Within Royalties

The royalties artists forget to collect

Artists who only upload through a distributor may collect master income while leaving publishing royalties unclaimed.

On this page

  • Why distribution is not the same as publishing administration
  • Where unclaimed songwriter money can arise
  • Registrations artists need to check
Preview for The royalties artists forget to collect

Introduction

Many independent artists believe that once a song is uploaded through a distributor, all streaming income will automatically reach them. In reality, distribution usually covers only the sound recording, or “master”, side of the business. The songwriting side operates through separate registration and collection systems. As a result, artists can receive recording royalties from Spotify, Apple Music or Amazon Music while leaving publishing royalties uncollected for the very same streams. This gap is one of the most common causes of missing music income, particularly among self-releasing artists who write their own songs. The problem is not usually that the money does not exist; it is that the systems responsible for paying songwriters cannot identify who should receive it. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act… [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…

Missing royalties illustration 1

Why distribution is not the same as publishing administration

A distributor’s primary job is to deliver recordings to streaming services and collect royalties generated by the master recording. Publishing administration, by contrast, focuses on the composition: the lyrics, melody and songwriting ownership behind the recording. These are different copyrights with different payment routes. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…

This distinction creates a common misunderstanding. An artist may see streaming income arriving from a distributor and assume all available royalties are being collected. However, digital streams can generate multiple songwriter-related royalties, including performance royalties and mechanical royalties, which are handled by different organisations. Registration with one system does not automatically register a song everywhere else. The Mechanical Licensing Collective (MLC) explicitly states that registering works with it does not replace registrations with performing rights organisations (PROs) or other rights-management entities. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…

The consequence is straightforward: a self-releasing singer-songwriter can successfully collect master royalties while substantial publishing income remains unmatched or unpaid because the composition was never registered correctly. [The Library of Congress]blogs.loc.govThe Library of CongressThe Breakdown: What Songwriters Need to Know about…Apr 13, 2020 — The MLC will only distribute mechanical royal…

Where unclaimed songwriter money can arise

Missing mechanical royalty registrations

In the United States, interactive streaming services send digital mechanical royalties to The MLC, which then matches usage reports to registered musical works and pays eligible rights holders. If a songwriter or publisher has not properly registered the composition, the money can accumulate without being paid to the correct owner. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act… [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…

The scale of the issue has been significant. The MLC inherited hundreds of millions of dollars in historical unmatched and unclaimed royalties connected to works that could not be properly identified or matched. The organisation’s matching and claiming systems were created specifically because large volumes of songwriter income were failing to reach the correct owners. [Spotify for Artists]artists.spotify.comfor Artists Collecting Mechanical Royalties Can Be TrickyThe MLC Is Here to…It happens so much that we, as an organization, received $424 million in historical unmatched and unclaimed royalti… [Ari's Take]aristake.comAri's Take The MLC is Sitting On $423 Million, How Songwriters CanAri's TakeThe MLC is Sitting On $423 Million, How Songwriters Can…May 5, 2021 — It collects mechanical royalties from DSPs (streaming…Published: May 5, 2021

Missing performing rights registrations

Streaming generates performance royalties for songwriters as well as mechanical royalties. These payments are generally collected and distributed through performing rights organisations. Joining one collection body does not automatically establish membership with another. The MLC specifically notes that its membership does not replace participation in PRO systems. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…

An artist who registers for mechanical collections but never affiliates with a relevant performing rights organisation may therefore collect only part of the publishing income generated by streams. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…

Incomplete ownership and split information

Even when songs are registered, inaccurate metadata can create payment problems. Missing songwriter shares, incorrect ownership percentages, inconsistent song titles, absent recording identifiers or disputes between co-writers can prevent efficient matching between recordings and compositions. The MLC’s matching process depends on accurate work registration data and ownership information. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act… [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…

For collaborative songwriting, these errors can become especially costly because one incorrect share allocation can affect multiple royalty streams across many territories and services.

