How to Collect Music Royalties in Nigeria & Abroad as an Upcoming Artist

How to Collect Music Royalties in Nigeria & Abroad as an Upcoming Artist (Step-by-Step) If you are an Independent/upcoming art...

How to Collect Music Royalties in Nigeria & Abroad as an Upcoming Artist (Step-by-Step)

If you are an Independent/upcoming artist in Nigeria, releasing your music on Spotify, Apple Music, Audiomack or YouTube is only one part of the business. The bigger question is: Are you actually collecting all the royalties your music generates?

A single song can generate different types of income from streaming, radio, television, public performances, YouTube, digital radio, licensing, films, advertising and other uses. The challenge is that these royalties do not always come from the same place.

This guide explains how to collect music royalties in Nigeria and abroad, what you need before releasing a song, where Independent/upcoming artists should register their music, and how to avoid leaving money unclaimed.

What Are Music Royalties?

Music royalties are payments generated when your copyrighted music or sound recording is used commercially or publicly.

For an independent artist, it is important to understand that there can be more than one right attached to the same song.

• Master/recording royalties – connected to the actual sound recording.

• Performance royalties – generated when the composition is publicly performed or broadcast.

• Mechanical royalties – connected to reproduction and certain digital uses of the composition.

• Neighboring rights – can apply to performers and recording owners depending on the territory and type of use.

• Synchronization income – generated when music is licensed for film, television, advertising, games and other visual media.

Spotify itself explains that streaming involves both recording royalties and publishing royalties, with payments flowing through different rightsholders and organizations depending on the rights involved.

Step 1: Know What You Actually Own

Before trying to collect royalties, determine your ownership.

Ask yourself:

• Did I write the lyrics?
• Did I compose the melody?
• Do I own the master recording?
• Did I produce the record?
• Did I pay for the recording?
• Did another artist contribute?
• Is there a label involved?
• Was the beat licensed?

If you wrote a song but another person owns the master, you may have publishing rights even though you do not own the recording.

That distinction is extremely important because the composition and the sound recording are separate rights.

Step 2: Create a Split Sheet Before Release

If your song has multiple writers, producers or other contributors, agree on ownership before the song is released.

A simple split sheet should identify:

• Legal names
• Artist/stage names
• Roles
• Songwriting percentages
• Publishing percentages
• Master ownership
• Producer agreement
• Signatures or clear approval from contributors

Do not assume that everyone will remember what was agreed in the studio six months later.

Accurate ownership information is also important when registering your works for royalty collection. MCSN's current work-submission system, for example, asks creators to provide composition and sound-recording contributors and their percentage shares.

Step 3: Get an ISRC for Your Sound Recording

Your recording should have an ISRC (International Standard Recording Code).

ISRC is a unique identifier for a sound recording. It helps distributors, broadcasters, licensing organizations and other systems identify the correct recording and connect usage data to it.

The official ISRC system explains that the code remains a reference point for a recording when it is used across different services, countries and licensing arrangements.

Your distributor may assign an ISRC for your release, or you may obtain the appropriate registration credentials depending on your circumstances.

Step 4: Distribute Your Master Recording

For Spotify, Apple Music and other digital platforms, an independent artist normally works through a music distributor.

Your distributor delivers your master recording to streaming platforms and collects the recording income generated by those services according to its agreement with you.

Before choosing a distributor, compare:

• Royalty percentage
• Annual or release fees
• Payment methods
• Content ID options
• Reporting
• Takedown policies
• International availability
• Customer support

Remember that a distributor handling your master royalties does not automatically mean every publishing royalty has been collected.

For a detailed release workflow, see How to Release Your First Song on Spotify & Audiomack.

Step 5: Register Your Songs for Publishing Royalties

This is where many independent artists make a costly mistake.

Uploading a song to Spotify does not mean you have automatically registered every publishing right associated with the composition.

Your publishing information should be properly registered with the appropriate collecting society, publisher or publishing administrator for the territories where your music is used.

Spotify specifically recommends registering songs with a PRO, mechanical agency or publisher so usage can be tracked and songwriting royalties can be paid.

