The Business of Independent Music: A Guide for the New Band on the Block

A Guide for Emerging Independent Artists

We often hear that music is a business, and yes, there are multiple business aspects to a musician’s vulnerable and unsuspecting position.  Bands must promote, book shows, design websites and flyers, sell CDs and merchandise, and create a fan base.  Management, booking agents, and promoters can take this pressure off of a band, but how does a band decide which of the plethora of these businessmen to hire?  And are they comrades interested in the mutual benefit of the business and the band, or are they snakes in the grass?  How can a new band progress if everything they make is given away to pay for these services?  What kind of business is this, when the compensation for the product (the musicians) is neglected, while the venues, promoters, and agents make their piece of the pie? And how does the business end prosper, if the bands they work for don’t pull in enough people to a show to cover the costs?

In independent music, the business end can better benefit all parties involved when it is community-focused and reciprocal in gains.  Imagine the days of real neighborhoods, where Johnny played at everybody’s house and his friend’s parents fed him dinner and considered him family, and if someone needed their car fixed, all the neighborhood buddies would work on it.  This type of “give and take” care for one another can help everyone involved in local independent music become stronger and gain attention.  Though it’s called “independent,” no one can pull this off all on their own.  So, how do they integrate?

Compensation is delivered in forms other than dollar bills.  Musicians get gigs and recognition, while promoters become established in a music scene.  Venues develop a reputation based on the bands and promoters that frequent their establishment.  Band managers gain experience interacting within radio and industry circles that get a band noticed, while the band gets to focus on writing and creating.  In the indie music business, none of the entities involved usually make money.  Promoters have to pay for advertising, production costs, and riders.  Venues have to pay for their equipment, license, and lease.  You get the picture.  Because money is not usually the motivating factor for being a part of the indie music scene, bands should carefully consider the motivation of the players on the business end of music. Do they believe in your music, or do they just need bands to work with?  How much are they making compared to how much you can potentially make?  Are they open regarding the costs incurred?  Everyone involved puts in long hours without a lot of payback, so how does a non-established band figure out what’s fair for them and the business folks that help them? Here are some suggestions.

Working with promoters

If you are in a band and thinking about working with a promoter, consider the following: Working with promoters is a good thing for bands, because the promoters take care of booking a show, pay the production costs of the venue and spend the money and time to promote it.  They offer bands payments in several different ways; a flat fee, a percentage of the door, or ticket sales.  Usually, promoters working with bands that are just beginning to emerge on the scene will not pay a band a flat fee.  More often, the promoters will offer the bands a percentage of the door sales after production costs are met.  This is a very fair method of compensating both promoter and musician.  Look out for promoters that make you sell an unreasonable amount of tickets before the band gets paid from the ticket sales.  If you work with a promoter like this, the band will likely never make any money, because by the time you sell all the tickets you’re going to sell, you just meet the promoter’s quota.  That’s great for the promoter, because he/she gets their cut, but you’ll end up with just another show and no cash flow!  This is when it matters that the promoters you work with believe in your music and helping the band evolve, rather than just working with a bunch of bands that help push their own agenda.

Working with venues

If you chose to bypass the promoter and take all the tasks of promotion on yourself, you will still need to deal with the venue.  Keep in mind that venues generally work hand in hand with promoters, and it becomes easier to book through a promoter that the venue is familiar with, as opposed to getting a show booked on your own.  That does not mean that it’s impossible to book on your own!  Of course, it’s not!  Before you try to book, make sure to become familiar with the venue’s policies.  Check the venue’s website and figure out if your genre of music is even acceptable at the venue you’re pursuing.  If so, before you send an email or make a call, read over their booking procedures and look at their schedule to determine what open time slots you’ll be inquiring to book within.  You’ll have a better chance at booking the gig if you start off with some background information about the venue, so do your homework and have a couple of other bands in mind to fill up the slot.  And, before you set anything up, make sure you know what they charge for production and that your show earnings will be able to cover it.

Managers and Booking Agents

As a newbie in the local scene, a band can usually swing it with one or the other.  If a band gets a manager, he/she will likely take on the tasks of booking shows or finding promoters with whom to book shows. The most important thing for a band to consider when choosing a manager is this: does this person think my band is the best thing to have ever come into existence? Next most important considerations are how skilled is the person at management/business deals and how patient, persistent, disciplined and organized is he/she? If a band starts to get attention beyond the regional, a booking agent comes in handy.

Everyone involved in the workings of the indie music scene will have to be prepared for sacrifice and teamwork, but if the focus remains on getting good music out to the masses, as opposed to making a quick buck, eventually everyone prospers.  Final advice: don’t burn bridges unnecessarily and stick to your convictions while maintaining compromise.

Nadia Lelutiu

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