4 Music Finance Companies Helping Artists Get Paid
When artists need to manage their royalties or request an advance, a music finance company is an invaluable service.
Music is a vibrant art form that inspires people around the world, but it’s also a business. Artists face hard financial realities when managing royalties, requesting loans, and addressing other money matters. While a manager can handle most of these concerns, sometimes, you need a music finance company to step in to make sure everyone on the team can pay the bills.
These businesses help teams of money experts and music industry veterans support the needs of artists, publishers, producers, and more. Some are even developing innovative tools and technology to grant artists direct control of finances — and ensure they are paid on time. Let’s look at some of the most promising examples operating today.
Learn more about every aspect of music finance with Music Finance: The Ultimate Guide.
Trqk
Earning money as a musician isn’t just about writing new songs. Sometimes, it’s making sure everyone is paid for their existing work. Perhaps we’re biased, but we genuinely believe that Trqk is the best way for musicians to get a grip on modern royalties. That’s because we created TrqkIQ, a Music Royalty Intelligence system that tracks song plays worldwide. This tool helps artists ensure that they’re receiving the correct amount of performance royalties while identifying possible opportunities to earn even more.
As a music finance company, Trqk supports musicians and publishers on three fronts:
Discovering public performances: Trqk uses audio content recognition technology to detect on-air performances, noting gaps between reported and actual royalties.
Trend analysis: TrqkIQ generates easy-to-grasp visualizations of your media performances — answering the “what, where, and how” of each play — so you can quickly identify trends and opportunities.
Placement management: Trqk’s robust tools keep artists on top of their relationships with publishers, libraries, and production companies to analyze the real-world value of each song.
Sound Royalties
Songwriting and performing is why most artists get into the business — but funding your passion is just as important. Perhaps you want to invest in new equipment, promote a tour, or simply pay rent. Sound Royalties meets these needs with music financing options, attracting the attention of artists like DJ Khalid, Lil Wayne, Pitbull, Wyclef Jean, and many others.
Unlike traditional bank and credit loans, Sound Royalties’ agreements are customized to meet music industry needs. Some examples include:
Copyrights: Artists always keep the copyrights to their music and never worry about Sound Royalties claiming their rights at any point in an agreement.
Multiple pricing options: Loan payment agreements come in a variety of term lengths, interest rates, and other options.
Music-based advances: Music financing agreements with Sound Royalties are based on the projected value of songs and tours — not the artist’s personal credit.
Industry expertise: Sound Royalties’ team includes financial and music industry professionals to meet artists’ needs, such as offering bridge financing to support catalog sales.
Lyric Financial
Musicians have many financial expectations related to album promotion, tour expenses, or simply paying for a manager. A royalty advance can make a big difference for artists who are just starting out. Lyric Financial specializes in these agreements, providing liquidity to artists who earn at least $5,000 per year from combined royalties and sales.
As a music finance company, Lyric Financial provides two core services. The first is its royalty advance, offering up to two years of royalties without Lyric claiming song copyrights. These loans can be processed within 24 hours and are not associated with an artist’s credit — it is a business arrangement, after all.
Lyric’s second service is SNAP, a virtual ATM where clients can access an advance by logging into an account from anywhere. Thanks to partnerships with SonyATV and TuneCore, these advances are conveniently deducted from incoming royalties and revenues based on a premade agreement. So if you’re a music professional looking for something more specialized and convenient than a credit card, Lyric can act as significant short-term support.
First Horizon
Traditional banks and credit lines can be poorly equipped to serve music industry professionals; here’s a reason the music finance companies we mentioned don’t treat copyright as collateral. First Horizon is one exception to that rule — among its standard services, it is a nationwide lender for artists and music companies.
First Horizon’s Music, Sports and Entertainment division specializes in creating nuanced income streams for unique clients. It offers a range of personal and business-oriented services for musicians, including customized lending, estate planning, tour and equipment financing, and even philanthropic giving. If you need a range of music finance services beyond royalty advances, First Horizon is worth checking out.
As you can see, there are many financial services available to musicians, producers, publishers, and other industry professionals. When it comes to royalty analysis, however, Trqk is well-equipped to not only track revenue but identify trends and business opportunities.
Interested in financial solutions that help your business grow? Get in touch!