Performance royalties are paid to songwriters and composers whenever their music is performed in public, such as on the radio, in a concert, or in a movie. These royalties are collected by performing rights organizations (PROs), such as ASCAP, BMI, and SESAC, which then distribute the royalties to the songwriters and composers.
Mechanical royalties are paid to songwriters and composers whenever their music is reproduced in a physical form, such as on a CD or vinyl record. These royalties are collected by mechanical rights organizations (MROs), such as the Harry Fox Agency, which then distribute the royalties to the songwriters and composers.
In addition to these two main types of royalties, there are also a number of other types of royalties that songwriters and composers may be entitled to, such as:
- Synchronization royalties: These royalties are paid when a song is used in a movie, TV show, commercial, or other visual media.
- Print music royalties: These royalties are paid when sheet music for a song is sold.
- Foreign royalties: These royalties are paid when a song is performed or reproduced in a foreign country.
- Digital royalties: These royalties are paid when a song is downloaded from an online music store or streamed on a streaming service.
_The specific royalties that a songwriter or composer is entitled to will depend on the terms of their contracts with their publisher, record label, and other parties._