Music Editor Barry Fenton takes us on a journey through what it means to ‘get signed’ in the Music Industry, and how that’s changed as the industry has evolved.
You’ve done it! Everything an artist dreams of! You have been signed to a major record company, with a huge advance, and a massive budget for your next debut album! No more money worries. No more struggling. Life will now consist of sold out arenas, platinum albums, booze and drugs!
You’ve probably heard your favourite artists talking about how signing with a label was their big break. You’ve probably also heard the same artists pointing out how they made no money on their last hit record.
In the process of finishing his sophomore album, Irish hip-hop phenomenon Kojaque was dropped from his music label. Suddenly, he had no safety net and was faced with the gargantuan task of navigating the music business independently. Eventually, after co-founding his own label (Soft Boy Records) he was able to release music again. The result? Major success. PHANTOM OF THE AFTERS received widespread critical praise, and also topped the Irish charts. This also meant that the artist and his team actually saw the streaming and sales revenues, instead of the proceeds being sucked into the cavernous vacuum of Sony or Universal Music Groups.
This is a very common story in the music world. The 1975, Jack White, Skrillex, Demi Lovato, Jay Z, for example, all decided to make their own label instead of signing or continuing their deal with major companies.
It’s a very important factor in understanding why and how your favourite music came to be so unique and authentic … but it wasn't always this way.
“The Good Old Days”
Historically, record labels had a monopoly over music production, distribution, and marketing. Major labels like Universal, Sony, and Warner controlled the industry with the resources and connections to make—or break—an artist's career. Record labels provided a full suite of services including recording, marketing, distribution, and tour support, which allowed artists to reach wide audiences and establish lasting careers. The label was effectively the gatekeeper, deciding which artists gained access to the public.
For decades, signing to a label meant that artists had access to professional studios, high-quality production, and massive promotional budgets. But it also meant that artists were bound by strict contracts, sacrificing significant creative and financial control over their music. Labels might take ownership of recordings (masters) and often the majority share of the earnings, leaving artists with a small percentage of album sales and royalties. But for many, it was a worthwhile trade-off for fame and reach.
This pre-digital era would have been considered the “good old days” for music executives where they controlled the entire entertainment industry and could take a cut of virtually everything created by artists.
Old School Meets Indie
With the rise of technology, the internet, and affordable music production tools, artists today can record, produce, and distribute their music independently. An “indie” artist or band, in its simplest form, is one not signed to a major record label. Indie labels have existed for decades, but their role has evolved as independent distribution has become more accessible. Many independent artists today built a fanbase without a label, using platforms like YouTube, Spotify, and TikTok to reach millions of listeners around the world.
But even within the indie world, there are variations. Independent artists might work with smaller labels that offer specific services like distribution and marketing without the massive overhead and control exerted by major labels. These deals can provide artists with creative freedom while giving them a structure to get their music heard on a larger scale. For many young Irish artists, signing with an indie label is an appealing middle ground, providing the resources they need to grow without sacrificing artistic autonomy.
“Show Me The Moneyyyy”
The financial relationship between artists and labels has always been a controversial subject. Traditional label deals often come with an advance—upfront money that artists use for recording and living expenses. But this advance is essentially a loan; labels expect to recoup their investment from music sales, streaming revenue, and even merchandise. Until an artist "pays back" the advance, they won’t see much additional income from their music.
Streaming has complicated this model.
Platforms like Spotify and Apple Music pay out royalties per stream, but the rates are extremely low—usually fractions of a cent per play.
For unsigned artists, the streaming model is difficult, as it requires millions of plays to earn a significant income. Signed artists might reach a larger audience thanks to the label’s connections, but they often receive only a small percentage of streaming revenue after the label takes its cut.
“To Sign Or Not To Sign”
Today, Irish artists have shown a preference for smaller independent labels where they have the creative control. This is reflected in the up-and-coming generation at music colleges like BIMM in Dublin. The growing sentiment is one of an anti-label DIY approach. The more control, the more genuine; the less ‘sell-out’.
Signing with a smaller label puts more work on the artist to self-promote, but ultimately it benefits their artistic expression in the long run. While some see it as a sell-out, others see it as a valuable step toward a sustainable career. The decision often depends on personal priorities and what an artist values most: creative control, financial stability, or industry connections.
Final Thoughts
In today’s music landscape, labels are still relevant but in a very different way than they once were. They no longer hold the same monopoly over artists' careers. With platforms like Spotify, YouTube, and TikTok, artists can reach millions without traditional gatekeepers, and independent labels provide flexible alternatives.
As a result, major labels have had to evolve to stay attractive, offering artists new types of contracts, increased creative control, and social media support.
For many artists, labels have become partners rather than bosses. They’re still valuable for those looking to break into the mainstream quickly or who want the infrastructure and expertise labels provide. But now, labels are just one option in a spectrum. Artists can choose the major label route, the indie label path, or go fully independent, each offering different pros and cons.