A Comprehensive Review of Songvest: A New Era in Music Investment

April 15, 2024

Making a Scene brings you a “Comprehensive Review of Songvest: A New Era in Music Investment”

Introduction

SongVest, a unique and innovative platform, has emerged as a novel way for music enthusiasts to invest in songs, leading to a new form of music royalties investment. This groundbreaking approach not only allows fans to foster a deeper connection with the music they adore but also opens up a fresh income stream for songwriters and artists. We will delve into the key aspects of SongVest, scrutinizing its unique business model, the multiple benefits it offers to investors, and the distinct advantages it presents for songwriters.

The Innovative Business Model

SongVest operates on a fascinating premise of selling shares in songs. These shares, representing a percentage of the future royalties that the songs are expected to generate, serve as a gateway to the music industry for investors. The platform auctions off these song shares, fostering a competitive environment where investors can bid on shares in songs they believe will generate substantial future royalties. This business model forms a stark contrast to traditional music investment, which typically involves investing in an artist’s overall career or a record label. By focusing on individual songs, SongVest opens up an entirely new dimension in music investment, allowing investors to tap into the potential of specific tracks.

Unraveling the Benefits for Investors

SongVest presents a myriad of benefits for potential investors. The platform’s focus on individual songs allows for a highly targeted approach to music investment. Investors can focus their resources on tracks that they predict will perform well, making for a strategic and potentially rewarding investment. The decision-making process thus becomes more calculated and precise, increasing the likelihood of a successful return.

In addition to the financial implications, SongVest offers a unique way for fans to forge an emotional bond with their favorite music. As they become partial owners of the songs they love, the listening experience becomes more personal and satisfying. There’s a certain thrill and sense of pride that comes with knowing you have a stake in the success of your favorite songs.

Lastly, the advent and subsequent rise of digital music streaming and the potential of “Blockchain” based streaming platforms like Audius.co, Opus.audio, etc., have led to the potential for song, mechanicals and performance royalties to increase exponentially. This trend, coupled with SongVest’s innovative approach, makes it a highly attractive and potentially lucrative investment opportunity.

SongVest is on a mission to democratize music investing. We are the first music marketplace to offer unprecedented access to purchase fractional shares of music royalties from your favorite hit songs and artists.

Our platform make’s the process of investing in music easy, safe, and secure. Buy SongShares® of your favorite hit songs and earn royalties as they accrue. Earned royalties are paid out every quarter.

How Does it Work

Their experts find, curate, and analyze the offerings. They negotiate directly with the rights holders to determine which specific rights they would like to sell and they verify the accuracy of the royalty statements.
You browse the offerings on their website and determine which ones are the best fit for your investment needs. When you find an offering you want, place your bids during the VIP Auction period and reserve your SongShares®.
When the VIP Auction period ends, they file the offering with the SEC. Once the SEC qualifies the offering, you have the option to buy your reserved SongShares® during the VIP Sale period.
After you purchase your SongShares®, keep tabs on your music royalty portfolio in your SongVest dashboard. Any earned royalties are paid out quarterly.

Below is an Example of one of the offerings and the information to investors

Type of Rights:

Sound Recording Owner’s Share

Type of Income:

Downloads, Sound Recording, Streaming

Paid By:

Absolute Distribution

Term (Life or Yrs):

Life of copyright

INCOME LAST TWELVE MONTHS: $15,878

Absolute Distribution pays monthly.

Summary

This offering contains one hundred percent (100%) of the sound recording owner’s share of income paid by Absolute Distribution from the two EPs, Things I’ll Tell You Tomorrow and Things I’ll Tell You Tomorrow (Recorded at RAK Studios, London), recorded by British singer-songwriter Jake Isaac.

Revenues the Buyer will be entitled to receive from the sound recordings (assets) pursuant to this agreement include revenues earned in connection with the sale and exploitation of the sound recordings (i.e. the official original recordings of the songs, and the source from which all the later copies are made). Sales shall be determined by reference to the royalty statements from the royalties paid to the sound recording owner monthly by Absolute Distribution, which shall be conclusive and binding upon the Parties, absent manifest error.

About The Catalog

This offering contains royalties from eight tracks released in 2020 on the EPs Things I’ll Tell You Tomorrow and Things I’ll Tell You Tomorrow (Recorded at RAK Studios, London) by Jake Isaac. The top tracks in the offering were released as singles in 2020 and then on an EP in April 2020. Isaac released the EP from RAK Studios, which includes different versions of two of the top titles, in June 2020.

About Jake Isaac

Born and raised in south London, UK, Isaac began playing drums at the age of 3 and during his school years taught himself to play piano and bass guitar. By the age of 16, he had completed his grade 8 drums and had begun teaching the instrument. By 19, Isaac had begun to make a living as a part-time session musician, playing drums and bass on various jazz and rock records for a variety of international artists, including the Grammy-award winning Duffy as well as Cynthia Erivo, Gabrielle, and boy band Blue.

