Traps & Scams Every Musician Must Avoid

No Global Collection Via A Competent Admin - Traps & Scams Every Musician Must Avoid

No Global Collection Via A Competent Admin - Traps & Scams Every Musician Must Avoid

Warning. Some music administrators will tell you they cannot collect royalties globally and act like that is normal. That statement can mean everything from an honest limitation to a full scale scam. If you are a songwriter, producer, or artist you need to know the difference. This guide will teach you how to sniff out the bad actors, fix sloppy admin setups, and negotiate contracts that actually protect your money and your rights.

This article is written for artists who want to make bank without getting played. Expect real world examples, plain language definitions of industry jargon, and tactical steps you can use today. We will cover what global collection actually means, the most common traps, how to verify claims, contract language to insist on, and exactly how to get your royalties flowing from Berlin to Bogotá to Boise.

What People Mean When They Say No Global Collection

When an administrator says no global collection they usually mean one of three things. They do not have direct relationships with every collecting society worldwide. They do not have sub publisher agreements to collect in specific territories. Or they are avoiding the work of claiming foreign royalties on your behalf. Each scenario has different consequences.

Scenario A: Honest limitation

Some smaller administrators manage rights well inside certain territories but lack the infrastructure for foreign collection. That is okay if they are upfront and you know what part of the world they will cover. For example a boutique US admin may collect in the United States through ASCAP, BMI, or SESAC and use a trusted partner for the UK. If they say they do not collect in Eastern Europe you then know to register with local societies yourself or sign a sub publishing deal.

Scenario B: Route to sub publishers or partners

A competent admin will offer to place your works with sub publishers in target territories. Sub publishing is when your admin contracts another local administrator to collect and remit royalties for a fee. That is standard. The red flag is when the admin claims sub publishing is impossible and then suggests you join a different plan that benefits them more than you.

Scenario C: Evasive answer that hides a scam

Some admins say no global collection because they want to avoid the headache of payments and audits. In practice they then quietly keep foreign royalties or never report foreign uses. Or they promise to register your works with their own shell entities that do nothing useful. That is a scam. You will seldom see foreign royalties if you accept that dodge without evidence.

Essential Terms You Must Understand

If you do not know this vocabulary you will sign things you regret. We define each term and give a quick real life scenario so it makes sense.

Collecting society or collecting organization

This is a group that collects performance royalties, mechanical royalties, or neighboring rights on behalf of songwriters and performers. Examples are ASCAP and BMI in the United States, PRS in the United Kingdom, SOCAN in Canada, and SGAE in Spain. Scenario. You perform a song in London. PRS collects money from the venue or broadcaster and pays the songwriter registered with PRS. If your admin has no relationship with PRS your money might never travel from the venue to your bank.

Performing rights organization or PRO

This term usually means the society that pays performing rights royalties when a song is broadcast, streamed, or performed in public. PRO is an acronym. Scenario. A radio station in Tokyo plays your track. The local PRO collects for public performance and then pays out to its members or to partner societies. If you are not registered properly the money will go to someone else or remain unclaimed.

Mechanical rights and mechanical collection

Mechanical royalties are payments for making copies of music whether physical or digital. In the United States mechanical licensing for digital audio is handled by the Mechanical Licensing Collective, abbreviated MLC. Scenario. Your song is streamed on a service that pays mechanicals. If the admin says no mechanical collection worldwide they may be ignoring digital streaming income in other territories.

Neighboring rights

Neighboring rights are royalties owed to performers and sound recording owners for public performance of the recording, such as radio play. These are handled by different societies than songwriting performing rights. Scenario. A club in Paris spins your recording. A French neighboring rights body collects and owes the performer and the owner of the master. If your admin is not on top of neighboring rights you could lose a steady income stream.

Sub publisher

This is a local publisher or admin that represents your catalog in a specific territory. Sub publisher agreements are common for global collection. Scenario. Your US publisher makes a deal with a German sub publisher to collect rights in Germany. The German sub publisher knows local reporting systems and relationships and can chase payments that a remote admin cannot.

Reciprocal agreement

Collecting societies typically have reciprocal agreements that allow them to collect for each other. Scenario. PRS in the United Kingdom has an agreement with ASCAP in the United States. When your song plays in New York and you are a member of PRS you still get paid through the reciprocal chain. Administrators that do not understand or use these mechanisms are failing you.

IPI and CAE numbers

IPI and CAE are unique identifiers for songwriters and publishers. They help societies match usage to rightsholders. Scenario. You have two versions of your name. Without an IPI your royalties might split into multiple accounts or disappear. A good admin will insist your catalog is clean and registered with correct IPI entries.

Why Claiming Global Royalties Is Hard

Global royalty collection is messy and bureaucratic but that does not mean it is optional. Here is why it is complicated and why you should still insist on it.

