Canada represents roughly 2-3% of the global recorded music market. Knowing there’s about $2.5 billion in unclaimed royalties globally each year, that’s probably about $50-75 million CAD worth of unclaimed royalties sitting on the table annually for Canadian musicians*.

So, what’s the $50-75 million dollar question? WHAT is a royalty, WHAT are your rights, and HOW do you acquire them? This is where Performing Rights Organizations (PROs) come in. Skip to the end for a pre, during, and post-release checklist that ensures you pick up every penny that you’re owed.

*Back of napkin math

For every song, there is two kinds of copyright:

1. Composition Rights (Publishing): The song itself, owned by the songwriter(s) and publisher.

2. Master Recording Rights: The recorded version of the song. These rights belong to whoever paid for or created the recording. As an independent artist, this is usually you. If you’re signed to a label, make sure you understand who owns them and for how long.

- read more on Soundcharts

To put this in context… if three different artists recorded their own version of the same song, there are 3 different masters but only 1 composition.

📓 PROs

As the name suggests, Performing Rights Organizations (PROs) are the organizations that help creatives receive their share of royalties. Artists need to register with multiple organizations since each covers a different royalty stream (Listen, we’re not saying it’s the most efficient process). In Canada, the key organizations to register with are:

Canada-Based

  • SOCAN (Society of Composers, Authors, and Music Publishers of Canada) - Performance royalties for songwriters, composers, publishers. SOCAN also has reciprocal agreements with international societies, which does save you from signing up for even more organizations

    • SOCAN RR (SOCAN Reproduction Rights) - An alternative to CMRRA

  • CMRRA (Canadian Musical Reproduction Rights Agency) / Entandem - Mechanical (reproduction) royalties.

  • Re:Sound Music Licensing Company: Neighbouring rights for performers and record labels.

    • ACTRA RACS (ACTRA Recording Artists’ Collecting Society): Royalties for performers on recorded music used in broadcasts

  • CONNECT Music Licensing: Neighbouring rights for labels and distributors

  • Artisti: Quebec-based alternative to ACTRA RACS, mainly for performers in QC

  • MROC (Musicians’ Rights Organization Canada): Collects neighbouring rights specifically for session musicians who are not the featured artist on a recording.

US-Based

  • SoundExchange: Collects digital performance royalties for sound recordings in the United States.

  • MLC (Mechanical Licensing Collective): Collects and distributes mechanical royalties from streaming in the US.

👑 Different Kinds of Royalties

Buckle in, it gets complicated very fast. If (like me) you’ve struggled to understand the difference between a Duke, an Earl, and a Prince, these kinds of royalty might cause some confusion as well.

1. Performance Royalties

2. Mechanical Royalties

3. Sound Recording Royalties

4. Neighbouring Rights Royalties

5. Digital Performance Royalties

6. Synchronization (Sync) Royalties

7. Print / Lyric Royalties

1. Performance Royalties

Performance royalties are generated any time a song’s composition (melody & lyrics) is performed publicly. ‘Performance’ is very broad, constituting everything from live shows to being played as your least favourite bank’s hold music on the telephone

Who gets them?

Writers, Publishers

In some contexts, performers can also collect

How do you collect them?

SOCAN

Note: Most artists have already signed up to receive the writer’s share of their material. However, many don’t realize that you have to actively claim your publisher’s share too.

2. Mechanical Royalties

Mechanical royalties are generated when a composition is reproduced. This covers physical formats (CD/Vinyl) as well as digital downloads and on-demand streams. Fun fact - mechanical royalties are called mechanical because they were originally for player pianos… the industry has always been great at updating outdated terminology.

Who gets them?

Writers, Publishers

How do you collect them?

CMRRA, SOCAN RR

Note: This is one of the most commonly missed royalties for songwriters and publishers because distributors typically do not collect it

3. Sound Recording Royalties

Sound recording royalties are generated when a specific recording of a song is streamed or used (remember master vs composition rights?).

Who gets them?

Sound recording owners

How do you collect them?

Through distributor

Note: Anywhere you see “sounds recording owner,” it is usually either the label or the independent musician, whoever owns master rights.

4. Neighbouring Rights Royalties

Covers the rights of performers and sound recording owners when recordings are played or broadcast publicly. If your song is played on Canadian Radio, in a bar, or at a sporting event, the venue or broadcaster pays a licensing fee.

Who gets them?

