A Performing Rights Organization (PRO) is an organization that represents songwriters, composers, and music publishers in the management of public performance rights. These organizations ensure that music creators - that’s you - get PAID when their work is performed or broadcasted in public. And honestly, whether it’s enough for a cup of coffee or a significant portion of your income, that quarterly direct deposit will make you feel all warm and fuzzy on the inside.
Here's the breakdown of a PRO’s key functions:
Royalty Collection:
Public Performance Royalties: PROs collect royalties when music is performed publicly. This includes performances on radio, television, live concerts, in restaurants, bars, and other public venues.
Digital Performances: With the rise of digital platforms, PROs also collect royalties for online streaming and other digital performances. Digital platforms include the likes of Spotify, Apple Music, Tidal, YouTube Music, etc.
Licensing:
Issuing Licenses: PROs issue licenses to businesses and organizations that use music publicly. This could include radio and TV stations, restaurants, clubs, and digital streaming platforms.
Negotiating Fees: PROs negotiate and set the fees for these licenses, ensuring that the creators receive fair compensation. Essentially, they help you get paid fractions of pennies on the dollar for your work which I suppose is better than zero pennies on the dollar for your work.
Distribution of Royalties:
Fair Distribution: Collected royalties are distributed to the respective songwriters, composers, and publishers based on the performance data collected. In most cases these royalties are split between the songwriter, the performer, the producer and the publisher. In some cases, an artist wears all of those hats and all of the royalties goes to them.
Data Management: PROs invest heavily in tracking and managing performance data to ensure accurate distribution of royalties. They basically have tiny robots that span the globe and jot down every time your tune is played publicly.
Advocacy:
Legal Protection: PROs play a role in advocating for the legal rights of their members - the artists they represent. They might engage in legal actions against entities that use music without proper licensing. I’ve personally witnessed venue owners publicly complain about paying licensing fees for music. However, these venue owners that complain are typically the same owners who offer drink tickets to bands in compensation for their time and music or at best, a crappy door deal.
Education and Support:
Educational Programs: PROs often provide educational resources and support for their members, helping them understand their rights and navigate the complexities of the music industry. Or, and I can’t stress this enough, you can continue to check out this blog and share with your music friends…
Some of the biggest PROs include ASCAP (American Society of Composers, Authors, and Publishers), BMI (Broadcast Music, Inc.), and SESAC (Society of European Stage Authors and Composers) in the United States, and PRS for Music in the United Kingdom, among others. These organizations operate globally and often have reciprocal agreements with PROs in other countries, facilitating the international protection and collection of royalties for music creators.