Independent music labels are a financial risk for bands and businesses, but the ability for creative control make them worth the struggle, area artists and national record founders say.
Columbia, Universal, Jive, Def Jam and EMI are increasingly facing competition from lesser-known labels.
Jim Harris, founder of Manasseh Records in Athens, said indie labels are always making a bit of money or losing somewhere between a lot and a little. But that's OK
because you love the music.
Harris started Manasseh Records so that he had a place to invest all of (his) enthusiasm for Athens' music.
According to an article by Peter Spellman of Music Business Solutions, a music business consultancy service, by 1996 indie labels were second only to the Warner/Elektra/Atlantic label in market and chart share.
Many major labels are churning out people who really have nothing new to offer said Sonny Kay, founder of Gold Standard Laboratories Records in Los Angeles. I would rather put out people who have less skill but something new to offer.
Kay started GSL 10 years ago while in college in Colorado. He defines an independent label as a company that is not controlled or manipulated by massive conglomerates ... and not dictated by 'mainstream tastes.'
This means, however, that it's a never-ending challenge to keep cash flowing Kay said.
If we sold between two (thousand) and 4
000 copies of each band
we'd break even. The reality of the situation is that it's really difficult to expose ... a new band
said Kay, adding that most musicians think spending enough money on their hobbies will bring stardom.
The cost of starting and maintaining an independent label varies greatly and profits are never guaranteed.
Kay used extra money from his student loans, took out personal loans and maxed out credit cards to start GSL. He took handfuls of albums to stores himself, and the bands sold them at shows. Profits were made release by release.
Scott Terry and his Columbus-based band, Red Wanting Blue, formed OK Plus Records simply as a limited liability corporation to protect (the band) from the government as far as finances are concerned
he said.
Unlike many indie labels, OK Plus does not have an office and exists only on paper.
There are a lot of independent labels that are subsidiaries of big labels
so technically it's an independent label
but it's really not
Terry said.
Many bands use indie labels as stepping stones to develop their sound and gain major label attention, Terry said.
Major labels want you to start off having success
instead of building up to it
