Summary of Songwriting Income Streams

Income Stream What It Pays For Who Pays You How You Collect
1. Performance Royalties Public performances (radio, TV, streaming, live) Performing Rights Org (PRO) ASCAP, BMI, SESAC (U.S.)
2. Mechanical Royalties Reproductions (CDs, downloads, streams) MLC, publishers, DSPs MLC (U.S.), publisher/admin
3. Sync Licensing Song use in film, TV, games, ads Producer / Music Supervisor Direct negotiation + PROs
4. Writing for Artists Having your songs recorded by others Label, publisher, PROs Royalties, advances
5. Publishing Deals Publisher works your catalog and collects income Publisher Royalties, sync, advances
6. Streaming Royalties Streams on platforms like Spotify/Apple DSPs, PRO, MLC Distributor, PRO, MLC
7. Self-Releasing Direct fan support: sales, tips, merch, Patreon Fans Bandcamp, site, Patreon, etc.

Quick Breakdown by Type:

  • Passive income: #1, #2, #6 (long tail earnings)

  • Negotiated income: #3, #5

  • Creative services: #4

  • Direct-to-fan income: #7

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