Are you a hard core musician? Do you despise John Mayer and Jewel for selling out? If you are the type of artist who would sooner wear a pink tutu and tights than sign a major distribution deal, you may want to look into signing with an independent label.
Independent labels—the mavericks of the industry—pride themselves on providing individualized service to the artist and staying true to the music.
However, you’re not as likely to get famous on an indie recording label, though it has happened before. Ani DiFranco, Hootie and the Blowfish and Edwain McCain are all independent label artists. In DiFranco’s case, she actually went one step further. She started her own label—Righteous Babe Records—and turned down lucrative deals from larger labels. “The label was started by Ani as a way to put out her music,” says Susan Tanner, a representative for Righteous Babe. “In order to do what she wanted to do, and serve her best interests, she started her own company. She pretty much figured ‘I’ve done it myself and I’m happy to keep doing it myself.’ “ Tanner adds, “We’ve expanded to include other artists, but we are still primarily Ani’s label.”
So, if there’s no guarantee of getting rich and famous, what’s the point of signing with an independent label? Independent labels offer several advantages, such as more creative control, larger royalties and merchandise and promotion profits. It’s a great way for fledgling artists to break out of anonymity and distribute their music by manufacturing CDs or online promotion.
And in many cases, independent labels only sign a few artists in order to give each one more individualized attention. It’s easier for an artist to create a ‘niche’ in the industry and find a certain audience, as proven by Righteous Babe Records. “There isn’t someone who sits and listens to everything and says, ‘We should sign this artist,’ “ says Tanner. “To date, the artists we’ve released have come from Ani—people she admires. It’s quite different than other companies.” She explains, “Some of the artists, like Kurt Swinghammer, may not have seen a release in the U.S. if we had not put it out. They may not make ‘popular music’ but they are artists who are very passionate about their music.”
But no indie label is perfect. Some of the disadvantages to signing with a small indie are not having a lot of money for distribution, advertising or publicity. So you end up taking two big risks: The first—you may not sell many records (translation, don’t quit your day job,) and the second—if they’re not selling records, the label could go bankrupt, which means you’ve lost countless hours or work and money.
David Meme of Loca Records, a UK-based indie record company, confirms that these kinds of common problems in the independent music industry mean that small labels often have with a tough time faring against the majors, especially when it comes to promotion. “It is so expensive you cannot conceive,” Meme says. “And we have no chance of competing with the majors and major-independents. So, tiny labels and artists tend to rely on word-of-mouth, random and cheap promotional techniques and, in the end, sheer obstinate stubbornness [to promote records]. [You’ve gotta take the attitude] ‘this band is fantastic and I will wait until everyone catches on!’ To be honest, I think playing live is the best bet for independent promotion; that and the college or university tours.”
And just as there are different artists, there are several types of independent labels that an artist can choose from. Here’s a list for you to consider.
The first is the self-starter label such as DiFranco’s Righteous Babe. If you’ve got brains and guts, starting your own label may be the best thing for you. Originally, DiFranco was the sole artist signed to Righteous Babe. Now, there are thirteen successful artists who sell 3—5,000 records a year.
The second type of label is an independent online record label that sells music through an online catalogue or print-on-demand CDs. A prime example of a label with this kind of success is Magnatune. Magnatune maintains they want everyone to win. The company hand-selects artists and gives the artists an incredible 50% of all profits. Artists also retain all rights to their music, and they are free to sign with another label whenever they wish. “Artists who sign with Magnatune are independent themselves,” says Teresa Mangalo, Vice President of Music Licensing and Partnerships at the indie label. “They [musicians] are looking to partner with a label that will allow them to be creative and support them, as well as provide online distribution. With us, artists keep the copyright to their music and receive 50% of album sales. Basically, musicians love Magnatune. We make money for them.”
The third type of independent label is called the creative commons license label. This one’s a bit tricky, so pay attention. The creative commons license is a worldwide, non- profit organization that allows listeners to hear the music before they purchase it. The label doesn’t own the artist, and the artist doesn’t have to sign over his rights. By sharing music, artists are supported by fans and other artists.
Take UK-based Loca Records, for example. With six artists, they have chosen to non-exclusively release records under the creative commons license. After feeling suffocated by major labels and gypped by copyright laws, Loca feels the creative commons license allows them to fight for free speech and free expression. This frees them up to focus on the music. “I think everyone has suffered from the large corporate labels and their attempts to sew up the music industry and turn it into a factory,” Meme says. “[It is about] honesty. The labels don’t tend to make much money from their releases and so [they] do it for the love of music. This means that the artist is more likely to be talking to attentive, interested, if often overworked, people at the label who genuinely care about the music.”
And finally, the fourth type of label is a distribution system that does all the dirty work for a small fee. Independent Records, for example, provides a “shell” for independent artists and catalogues. Independent offers a list of providers that register, master and distribute the release. The artist retains all ownership, licenses, publishing and profits from their release. So what’s the catch? Independent provides bar codes that you need to distribute, but you do all the hard work. They won’t market or sell your album for you.
Whether you decide to don a pink tutu and tights or sprint off to start your own label, independent labels offer you plenty of choices. You may not get rich and famous right away, but you’ll be keeping it real, indie style.
