New Record Label

[caycay]

I'm trying to start my own Indie Record Label. Was wondering if anyone had any advice on how to get started on some basics before I start consulting legal biz people?

1.) Should you typically go with an LLC, Coproration, or Sole Proprietorship?

2.) Do you typically sign yourself first? Are there any benefits to this?

3.) Does signing yourself help you in any future deals or partnerships?

4.) Should I have any designation to it being an Indie Record label when registering it?

Any help would appreciated! thanks!

 

[caycay]

Any ideas?

 

[Epsilon-144]

It depends what you want to do.

if you're the only person who owns the label, then it'll be a sole proprietorship. But all income from the business is treated as your personal income and taxable under your income tax. if you have partnership, you'll share responsibility (obviously) with a partner....and most likely still treat all business income as personal income (one tax, for each of you).

A corporate structure has different tax law. It's treated as its own legal entity. It can be taxed separately, along with your own personal income tax. ...so I don't think that's what you want to do right now..

And yes, of course sign yourself. And honestly, focus on making your music competitive on a professional level before really diving into the business of record labels. People buy good records, because they love the music. They really have no clue what legal structure the label is running as, nor care. (but ya most likely, probably limited liability partnerships)

And sure, being signed to any label shows some advanced level of work in the music industry. Even if it's your own, you have something to show..

I hope that answers some of your questions.