Turning full time Pro.

musicegbdf

OK some sdvice from any full time pro's out there plse. As a few that know me , will know my daughter has been developing her career as a singer songwriter. She has been taken under the wing by a top producer in LA and has recorded a number of her songs with him , and have a "production contract" with him.
She is now doing showcases in London (tomorrow) , New York and LA. Apparently , one of the biggest publishing companies (better not mention them by name) are very interested and we are told about to offer her a big contract. I am going to meet the producer tomorrow and get some more info.

I have been keeping all her receipts for the last couple of years ( though the production company have paid for all her flights/hotels , etc so far).

I am thinking it may time to set her up as a "company" and pay her a salary out of it. Of course we will need to get a lawyer (have someone in mind who gave free advice on the production contract) and accountants. I have no experience of setting up a company , does anyone know the best place for advice for a musician who I expect will have a "lumpy" income , to ensure it is tax effecient.
I also want to make sure she is only paying for the people she really needs . There is talk of a large advance (5 figures) , but am a little cautious of big advances as I see that is a form of "debt" against future work they locks you in worse than a mobile phone contract ...

Any advice would be welcome.

Ta

monquixote

An advance is just a way for them to spend your money and expect you to be grateful for it.

Cirrus

Well, I can't say I have personal experience but I've always thought that if my band were ever lucky enough to get an advance of that nature, I'd spend as little of it as possible to get the job done. The problem is, once you're a signed artist you find recording cost quotes etc have a strange way of increasing massively...

maltingsaudio

Speak to the Musicians Union

Myranda

If you're worried about the advance give it to me... I'll... erm... hold onto it for you.

ESBlonde

Beware of advances, they are often spent on things like the labels studio and promotions department, you then end up with a nice debt because you thought you knew exactly what was being spent.

digitalscream

The mention of "advance" brought this to mind - I can't remember if it was posted on MR when you were first talking about it, so here you go:

http://www.negativland.com/news/?page_id=17

It's a long read, but worth it. Sort of brings down the crushing reality of the situation, and how it's pretty damn hard to trust anybody when they're bringing you into a business model which has had a very long time to mature into a money-making machine.

Phil_aka_Pip

maltingsaudio said:

Speak to the Musicians Union

^ This. Now!!

snakemanStoo

Phil_aka_Pip said:

maltingsaudio said:

Speak to the Musicians Union

^ This. Now!!

Ditto, only pretending to be more polite

Myranda

No, no, no!

Get advance, give to me... you don't need no stinking union or so called "impartial" advice. When has the experience of a large number of individuals ever led to sound advice anyway? Humbug!

musicegbdf

Phil_aka_Pip;40318" said:

maltingsaudio said:

Speak to the Musicians Union





^ This. Now!!

She is not a member , will they help? I am wary of advances , and seems I am right to feel that way. Am not going to let her do anything without legal advice , but also looking for practical help. Will try the MU

fretmeister

Pay for legal advice.

If you don't pay for the advice then you can't sue your lawyer if he gets his advice wrong.

And get a specialist entertainment lawyer. This is no time to be cheap. Otherwise you could find that your daughter owes the record company for stuff like disposal fees of unsold stock.

And the good old trick from the age of 78 speed records.

Royalties were calculated not on total sales, but only on about 75% of the sales, using the rationale that about 25% of the old records used to shatter in transit. So you weren't on 10%, you were on 10% of 75%.

CDs and downloads (and even 33s) don't shatter like the old 78s did, but the companies try and use the same process if they can get away with it.

musicegbdf

Thks fretmeister, I can't recall who , but back on MR someone recommended two good books that I am using and recall that in one of the books. When it comes to contracts already have an entertainment lawyer in mind.
What I really need is advice on setting her up as a company so it is the "company" that signs so she is not personally liable. As she will be launched in the US I will also need to find a good accountant to deal with tax issues.

ESBlonde

Without being a member of the MU or Equity some tv studios and theatres will not welcome you (unless you are with a party containing a member). It is worth it. As said, don't cheap out but control your business yourself and have people do for you.

fretmeister

The record company won't let her sign as a company only.

They will insist on personal undertakings / guarantees to indemnify her company in the event that you try and shut it to avoid liabilities.

Entirely standard, and a deal breaker if you don't agree to that. But the company status can protect you from other debts to other suppliers. Just not the record company.

musicegbdf

She is a equity member .... Do you think they will help?

musicegbdf

fretmeister;40465" said:

The record company won't let her sign as a company only.

They will insist on personal undertakings / guarantees to indemnify her company in the event that you try and shut it to avoid liabilities.

Entirely standard, and a deal breaker if you don't agree to that. But the company status can protect you from other debts to other suppliers. Just not the record company.

Interesting , so still worth it. This deal is not a label , but a publishing contract , which if I understand correctly collects from itunes, spotify , etc.
The songs are already recorded , mixed and mastered by a producer who has produced many top names and is a multi grammy winner himself. He has paid for everything so far, and flown over from LA to accompany her tomorrow at her showcase . I guess we need promotion and distribuion now.

ESBlonde

Equity will be worth talking to but I anticipate MU will be more specific to the cause.

Phil_aka_Pip

MU = THE organisation for helping musicians in business. I'm surprised she's not already a member.

musicegbdf

Phil_aka_Pip said:

MU = THE organisation for helping musicians in business. I'm surprised she's not already a member.

She trained in Musical Theatre and graduated two years ago . She is a memebr of equity and has a acting agent as that was where we thought her career was going. She was mainly singing/writing  for fun . Some one spotted her ,mentioned to someone else , etc etc. and it started to take off. She has not really earned more than pocket money singing so the MU didn't figure . Looking at the site she will have to be a member to get any help.

musicegbdf

digitalscream said:

The mention of "advance" brought this to mind - I can't remember if it was posted on MR when you were first talking about it, so here you go:

http://www.negativland.com/news/?page_id=17

It's a long read, but worth it. Sort of brings down the crushing reality of the situation, and how it's pretty damn hard to trust anybody when they're bringing you into a business model which has had a very long time to mature into a money-making machine.

Very good article , and just all the things a "Dad" worries about. Interesting about the young Aand R people . She had exactly that from a fairly big Uk company who's boss used to Judge a dubious talent show ....I really did not like the high pressure they were putting on her. They took her out for meals , got her drunk . Got her into a studio to do some demo's and kept hassling her. In the end she was really confused. I dictated a message to her which she sent to them and they backed off after that. Some stuff appeared on Sound cloud , but her current "people" got it removed. The people she is currently with are middle aged writers / and musicians in their own rights and seem genuine. But we are about to start the negotiations with other people , and as the article shows there seems to be a lot of hands and mouths to feed .... I am very very wary of everybody.