing but it is really just two different perspectives for the exact same thing


As far as PRO 's like BMI because they came into existence back when almost all publishing was done by Publishing companies and record labels and not by the writers themselves .
So they adopted the 200% model. Because they looked at two separate possible royalty streams of revenue for any given work ..

#1 the song writer/s royalties ,, as being any split percentage or the entire percentage up to 100%,, of that revenue stream.

#2 The publishing royalties as also being any split percentage or the entire percentage up to 100% of that revenue stream

Now remember the PRO's deduct a small % out of those collected fees as their collection fee.

I don't think BMI 'requires you to create your own publishing company
I think they simply consider you, as self published , If you have not signed over your publishing rights and royalties to a 3rd party or have not created your own publishing company.

from BMI' FAQ page
At BMI, you need not affiliate a publishing entity in order to receive publishing shares, as we pay all royalties (writer and publisher) to the composer on any self-published works.

So it would appear that BMI does not require you to establish a separate publishing company BUT I am guessing you can call them and find out ?

Also I would call CD baby and ask them because I am guessing there would be a fee or % for them to administer which would be on top of the fee BMI would charge as well (which could well be nominal and worth it, to not have to mess with it )

[jim1960]

Originally Posted by KevWind

I don't think BMI 'requires you to create your own publishing company
I think they simply consider you, as self published

True. I've been with BMI for well over a decade. I've never had to create a publishing company. I receive 100% of the songwriter/composer's share and 100% of the publisher's share. My royalty payments show up regularly.

To the OP...
If your music does generate royalties, you can expect to see money deposited four times a year in the bank account you've designated for direct deposit about 4-5 months after the end of the royalty quarter.

[SongwriterFan]

Originally Posted by jim1960

True. I've been with BMI for well over a decade. I've never had to create a publishing company. I receive 100% of the songwriter/composer's share and 100% of the publisher's share.

Thanks. That's what it looks like to me (in spite of what some have told me).

So, can you confirm that when you write a song by yourself, and you fill out this form at BMI, that you just put your name, SSN, and address, and put BMI down as your affiliation, and enter 200% down as the writer's share? This is what a friend has implied that he does. That whole system makes sense to me (treating the whole royalty thing as 200%).

It's when I got to CDbaby's website that I get confused. Because they clearly state that the songwriter's shares should not exceed 100%, but also state that what you fill out on their form has to exactly match what you've filled out at BMI. Which seems impossible to do (unless I go through the effort to set up my own publishing company).

I guess I'll just have to try to find a way to contact CDbaby and clarify this. Worst case scenario, I guess, is that I have to set up a publishing company. I've read that if I set it up as "FirstName LastName Music" that I won't have to file a d/b/a at the county courthouse and that checks made out to that could be deposited into my personal bank account. I'm not sure I buy that, so if I went that route, I'd have to look into filing the d/b/a paperwork and setting up an account at the bank in that name. It's just a hassle I'd rather not have to deal with.

[jim1960]

Originally Posted by SongwriterFan

Thanks. That's what it looks like to me (in spite of what some have told me).

So, can you confirm that when you write a song by yourself, and you fill out this form at BMI, that you just put your name, SSN, and address, and put BMI down as your affiliation, and enter 200% down as the writer's share? This is what a friend has implied that he does. That whole system makes sense to me (treating the whole royalty thing as 200%).

It's when I got to CDbaby's website that I get confused. Because they clearly state that the songwriter's shares should not exceed 100%, but also state that what you fill out on their form has to exactly match what you've filled out at BMI. Which seems impossible to do (unless I go through the effort to set up my own publishing company).

I guess I'll just have to try to find a way to contact CDbaby and clarify this. Worst case scenario, I guess, is that I have to set up a publishing company. I've read that if I set it up as "FirstName LastName Music" that I won't have to file a d/b/a at the county courthouse and that checks made out to that could be deposited into my personal bank account. I'm not sure I buy that, so if I went that route, I'd have to look into filing the d/b/a paperwork and setting up an account at the bank in that name. It's just a hassle I'd rather not have to deal with.

I can't speak to what CDBaby does because I've never used them in that capacity but this is my thinking on this...
Collecting royalties is essentially all BMI does. They're experts at it, they advocate for it, and they've been doing it for a very long time. The same is not the case for CDBaby which does streaming, distribution, etc. I'd bet my house that BMI will still be collecting and distributing royalties in future decades. I can't make that bet as confidently with CDBaby since they're a baby in this area and who knows it becomes something profitable for them to continue doing. Unless there was some overriding compelling reason to go with CDBaby, BMI seems the easy choice.

[MikeBmusic]

You are getting 2 things confused.
1) BMI (and ASCAP, SESAC, etc) are PRO places - Performance Rights Organizations. They collect licensing fees from venues and radio stations which are distributed via royalty payments to songwriters and publishers.
BMI considers you to be the writer and publisher unless you tell them otherwise, and you get 100% X 2 of the royalties that way. ASCAP has you set yourself up as a 'publisher' too.

2) CDBaby (and others) collect streaming and digital royalties distributed to the 'owners' of the songs. Since these are YOUR original songs, that's you!
When you set yourself up as the OWNER of each song, you are all set. If you had a separate publisher (or cowriter), then you each would get 50% of those royalties

You don't need Harry Fox (or others) for YOUR original songs.

[SongwriterFan]

Originally Posted by jim1960

I can't speak to what CDBaby does because I've never used them in that capacity but this is my thinking on this...
Collecting royalties is essentially all BMI does. They're experts at it, they advocate for it, and they've been doing it for a very long time. The same is not the case for CDBaby which does streaming, distribution, etc. I'd bet my house that BMI will still be collecting and distributing royalties in future decades. I can't make that bet as confidently with CDBaby since they're a baby in this area and who knows it becomes something profitable for them to continue doing. Unless there was some overriding compelling reason to go with CDBaby, BMI seems the easy choice.

CDBaby doesn't collect the same royalties that BMI/ASCAP/etc collect. If you're already set up with BMI or ASCAP, you tell them that. If you're not set up with them, CDBaby will set you up with BMI or ASCAP automatically.

I will already have set myself up with BMI before using CDBaby to make distribute the music.

What CDBaby will do additionally is collect things like streaming rights which BMI/ASCAP do NOT collect. Alternatives to CDBaby for that would be SoundExchange.

[SongwriterFan]

Well, I sent off a request to CDbaby to help me reconcile the 200% that BMI says I should enter as my share vs the 100% max that CDbaby says I should enter as my share. Looks like it'll be a week or longer before I get an answer.

[MikeBmusic]

Originally Posted by SongwriterFan

Well, I sent off a request to CDbaby to help me reconcile the 200% that BMI says I should enter as my share vs the 100% max that CDbaby says I should enter as my share. Looks like it'll be a week or longer before I get an answer.

BMI gives 100% of the WRITER PRO royalties to the writer and `100% of the PULBLSHER PRO royalties to the publisher (if that's you, then you get both!)
ASCAP calls it 50% to each - but its the same total dollars, 100/200%, just different nomenclature. Same thing with CD Baby. Just put 100% with CD Baby, 200% with BMI, you're all set. You don't need CDBaby to register your songs with BMI, do it yourself.