Step 6: Register Your Music in Nigeria

Nigerian artists should understand the local royalty ecosystem and the organizations that collect money from licensed music usage.

MCSN (Musical Copyright Society Nigeria) currently provides registration and work-submission services for music creators and rights owners. Its platform allows creators to submit information about compositions, sound recordings, contributors and ownership splits.

COSON (Copyright Society of Nigeria) also states that it administers performing and mechanical rights and collects licence fees from music users such as broadcasters, venues, hotels, restaurants and other commercial users before distributing royalties to creators.

Because collecting-society rules, representation and eligibility can change, always check the current requirements directly with the relevant organization before registering.

You can also read our related guide: Music Licensing in Nigeria: How to Get Paid for Your Beats.

Step 7: Register Your Copyright

Nigeria's copyright registration system allows creators to register their works online through the Nigerian Copyright eRegistration System (NCeRS).

Registration is not what creates copyright protection in the first place, but it can provide an important official record of the work and its ownership information.

The Nigerian Copyright Commission's eRegistration system confirms that creators can register works online and can also register an album as a collection.

For important ownership disputes or complicated agreements, consider obtaining advice from a qualified Nigerian intellectual-property or entertainment lawyer.

Step 8: Collect Spotify and Other Streaming Royalties

Your distributor normally handles the master/recording side of streaming income.

However, the composition can generate separate publishing royalties.

Spotify does not operate using one universal fixed amount per stream. Its royalty system is based on streamshare, with payments flowing to rightsholders before artists and songwriters receive their contractual share.

That means you should monitor both:

• Your distributor's recording royalty statements
• Your publishing/collection statements

Step 9: Collect YouTube Royalties

YouTube can create additional income when your music appears in videos uploaded by other users.

Where eligible and where you control the required exclusive rights, YouTube Content ID can identify matching uses of your recording and allow rights owners to manage those uses.

YouTube says Content ID requires evidence that the copyright owner controls the relevant exclusive rights. Certain content such as unlicensed music, compilations and non-exclusive material may not qualify.

So before putting a recording into a Content ID system, make sure your ownership and licensing agreements are clear.

Step 10: Don't Forget Neighboring Rights

Neighboring rights are another area independent artists often overlook.

Depending on the country and type of use, performers and sound-recording owners can be entitled to royalties generated from certain uses of recordings.

Nigeria's Copyright Act includes a right to equitable remuneration for certain broadcasts of commercially published sound recordings, covering performers and sound-recording copyright owners.

Internationally, organizations such as SoundExchange collect certain digital performance royalties in the United States and have international collection arrangements with organizations in other territories.

However, SoundExchange is particularly relevant to eligible digital/non-interactive radio uses in the U.S.; it is not a replacement for your distributor or publishing collection setup.

Step 11: Collect International Royalties

If your Nigerian song starts getting listeners in the UK, US, Canada, Europe or other territories, your royalty strategy should not stop at Nigeria.

A practical international setup can look like this:

Income Source	Typical Collection Route
Spotify/Apple Music master royalties	Distributor or label
Songwriting/publication royalties	PRO/CMO/publisher/administrator
YouTube recording income	Distributor, label or rights-management service
YouTube publishing income	Publishing/rights administrator where applicable
U.S. eligible digital performance royalties	SoundExchange or appropriate rights administrator
Film/TV/advertising	Direct sync deal or sync/licensing representative
Radio/public performance	Relevant collecting society/PRO/CMO

The exact collection route depends on the rights you own, the territory and how the music was used.

Step 12: Keep Your Metadata Consistent

One of the easiest ways to create royalty problems is inconsistent metadata.

Keep a master spreadsheet containing:

• Song title
• Alternative title
• Artist name
• Legal names of writers
• Producer
• Publisher
• Writer splits
• Master ownership
• ISRC
• Release date
• UPC/EAN
• PRO/CMO information
• IPI/CAE numbers where applicable
• Distributor

Make sure the spelling of your name is consistent. A small metadata error can make it harder for royalty systems to match usage to the correct creator.

