Last week, I shared how I started my record label, Cymphani Music Productions, with less than $1,000. I hope sharing this information was helpful to someone. This week, I want to dive into my next steps after getting the paperwork for my label.
Now, one thing that used to get under my skin before filing my LLC was all the money I’d spend on expenses. Don’t get me wrong; I love what I do, but spending all of the money I was spending without having an LLC cost me a lot because, when you have an LLC, you have opportunities to write off those expenses. But let’s dive into what my first investments were after starting my label.
Before diving in I want to stress. Everyone’s journey is different and you may not have $5K to invest but this is still possible by planning and budgeting.
Studio Equipment
We all know what this is, lol.
- Laptops: A good laptop is essential for recording, editing, and producing music. Look for one with a fast processor, ample RAM, and sufficient storage to handle music production software and large audio files.
- Keyboards: Whether you’re playing live or programming beats, a MIDI keyboard can enhance your workflow and creativity. Consider getting one that is compact and portable, allowing you to create music anywhere.
- Interfaces: An audio interface bridges the gap between your instruments and your computer. It improves sound quality and provides the necessary inputs for microphones and instruments.
- Software: Invest in a Digital Audio Workstation (DAW) that suits your style. Popular choices include Ableton Live, Logic Pro, and FL Studio. Familiarize yourself with tutorials online to make the most of your software.
Why spend money at a studio when you can set this up at home? There are plenty of tutorials available on what to buy, how to set up, and how to use the equipment, making it accessible for anyone wanting to start producing music.
Digital Maintenance
I know you’re probably wondering, "What in the world is Digital Maintenance?" Well, this is my term for it. Digital maintenance refers to the expenses that you have to pay monthly to run your company digitally. For me, the main thing was my website fees, usually around $40 a month, but I decided to pay everything upfront for the year.
This can include:
- Website fees: Your website is your business card in the digital age. Investing in a professional-looking site can enhance your credibility and provide a platform to share your music, news, and merchandise.
- App subscriptions: Any app subscriptions related to your business, such as social media management tools (like Hootsuite or Buffer) and design software (like Canva or Adobe Creative Cloud), should be factored into your monthly expenses.
- Music distribution services: If you use platforms like DistroKid or TuneCore for music distribution that charge a monthly fee, this is an essential expense. These services help get your music on major streaming platforms, expanding your reach.
- E-commerce fees: If you sell products through Amazon or other online marketplaces, consider the fees associated with hosting and selling your merchandise.
Branding
Branding is crucial for establishing your identity in the music industry. It’s important to get your digital and physical appearance in order, as this reflects your brand's values and resonates with your audience.
- Logo design: Invest in a professional logo that encapsulates your music style and persona. A strong logo will help people remember you and create a cohesive image across all platforms.
- Visual identity: Ensure that your social media profiles, website, and promotional materials follow a consistent color scheme and design style. This consistency helps to build recognition and trust with your audience.
- Social media presence: Develop a strategy for engaging with your fans. Regularly post content that reflects your personality, music, and upcoming events. Consider using platforms like Instagram, TikTok, and YouTube to showcase your work and connect with followers.
Marketing
Yes, marketing, and I know you’re tired of hearing it, but marketing is what fuels your company.
We should talk about digital marketing for labels, including interviews and performance platforms. Yes, these cost money because you are using your platform to promote your business.
- Social media ads: Consider investing in targeted ads on platforms like Facebook and Instagram to reach a broader audience. Tailor your ads to your target demographic to maximize effectiveness.
- Email marketing: Building an email list allows you to communicate directly with your fans. Offer exclusive content or merchandise discounts in exchange for email sign-ups, and keep them updated on your latest projects.
- Collaborations: Partner with other artists or influencers to expand your audience. Collaborations can introduce your music to new fans and create buzz around your brand.
Merchandise
One of the biggest investments was merchandise.
- T-shirts: Custom apparel is not only a great way to promote your brand but also serves as a revenue stream. Consider designing shirts that reflect your music style and message.
- CDs: While digital downloads are prevalent, physical copies still hold value for fans who appreciate tangible items. Offering signed CDs can create a special connection with your audience.
- Download cards: These are a great way to provide fans with easy access to your music without needing to carry physical copies.
- Banners and stickers: Use these for promotional events and to enhance your visibility. Stickers are a cost-effective way for fans to represent your brand.
Merchandise is essential for branding and connecting with your audience, as well as providing additional revenue streams, especially during live performances.
A Tour Vehicle
A tour vehicle is vital for getting your team and equipment from place to place. We drove across the country, and having a reliable vehicle made all the difference.
- Choosing the right vehicle: Depending on your budget, consider options like a van or a bus that can accommodate your band and gear comfortably. Having a dedicated vehicle for touring can save you money on rentals and make logistics easier.
- Maintenance: Regular maintenance checks are crucial to ensure that your vehicle is in good condition before hitting the road. This can prevent costly breakdowns and delays during your tour.
Wardrobe
This is optional, but I’ve spent a lot of money on wardrobe. As an artist, you’ll need clothing and different props for music videos and appearances. However, this doesn’t have to be expensive; always stick to your budget.
- Style consistency: Develop a signature style that reflects your music and persona. This can help create a recognizable image that fans associate with your brand.
- Thrift shopping: Consider shopping at thrift stores or online marketplaces for unique pieces that align with your style without breaking the bank.
Touring
Talk about driving from state to state, purchasing Airbnbs, food, etc. It’s important to shake hands and meet people in person. Online connections are amazing, but nothing beats the experience of meeting people and vibing with them. Touring will also help your social media presence and grow your fanbase.
- Networking: Make it a point to connect with local artists, venue owners, and fans during your tour. Building relationships can lead to future opportunities and collaborations.
- Promotional tours: These don’t have to look like selling out arenas. Promotional tours are designed to include interviews, small shows, and mingling with people about your brand. They can be just as effective in building your fanbase.
I highly advise taking account of the things you’re already doing if you don’t have an LLC. Take note of what you’re spending money on because, after filing your LLC, those are expenses you can write off.
Following these steps will help you build the foundation to transition from starting your record label to having your record label exist and thrive in the music industry.
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