The Digital Deals Comparison Calculator has been developed as part of the MMF’s Dissecting The Digital Dollar project alongside the ‘Deals Guide’, in order to make it easier to visualise the pros and cons of different label and distributor deal types.
By inputting the kind of deal you are signing up to, the investment a label partner will make, and the level of streams you are anticipating, you can see how subsequent streaming income will be shared between the label and the artist over the next five years. This is then counter-balanced with the list of services the label will provide.
In order to keep the Calculator as simple as possible to use, a number of assumptions have been made, about deal specifics, and streaming rates and royalties. Of course every deal is different, streaming rates are constantly evolving, and streaming royalties vary according to a number of factors. The Calculator is also specifically focused on streaming income, and does not include other revenue streams like physical, sync and PPL.
Therefore the Calculator is not intended as a financial planning tool, but to provide an easy way for artists and managers to compare the impact different deal decisions have on the way subsequent streaming income is shared.
This has been developed alongside the MMF’s ‘Deals Guide’ which you might want to read first. You should also check these instructions on how to fill out the calculator which outline the assumptions we have made and explain what each section is about.
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