Music recording is a lucrative business that generates billions of money around the world. Starting a recording company is always a daunting task, but there is a set of standard steps that have been followed by the most successful studios around the globe. These steps maximize chances of success by mitigating risks involved.
- Choose your music genre: For a starting company, it’s always advisable to have a narrow focus and target a particular genre of music, as opposed to attempting production of different genres. The format your music, whether physical or purely online content should also be considered. Physical products are almost always more expensive to produce and distribute, as compared to downloadable content.
- Develop a business plan: It should give details about your financial plans, marketing strategies and the plan to follow during recruitment of talent. It should give a clear idea of your strategy towards making your company profitable.
- Choose a name and brand look: The name of the company should ideally be catchy and unique. You could list down several names and settle on one, perhaps with assistance from friends. The company should also have a unique logo that looks professional and appealing to the eye. It’s advisable to enlist the services of a design professional.
- Establish all the costs to be incurred: This includes everything from sound system to electricity and recording costs. All costs, including the minor ones should be detailed, as the total cumulative amount could be quite a sizeable amount. You need to make provisions for future expenses like marketing costs, distribution costs and management fees.
- Create a strong team: It’s always advisable to surround yourself with talented people who will serve as marketers, sound technicians, graphic designers and others. It might be too overwhelming to do everything alone. Bringing in people with an eye for talent will help your company recruit the best performers who are likely to bring success to your label.
- Make your company a formal entity: It’s important to register your company as a limited liability entity to protect your personal wealth in case the company is involved in legal tussles leading to huge fines. At this point, it’s also important to acquire a business permit. A company well grounded in legal issues sends a message of confidence and transparency to the music world.
- Bring in the talent: To be able to recruit top talent, get out there and attend live performances of bands or individual performers. A key indicator in such performances is the reaction of the audience. Loud appreciation might be an indicator of talent and huge potential. However, use other methods to search for talent, including online platforms.
- Sign performance contracts with artists: The fact that you’re possibly starting the next big thing, ensure that artists agree to a performance contact that specifies how everything, including methodology to be followed when sharing profits.
- Publicize your label: This could be done by inviting the media to the recording premises, holding interviews as well as social media marketing. The aim is to introduce your new brand as one that is exciting and unique.
- Introduce your music to stores, both physical and online: The aim is to distribute music recorded by your company as widely as possible. This is a sure way to develop awareness.
- Build the artists’ confidence in your brand by talking to their agents: well established bands normally have agents who are tasked with identifying the best recording companies on behalf of their clients. As such, one only needs to convince the agent that the new label is the best in the market, and their clients will surely follow suit.
- Promote your company: Come up with creative ways of selling your brand to the public. For instance, you could hold regular regional promotional tours where you get to sponsor music competitions.
- Capitalize on Music hits: Not all the recorded music will end up topping the charts. For this reason, you should aim at maximizing promotion of top music hits recorded by your company. In other words, the target should be getting the most from every recorded hit.
- Have an organized music catalog: Fans should find it easy to buy old albums, not just the new ones. It will help increase sales.
- Develop a good, positive attitude when dealing with people: This will help cultivate a strong working relationship with artists and other market players.
It’s important to note that it’s possible to combine some of these steps and still achieve greatness. Whatever your strategy, make sure that you incorporate these steps in it. By doing so, you shall have put your label on a path of success.