What Are Mechanical Royalties?

Mechanical royalties are royalties that are generated each time a musical composition is reproduced, whether physically or digitally via on-demand streaming or download-to-own services. A nice way to wrap your head around mechanics is to trace them back to their origins.

How are mechanical royalties paid?
Mechanical royalties are paid by whoever obtains a mechanical license to reproduce and distribute a piece of music, such as in album form or as ringtone, digital download, or interactive stream. The easiest way to look at mechanical royalties is to think about a record label planning to release an album.

Is streaming a mechanical royalty?
Yes, there are mechanical royalties for streaming services like Spotify. All mechanical royalties from Spotify, Apple Music, and other streaming sites. These are generated from every single stream. … All performance royalties from streaming services (like Spotify), radio, TV, live concert performances and much more

What are examples of mechanical royalties?
Mechanical royalties are generated whenever a copy of a song it made. Some examples of this are when a label produces CDs, someone digitally purchases your song, or when your song is streamed. These royalties must be paid by a third-party (usually a record label) for the use of the song.

Who is entitled to mechanical royalties?

Songwriters earn royalties on the composition copyright, and performers earn royalties on the recording copyright. Each musical work has two copyrights attached to it – composition and recording. Mechanical royalties are paid to the owner of the composition copyright.

Where can I collect mechanical royalties?
Mechanical royalties are also collected in the U.S. through The Mechanical Licensing Collective (The MLC), a non-profit organization, founded as part of the Music Modernization Act, which issues blanket licenses and collects mechanical royalties from interactive streaming services in the U.S. like Spotify, Apple Music.

How do I claim Mechanical Royalties?

Claiming mechanical royalties can be a complicated business. As you can see above, different types of mechanical royalties are paid out in different ways, and things get even more complicated when crossing borders.

So unfortunately, it’s very difficult for an independent musician to do it themselves. This is where a Music Publisher comes in.

Dapstrem Music Publishing can claim and pay out all the mechanical royalties you’re owed.
If you’re not already receiving mechanical royalties, then you’re missing out! Every single stream or download generates these additional payments, so make sure you’re not leaving the money you deserve on the table.

Learn more and sign up to Dapstrem Music Publishing here.