NXTNOW KNOWLEDGE BASE

Music Business Glossary

Plain-English definitions of music business terms: royalties, publishing, PROs, advances, recoupment, sync and more, for emerging artists and music producers.

29 terms · reviewed Oct 2026

Start here: the two copyrights in every song

THE SONGComposition

Melody and lyrics. Owned by songwriters and publishers. Earns performance and mechanical royalties.

Paid through: PROs, The MLC, publishers
THE RECORDINGMaster

The specific recorded version. Owned by whoever paid for or made it, often the artist or label. Earns master royalties.

Paid through: distributors, labels, SoundExchange

All terms

Showing 29 of 29 terms

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360 deal

Deals

A label deal where the label takes a share of income beyond recorded music, such as touring, merch, publishing and brand deals, in exchange for wider investment in your career.

A

Advance

Deals

Money paid to you upfront against your future royalties. It is usually recoupable: you receive no further royalties until your share has paid it back.

B

C

Content ID

Release

YouTube's system that matches uploaded videos against registered audio, letting rights holders earn from, track or block videos that use their music.

D

Distributor

Release

The service that delivers your releases to streaming platforms and stores and pays you the master royalties they collect.

Related:DSPISRCUPC

DSP

Release

Digital service provider: a streaming platform or download store such as Spotify, Apple Music or Amazon Music.

E

Editorial playlist

Promotion

A playlist curated by a streaming service's own staff. On Spotify you can pitch one unreleased song through Spotify for Artists ahead of release.

Related:DSPPre-save

EPK

Promotion

Electronic press kit: your bio, photos, music, press quotes and contacts in one link to send to blogs, bookers and labels.

Related:One-sheet

Exclusive license

Deals

A license that gives one buyer sole use of a beat or song, so the producer stops leasing it to anyone else. Terms on ownership and royalties vary by contract.

I

ISRC

Release

International Standard Recording Code: a 12-character code that identifies one specific recording. Each version, like a remix or radio edit, gets its own.

Related:UPCISWC

ISWC

Publishing

International Standard Musical Work Code: identifies a composition, not a recording. Usually assigned when the song is registered with a PRO.

Related:ISRCPRO

M

Master recording

Rights

The specific recorded version of a song. Whoever owns the master controls the recording and earns its royalties.

Master use license

Licensing

Permission from the master owner to use a specific recording in a film, ad, game or video. Needed alongside a sync license.

The MLC

Royalties

The Mechanical Licensing Collective: the US organization that collects mechanical royalties from streaming and download services and pays songwriters and publishers.

N

Neighboring rights

Royalties

Royalties for the public performance of a recording, paid to performers and master owners. Collected by groups like PPL in the UK; US AM/FM radio does not pay them.

O

One-sheet

Promotion

A single page summarizing a release: artist, title, date, key tracks, story and contacts. Sent with pitches to press, radio and retail.

Related:EPK

P

Performance royalty

Royalties

Paid to songwriters and publishers when a composition is performed publicly: radio, streaming, TV, live venues. Collected by PROs.

PRO

Royalties

Performing rights organization: collects performance royalties for songwriters and publishers. In the US: ASCAP, BMI, SESAC and GMR.

Producer points

Deals

A producer's percentage share of a master's royalties, agreed in the producer agreement and often paid after recording costs are recouped.

Publishing administration

Publishing

A service that registers your songs and collects your publishing royalties worldwide for a percentage of what it collects, without taking ownership.

R

Recoupment

Deals

When a label or investor earns back money it advanced or spent from your share of royalties before paying you more.

S

SoundExchange

Royalties

US organization that collects digital performance royalties for recordings played on non-interactive services like satellite and internet radio, for artists and master owners.

Split sheet

Rights

A signed agreement that records who wrote a song and each person's ownership share. Best done the day the song is written.

Sync license

Licensing

Permission from the songwriters or publisher to pair a composition with visual media such as film, TV, ads or games.

U

UPC

Release

Universal Product Code: the barcode that identifies a release, such as a single, EP or album, as a whole.

W

Work for hire

Deals

An arrangement where the person paying for the work owns it outright, so the creator gets no ownership or ongoing royalties unless the contract says otherwise.

Know the terms. Now run the operation.

Split sheets, release planning, pitch tracking and client management, all in the Music Accelerator.

Explore the Music Accelerator

Definitions are general information, not legal or financial advice. Rules and rates differ by country and change over time; check with your PRO, distributor or a music attorney before signing anything. Missing a term? Email info@nxtnowmusic.com.