There is a traditional view in the music industry that record labels should cover all costs, and artists are hammered by professionals in the industry offering help in return for money.
We understand why that leads to skepticism when we reach out and ask you to fill in a form and ask about your budget (among other things) and you might be concerned with things like:
- Are they in it for the music or just another service company?
- If they believe in me, why do they ask me about my budget?
- Shouldn’t a “real” record label front their costs as proof of they believing in me?
The music industry has evolved, and so has the way artists and labels work together.
Partnership rather than ownership
The way we work is much like a partner. We call it a “hybrid record label”, which is a combination between a service company and a record label.
Many artists today prefer to maintain more control and ownership over their work rather than signing away the majority of their rights to a label that fronts all the costs. Traditional deals often mean the label takes a significant percentage of earnings from every song, every tour, and every piece of merchandise for years, leaving the artist with less creative and financial control. This is a trade-off that many don’t realize until they’re already locked into a contract.
At Rexius Records, we offer a hybrid model that allows artists to remain in control. Yes, our projects typically come with a cost, but that’s because we strive to maintain quality, sustainability, and fair compensation for the suppliers and partners we work with. The key difference is that by paying for certain services upfront, artists keep a much larger share of their future earnings and flexibility in their careers. In essence, we are partners in building success, not owners of it.
Does charging for services mean a lack of confidence?
A common misunderstanding is the assumption that because we charge for services, we don’t believe in the artist’s potential. The truth is, we wouldn’t reach out to you if we didn’t think we could help or see potential in the artist. We take a long-term view with every artist we work with, and we offer subsidized projects where we share the financial risk and have a vested interest in the outcome. This demonstrates our commitment to the music, but it’s also structured to give the artist a fairer deal in the long run. That said, we don’t take on the same level of risk as traditional labels, which has both advantages and disadvantages for the artists and the label.
Outsourcing growth and focus on what matters most
Many artists also choose to work with us because they recognize how overwhelming it can be to manage every aspect of a music career on their own. Just like companies outsource tasks to suppliers so they can focus on their core business, artists often partner with us to handle artist development, branding, distribution, and marketing—allowing them to focus on their music. It’s about having a team that complements their strengths and elevates their work to a professional level without overburdening them.
If an artist is capable of or prefers to handle certain aspects of their career themselves, we fully encourage that. Our goal is to offer unique services and resources that truly add value and are hard to find elsewhere, helping optimize the artist’s budget rather than draining it.
The Importance of a Fair Deal: Transparency and Informed Decisions
In the end, it’s all about the quality of the deal and the services offered. Whether working with a traditional or hybrid label, there are good and bad deals in both. For traditional labels, despite their upfront investments, there are so many cases with poor contract terms that leave artists feeling misled or undervalued.
So please evaluate us on if you believe we can give you more value than you give up in terms of control, royalties, ownership, and investment made, rather than on only one aspect of charging upfront or not.
We’re transparent about our model because we want artists to make well-informed decisions. It’s completely fine to choose a traditional label or do everything independently, and we understand that our model won’t work for everyone. We reach out to artists to show interest in their music, and from there, we assess whether we are a good match.
Our goal is to work with artists that we believe we can help, and that get value from us.
Make an offer
That said, we’re sometimes open to conversations about different types of collaborations. While our hybrid approach puts more control in your hands, we can explore ways to tailor a partnership that fits your needs. For example, in special cases, we offer opportunities where we share even more of the financial risk and take on a larger share in exchange for a higher royalty split, recoup, etc.
If you do think the way we work is interesting and you like the results we’ve provided in the past for artists, but you’d prefer another type of deal, please stand in our shoes and assess things like:
- How long have you come so far?
- How likely is this project going to generate financial success?
- What would you need from a record label and what are the costs involved?
- What value can you bring to the table?
- Would you accept your proposed deal if you were the record label?
If you thoughtfully have considered these things, please reach out to the A&R that contacted you and present the deal. If we can create a win-win situation that works for both parties, that’s great!