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  • Different societies collect different things in different ways. No single system covers everything.
  • Territorial rules vary. Some countries require local representation to claim money.
  • Data mismatches and metadata errors block payments. You need clean ISRC and ISWC codes. ISRC is the International Standard Recording Code. ISWC is the International Standard Musical Work Code. Both help tracking systems find your works.
  • Statements and audits across societies look different. Reconciliation can be slow and manual.
  • Some countries take years to pay. Waiting is normal but you must still be in the queue.

Knowing those facts helps you spot excuses. If an admin says global collection is impossible they are lying. It is harder, yes. It is impossible, no.

Common Traps and Scams

We ordered these from subtle to malicious. The subtle ones will erode trust slowly. The obvious ones will steal your money fast. If any of these sound familiar you should act.

The vague promises trap

An admin promises to collect worldwide but gives no details on which countries or which societies. Red flag. Real collection arrangements come with names. Ask which societies and which sub publishers will handle your catalog. If you get vague answers move on.

The single society excuse

The admin claims they will register you with only one society and that will somehow collect everywhere. That is not how it usually works. Reciprocal agreements help but those only cover certain royalties. Mechanical rights and neighboring rights often sit outside that single society. Make them explain how mechanicals and neighboring rights will be collected.

The exclusive forever trap

Exclusive admin or publishing deals that last decades are common bait. They look like security but they often lock you into low rates while your admin harvests all new revenue streams. Never sign an exclusive perpetual agreement without strong reversion clauses and audit rights.

The fee stacking scam

Your admin charges you a fee and then the sub publisher charges their own fee. That is normal if both are disclosed and reasonable. It is a scam when the admin pockets the sub publisher fee or when fees are not disclosed at all. Ask for a fee schedule that lists all commission tiers and any third party deductions.

The ghost sub publisher

Some admins claim to work with sub publishers that do not exist or do nothing for your account. They will give you a name that is actually a shell company controlled by the same team. Verify sub publishers directly. Look up the sub publisher online, call them, and ask about your catalog. If your admin refuses this step you have a problem.

The statement black hole

Admins who give infrequent or vague royalty statements are hiding things. You should get clear statements at least quarterly with line by line details. The worst offenders send annual summaries that make it impossible to audit. Ask for monthly or quarterly statements. If they refuse that request find a different admin.

The recoupable advance masquerade

An admin offers an advance that looks attractive and then labels every little expense as recoupable to avoid paying you anything. Always get a clear breakdown of how advances are recouped and what counts as an expense. Make sure any recoupment is limited to documented third party costs and not vague internal overhead.

The metadata sabotage

Your admin intentionally misreports splits or metadata so payments go to collaborators or to the admin themselves. That is theft. Insist on ownership of your splits and the ability to access and correct metadata at any time. A clean metadata record saves you months of chasing unpaid royalties.

Learn How to Write Songs About Music
Music songs that really feel tight, honest, and replayable, using pick the sharpest scene for feeling, prosody, and sharp image clarity.
You will learn

  • Pick the sharpest scene for feeling
  • Prosody that matches pulse
  • Hooks that distill the truth
  • Bridge turns that add perspective
  • Images over abstracts
  • Arrangements that support the story

Who it is for

  • Songwriters chasing honest, powerful emotion writing

What you get

  • Scene picker worksheet
  • Prosody checklist
  • Hook distiller
  • Arrangement cue map

How to Verify an Admin Is Legit and Competent

Do not take anyone at their word. Here is a checklist to verify competence and honesty.

  1. Ask for a list of societies and sub publishers they work with. Then call or email two of those partners to confirm they actually represent the admin.
  2. Request sample royalty statements from current clients. Look for line level detail and timestamps. A real admin will provide anonymized examples.
  3. Check public records and company filings. Does the admin have a business license and bank accounts in a normal name? Any shell company signs should alarm you.
  4. Ask for references. Speak to two clients who have been with them for at least two years. Ask about payment speed and dispute resolution.
  5. Confirm IPI and registration practices. How do they register ISWC and ISRC codes? Who owns the registrations and can you access them?
  6. Read the contract for audit rights. You need the right to audit at least once a year at your cost or every two years with shared costs.

Must Have Contract Clauses

When you sign an admin agreement include these bulletproof items. We write them in plain English so you can paste them into negotiations.

Territory language

Title the territory clause. If you want worldwide collection say worldwide. If you will accept gaps demand a list of excluded territories. Example clause language. The administrator will collect and remit royalties worldwide except for the territories explicitly listed in an attached schedule. That schedule may be updated only by signed amendment.

Transparent accounting and frequency

Insist on monthly or quarterly statements. Specify the minimum level of detail. Example language. The administrator will provide quarterly statements that disclose country of collection, society name, gross amount, deductions itemized by name and amount, and net remitted amount. Statements will be delivered within 60 days of period end.

