When you lease a beat, you also agree to something called a distribution limit. A distribution limit is simply a cap on the number m pops cy of copies of the song you can sell. A very common distribution limit is 500 – 2,000 copies. This means that, after leasing a beat, you may record your vocals on it to create your song, and distribute up to 500 copies of this song. (At 4FOURPLAY ENTERTAINMENT, you are given 500 distributions under a standard lease.) A distribution is defined as any physical transfer of the song to another person for profit or non-profit. This includes, but is not limited to: A CD Sale An iTunes Sale Giving Song Away On a Mixtape Sending Song in an Email Ect… Any time you physically transfer the audio file of the song to another person, this counts as a distribution. Streaming plays on YouTube, Reverb Nation, or other similar sites do NOT count as distributions, because the audio file is not physically transferred to someone else. When you run out of distributions, your lease is over. At that point, you may either lease the beat again, or purchase exclusive rights if the beat is still available.

Length Of Lease Term

Another characteristic of a beat lease is the length of term. many artist dont know that because leases are non-exclusive, there needs to be some kind of time limit on the term of the lease. You will most likely find that the most common terms are between 1-2 years. The term starts the moment that you agree to the terms and pay for the beat, and is good for 1-2 years (or whatever the producer has set) from that day. Your leasing terms expire either when you have run out of distributions, or run out of time on your lease. Whichever comes first.

Profits

Because you have paid the leasing fee, you are able to keep 100% of the profits that you make from your distributions, unless otherwise specified by the producer.

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