Performance Rights Organizations: What Musicians Need to Know

Have you ever wondered how musicians collect royalties for public performances of their work? It’s not like they can be everywhere at once with a busking basket, collecting fees from listeners. Fortunately, they don’t need to be, thanks to Performance Rights Organizations (PROs).

PROs track performances and collect royalties on behalf of musicians whenever and wherever their music is played publicly. These organizations are a critical piece of the legal and financial structure of the music industry, and aspiring musicians need to understand how they operate if they want to become serious professionals.

In this article, we’ll break down what PROs do, how they work, and who can benefit from partnering with one of these organizations. Let’s dive in.

What Are Performance Rights?

Performance rights convey the legal authority to perform a song in public. If someone plays or performs a song you wrote or recorded in public, they owe you compensation. These compensation payments are called royalties.

It’s important to note the difference between public and private performances of a song. If somebody buys a CD of your song and plays it at home, this is a private exhibition, and they don’t owe you any royalties.

However, if a club owner buys the same CD and plays it for a paying crowd on Friday night, that’s a public exhibition, and you’re owed compensation. The same is true any time your song is performed at a concert, used in a TV show, played in a hotel lobby, and so on.

Sounds great, but how can anyone possibly keep track of how and when your songs are being used all around the world? That’s where PROs come to the rescue.

What Are Performance Rights Organizations?

PROs are organizations that license songs, track public performances, and collect royalties on behalf of copyright holders. Basically, PROs serve as intermediaries between you and those who use your work publicly.

Specifically, PROs handle the following tasks on behalf of copyright holders:

• License music to businesses, venues, broadcasters, and others that want to play copyrighted music.
• Track when and where music is played, using both direct data as well as algorithmic estimates to determine the number of plays.
• Collect performance fees from licensees based on tracking data.
• Distribute royalty payments either directly to members or through a publisher.
• Protect performance rights by ensuring that your music is not used without appropriate licensing.
• Cooperate with other regional PROs around the world to collect royalties on your behalf.

What Are the Major PROs in the US?

There are three major PROs operating within the US, each with specific rules, regulations, fees, and joining procedures. Follow the link to learn more about each organization.

• American Society of Composers, Authors, and Publishers (ASCAP)
• Broadcast Music, Inc. (BMI)
• Society of European Stage Authors and Composers (SESAC)

Also, SoundExchange is a fourth PRO-like organization that collects royalties for non-interactive digital streams (e.g., Sirius XM). The major US PROs do not collect these royalties.

How Can Artists Join a PRO?

There are two key things you need to remember: 1) You can join only one PRO, and 2) you must join the PRO in the territory you reside. As mentioned above, other regional PROs will collect royalties on your behalf and distribute them to the PRO where you are a member.

While joining procedures vary among different organizations, this is the basic process:

1. Research your options: Compare ASCAP, BMI, SESAC, and SoundExchange. Each organization is slightly different, so find the one that suits you and your goals. Most other regions have just one PRO, so the choice is easy!
2. Register online: Most PROs allow you to sign up and pay fees (if required) directly, quickly, and easily through their websites. Once approved, you will receive a unique Interested Party Information (IPI) number used to track your songs.
3. Provide details: You’ll need to share personal data and banking information with the PRO to facilitate royalty distribution.
4. Register your music: Upload your song details to ensure proper tracking and wait for those royalty checks to start rolling in (hopefully)!

Who Should Join a PRO?

Anyone who creates music that could be publicly performed — and wants to get paid — should consider joining a PRO. This includes:

• Songwriters: Even if you’re just starting out, joining a PRO early ensures you’re ready if and when your music starts gaining traction.
• Performing artists: You're owed royalties if you perform original music live or distribute recordings on streaming platforms.
• Producers and composers: Instrumental tracks and background scores used in TV, film, or advertising are also eligible for royalties.

Publishing and Performance Rights Organizations

Partnering with a publishing company can simplify your interactions with PROs. While you can register with a PRO as an individual artist, publishers can register with multiple PROs worldwide — a significant advantage for tracking your work globally. As a result, royalty collection is more efficient across all territories.

The process typically begins with you registering with a PRO to obtain your IPI number. Once this step is complete, your publisher can re-register your catalog with the appropriate PROs under their name, streamlining tracking and royalty collection on your behalf.

Working with a publisher gives you access to their expertise, established relationships, and resources, which saves you time and minimizes uncollected revenue.

Final Word

PROs are an essential component of the music industry. They protect the rights of musicians rights and ensure fair royalty compensation for their work. Without PROs, royalty collection would be effectively impossible — especially in a global marketplace. By understanding how PROs operate and choosing the right one for you, you’re taking a critical step toward professional success.

If you’re an aspiring songwriter or recording artist ready to join a PRO, an experienced publishing partner can assist you through the process. Sugo Music Group has been helping artists publish and distribute music worldwide for over 40 years. By working with one of the industry’s top leaders, you can get your music the exposure it deserves and become the musician you’ve always wanted to be.