#+title: Start a Music Production Company: Build an LLC pt2
#+HTML_HEAD: <link rel="stylesheet" type="text/css" href="../../../_share/media/css/org-media-sass/categories/business.css" />

* Links
#+attr_html: :class links
- [[../../toc.org][TOC - Music Money Makeover]]
- [[https://www.youtube.com/watch?v=carkuV-uVpw][youtube video]]

* Notes

- building a production is not glamorous
- people operate alone and need connectiosns
  - knowledge
  - experience

** preface - what you will need
1. 3 LLCs
2. 3 EIN numbers
3. 2 Bank Accounts (Business)
4. Accountant (eventually)
5. Corporate Attorney (eventually)
6. Tax Attorney (eventually)

**  previous structure
*** format
1. Operations, LLC
2. Asset Holdings, LLC

*** producer
1. making beats
2. getting placements

** ultimate company setup
*** format
1. Operations, LLC
2. Prodution Label, LLC
3. Asset Holdings, LLC

*** producer
- makings beats
- getting placements
- coaching and producing a particular artist
  - they will sign to them
  - get a joint venture deal / record deal down the line

*** problem
doing the coaching to sign a deal is a very difficult

** Description of LLC's
*** Operations
- all of your physical labor
  - leasing
  - beat sales
  - endorsements
  - producer royalties
  - publishing royalties

*** asset hodling
- all intellectual property
- the more valuable assets you have in your company the eaiser it will be to do a publishing deal with you as an asset owner
- this company has to stay clean (meaning: copyrights clean) for people who want to do publishing deals with you, ie investors

*** Production Cmopany
- signing an artist to you
- you will be
  - signing the talent to secure
    - record deal
    - joint venture
    - licensing deal
  - finders fee percentage of the artist advance
  - plus producer fee
  - plus producer advance
  - option to have a label imprint (percentage of deal)

*** warning
- your job when signing an artist is to get them signed to a bigger label
- your responsibilities
  - studio time
  - production time
  - seeking songwriters
  - giving a small binder advance

** Asset Holding (Bonus)
*** Asset Holdings
- Asset Holding, LLC | Hits Songs
- Asset Holding, LLC | Other Songs
- Asset Holding, LLC | Production Label

*** What you can do
- sell off
  - all of it
  - parts of it