Understanding the music industry can sometimes be overwhelming, especially when looking into performance rights organizations like ASCAP and BMI. You probably heard about these organizations but might not have a concrete understanding of their roles or their differences. In this article, we will outline what ASCAP and BMI are about and the key differences between them.
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Difference Between Ascap and BMI Table of Contents
What are ASCAP and BMI?
Both ASCAP (American Society of Composers, Authors, and Publishers) and BMI (Broadcast Music, Inc.) are Performance Rights Organizations (PROs) playing a vital part in the music industry. These organizations collect public performance royalties and distribute them to songwriters and publishers whenever their music is performed publicly.
ASCAP:
- Founded in 1914, ASCAP is the oldest of the PROs.
- It is owned and operated by its member songwriters, composers and music publishers.
- ASCAP boasts a diverse catalog spanning an array of genres, including pop, rock, hip-hop, film score, and more.
BMI:
- Created in 1939, BMI was intended to represent songwriters not included in ASCAP's initial charter.
- It is a nonprofit organization that represents over 800,000 songwriters, composers, and publishers.
- Similar to ASCAP, BMI also covers a broad spectrum of genres.
Differences between ASCAP and BMI
There are some key differences between these two organizations that can influence a songwriter's decision on which to join.
Membership:
In ASCAP, both songwriters and publishers can become members. On the other hand, BMI classifies songwriters as affiliates, not members, and only publishers are offered membership.
Distribution of Royalties:
Both ASCAP and BMI distribute performance royalties, but the way they disperse the royalties differ. ASCAP payout quarterly, while BMI pays out royalties monthly.
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Term of Agreement:
ASCAP has a one-year term of agreement that automatically renews. BMI, however, has a two-year agreement for songwriters and a five-year term for publishers.
Fee:
ASCAP charges a one-time membership fee of $50 for songwriters and publishers. BMI doesn’t charge any fee for songwriters while they charge $150 (individual) or $250 (companies) for publishers.
Board of Directors:
ASCAP's board consists entirely of elected writers and publishers, while BMI's includes outsiders from the broadcasting and music industries.
Difference Between Ascap and BMI Example:
Let's consider an example of an aspiring songwriter. He writes mainly pop music and performs his songs in local venues. The songwriter comes across ASCAP and BMI during his research on how to earn royalty from his songs. Considering the various factors, he may lean towards ASCAP due to its songwriter-centric approach, simple payment structure, and the yearly agreement term. However, if he wishes to avoid membership fees and opts for monthly royalty payouts, BMI may be the more attractive option.
Frequently Asked Questions
What are ASCAP and BMI?
ASCAP (American Society of Composers, Authors, and Publishers) and BMI (Broadcast Music, Inc.) are two of the largest performing rights organizations (PROs) in the United States. These organizations collect and distribute performance royalties on behalf of songwriters, composers, and music publishers whenever their music is played publicly.
How do ASCAP and BMI differ in their history?
ASCAP was founded in 1914 and is the oldest PRO in the United States, while BMI was established in 1939 as an alternative to ASCAP to provide representation for broadcasters and a broader array of music genres that were, at the time, underrepresented by ASCAP.
Are ASCAP and BMI non-profit organizations?
Yes, both ASCAP and BMI operate as non-profit organizations. Their primary purpose is to collect performance royalties and distribute them to their member songwriters, composers, and music publishers.
Can I be a member of both ASCAP and BMI?
No, songwriters and publishers typically choose to be affiliated with only one PRO at a time, either ASCAP or BMI, due to the exclusivity of their representation agreements.
How does the repertoire differ between ASCAP and BMI?
The repertoire of each PRO is based on its affiliated writers and publishers. While there is significant overlap, each organization may have exclusive rights to certain songs or catalogs depending on their agreements with the creators.
What are the costs associated with joining ASCAP or BMI?
ASCAP charges a one-time application fee for writers and publishers to join, whereas BMI does not charge songwriters to become members, but there is a fee for publishers. The fees can vary, so it’s best to check their respective websites for the most current information.
