Legal Question in Entertainment Law in Massachusetts

New music company

What are the proper procedures to setup a Limited Liability Corporation for a new company that deals with music production, publishing, and record label?


Asked on 1/10/07, 10:16 am

2 Answers from Attorneys

Re: New music company

You set-up the LLC just like any other LLC only its purpose is the production, publishing and recrding of music.

You should trademark your name and copyright your music and sound recordings.

You would want to register with one of the national distribution groups like BMG to handle licensing for use of your music at offices etc.

There are a number of issues but the fundamental way of forming an LLC is more or less straightforward.

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Answered on 1/10/07, 10:33 am
Lawrence Graves Coolidge & Graves PLLC

Re: New music company

Prior reply raises some of the right issues.

1. Formation of the legal entity requires little specialized content regarding its purpose.

2. You need to do a trademark clearance search before you decide on a name. Sometime you have to go through several ideas before you find something that is neither identical nor confusingly-similar to a trademark already in use.

3. If there are going to be multiple owners of the entity, be sure to agree on all of the basic issues (ownership percentages, management control, etc.) before forming it, and ensure that the Operating Agreement (or, if a corporation, Stockholders' Agreement) reflects your agreement on those issues.

4. BMI and ASCAP are a long way down the pike for you -- have to produce some content before you worry about getting paid for it -- so you can defer those costs until you have some revenues to cover them.

Best wishes,

LDWG

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Answered on 1/10/07, 11:30 am


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