Major labels are large multinational conglomerates such as EMI, Warner-Chapel, Universal and Sony. Each major label has a records division and a specialist publishing division. When a major publisher signs a recording deal with an artist, it typically offers the artist a separate deal for publishing. These deals are distinct from each other. The record deal covers physical sales, such as records, CDs and downloads. The publishing deal covers royalties from air play, TV play, cover versions and synchronisation. Synchronisation is the term for advertisement, movie and TV placements. Major labels typically offer large advances at the beginning of the agreement, but in return they take a larger percentage of royalties.
Independent, or "indie," labels such as Victory Records, are privately owned and smaller than major labels. Some former indie labels are now owned by major labels, such as A&M records of which Universal Music owns a controlling interest. Typically, an indie label offers a smaller up-front advance but takes a smaller cut of royalties. Indie labels typically offer publishing deals to artists only, rather than to artists and writers.
As well as publishing the work of recording artists, major labels publish the work of songwriters. For example, songwriter Linda Perry wrote songs that appeared on "M!ssundaztood" by Pink, which was released by Arista records. While Pink received recording royalties, Perry received publishing royalties from the publishing arm of Arista for the songs. Writers and publishers typically agree upon deals on an album-by-album or single-song basis.
A 360 deal is a full-service deal when one company releases an artist's records, administers the artist's publishing interests and contributes funds to promote live performances. In return the company takes a cut from the gross income of the artist. 360 deals are typically made between large entertainment companies, such as Live Nation, and established artists. U2, Madonna and Jay Z all have signed lucrative, long-term 360 agreements with Live Nation.