Hi there, I am writing in Opuzz Royalty Free Music Library
http://www.opuzz.com/ and perhaps being in this industry I can help answer some questions about licensing, using music for retail etc.
Do I have to pay for music I play in my business premise?
Yes you will have to pay license fees, royalties etc if you play music in public areas or if the music is not for your personal enjoyment only. To answer Susie H and FindingSerenity, yes you will have to pay for a license if you are playing music for your business and clients and especially if you have a business license. I suppose you could get away with it if it were operating for your home but if you were ever found out, you would be fined or would have to back pay. It doesn't matter where the music comes from, CD, DVD, movies, TV etc so long the music is aired in your premise for your clients. You will even have to pay if you play music on your telephone on hold messages. See what is included and excluded for PRS and ASCAP:
http://www.prsformusic.com/users/bu...musicforbusinesses/Pages/doineedalicence.aspx
http://www.ascap.com/licensing/types.html
Now your question is why should we pay and to whom?
PROs or Performance Rights Organizations collect royalties on behalf of their members. Here in the US, our PRO include ASCAP, BMI, SESAC and a few others. PROs are agencies that collect royalties for their members which include musicians, composers, publishers, producers etc. Most musicians etc would naturally sign up as members to get the most buck out of any music they produce. Joining a PRO is very inexpensive or in some countries free so most artist are registered with a PRO. So if you play a song from a member of a PRO, you will have to pay for it.
Here's a quote from ASCAP:
1. Why should I pay for playing music in public?
We often use the expression "they're playing my song," not always remembering that while we may have emotionally adopted the song, it still legally belongs to the songwriter who created it, and the music publisher who markets it. When you use other people's property, you need to ask permission.
How much would you have to pay?
The cost to play music usually depends on the type of business, your retail or office space, location, number of listeners etc. It may not be much to pay PRO for the yearly use of music for your business but it can add up over the years and may not be the most cost effective method. After all, I am sure you would like to paid for your service to your customers and so would artist and musicians for the music they've produced.
So what are your other options?
1)
Paying PROs for commercially available music
This is the standard practice. I noted that PROs in Europe are generally more stringent unlike their US counterparts that are mainly interested to collect for broadcast. However this has changed in recent times as they have started "combing the streets".
2)
No music
I think this would be rather ridiculous for retail and especially if you are restaurant or pub or club. You also can't also monitor to ensure your clients don't bring a incidental or rather accidental music in your space.
2)
Royalty Free Music
This is the most likely alternative option. True royalty free music is music produced by composers that are not PRO members. So be very careful as there are very few libraries that adhere to this or even aware of this. Reason being is that historically most of what ASCAP/BMI/SESAC collect are for broadcast so many libraries automatically only warn their customers that you will have to pay royalties if you are using the music for broadcast however royalties apply to most usages including retail depending on certain criterias. See
http://www.ascap.com/licensing/types.html
I would safely say most community based or submission based libraries are not true royalty free music as they simply cannot police their members activities. Just a note not all rfm libraries are created equal.
So if you are being audited by a PRO, just produce your license agreement and receipt and it should be all that is required. If the PRO officer insist you still pay, get in touch with the library to confirm their composer are not PRO members as this could be the only reason. Logically, if the music you play is produced by a non-PRO composer, then what right would the PRO have to collect royalties on their behalf?
There are more options ...
but I really wouldn't consider them to be options for the following reasons.
3)
Music from Indie Bands or Artist
This only references to bands and artists that are not signed with PRO. Again it is very affordable to cost nothing to become a member of a PRO so you will have to check with them. Also another thing to note is that they may become members in the future so you will have to monitor their status.
4)
Creative Commons
Not all creative commons license are created equal you really have to be sure. Most creative commons license will require attribution when you use their music and cannot be use if you are a profit based business. So it may only be suitable for non-profit organizations.
5)
Make your own music
Why not if you can but only if you can stand hearing it everyday.
If you need some sort of customization on a playlist for your store, email me personally at viv [@] opuzz dot com and I perhaps can work out something for you at a very affordable rate that is buyout - meaning once off with no expiration of use. Needless to say our music is not signed with any PRO. Opuzz owns all our music. We have over 320 CDs or over 22,000 tracks online.
Hope this helps you chanails (I suppose you love Chanel and nails like me!).