In this episode of the Music & Money Investors Group Podcast, Jeff Schneider President of Royalty Exchange talks about a unique alternate asset class: the purchase of song royalties.
In this episode you’ll gain a high level understanding of what it means to invest in royalty streams, what exactly to look for when you are purchasing royalties and why an artist would sell their royalties.
Jeff also talks through the way cash flows in the music industry and explains how savvy investors can take advantage of serious tax advantages by investing in royalty streams.
This episode is for anyone looking to invest in alternative asset classes, not just for musicians or people who understand the music industry. Listen close as Jeff has a ton of information and wisdom to share from purchasing royalty streams to purchasing businesses!
Quotable moments from this episode:
“There are two different copyrights associated to every song… (it’s) important (as an) investor to understand the difference between the two. If you buy the composition copyright it doesn’t matter who sings that song; you’ll be able to earn money on it. If you buy the “master” version of the copyright then you’re only going to get that one version.”
“I’m a cash flow guy… I want cash in my pocket not just assets that claim to be appreciating in value. Royalties give you that, you get paid on a quarterly or semi-annual basis. It’s 100% cash, you have direct right to it, nobody else has claim to whether you get it or not.”
Resources mentioned in this episode:
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