Performing Rights Organizations 101: The Songwriter’s Easy Guide to PROs

In this article, we break down the what, why, and how of Performing Rights Organizations (PROs) for songwriters in an easy way to understand. We cover everything you need to know about PROs in the music industry from what they are, what they do, how they work, why you need them, and how you can benefit from using them. 

Performance rights organizations or also known as PROs are such a vital part of a songwriter’s career in helping them collect the proper royalties for the public performances of their music. 

So, if you’re a songwriter or artist, and this word sounds like a foreign language to you, then stick around because this is something you NEED to know if you want to make money with your music!

There are also other advantages and benefits to performance rights organizations that many people don’t talk about (hint: they do more than send you a paycheck). 

So if this is something you need to learn about, or just want a refresher on, read on and see a simplified way of what PROs can do for you.

What Is A PRO?

So let’s start with the basics by first defining what a PRO is. According to BMI, one of the major PROs in the US, this is their definition:

“A performing right organization represents songwriters, composers, and music publishers. Often called PROs, these companies collect license fees from businesses that use music, including television and radio stations; broadcast and cable networks; new media, including the Internet and mobile technologies; satellite audio services like XM and Sirius; nightclubs, hotels, bars, restaurants, and other venues; digital jukeboxes; and live concerts. These license fees are then distributed as royalties to the songwriters, composers & music publishers the PROs represent.”

bmi.com

So let’s break that down into what that means for you as the songwriter. 

A Performing Rights Organization (PRO) is an agency that helps make sure that you, the songwriter, collect your fair share of the royalties for the public performance of your songs. 

So when your songs are played or performed, recorded, or live at any public venue, on the radio, television, or the internet, they make sure you get paid. 

Public venues include restaurants, music venues (such as performance or concert halls, amphitheaters, bars, clubs, etc.), sports arenas, hospitals, shopping malls, airports, bowling alleys, parks…pretty much any public place you can think of that plays music.

PROs also collect royalties from music played on public broadcasting platforms such as AM/FM radio stations, TV shows and commercials, and even online music services such as YouTube.

What Does A Performing Rights Organization Do?

When any public venue, broadcaster, or online music service plays music, it is required by law to have a public performance license to do so. So to be able to play music, the venue must pay a PRO license fee to play any of the songs in their catalog. 

That means they would need to pay separate fees from each PRO to play the music in their catalog. If not, they could face big fines.

PROs will typically issue a venue a blanket license to allow them to play any song in their catalog. 

Your PRO will then take the money collected from the venues and properly distribute them to you based on the number of times your song is played in public at these venues, broadcasting stations, or online music platforms.

What Royalties Do PROs Collect vs. What They Don’t?

Let’s break down exactly what types of royalties PROs collect versus what royalties they don’t collect. This is important to know, so you understand the different ways you as a songwriter can maximize the royalties you collect.

Now, this is not a full breakdown of royalties, by any means, but it will give you a basic understanding of most of the royalties available and what they are. 

What PROs collect:

• Public Performance royalties: These are royalties paid out to songwriters and publishers for any public performance of their music via a broadcast (i.e. AM/FM radio, TV shows/commercials) or through music venues (i.e. bars, clubs, arenas, theaters, etc.)

What PROs don’t collect:

• Mechanical royalties: These are royalties paid out to songwriters whenever their song is distributed or reproduced in some form, i.e. vinyls, cassette tapes, CDs, or a digital form such as digital downloads or streams.
  • These are collected by Harry Fox Agency (HFA) and Music Reports Inc. (MRI)

• Streaming royalties: These are the royalties paid out to artists and/or labels for digital streams through digital streaming platforms. They consist of both mechanical and performance royalties.
  • Collected through Distributors (i.e. DistroKid, TuneCore, CDBaby, etc,), or a publisher or label if you are signed with one.

• Digital performance royalties: These are royalties that “non-interactive” digital streaming services i.e. Pandora, Sirius XM, and other internet radio stations, pay to performing artists when their song is streamed.
  • Collected by SoundExchange

• Sync Licensing Fees: These are royalties paid out to songwriters and/or publishers for use of music when synchronized to a visual images on a screen i.e when a song is used on TV, movies or commercials.
  • Paid directly to labels, publishers or directly to the songwriter and/or artist. Whoever owns the copyright the the composition and sound recording.

So…How Do I Join A PRO and Get My Money?

Step 1: Choose and Sign Up for a PRO membership

For you to collect the public performance royalties on your songs from a PRO, you need to sign up and become a member for one. Each PRO has its own basic requirements, fees, and benefits. 

For the US there are 4 PROs, ASCAP, BMI, SESAC & GMR, but the only two choices you have are ASCAP or BMI, as SESAC and GMR are invitation only. 

