musiclabel

A music label, or record label, is a business entity that signs artists, develops their recordings, and releases music to the public. Labels typically handle the creative and commercial processes involved in turning recordings into commercially available music, including talent scouting and development, overseeing the production of masters, and coordinating marketing, publicity, and distribution.

Core activities include identifying and developing talent, coordinating recording sessions, manufacturing physical formats, distributing music through digital and physical channels, and promoting releases. Labels also manage catalog material, negotiate licensing for film, television, and advertising (sync licensing), coordinate with music publishers, and often support touring and branding efforts. In many cases, labels provide advances and ongoing budget support to artists, with royalties and recoupment arrangements in place.

Ownership and revenue structures vary by contract. In traditional recording deals, the label typically owns or controls the master recordings and advances are recouped from future earnings. Artists earn royalties after recoupment, with revenue streams coming from sales, streaming, digital downloads, sync licensing, and sometimes merchandise or live performance. Some labels operate as distributors or offer label services for independent artists who retain ownership of their masters, receiving support in exchange for a fee or a share of revenues.

Types of labels include major labels, which are large multinational groups with extensive distribution networks and sub-labels; and independent (indie) labels, which are smaller and often specialize by genre or region. The digital era has reshaped the industry, increasing emphasis on streaming, catalog exploitation, data-driven marketing, and varied business models such as distribution-only deals and label services for artists.