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Article Title:
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Here Is How Others, Just Like You, Have Made a Lot of Money By Starting A Record Label
Article Description:
====================
A virtual Renaissance is going on right now in the record label
industry, because space, volume and distance are no longer
obstacles. Recent changes in technology have opened the playing
field to Indies.
Additional Article Information:
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672 Words; formatted to 65 Characters per Line
Distribution Date and Time: 2006-05-23 13:48:00
Written By: Ty Cohen
Copyright: 2006
Contact Email: mailto:Ty@PlatinumMillennium.com
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Here Is How Others, Just Like You, Have Made a Lot of Money By Starting A Record Label
Copyright � 2006 Ty Cohen
The Ultimate Record Label
http://www.theultimaterecordlabel.com/landing_page.htm
A virtual Renaissance is going on right now in the record label
industry, because space, volume and distance are no longer
obstacles. Recent changes in technology have opened the playing
field to Indies. The Internet age has made life easier for Indie
record labels. One can take orders over the internet, distribute
songs in MP3 format, which makes it easier for street musicians,
small rock bands, or Indie label owners to make their music
available to the masses.
Recording equipment is decreasing in size and price daily. One
can put together their studio right in their own home, or in a
rented space, for surprisingly little money. Fully equipped
studios for rent are also available in most cities. Priced at
approximately $150 and up per hour, one can use a local studio
without having to establish one of their own.
So why wait. Today, starting a record label is easier than
before. With sufficient preparation on the industry, one should
be able to break into and succeed in this highly lucrative field
with confidence. How lucrative is the field, one may ask. Lets
just say it is very lucrative. The global music market is
approximately $40 billion to $48 billion in gross worth. Thirty
percent of this worth belongs to the Indie record labels. That is
approximately, $12 to $16 billion.
The Indie record label is not only attractive to entrepreneurs,
but to artists. Artists signed by major record labels typically
earn approximately $1 per copy sold. Whereas, an artist signed by
an Indie record label typically earns approximately $5 per copy
sold. The end result is more artists wanting to work with Indie
records labels, which equal greater profits to the Indie record
labels themselves, due to a higher volume of sales. Case in
point, last year Indie record labels sold over 900 million units.
Simply, being an Indie record label, one will have a higher rate
of return, because the artist will see more profit per unit sold
than they would if they were with a large record label.
Breaking into and succeeding in the Indie record label industry
is becoming easier by the minute. Once one has established
himself as an Indie record label, he should do the following in
order to take his business to the next level: outsource the
duplication master copy; find a major distributor to distribute
your label; start your own studio; and scout for creative talent.
Once one has accomplished, the prior four steps, than he is on
his way to a lucrative business.
Just remember like any new business, there will be bumps in the
road. That is why it is important to do your research beforehand
so that you can prevent many bumps. Before starting your new
Indie record label, make sure you have considered the following
points:
1. Answer why would someone want to buy your music.
2. Prove that there is a current market for your music.
3. Learn the basics about copyright law.
4. Learn about mechanical royalty.
5. What is your goal for starting your own label?
6. Have you registered your new company?
7. Will you need any record producers/engineers?
8. Know beforehand where you will get financing for the start-up
costs.
9. How will you market your label?
10. Learn the distribution costs.
11. Learn about the costs to manufacture CDs, etc...
12. How many copies will you need to manufacture per release?
13. Are "package deals" right for you?
14. Do you know how you will go about finding new acts to sign to
your label?
15. Do you know of any graphic designers?
16. Do you have your own barcode?
17. Do you know how to write a music-marketing plan, a
distribution one-sheet, and other promotional materials?
18. Who are your customers?
19. What specific information should go on the cover, back cover,
spine, booklet, and on the CD itself.
Once you have answered the above, then you are on your way to
starting your own Indie record Label. Have fun and good
listening!!
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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!
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