Audit rights

Demand the right to audit with clear terms. Example language. The rightsholder may audit the administrator and any subcontracted sub publisher with 30 days notice. The administrator will provide access to records. If the audit uncovers underpayment greater than five percent the administrator will reimburse audit costs.

Sub publisher transparency

Require a sub publisher schedule. Example language. Prior to execution the administrator will provide a list of sub publishers and their agreements. The rightsholder will have the right to approve or reject any new sub publisher for any territory within 30 days.

Reversion and termination

Never accept a deal without reversion rights. Example language. The agreement will be terminable by either party with 90 days notice. Upon termination all rights revert to the rightsholder and the administrator will deliver an accurate accounting and transfer administration files within 30 days of termination effective date.

Fee clarity

Spell out fees and third party charges. Example language. The administrator will take a commission of X percent on gross collections. Any third party fees charged by sub publishers will be passed through with no markup and will be listed on the statement. No fees will be deducted for administrative overhead unless explicitly agreed in writing.

Do not let your admin sell control without your say. Example language. The administrator may not assign this agreement or delegate collections to an affiliate without prior written consent from the rightsholder.

How To Recover Lost Foreign Royalties

If you suspect money is missing here is a game plan that does not require a law degree or a second mortgage.

  1. Gather evidence. Your registrations, ISRC and ISWC codes, performance dates, platform URLs, and any statements are your dossier.
  2. Contact the local collecting society in the territory where the use occurred. Provide your IPI or CAE number and the ISWC if possible. Ask if the use generated a claim and who was paid.
  3. If the society paid a sub publisher ask for the payment trail. That will show which entity received the cash.
  4. Confront your admin with the evidence and request a formal written accounting within 30 days.
  5. If the admin refuses to cooperate file a complaint with your local PRO or with a trade association. Some societies mediate disputes between rightsholders and administrators.
  6. If the amount is significant hire a lawyer who specializes in music rights. Contracts with a decent audit clause often give you leverage for recovery and for legal fees if fraud is proven.

Tools And Services That Make Global Collection Easier

You do not have to do this alone. Use these services to plug gaps.

  • SoundExchange for United States digital performance royalties. Register recordings early. Scenario. Your track gets streamed heavily on satellite radio. SoundExchange picks up that money and pays recording artists and rights owners directly.
  • The Mechanical Licensing Collective or MLC for US mechanicals. Register works so digital mechanicals get allocated properly.
  • Performing rights societies like ASCAP, BMI, PRS, SOCAN, and APRA AMCOS. Register early and keep metadata clean.
  • Neighboring rights societies in Europe, Latin America, and Asia. Each territory has at least one body that collects performer payments. Use resources from your local trade groups to find them.
  • Metadata tools and release managers that ensure accurate ISRC and composer metadata. Bad metadata is the number one reason royalties go missing.

Red Flags You Should Never Ignore

  • Refusal to provide a list of societies and sub publishers.
  • No sample statements or only annual aggregated reports.
  • Unclear or undisclosed fee structure.
  • Language that allows the admin to retain foreign collections without accounting.
  • Requests to register works under the admin name instead of your controlled publisher name.
  • Long lock in terms without reversion triggers like bankruptcy, insolvency, or sale of the company.

Practical Negotiation Scripts You Can Use Today

Artists often freeze when contracts land on the table. Use these bite sized lines to get answers fast.

Script for territory clarity

"Please list the specific societies and sub publishers you will use for territories outside the United States. I need names and contact emails so I can confirm representation."

Script for fee transparency

"Provide a fee schedule that lists your commission, third party commissions, and any other deductions. I will not accept undisclosed markups."

Script for audit access

"Add an audit clause allowing me to audit records at least once every 12 months with the admin covering costs if the audit reveals underpayment greater than five percent."

Script for termination and transfer

"I need a clause that guarantees transfer of administration files and registrations within 30 days of termination and that all accrued but unpaid monies will be remitted within 90 days."

Real World Example: The Roommate Label Scam

Imagine you and your friend start a tiny label. You trust them. They form an admin company and register your songs under the label name they control. When royalty checks start to arrive the label puts the money into a shared account and slowly starts paying you only after deductions. The label also tells you they cannot collect in Eastern Europe because they have no presence there. When you ask they show you a supposed sub publisher name that turns out to be an address linked to their cousin. This is common and painful.

How to avoid it. Do not sign documents that register works under someone else without a royalty split and audit right. Insist on your own publisher name and IPI number. Require all accounts be paid into a professional escrow or trust account that is transparent and audited. If your friend refuses move on and take the catalog with you before the checks start.

Checklist Before You Sign Anything

  • Do you know which societies will collect where?
  • Are commissions and third party fees fully disclosed?
  • Do you have audit rights and reversion triggers?
  • Is metadata ownership and access explicit?
  • Who controls ISRC and ISWC registrations?
  • Where are the statements delivered and how often?
  • Is there a defined process for termination and transfer of rights?