In Canada the main one is SOCAN. 

It’s important to note, you can only sign up for one performing rights organization at a time. Once you sign with one, you are in a contract with them for a certain amount of time. Many times this contract will auto-renew unless you contact your PRO that you want out beforehand, so keep that in mind.

Each PRO does the same thing, for the most part, some have different benefits from others, different payout times/rates, but they all primarily serve to collect the royalties on the public performance of your music. 

Once you register with your PRO you will receive two numbers of your registration:

• IPI/CAE number is an international identification number that assigned to songwriters and publishers to uniquely identify rights holders.” It is usually between 9-11 digits long. This is one the most important numbers to know, or have handy, as a songwriter. You can think of it as the “social security number” for you as a songwriter, however, you can and should share this with fellow co-writers to ensure you get your share of the royalties on the song.

• PRO account/member number is the member registration number for your PRO.

Once you are registered with your PRO, can access your online account, and have your numbers, you can then move on to the next step…

Step 2: Register Your Songs

Once you’re a member of the PRO, you can register your songs via their online registration platforms. 

This is the important part, because if your songs are not registered, then you can’t get paid for them!

The process is typically very simple as all you need to do is write down the information about your song based on the forms provided. 

They will ask for the song name, co-writers, publisher info (if you have one), etc. You don’t need to upload an audio file to register your song, they go based on the information you provide them. This information can be updated later by following the directions of your PRO on how to do so.

Some Important FAQs about Signing Up for a PRO

Does registering my music with my PRO count as a copyright registration for my music?

Technically NO, your music is already copyrighted the minute you create it and have a recording of it, according to the US Copyright Law (and Copyright Act in Canada), but you should still register your works with the government. 

Registering your song with your PRO helps, and is another sign of digital proof that the song is yours, however, for full protection over your song and its recording, you should register your music with the US Copyright Office. This is the best evidence you can give in court that this song is indeed yours. 

For Canadians, you can register with the Canadian Intellectual Property Office.

*DISCLAIMER: This information should not be construed as legal advice, if you want full legal advice on copyright laws please speak with an attorney.

Can I sign up for a PRO when I release my music?

YES, many distributors like DistroKid, TuneCore, and CDBaby will ask you if you are already registered with a PRO and then sign you up for one if you allow them. 

However, choosing that option may make the process of releasing your song longer, as you have to wait until the respective PRO registers you as a member and then registers your music. 

So it’s usually best to do this process earlier on, to avoid delays when you’re ready to release you music.

Which PRO Should I Join?

If you haven’t registered with a PRO yet, it’s important to know about the choices you have and what they can do for you. 

At the end of the day, deciding which PRO is best for you is a personal choice.

However, knowing which one works best for you and how they work for you, can help your music career. 

Did you know that your PRO is an organization that does more for you than just help you collect your royalties? They’re also advocates for you as a songwriter to ensure that the laws exist to represent you and that you are getting your fair share of the royalties for your songs. 

Below you will find a breakdown of each PRO by who they are, what their cost is, and the extra benefits they provide:

BMI

About:

BMI or Broadcast Music Inc. is the largest PRO in the US. It is a non-profit organization founded in 1939. They now represent over 17 million musical works of more than 1.1 million songwriters, composers, and publishers. They boast themselves as an organization of innovators and forward-thinkers, with a board of experts in the fields of music career development, technology, finance, licensing, new media, corporate strategy, and copyright law.

Cost:

BMI is free to register as a songwriter but has a $150 registration fee for registering as a personal or individual publisher and $250 to register as a publishing company.

Benefits/Services:

• BMI Live
• Access to Songview
• $100 discount off of any music class in UCLA Extension’s Entertainment Studies Program
• 10% off all Berklee online courses and certificate programs
• 26% on FedEx shipping services and up to 20% on FedEx Office products and services.
• Discounts on FanBridge 
• Discounts to Songwriters Hall of Fame
• BMI Showcases around the US
• Hold slots at various premier Festivals and Conferences
• Panels
• Workshops
  • Songwriters Workshop with Jason Blume
  • Jazz Composers Workshop
  • Lehman Engel Musical Theatre Workshop
  • BMI Conductors Workshop 
• BMI Resource Center

ASCAP

About:

ASCAP or American Society of Composers, Authors, Publishers is the oldest PRO in the US, founded in 1914. It boasts itself as the only performing rights organization that in the US with a board made up entirely of writers and publishers. ASCAP represents more than 800,000 songwriters, composers, and publishers.

Cost:

ASCAP has a $50 one-time application fee for registration as a songwriter and a $50 one-time application fee for registration as a publisher.