How do I earn royalties with ASCAP or BMI?
Royalties are earned when the songs you have written or published are played publicly, whether at a live performance venue, on radio or television, through streaming services, or at businesses and establishments.
How are royalties collected and distributed by ASCAP and BMI?
ASCAP and BMI monitor performances of music across various platforms and collect royalties from music users through licensing agreements. They then distribute these royalties to their members based on predefined distribution schedules and performance data.
Which PRO is better in terms of royalty distribution?
The "better" PRO varies depending on individual needs and experiences. Both ASCAP and BMI are reputable organizations and the suitability of each depends on your specific situation, such as the genre of music, distribution, and personal preference regarding member services.
Can ASCAP or BMI help me with licensing my music?
Yes, both ASCAP and BMI license the music of their members to various users like TV and radio stations, live venues, and digital services, ensuring that royalties are paid whenever music is performed publicly.
What type of customer services do ASCAP and BMI offer?
ASCAP and BMI both offer various member services such as educational workshops, networking opportunities, and online tools for registering works and tracking royalties. Customer service experiences may vary and can influence a songwriter or publisher's decision to choose one PRO over the other.
Is it easier to get my music played on radio and television with ASCAP or BMI?
Being affiliated with either ASCAP or BMI does not guarantee airplay on radio and television. However, they provide support and networking opportunities that could potentially lead to increased visibility and chances of getting your music played on these platforms.
How do I join ASCAP or BMI?
To join ASCAP or BMI, you can apply directly on their respective websites. You would fill out an application form, and in the case of ASCAP, pay an application fee. BMI requires no fee for songwriters but does for publishers.
What are the payout frequencies of ASCAP and BMI?
ASCAP generally distributes royalties on a quarterly basis, while BMI distributes royalties quarterly for writers and monthly for publishers. Specific distribution dates can be found on their respective websites.
How do ASCAP and BMI track performances of my music?
ASCAP and BMI track performances using a variety of methods, including digital monitoring, station logs, surveys, and reports from music users. They use this data to determine when and where music has been performed and distribute royalties accordingly.
Can international songwriters join ASCAP or BMI?
International songwriters can join ASCAP or BMI, but it is often recommended that they first join their local PRO which can then work in partnership with ASCAP or BMI to collect royalties generated in the United States.
Do ASCAP and BMI cover mechanical royalties?
No, ASCAP and BMI do not deal with mechanical royalties, which are royalties paid for the reproduction and distribution of music (like CDs, vinyl, and digital downloads). These are typically collected by separate mechanical rights organizations.
What is the role of a publisher with ASCAP and BMI?
Publishers play a crucial role in the music industry by managing and promoting the works of songwriters. With respect to ASCAP and BMI, publishers help ensure that songwriters’ compositions are properly registered with the PRO and help collect and distribute royalties awarded to the songwriters and themselves.
If my music is used globally, how do ASCAP and BMI collect international royalties?
ASCAP and BMI have reciprocal agreements with foreign PROs to collect royalties on behalf of their members for international performances. However, some songwriters and publishers choose to work with independent rights organizations or sub-publishers to manage international collections.
What kind of legal protection do ASCAP and BMI offer for my music?
ASCAP and BMI offer legal protection by enforcing the rights of their members. They monitor for unauthorized use of music and, where necessary, take legal action to ensure that proper licensing and royalty payments are made.
How do I know which PRO to choose between ASCAP and BMI?
To decide between ASCAP and BMI, consider factors like their fee structures, member benefits, customer service reputation, and which PRO has more affiliations with artists you align with or admire. Research both organizations thoroughly and consider speaking with other songwriters or industry professionals before making your decision.
Understanding the music industry, particularly the role of ASCAP and BMI, can be quite confusing. However, recognizing the differences can influence your music career's trajectory and help you make an informed decision about which organization to align yourself with. Explore more helpful guides on Lyric Assistant and don't forget to share this article with others who may find it useful.
