Music licensing for commercials

The two rights you have to clear

The composition is the song as written, controlled by the songwriters and their publishers. The master is the specific recording, controlled by the label or the artist. A commercial needs both.

This is where most budgets go wrong. A quote of $10,000 usually means $10,000 per side, and a track can be cleared on one side and quietly unusable on the other.

What sets the fee

Every quote is a function of scope, not of the music itself:

• Media: paid social sits at the bottom, national TV and cinema at the top
• Territory: one market is a fraction of worldwide
• Term: three months costs far less than perpetuity
• Exclusivity: locking competitors out multiplies the fee
• Profile: a recognisable recording carries a name premium on both sides
• Edit rights: cutting and looping is a separate permission in traditional deals

How long clearance takes

Going direct, allow two to eight weeks for digital and eight to twelve for broadcast, plus legal review. Multiple rights-holders on one song, which is normal, means multiple approvals in sequence.

Pre-cleared licensing collapses that to the length of a checkout, because both sides were agreed before the track entered the library.

What you should always get in writing

Whatever route you take, the paperwork should state:

• The exact recording, including artist and ISRC
• Which rights are granted — master, publishing, or both
• Media, territory and term
• Whether edits, cutdowns and re-versions are permitted
• Who is indemnified if a third party makes a claim