Comprehensive Paper: Music And Finance

Comprehensive Paper: Music and finance

Introduction

Music is believed to be part and parcel of everyone’s’ diurnal life. There is music around us from all corners whether in the car, elevator and office. Music is produced for number of reasons and categories. Music is performed for number of reasons. It includes esthetic, pleasure and ceremonial in order to obtain market. Finance is an aspect that assists in the sustenance of the music industry. Is music and finance really related? Many individuals will say but indeed there is the interlinking to make it successful. Music and finance are correlated in many ways. The artist in the music industry should have the financial knowledge and skills to manage their productions. It ranges from the acquisition

Professional musicians are those that engage in freelancer seeking the contract in order to get income. On the other hand, the Amateur musicians compose music at their own pleasure. They do not seek income. However, there is an interconnection between the two when performing or producing music. How often as the audience do we think the music comes from? Who gets the profit from the sales of the different songs in the world.it leads to the issue of finance in the music industry. There is a need for finance to manage all aspects of sales in the music industry. Presently the music industry is growing rapidly. The move is geared towards the chances for the new artist and the new entrepreneurial activities to make them succeed and fulfill their dreams. However, it starts with the knowledge base that leads to the understanding of finance in the industry. Finance is an important skill for any artist to succeed in the industry. It is an industry that is full of geographical diversification in terms of the product and services. All persons ranging from the directors artist and managers need to be equipped with the financial skill and knowledge to achieve the set objective. The financial aspect in the music industry is categorized into three parts. First there is the roughly weighted time spent every day in the creation of music. It entails the understanding of the financial calculations, money, markets, and funding

There is much funding needed for the creation and marketing of the new works. Most of the artist doesn’t get to the next level due to lack of the financial aspect. The equity model is sufficient for the mass creation of a market for the artist in the music industry. However to understand is the entire artist to be aware of the procedures of acquiring the crowdfunding. It is a world full of competition as a new day dawns. The crowd funding aspect is evidently seen in the royalty exchange. The publishing royalty have been a base for the new and innovative ways of assisting the musicians.IT was majorly created to provide the market aspect where there is revenue royalty to the investors. The artist and the songwriters find is a convenient platform for the sale of their music. For instance musicians like Whitney Houston and Aretha Franklin have benefited from crowd funding (Blinder,2013). The manager of the royalty exchange managed to raise $15000 from an investor. He is now able to receive cuts from the upcoming songs when it is played on television or radio and of streamed online. It gives so much revenue. The artist also leverages loans tin order to support their musical projects. The leverage loans are the most attractive and the rates are manageable by many artists in the music