Writers/Composers, Publishers, Featured performers, Sound recording owners, Non-featured performers

How do you collect them?

Writers/Composers/Publishers - SOCAN

Featured and Non-Featured performers - ACTRA RACS OR MROC

Sound recording owners - Re:Sound

Note: Many independent musicians who own their master AND perform on the recording never register with Re:Sound or ACTRA RACS, missing these royalties entirely.

5. Digital Performance Royalties

(US-specific but still relevant) A royalty for non-interactive digital radio (Pandora/Sirius XM)

Who gets them?

Sound recording owners, Featured performers, Non-featured performers

How do you collect them?

SoundExchange

Note: In the last issue, we covered the key role SiriusXM can have in generating profit for musicians. SoundExchange is how you ensure you’re receiving your share.

6. Synchronization (Sync) Royalties

Sync royalties are one-time negotiated fees paid when someone licenses your music for use alongside visual media. While there are industry standards, sync fees are not set and are negotiated deal by deal.

Who gets them?

Writers, Publishers, Sound recording owners

How do you collect them?

Negotiated directly or via sync agent

7. Print / Lyric Royalties

Print / Lyric royalties are often overlooked because they are not as hefty or consistent as other streams. These are generated when lyrics or sheet music are reproduced. This includes lyrics displayed on streaming platforms through Musixmatch, printed sheet music, and songbooks. As lyrics are more commonly shown on streaming sites, this revenue stream becomes increasingly relevant.

Who gets them?

Songwriters, Publishers

How do you collect them?

CMRRA OR SOCAN RR

✏️ Registering your Works

It is not enough to register as an individual with each PRO; the crucial element enabling you to collect your hard-earned royalties is registering your works. Each song needs to be registered in each PRO, along with ALL the relevant metadata.

The Metadata that matters

Metadata Field

What Is It

Where to Register It

Song Title

Exact title of composition including ft. artist credits and version info

SOCAN, CMRRA / SOCAN RR, distributor

Songwriter(s) & Ownership %

Legal names of all writers who contributed to melody, lyrics, or harmony

SOCAN, CMRRA / COAN RR

ISRC Code (International Standard Recording Code)

Unique, 12-digit ID assigned to each recording

Distributor, Re:Sound, SoundExchange

ISWC Code (International Standard Musical Work Code)

Unique ID assigned to each musical composition

Assigned via PRO (SOCAN)

IPI / CAE Number

A songwriter’s personal identifier assigned via PRO

Assigned by PRO upon registration

Performing Artists

Names of all featured, non-featured (session) musicians on the recording

Re:Sound, ACTRA RACS, CONNECT Music, SoundExchange

Release Date / Label

Official release date and label name (your own if self-released)

Distributor, SOCAN, CMRRA

Your metadata must be consistent across every platform and organization (yes, even the one you forgot you signed up for in 2019). Different punctuation, capitalization, or featured artist formatting can prevent royalties from reaching you.

Man’s World - Cat Clyde

Here’s what I’m listening to this week

Man’s World by Cat Clyde

Cat Clyde is a singer/songwriter based out of rural Ontario, Canada. A combination of driven, soulful blues, and sweet folk-tinged, dulcet tones that carry a particular sense of familiarity provide the structure on which she creates her unique sound.

Registration Checklist for a New Release

✔️ Before release: Finalize all co-writer splits, confirm every writer’s legal name, artist name, PRO membership, and IPI number.

✔️ At upload: Upload to distributor with accurate metadata. Record the ISRC assigned to each track (or provide your own if you’re self-managing these codes). Confirm release title, artist credits, and featured artist formatting.

✔️ Within one week of release: Register composition with SOCAN, including all co-writer names, IPI numbers, and ownership splits. Register composition with CMRRA or SOCAN RR for mechanical royalty collection.

✔️ Within one month of release: Register the recording with ACTRA RACS and CONNECT Music for neighbouring rights. Register with SoundExchange if you have any US listenership. Verify work appears correctly in each database.

✔️ Ongoing: Update your master catalogue spreadsheet (best practice). Submit Notification of Live Music Performance (NLMP) forms to SOCAN after every live show. Check for your recordings in ACTRA RAC’s airplay database.

Thanks for your attention! I know it’s a big ask these days.

If I missed something important, or if you have a recommendation on what I should cover next, just hit reply ⌯⌲

-Lauren (saying it into the mic 🎤 )

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