Step 13: Track Your Royalty Statements

Do not simply upload music and forget about the business side.

Every few months, review your statements and compare them with your actual usage.

Check:

• Countries generating streams
• Platforms generating income
• Recording royalties
• Publishing royalties
• Usage dates
• Missing songs
• Unmatched recordings
• Unpaid balances

Spotify also recommends reviewing royalty statements and understanding the agreements, percentages and administrative costs attached to your rights.

Step 14: Build More Than One Royalty Income Stream

Don't build your entire music business around Spotify streams.

Your catalogue can potentially generate income through:

• Streaming
• Radio
• Television
• Live performances
• YouTube
• Digital radio
• Music licensing
• Film and TV sync
• Advertising
• Brand campaigns
• Mechanical royalties
• Performance royalties
• Neighboring rights

Our DjMondo Music guide on 5 Music Publishing Revenue Streams goes deeper into performance, mechanical, sync and other publishing opportunities.

Common Royalty Mistakes Independent Artists Should Avoid

• Releasing without split sheets: Ownership disputes can become expensive.

• Thinking the distributor collects everything: Master and publishing royalties can follow different paths.

• Ignoring metadata: Incorrect names and percentages can cause matching problems.

• Buying fake streams: Artificial activity can lead to withheld royalties and other platform consequences.

• Signing contracts without understanding them: You may give away rights you did not intend to surrender.

• Ignoring international income: Your music can be used outside Nigeria even when you are not physically there.

• Never checking statements: You cannot easily identify missing money if you never review your reports.

A Simple Royalty Checklist for Nigerian Independent Artists

Before and after releasing your next song, use this checklist:

1. Finish and properly document the recording.
2. Agree songwriting and ownership splits.
3. Get or confirm the correct ISRC.
4. Register your copyright where appropriate.
5. Register your composition with the relevant Nigerian collecting organization.
6. Distribute your master through a reputable distributor.
7. Set up your publishing collection.
8. Set up eligible YouTube rights management.
9. Investigate neighboring-rights collection for relevant territories.
10. Keep your metadata consistent.
11. Save every agreement and split sheet.
12. Review royalty statements regularly.

Final Thoughts

Learning how to collect music royalties in Nigeria and abroad can completely change the way you approach your music career.

Your song is not simply an audio file uploaded to Spotify. It is an intellectual property asset that can generate different types of income across multiple territories and platforms.

The earlier you understand your master rights, publishing rights, performance royalties, mechanical royalties, neighboring rights and licensing opportunities, the easier it becomes to build a sustainable independent music business.

Don't wait until your song becomes a hit before organizing your royalty collection. Set up the system before the money starts coming in.

For more practical guidance, also read What Upcoming Artists Really Need to Succeed and Free Music Promotion Apps for Independent Artists.

Frequently Asked Questions About Music Royalties

Do independent artists get royalties?

Yes. Independent artists can earn royalties from their recordings and compositions. The amount and collection route depend on ownership, usage, territory, agreements and the platforms involved.

Does Spotify pay artists directly?

Spotify generally pays recording rightsholders through the party that delivered the music, such as a distributor or label. Publishing royalties follow separate rights-management channels.

Do I need a record label to collect royalties?

No. Independent artists can distribute their own music and establish royalty-collection arrangements without signing to a traditional record label.

Can Nigerian artists collect royalties from other countries?

Yes. International royalty collection is possible, but the correct route depends on the type of royalty, territory and rights you own. Some organizations have reciprocal international collection agreements.

What is the difference between master and publishing royalties?

Master royalties relate to the sound recording. Publishing royalties relate to the underlying musical composition, such as the lyrics and melody.

Can I collect royalties if my song is played on YouTube?

Potentially, yes. Eligible rights owners can use rights-management systems such as YouTube Content ID where they meet YouTube's requirements and control the necessary rights.

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Disclaimer: This article is for educational purposes and is not legal, tax or professional royalty-collection advice. Music-rights rules, collecting-society arrangements and platform policies can change. Always verify current requirements with the relevant rights organization and seek qualified legal advice for contracts or ownership disputes.