ASCAP and BMI are legitimate performing rights organizations that collect licensing fees and redistribute them to artists when songs are played on the radio or in film. Both offer a variety of perks for artists and have similar catalogs.
Choosing between BMI and ASCAP comes down to your specific needs as a musician. Ultimately, both do the same thing: make sure you get paid for your music!
How It Works
If you’ve been in the music industry for any time, you’ve probably heard of ASCAP and BMI licenses. These organizations are known as Performing Rights Organizations (PROs). They do one thing and one thing only: make your life easier by monitoring all the millions of songs that get played and paying the songwriters when they play.
These companies take care of this massive task by getting a blanket license from all the businesses that use music (which includes everything from bars to restaurants to radio stations). They then listen in on these performances and record the musical works used. After that, they pay the songwriters and music publishers their due amounts. They also handle licensing for karaoke, games and other things that aren’t technically live music.
Both ASCAP and BMI are huge and account for over 90% of all music being played in the US. They have so much power that the government has had to intervene and set up consent decrees to keep them from becoming monopolies.
Other collection societies exist. They operate slightly differently than ASCAP and BMI, but they do the same general job. For example, they have different perks and payout rates for their members. Depending on your needs, one of these suits you better.
Perks
ASCAP is a great choice for songwriters because their membership is free (for songwriters, at least). They also have an impressive list of perks and discounts on live performance insurance, instrument rentals, therapy sessions, hotel stays, and even music products. You can find all the perks on their website here.
BMI has a slight edge over ASCAP regarding perks for publishers because their fees are lower, and their payouts are faster. However, their contract lengths are longer, which could be a deal-breaker for some songwriters. Plus, they have a more limited catalog of songs and artists, though their numbers are still impressive.
While you can register with BMI and ASCAP, you can only use one at a time, so pick carefully based on your needs. Also, be aware that a venue or business may not accept both, so it’s best to check before you sign up.
While BMI has a smaller catalog and higher upfront fees, they’re also known for paying royalties more quickly. They also offer more international royalties than ASCAP, and their percentage system is simpler to understand. They also have a one-time joining fee, so you won’t need to pay annual dues. In addition, they have many connections with businesses and international PROs that can help you get paid.
Membership Fees
ASCAP and BMI both charge a membership fee to join. BMI is free for songwriters and publishers but does have a $50 one-time setup fee to join as an artist/musician. ASCAP has no setup fee but does require you to have a social security number to sign up. Both organizations are completely legitimate, and both have their pros and cons. It is important to know that you cannot be registered with both simultaneously – this will mess up your royalties and can be a pain to switch later.
Most music venues, radio stations, bars/clubs and other businesses that play music pay fees to ASCAP, BMI, and SESAC. This allows them to play various music and helps the artists get paid. They report to these PROs quarterly on the songs played so the artists can be paid accordingly.
ASCAP offers a ton of perks for its members, including access to events and various award shows, workshops, and discounts on music products and services. They also offer health, life and vehicle insurance, discounted music-related travel and hotel stays. Plus, they give members access to a songwriters Hall of Fame membership and multiple conferences that help artists advance their careers.
Signing Up
Ultimately, it depends on who you are and what you value from a PRO. Suppose you’re a US-based writer only interested in registering for performance royalties. In that case, BMI is the clear winner: they have a free signup process for writers and are known to pay royalty payments more quickly than ASCAP.
On the other hand, ASCAP has a very strong community-oriented culture and offers discounts on things like insurance, instruments, and studios. They also put on large networking events and conventions, allowing you to meet industry people.
SESAC, on the other hand, is an invite-only PRO with very low membership numbers compared to ASCAP and BMI. However, they claim to have a faster turnaround for royalties and a focus on sync licensing. They also offer member-exclusive workshops on topics such as songwriting, musical theater, and music Business 101.
When deciding which PRO to join, the best thing to remember is to register as soon as your songs are played publicly. You want to register with a PRO before you have a lot of radio airplay or digital streams, as you will be eligible for performance royalties after then.
