Signed/Unsigned Recording Rates

[SteveL]

Hi, I'm just after some advice on signed/unsigned recording rates where new labels are concerned. Last year I set up a small label/publishing company to look after my own commercial interests after I recorded with the London Philharmonia at Abbey Road (my material - their recording) but to date I am just using my label for my own benefit and have not yet signed anyone else to it.

There are 2 or 3 singer songwriters I am working with that I am attracted to (creatively speaking!), and I'm at the point with one of them where I feel I will back my judgement and put up the dollars to to record an EP for them. Naturally, before I fund the recording I would have to formalise an arrangement with the songwriter and 'sign' him to the label.

Of course, recording studios have 2 rates - one for unsigned artists, and one for signed artists. The difference can be quite staggering. I don't want to have the guy record as an unsigned artist as my commercial interest is not then protected, but as a new self-funded label (through my day job) the cost of paying "signed" rates may make the recording prohibitive.

Do studios "negotiate" with new labels to the point where I could pay closer to an unsigned rate than a signed rate, or is this a commercial "divide" that just has to be swallowed in the industry? Thanks for any advice.

SteveL

[heathen]

G'day Steve,

With the state of things at the moment negotiating a rate should be fairly easy, most studio's will take anything at the moment, best bet is ring around, find a great place to track everything (the most important part) and someone who you trust to get the job done for the least moolah possible.

Most studio owners hate haggling but an arrangement can usually be made on say the amount of time/songs to a $$$$ ratio, whether paid by the hour or per song.

Also factoring in projected sales or earnings from other royalties could also determine the amount to spend.

If you spend 5 grand you'd want to try to make back say 20G's, say 1000 CD's or 25,000 song downloads. Which could be very easy to sell if you have the market or terribly difficult if you don't.

Most record deals are signed at 60/40, the artist usually does'nt get 60.

My advice is spend as little as possible on a decent demo/EP and test the waters, if it goes really well spend a bit more on another record, say a full album and market it too her fans and market base.

If she's really good sony may knock on your door and offer to buy her contract for a small fortune.

Cost is everything these days but people will negotiate guaranteed.

Honestly though, with property prices the way they are around our area I'm getting into property developing, the music business will be a long distant and mildly troubling memory. Will still mix though.

[rick]

the unsigned rate is a marketing ploy to get you in the door , no self respecting studio owner myself included could provide the same service for both the standard book rate and also the unsigned rate.
reality is the signed rate ( or whatever you call it ) is what the studio needs to keep the doors open and running properly , the unsigned rate is for desperate studio owners who need bums on seats , or sometimes as in our case a simple way to to offer a good taste of what we do to clients that could not afford to come other wise. ( but we only run limited spots at limited times ) and we only do it so nobody can say i am not helpful to young bands out of cash.

all our promo in my studio its pretty clear , you simply cannot book me in the "unsigned rate deal".

many if not most studios make a big deal of the "unsigned friendly rates" i think its a hoax
70-80 % of the work we do is unsigned , so i can only presume the ratio is the same or worse out in other studios,
bottom line
unsigned rate is the "lets let the young guys have a go with real clients rate"

or the "if i dont get a band in the door i am going to close down rate."


it is not a preferential "the labels have got heaps of money rate . "
and help the starving muso
in my experience nobody knows how to haggle like a label that books studios all the time

in your case i would simply not count on unsigned rates , but rather , be frank with your studios , tell them the job you need done, the budget you have if they are "the real deal" they will not worry if you are a label , a start up or an old hand.
if your a potential new client and you have got enough money to get the job done you will find yourself welcome indeed

[Text_Edifice]

I'd reiterate this point - rather than worrying about 'rates' I'd settle on a budget and then talk to a couple of studios / producers that you'd like to do the work and see if they can do it for that budget. This might mean that you get less tracking time and that the artist needs to be better rehearsed (pre-production is king with low-budget projects) but if you have a reasonable budget you should be able to get a disc made - bear in mind that a more established studio may be able to achieve a better result quicker, actually saving you money. Having said this, you may not necessarily need a big studio for everything - if you can get a good producer to take charge of the project it's possible to just use the big studio room for drums etc. and do overdubs and vocals in a smaller (and possibly less costly) facility.

If it turns out that you can't get the product within budget then perhaps it's time to reconsider your investment - speaking of which I'd suggest that you might ask the artist to invest a bit of their own cash in the project and set up the contract with your label as more of a partnership arrangement. People tend to be a bit more focussed and committed in the studio when it's their money being used.

The point about investing in an EP rather than a full album is also worthwhile mentioning again too - unless the artist is really well established a four track EP of their best material will generally be a better way to go as you'll be able to get a better quality product for less initial outlay than for a full album. If the EP takes off and sells really well there will be money for a full-length album in the future. In my experience, most new artists really only have enough solid material for an EP anyway and you're better off getting down the tracks with the best chance of airplay / generating interest.

Last point (and I'm sure it's one you've considered) is that the budget for each project needs to include a sizable component for graphic design, pressing, promotion etc. on top of tracking, mixing and mastering.

Ok - sorry if this comes across as condescending, not my intention at all, just wanted to try and cover a bunch of bases that may have some bearing on what you're doing.

[SteveL]

Thanks Heath and Rick for the insights and advice. An upfront and honest approach is the one I feel most comfortable in taking with studios, as a big part of it is in building relationships from the outset imho. Appreciate your input.

Steve

[SteveL]

Text Edifice - all good points, and noted. I'm doing a lot of pre-production with the artist at the moment - going in prepared and rehearsed is very much in my mind in terms of making the most of the paid studio time.

Indeed, it is just an short-player rather than album I am looking to do - the studio band that is being formed around the artist will be his live band, and the EP/CD will be a bit of a 'taster' that can be available at gigs/festivals etc (the guy's a "roots" kind of artist so instrumentation is fairly stripped down, so I'm hoping to allocate a reasonable budget to capture it well in a good space). He's been playing live around festivals in SE Asia recently - his chops are good, and he's worked in studios before. I like the idea of artists who are prepared to go and back up their recorded material by pushing it live in front of people!

Steve.