Things You Need to Know in Signing a Major Label Contract

Getting a recording deal from a major record label is a great thing especially for aspiring artists. Why? It is so because to them this is their ticket to success. Although this is not a guarantee to stardom, it is better to know the things to consider in signing a major record label contract.

Major record labels are multinational companies; therefore they have a lot of money. They can offer a lot of things to the artist and they have all the machinery to help an artist, from production to distribution of his music. Even if there is a decrease in music sales and the music industry in general is not doing well, they still have the financial advantage to keep up. They have enough money to help you with production, recording, promotion and distribution of your record and usually they will offer you a bigger advance (the money that they pay an artist in advance).

Going on tour is a way to launch yourself and your music to the people. Touring involves a lot of money and this is where major record labels become very useful. They could offer you tour support and can put on big and successful tours. Most of the artists who play or sell out in huge venues are lucky to have the support from their record labels.

Most major labels have been in the business for many years, therefore they have established connections to help you with your music career. They could introduce you to the big names in recording and production and they could showcase an artist at big music stores, while small-time labels can’t. Plus major labels have large manpower with numerous connections and resources. Because of their size, they can get the best deals in manufacturing, advertising, etc. On top of that, they could also give an artist maximum exposure in a flash.

Of course, there is also the down side. Since major record labels are big corporations, they have a lot of musicians, who compete with each other for attention from the label. So if you’re music is not selling quickly, most likely your record won’t get enough promotion and the record label will ignore you.

A lot of major labels want to sign artists for deals that are not very flexible. Most artists who signed with major labels will earn a fair royalty advance as opposed to a royalty rate of 12% per retail price of the record. But mostly, the contract will not produce any future revenue for the artist. Artists should take a lot of things into consideration before signing any contract, whether with major record labels or otherwise.