Missing royalties illustration 2

International publishing gaps

Publishing income is often collected through a network of territorial societies and administrators. Artists who self-administer may successfully collect domestic royalties while missing foreign mechanical or performance income because they lack registrations or representation in overseas markets. Research into unpaid music royalties has identified foreign publishing collections as a frequent source of missing income for independent songwriters who are unaware of the relevant administrative requirements. [remix.berklee.edu]remix.berklee.edu○ Songwriters and Publishers can miss out foreign mechanical royalties if they are not aware of the…

The hidden risk of unmatched and black-box royalties

When collecting organisations receive royalty money but cannot confidently identify the correct recipient, the funds may be classified as unmatched or unclaimed. Rather than being paid immediately, they are held while attempts are made to locate the rightful owner. [The Library of Congress]blogs.loc.govThe Library of CongressThe Breakdown: What Songwriters Need to Know about…Apr 13, 2020 — The MLC will only distribute mechanical royal…

This creates a structural risk for artists who fail to register their works. The royalties may continue to exist, but they may not remain available indefinitely in a simple holding account. The MLC holds unmatched royalties for a period while attempting to identify owners. After statutory processes are exhausted, remaining unmatched funds can be distributed according to market-share-based formulas rather than being individually assigned to the songwriter who failed to register properly. [blog.themlc.com]blog.themlc.comJanuary 1, 2021, will be held for a minimum of 3 years to find & pay the rightful owner…Published: January 1, 2021

The broader music industry has long referred to these pools as “black box” royalties: money generated by music usage but not successfully connected to a rights owner. While collection societies continue improving matching systems, registration failures remain one of the main reasons these pools exist. U.S. Copyright Office [Federal Register]federalregister.govFederal Register Unclaimed Royalties Study: Notice of InquiryUnclaimed Royalties Study: Notice of Inquiry - Federal RegisterJune 2, 2020 — The US Copyright Office is undertaking a study as directed…Published: June 2, 2020

Registrations artists need to check

For independent artists who write their own material, the most important protection against missing publishing income is ensuring that songwriting rights are registered separately from distribution.

Key checks include:

  • Confirm that every composition is registered, not merely the recording uploaded through a distributor. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…
  • Verify membership with the relevant performing rights organisation responsible for songwriter performance royalties. Registration with mechanical collection systems alone is insufficient. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…
  • Register digital mechanical rights where required, either directly or through an authorised publisher or administrator. In the United States, this includes ensuring eligibility to collect through The MLC. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act… [The Library of Congress]blogs.loc.govThe Library of CongressThe Breakdown: What Songwriters Need to Know about…Apr 13, 2020 — The MLC will only distribute mechanical royal…
  • Check songwriter splits and ownership percentages before release so that all co-writers are correctly identified. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…
  • Review metadata regularly, including song titles, writer names and recording identifiers, to improve matching accuracy. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…
  • Determine whether a publishing administrator is already acting on your behalf. Duplicate or conflicting registrations can create additional complications. [Musosoup]musosoup.comMusosoupMechanical Licensing Collective: What It Is and How to Get…Individuals who own their publishing rights must join the MLC direc…

Missing royalties illustration 3

Why this remains a persistent problem

The modern streaming economy generates revenue through interconnected databases rather than a single payment channel. Recording royalties often reach artists quickly because distributors make the process relatively simple. Publishing income, however, depends on ownership records, collection societies, matching systems and territory-specific administration. The result is a persistent gap between music being streamed and songwriters being fully paid. [Mechanical Licensing Collective]themlc.comMechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act…

For many independent artists, the missing money is not caused by low streaming volume but by incomplete registration. A song can generate master royalties and songwriter royalties simultaneously, yet only the master side may arrive if the publishing infrastructure has been neglected. That administrative oversight is one of the most common and costly leaks in the streaming revenue chain. [Orphiq]orphiq.commlc mechanical licensing collectiveOrphiqThe MLC (Mechanical Licensing Collective) ExplainedMar 15, 2026 — What the MLC does, how to register, and why every songwriter need… [Spotify for Artists]artists.spotify.comfor Artists Collecting Mechanical Royalties Can Be TrickyThe MLC Is Here to…It happens so much that we, as an organization, received $424 million in historical unmatched and unclaimed royalti…

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Endnotes

  1. Source: themlc.com
    Link: https://www.themlc.com/resources-songwriters
    Source snippet

    Mechanical Licensing CollectiveResources - SongwritersRegistering your musical works with The MLC does not replace other registration act...

