Royalties to a licensor are regularly underpaid for a number of reasons. Genuine mistakes including mis-interpretation of key provisions in the licence agreement, human error, in-adequate reporting and accounting structures, may mean that without knowing it, licensors are not being paid the royalties they are rightfully owed.  These failures and underpayments can only be identified by conducting a royalty audit.

We offer a comprehensive royalty tracking and audit service, we specialize in examining Sales Figures, Accounting Practices, Royalty Rates and other data of record labels, music publishers, and other related distributors.

We can identify most typical errors that lead to underpayments of royalties.

Some of these errors might include:

- Unrecognized licensed product and foreign subsidiary sales.

- Unauthorized deductions and the misinterpretation of underlying agreements.

There are a number of key ways in which, over time, artists and performers could be losing out:

1. A computer can only process data correctly when it is entered correctly. Human errors and omissions occur frequently.

2. Royalty compilation is currently much more complex than it has been in the past due to complicated multiple uses…with titles sampled or sold digitally via downloads. Songs are also used extensively in compilations, games, ring tones and movies, not to mention international sales.

3. Often, there are differences in interpretation of your contract between your interpretation and your label’s interpretation. Artists assume that they and their label are on the same page in this important area.

4. Many labels have considerable job turnover in their royalty department. This makes accurate record keeping more difficult.

5. Royalty records may be kept at multiple sites. This makes transfer of data an issue and can further allow for errors to occur.

 

We do our own investigative research on all the various usages and licenses made by the label worldwide to insure that the artist is receiving the proper royalty per his/her contract. With over 50 years of combined experience in the music industry, we will provide you with CONFIDENTIAL assistance in securing any unrecouped income you may have coming along with first class personal service.

After we examine the original recording contract(s) and begin the audit we often are able to clear up many “grey areas” we see in older agreements. A huge by-product of doing an audit is we often get the current proper royalty rates set with the label for all future earnings. This will increase your future earnings.

Our team has years of experience analyzing and interpreting complex industry contracts. Our team has recovered over 100 million in lost royalties. We are professional, non-threatening and would not jeopardize your future relationship with the label. We are approved by the labels and our clients are respected by them as well.

In most cases, an audit can cost the artist ten of thousands of dollars out of their pocket. After our free preliminary review of your situation and we decide to move forward with the audit it will not cost you anything. We get paid when you do from the proceeds of the audit. If we find nothing, it will cost you nothing. However, you will get the peace of mind that you are being treated fairly.