8 Things Every Artist Should Know Before Signing a Deal.

It’s easier than ever before for unsigned, independent artists to share their music, whether that’s directly on to platforms like SoundCloud and YouTube or via digital distribution services like Tunecore or Stem. A label deal, however, is still the dream for many artists, and they still have much to offer, from money and promotion to infrastructure and experience. But is signing a deal always the right move?

Build a great team around you first.

“I think it’s important, especially in hip-hop and R&B, that artists have that team around them before turning to a label because everything in hip-hop has to be nurtured and curated a certain way and big labels really don’t know how to do that on a lower level. It’s really important for people like us [LVRN] and other companies that are coming up to nurture and develop artists, because I think it helps out in the long run.”—Tunde Balogun

“I would say what’s most important is having a solid team around you before going into a major label situation. That’s something that artists should be focused on from the outset of their careers. Before you even think about doing any sort of a deal, surround yourself with people who understand your vision and can help you tell your story and believe in the project as much as you do. That’s anything from management to the right lawyer, attorney, legal team, to an agent and just having allies in the industry that you trust. Have a set goal and a plan and a vision that you’re bringing to a bigger platform. You want to set the tone for your story. You don’t want the label to do that for you. ”—Tunji Balogun

Timing is key.

“The first thing an artist should think about before signing a record deal is whether they need and are ready for one. When approached by a label or distributor, whether major or indie, it is important for an artist to ask themselves, ‘What can they do for me that I can’t currently do for myself?’ and ‘Do they need me more than I need them?’ A record deal should help take an artist’s career to the next level. There is no point in giving up control of your intellectual property rights if you’re just going to be in the same position you were in before you signed the deal. Depending on where an artist is in their career, it may not be the best time; it may be best to seek a deal after they’ve seen some success releasing music independently and can negotiate with greater leverage.”—Carron Mitchell

“Whether to sign is relative to your situation. I still think the labels do a good job of taking stuff globally. They are good because they infuse you with some cash up front but I think it’s only best to do it if you feel like it’s going to propel your career. I don’t think you should be doing a deal just to do a deal.”—Tunde Balogun​

Understand your deal.

“Once an artist and their team decide it’s the right time for a deal, make sure the record deal meets the artist’s wants and needs. Putting out music has become very easy and streaming is now very profitable for master owners. Given the success of many indie artists and, of course, Jay-Z dropping his gems on 4:44, a lot of artists now want to own their masters. However, a lot of artists don’t know the difference between distribution, licensing, and a traditional recording deal. Before asking for certain deal terms or a large advance, an artist should talk to their attorney and manager and get an understanding of how different deal structures can affect them now and in their future.

“Even though we’re starting to see a shift with major labels doing more artist friendly deals, that doesn’t mean they aren’t still coming after a piece of almost everything. It’s important to have an understanding of 360 rights and what that means when it is part of a record deal. If I’m an artist and I make the majority of my money in touring and merch, how can I limit the label’s right to ever see any of those profits? And make sure you have a release commitment. There’s no point in being able to say you’re signed to the record label, if your music is just sitting on your A&Rs laptop, never to be released!”—Carron Mitchell

“All the money that you receive and take is an advance to get your royalties. A lot of people want to spend, spend, spend but you have to make that money back. Always keep in mind that the money has to come from somewhere. In actuality, you’re pretty much spending your own money.”—Tunde Balogun

Work harder than anybody else.

“Once you sign a deal everyone pays attention to you and your mannerisms. Are you on time? Do you do this? Do you do that? Label people, management, they take direction or follow the artist’s lead when it comes to how hard to work. If you’re not doing what you’re supposed to do, people tend to fall back and you’ll slowly see people not working on your behalf. Nobody is going to work harder than you.”—Tunde Balogun

Get to know the people you will actually work with.

“One mistake people make when they start talking to labels is that they always try to meet the head guy, but you’re not going to be working with that head guy. You’re going see that head guy maybe once a month, every quarter, on a phone call. You need to meet the day-to-day people who are going to be handling your project because they are pretty much your coach, your quarterback. So, if you don’t meet them until after you sign your deal then you may be paired with people that you actually don’t even fuck with and you’re stuck with them for years. Whenever that situation doesn’t mesh well, you see that projects don’t turn out well because their internal team doesn’t really mesh with the artist.”—Tunde Balogun

Hire a music attorney.

“The most important thing an artist should know before signing a record deal or any type of deal involving their intellectual property rights, is to hire an attorney, and not just any attorney! The same way you wouldn’t go to your dentist for knee surgery, an artist wouldn’t necessarily want a criminal defense or real estate attorney negotiating a music recording contract. An artist should hire a great entertainment attorney, who is not only well versed and connected in the music industry, but who also believes in their music and will add value to help grow their career.”—Carron Mitchell

Work with people you like.

“Obviously, it’s important to look at all the numbers but ultimately the success or failure of projects often comes down to the personal relationships that the artists have with the teams that they sign to. I would say it’s important for artists to always work with people that they actually connect with and vibe with on a personal level. Look beyond just the terms of the deal and the numbers and the check and have an actual bond and rapport with the people that you’re making this business relationship with.

“Look beyond the numbers to the fact that you’re going to have to literally deal with and work with these people every day for the next, at least, couple years of your life, and if you’re successful, more years. When it’s time to do the deal, work with the people that you like best. I would tell an artist to take a smaller deal to work with the right people just because of the energy and the tone that that sets. You know, it really is a career. It’s not just about the check, it’s about the relationships, it’s about the growth, it’s about telling the story in the right way.”—Tunji Balogun

Be patient.

“LoveRenaissance already existed with Justice, Junior, and Carlos before Sean and myself came together with them and started to put the company together, and that was around 2011. Then we started to develop Raury. Then we put out Raury maybe three years later. Patience is key. Don’t rush, find the right team and execute.”—Tunde Balogun

SOURCE: Pigeons & Planes