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Microcap & Penny Stocks : PAYP

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To: Jimmy Dunn who wrote ()1/17/1999 2:29:00 PM
From: jmhollen  Read Replies (1) of 179
 
How Can I Get Licenses from CMRRA?

CMRRA issues mechanical licenses under two systems: either Pay As You Press (PAYP) or under the terms of the standard CMRRA Mechanical Licensing Agreement (MLA).

If you are manufacturing or importing in very small quantities, or releasing sound recordings on a one-shot or limited basis, PAYP is the appropriate method. You must pay all royalties at the time your license application is made, at the standard mechanical royalty rate (currently 7.1 cents per song, per copy, where the running time of the recording is five minutes or less, plus 1.42 cents for each additional minute (or partial minute) of running time. You must also include 7% GST with your payment.

Your licenses will be limited to the number of copies you're pressing or importing, and you'll have no further obligation to supply CMRRA with royalty statements. For all the details of the PAYP system, click here.

The MLA is a lengthy, complex agreement that governs the relationship between CMRRA and record labels, and is available to record labels who anticipate releasing and selling a significant quantity of product every year. The royalty rates are identical with the PAYP system. For further information, please contact CMRRA's Director of Licensing, Caroline Rioux, at (416) 926-1966, ext. 234 or at crioux@cmrra.ca.
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