How much does a record label pay an artist?

When an artist signs a deal with a label, they should see themselves as an investment of the record label. Artists don’t get paid if they are with a record label. The record label lends them money that is to be paid back if/when the artist makes it. Suppose that a music label gives a band a $250,000 advance to record an album. The label agrees to do so in return for 90% of the sales. This percentage can vary from label to label and from artist to artist.

 

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