
The MCPS (Mechanical Copyright Protection Society) collects and distributes royalties to its members. This society focuses on music that is distributed or sold. It is vital that you ensure that you have a license for any music that you plan to manufacture. Even if all your music is original, you need to contact the MCPS before you place a manufacturing order. In most instances, you will complete an AP2 application which covers the licensing for products which are for retail sale. With this agreement, you will pay royalties on the total units to be manufactured before they are replicated. This is usually calculated as 6.5% of the retail value (excluding VAT) of the CD multiplied by the number of units to be manufactured. It may also be calculated as 8.5% (maximum) of the highest price your retailer would pay your distributor for the CD. Once you submit the form, it usually takes about seven working days to get your license. If no royalties are owed, you will receive a notification of no claim.
If your CD is only for promotional purposes, there are a few rules that must be adhered to. The CD and packaging must indicate that the CD is promotional and not for sale. You must also ensure that it is supplied free of charge to broadcasters. You must contact the MCPS for all the details. Call 020 7306 4500 or visit their website www.mcps.co.uk
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Click here to download the AP2 application form.