This fee that you need to pay is called a Mechanical License. You must pay a fee to the songwriter for recording and distributing a CD with their song on it. Basically, here’s how it works:

1) You record a CD with a cover tune on it.

2) You pay a company in NYC, Harry Fox Agency (HFA), 9.1-cents for each copy of this song that you are going to manufacture.

3) HFA distributes that money to the original copyright holder.

I had two groups, that I work with, ask me the same exact question last week: “The company that is replicating our CDs wants proof that I’ve paid HFA the Mechanical Licensing Fee. They say they won’t replicate my CDs without seeing an invoice. Is there any way around this?”

The answer is: No. It’s just a fact of life that comes along with doing cover tunes. There’s no good, legal way around it, and you shouldn’t try to find one. This money is going to pay the person that wrote the song for you! Do them a favor and at least pay them this little amount for the work they’ve done!

Here’s what you do:

1) When you are getting started on your CD, and you're putting your budget together…set aside money for the Mechanical License. If you’re doing a CD with 12 cover tunes on it, and you’re replicating 1000 copies, then it will cost you: $1030 (there’s usually a $10 processing fee too).

2) BEFORE you go to Oasis/Discmakers/etc to have your replication done, go to www.SongFile.com.

3) You can search for each tune that you’re covering, and add it to your licensing shopping cart.

4) Pay the fee.

5) Keep a copy of your invoice as proof of payment. You’ll need this later.

6) Enjoy the peace of mind knowing that you’re keeping it legal and the original songwriter is getting paid for their hard work.

Keep in mind this is just for when you are producing CDs with cover tunes on it. If you write original songs, you don’t need to pay this fee. Also, if you’re going to be distributing your songs online, through iTunes Music Store or similar services, you will need to pay a Digital Distribution Licensing Fee. It’s a little more complicated than Mechanical Licenses, so I won’t go into them here. Just keep in mind that you need to pay them, and that it also goes through HFA.

Just remember: Mechanical Licenses are here to stay, so pay them. It’s the law.

	1. Written by moose on 14-03-2008 08:05 - Registered
	UK copyright Hi, this was really helpful! (I know it's a while since it was written, but still..!)    What would the equivalent company in the UK be? or would it just be HFA regardless?    Thanks!