When To Call In a Lawyer

If you see evidence of intentional misdirection such as forged statements, suspicious shell companies, or the admin refusing to provide line level statements you should consult a lawyer. A lawyer with music industry experience will help you evaluate whether the issue is a breach of contract or potential fraud. They will also draft stronger clauses and help recover funds if needed.

What To Do If You Are Broke And Stuck With A Bad Admin

Legal action can be expensive but there are steps you can take without big money.

  1. Document everything. Screenshots, emails, and statements create the paper trail you need.
  2. Contact the collecting societies directly. They often respond to rightsholders and can confirm payments or lacking registrations.
  3. Use social pressure. Posting a factual account to artist forums and trade groups can trigger quicker responses. Be factual to avoid defamation issues.
  4. Seek pro bono advice from music law clinics at universities. Many have programs for emerging artists.
  5. Negotiate a withdrawal and transfer of rights. Tell the admin you will take the matter to the society if they do not cooperate. Many admins prefer to avoid official complaints.

How To Build a Foolproof Admin Relationship

Good admin relationships look like partnerships. They are transparent, accountable, and designed to scale. Here is how to build one.

  • Start with a short exclusive period like 12 months. See what they deliver and only extend if they earn your trust.
  • Require clean metadata workflows and direct access to the registration portals where possible.
  • Agree on a single point of contact and an escalation path for disputes.
  • Negotiate performance clauses. If they do not collect from agreed territories within six months you get the right to terminate without penalty.
  • Keep your own records and registrations. Even if you use an admin you should register with the primary societies yourself.

FAQ

What is global collection and why does it matter

Global collection means your royalties are tracked and collected wherever your music is used around the world. It matters because uses in other countries generate real income. If you ignore foreign collection you are leaving money on the table. It also matters for transparency. Proper global collection requires registrations, sub publishing, and accurate metadata. When done correctly it turns airplay and streaming into bank deposits.

Is it normal for small admins to not collect everywhere

Yes it is normal for small admins to have limits. The problem arises when they fail to disclose those limits. A trustworthy small admin will be explicit about the territories they cover and will offer a plan for territories they do not cover. Silence or vagueness is a red flag.

Can I collect foreign royalties myself

Sometimes you can. You can join foreign societies directly in some countries. Other times local representation is required. For performance royalties contact the local PRO. For neighboring rights contact the local performer rights organization. For mechanicals check local mechanical societies or use a sub publisher. The DIY route demands time and patience but avoids middlemen who do not earn their fee.

How long does it take to receive foreign royalties

Time varies by country and by society. Payments can arrive within months or take several years in some territories. Expect slow payments, but expect to be in the payment queue. If an admin tells you there will never be payment that is a lie or a failure to act.

What does a reasonable admin commission look like

Commissions vary. A typical administration commission might range from 10 percent to 25 percent on gross collections. Sub publisher fees vary and may be an additional 10 percent to 20 percent. What matters is full disclosure and no hidden markups. Low commissions are not impressive if the admin does not collect properly.

What should I do if my admin registers songs under their company name

Demand immediate correction and an explanation. Your works should be registered under your publisher name or your own publishing entity. If the admin resists you may need to threaten society complaints and termination. Documentation of ownership and prior use will help support your claim.

Can I audit my admin

You should have the right to audit. Good contracts allow annual audits with reasonable notice. Audits protect you and keep admins honest. If your admin refuses to permit audits that is a major red flag.

How do I find a trustworthy admin

Ask for references. Speak to artists with similar career stages. Check with local industry associations and trade groups. Look for transparency, good reporting cadence, and clear sub publisher lists. Do not be impressed by buzz. Be impressed by statements that show where money came from and where it went.

Learn How to Write Songs About Music
Music songs that really feel tight, honest, and replayable, using pick the sharpest scene for feeling, prosody, and sharp image clarity.
You will learn

  • Pick the sharpest scene for feeling
  • Prosody that matches pulse
  • Hooks that distill the truth
  • Bridge turns that add perspective
  • Images over abstracts
  • Arrangements that support the story

Who it is for

  • Songwriters chasing honest, powerful emotion writing

What you get

  • Scene picker worksheet
  • Prosody checklist
  • Hook distiller
  • Arrangement cue map


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About Toni Mercia

Toni Mercia is a Grammy award-winning songwriter and the founder of Lyric Assistant. With over 15 years of experience in the music industry, Toni has written hit songs for some of the biggest names in music. She has a passion for helping aspiring songwriters unlock their creativity and take their craft to the next level. Through Lyric Assistant, Toni has created a tool that empowers songwriters to make great lyrics and turn their musical dreams into reality.