Soon after, Jake began to try his hand at writing songs for himself, eventually landing his first major festival opening ‘The Other Stage’ at world-renowned Glastonbury Music Festival. Signing to the iconic Sir Elton John’s Rocket Music, Jake Isaac has since worked with and or supported Sting, Tori Kelly, Joss Stone, India.Arie, Lake Street Dive, and Elton John himself. Jake’s distinctive style of singer-songwriter/soul has earned him widespread plaudits as a singer and multi-instrumentalist selling out headline shows in the UK, Germany, USA, Netherlands and across Europe and also earned him a place as one of the winners of the highly acclaimed International Songwriters Competition award 2020. In addition to the EPs contained in this offering, Isaac has released three full-length albums, including 2023’s For When It Hurts.

Summary Statistics

Source: Chartmetric.com

Summary Financials

Royalties are reported by the distributor in GBP, and information provided in this listing was converted to USD using a conversion factor of 1 GBP = 1.26548 USD. Royalties are paid on a monthly basis, while financial information is shown in this listing by quarter for ease of review. The two EPs are distributed by Absolute Distribution, which charges a 15% distribution fee on the earnings. The financial information shown in this offering is net of that distribution fee.

The royalties paid over the last twelve months from the revenue stream contemplated in this asset sale have averaged approximately $3,969 per quarter or $1,323 per month.

The titles in this offering were released in 2020 and so have seen some decline since their individual peaks, but nothing excessive. Earnings for 2023 were relatively steady quarter-to-quarter.

By Track

This catalog consists of two EPs and the related singles from 2020, a total of eight recordings. The majority of the earnings is very evenly distributed across the top three tracks from the main EP, showing that consumers are interested in the EP as a whole and diversifying the risk of the assets even though it is a small catalog. The top title, “Tomorrow,” is the most consistent streamer from the main source and peaked in 2021 Q2 from its best success at the top streamer. Number two title “New York” has taken hold a bit in China and had a bump in 2023 Q2 from those services and is also a strong performer at the top streaming source for the catalog. The number three title, “Thinkin ‘Bout You,” peaked in 2022 Q1 as a result of its best success at the top streamer.

By Source

This catalog has achieved its greatest success with Spotify listeners, while the number two title has seen some success in China via the Netease and QQMusic services. The Spotify trend is consistent with the performance trends of the top three titles.

Detailed Data Here

Complete Sound Recordings List:

ISRC	Title
QZ8GX1700720	Wasting My Love.
QZ8GX1700748	New York
QZ8GX1700780	New York
QZ8GX1700789	Thinkin ‘Bout You
QZ8GX1700799	Thinkin ‘Bout You
QZ8GX1700810	Tomorrow
QZ8GX1700891	10 Steps to Heaven – Recorded At RAK Studios
QZ8GX1700892	10 Steps to Heaven – Recorded At RAK Studios
QZ8GX1700895	Thinkin’ Bout You – Recorded at RAK Studios
QZ8GX1700896	Wasting My Love – Recorded At RAK Studios
QZ8GX1700897	New York – Recorded At RAK Studios
QZ8GX1700905	Thinkin’ Bout You – Recorded at RAK Studios
QZ8GX1700916	Wasting My Love – Recorded At RAK Studios
N/A	Tomorrow – Jake Isaac ft. The Kingdom Choir (Lyric Video)

Advantages for Songwriters and Artists

Songwriters and artists, too, stand to reap significant benefits from SongVest. By selling shares in their songs, songwriters can generate immediate income. This can be a lifeline during periods of low productivity or at the onset of their careers when stable income sources are often scarce.

Furthermore, SongVest provides an attractive alternative to signing with record labels, which often involves giving up a large percentage of their royalties. With SongVest, songwriters/artists can retain more control over their work, while still benefiting from the financial boost that comes with investment.

The platform also enables songwriters/artists to maintain a robust and meaningful connection with their fans. With their supporters now playing an active role in their financial success, the bond between artist and listener can reach new heights. This unique relationship could potentially lead to greater fan loyalty and more sustainable success in the long run.

SongVest breaks the old model of selling your catalog to just one investor by allowing fans and music investors the opportunity to purchase a fractional share of your royalties. The exponential increase in investors has the potential to increase the value of your catalog with our unique VIP Auction process that allows the market to decide the final sale price.

Conclusion

In conclusion, SongVest is a revolutionary platform ushering in a new era for music enthusiasts and songwriters alike. It provides a novel way for fans to invest in their favorite songs, allowing them to contribute to and participate in the financial success of the songs they love. For songwriters, it offers financial support and the chance to strengthen relationships with their fans. With its innovative business model and the myriad benefits it provides for both investors and songwriters, SongVest is carving out a promising niche for itself in the music royalties investment landscape. It is clear the the music industry could be moving towards a more streamlined “Direct Artist to Fan” business model and moving away from an industry that is glutted with middlemen.

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