Benefits/Services :

• ASCAP Mobile Pass
• Access to RoadNation
• Access to Songview
• 55% Off of Shine annual membership 
• ASCAP Member Wellness Program
  • Offers various discounts to on services for mental health, exercise and nutrition 
• Discounts off health, dental, life and instrument insurance through MusicPro Program 
• ASCAP Experience: Home Edition 
• ASCAP Resource Center: Music Unites Us

SESAC

About:

SESAC or The Society of European Stage Authors and Composers is the smallest of the PROs and is also the only one that is for-profit. SESAC represents over 400,000 music works from more than 30,000 members. It is an exclusive membership that is invitation only.

Cost:

SESAC is free to register, but is invitation only.

Benefits/Services:

• Members can receive a monthly payment of royalties as opposed to the quarterly payments of BMI and ASCAP. 
• 10% off Sprint
• 10% off Berkleemusic.com
• 15% discount off the first year of Songtrust
• 33% discount off American Songwriter Magazine
• Discount off Nero Multimedia Music Suite
• Discount subscriptions for Billboard Publications
• Free 3-month Musician’s Atlas online account 
• Discounts for airport parking and rental cars
• Discounts at MusicPro Insurance

Global Music Rights (GMR)

About:

GMR or Global Music Rights is the youngest US PRO. Founded in 2013 by industry veteran, Irving Azoff, as an alternative to the traditional performance rights model. GMR is invitation-only and represents 100 songwriters with over 54,000 musical works. GMR is home to many major artists/songwriters.

Cost:

GMR can only be joined by invitation-only

Benefits:

• GMR is not regulated by statutory laws and is able to offer higher royalties than other PROs.

SOCAN

About:

SOCAN or Society of Composers, Authors, and Music Publishers of Canada is the largest and most well-known PRO in Canada. Launched in 1997, SOCAN now serves over 150,000 songwriters, composers, publishers, and visual artists. SOCAN collects performance rights as well as reproduction rights for music and visual arts & crafts.

Cost:

SOCAN is free to join as a music creator and $50 fee for joining as a music publisher.

Benefits/Services:

• Discounts on banking products and services at Royal Bank of Canada
• Access to accommodations in SOCAN house in LA, Nashville, and Paris
• Discounts on Musical Instruments and Studio Liability Program from Front Row Insurance
• 6-month free trial and 15% off Bandzoogle 
• Discounts on AFBS Group Home and Auto Insurance and access to Health Insurance
• 20% discount off MasterWriter software 
• 10% discount off Music Books Plus
• SOCAN Song Camp Mondays
• Discounts for Car & Truck rentals through Avis and Budget

SoundExchange (Digital PRO)

About:

SoundExchange is the “digital PRO” that collects digital performance royalties on behalf of recording artists, master rights owners, and independent artists. They collect performance royalties for “non-interactive” digital sound recordings such as Pandora, SiriusXM, and other digital radio stations.

Cost:

SoundExchange offers free membership, but they take a small percentage of your royalties for administrative fees

SoundExchange is an important organization to understand for artists and songwriters, especially when it comes to collecting all your royalties, so we will talk more about this in another article.

In countries outside of the US, you would look up “Neighbouring Rights” in your country. For Canadians, the equivalent is Re:Sound.

Summary

If you’re new to this, then by now you’ve gotten a lot of information, and yea it can be a bit overwhelming. Just take it one piece at a time, and keep attention to the things that are most relevant to you in your journey right now.

Here are the most important things to take away from this post:

1. Performing Rights Organizations help you get paid for your songs.

They collect your public performance royalties whenever your song is played in public venues, broadcast networks, and online services. 

2. Performing Rights Organizations exist for you, the songwriter.

They also are advocates to make sure laws exist to protect your work and that you get paid your fair share.

3. As a songwriter, you need to sign up and become a member of a PRO in order to collect your royalties.

Once you are a member you must also register your songs and works with your PRO in order for them to be able to collect any royalties from the public performance of your songs. 

4. Performing Rights Organizations only collect public performance royalties.

They are only part of the puzzle for songwriters when trying to collect all their royalties, but they are a key part!

5. You can only sign up for one PRO at a time.

Once you sign with one, you are in a contract with them for a certain amount of time, just check with your membership to see the terms of your agreement. Many times this contract will auto-renew unless you contact your PRO that you want out beforehand, so be sure to check the rules for how to get out of the contract if you wish to switch.

6. Each PRO has its own unique benefits, services and events.

It’s important to know what else your PRO can do. There are numerous discounts, workshops, conferences, and resources available to help you, so utilize it to your benefit to help you along with your music career.

Hopefully, you are now well informed all about PROs and how to take advantage of them.

We’d love to hear your comments on this post. Tell us if it was helpful below. Feel free to ask any other questions you may have as well.