With common investment opportunities considered questionable moves these days, why not add the indie music industry to your portfolio?
Major labels can offer limited contracts to bands and fulfill their dream of being the next big thing. Actual profit numbers have said to be minimal. The costs of practice space, studio time, producing, mixing, etc., have been taking from artist’s payouts from the labels.
Home studios offer more affordable producing and mixing services and can provide greater profits for those involved.
There are great independent artists and bands out there with all the talent and have a solid fan base, but need that extra funding to move forward.
True artists will say they are making music for the love of the art, but it takes money to keep their dream alive. Instead of taking on various jobs to get-by, artists will have more time to create their music by having someone invest in them.
How can you make money with this type of investment?
Help guide the band to run it like an actual business. You have the business experience to provide quality guidelines and insure you have a positive investment experience. Create a business plan with structure. Present it to the indie band you’re interested in investing in and be straightforward. Have a legal contract with realistic numbers prepared for the artist or band to view.
Free online marketing and affordable print marketing really make this type of investment a reality. Purchase a website for the band and set up free social media accounts to update current fans and make new fans.
Sell EP’s, full-length albums and singles on websites such as Supernova.com, CDBaby.com and iTunes. There are many free websites or sites who take little percentage from sales that can help sell music and turn a profit.
How can you do this with a limited timeframe?
Hire interns to take on busy responsibilities. There are diehard fans out there wishing to help their favorite artists move forward, so why not give them that chance. College students and graduates are also searching for internships or work and do not have the experience that companies are looking for on resumes. Take advantage of this situation. It benefits the fan, student or recent graduate and your business.
Don’t have the full funds available?
The key to making your investment produce positive results is communication. Make sure the band has the same business goals as you do. Let them know what you expect and ask for feedback about what they expect, as well.
Do you think a business model can work for indie artists? Do you know an artist or band that has this type of business structure currently set up? Has it worked for them? Please let us know in the comments section.