Royalties
5 December 2004
There are a number of ways that money flows in. These are all called Royalties.
Artist Royalties or Sales Royalties
What is usually referred to simply as "Royalties" is more properly known as Artist Royalties. This is the percentage of the record sales that the label agrees to pay the artist. This money is not in any way protected or governed by Copyright law, it is all determined in the contracts.
Performance Royalties - every time the composition and/or recording is played, it earns a performance royalty.
Mechanical Royalties - every time the composition (in any recorded version) is physically copied. ie. for each record pressed.