  2. Source: themlc.com
    Link: https://www.themlc.com/how-it-works
    Source snippet

    Mechanical Licensing CollectiveHow It WorksThe MLC administers blanket mechanical licenses for eligible streaming and download services i...

  3. Source: artists.spotify.com
    Title: for Artists Collecting Mechanical Royalties Can Be Tricky
    Link: https://artists.spotify.com/blog/collecting-mechanical-royalties-can-be-tricky-the-mlc-is-here-to-fix-that
    Source snippet

    The MLC Is Here to...It happens so much that we, as an organization, received $424 million in historical unmatched and unclaimed royalti...

  4. Source: themlc.com
    Link: https://www.themlc.com/
    Source snippet

    uses of registered songs. The MLC matches the DSP-reported streams and downloads to the songs registered by Members and calculates the ro...

  5. Source: help.themlc.com
    Link: https://help.themlc.com/en/support/what-are-historical-unmatched-royalties
    Source snippet

    are historical unmatched royalties?Historical unmatched royalties are digital audio mechanical royalties that were generated before Janua...

  6. Source: orphiq.com
    Title: mlc mechanical licensing collective
    Link: https://orphiq.com/resources/mlc-mechanical-licensing-collective
    Source snippet

    OrphiqThe MLC (Mechanical Licensing Collective) ExplainedMar 15, 2026 — What the MLC does, how to register, and why every songwriter need...

  7. Source: themlc.com
    Link: https://www.themlc.com/tools
    Source snippet

    Mechanical Licensing CollectiveThe MLC's ToolsThe MLC offers a suite of tools to help you find, register, claim, and manage your musical...

  8. Source: themlc.com
    Link: https://www.themlc.com/historical-royalties
    Source snippet

    Mechanical Licensing CollectiveHistorical RoyaltiesOnce Members have used the Claiming Tool to find their unclaimed shares, they can use...

  9. Source: remix.berklee.edu
    Link: https://remix.berklee.edu/cgi/viewcontent.cgi?article=1277&context=graduate-studies-global-entertainment-business&filename=0&type=additional
    Source snippet

    ○ Songwriters and Publishers can miss out foreign mechanical royalties if they are not aware of the...

  10. Source: blog.themlc.com
    Link: https://blog.themlc.com/resources/what-happens-to-unmatched-or-unclaimed-royalties
    Source snippet

    January 1, 2021, will be held for a minimum of 3 years to find & pay the rightful owner...

    Published: January 1, 2021

  11. Source: copyright.gov
    Title: unclaimed royalties final report
    Link: https://www.copyright.gov/policy/unclaimed-royalties/unclaimed-royalties-final-report.pdf
    Source snippet

    Copyright Office[PDF] Unclaimed Royalties: Best Practice Recommendations for the...July 8, 2021 — This report reflects the dedication an...

    Published: July 8, 2021

  12. Source: musosoup.com
    Link: https://musosoup.com/blog/mechanical-licensing-collective
    Source snippet

    MusosoupMechanical Licensing Collective: What It Is and How to Get...Individuals who own their publishing rights must join the MLC direc...

  13. Source: themlc.com
    Link: https://www.themlc.com/statutory-terminations
    Source snippet

    Statutory TerminationsThe MLC offers a suite of tools to help you find, register, claim, and manage your musical works (aka song) data so...

  14. Source: blogs.loc.gov
    Link: https://blogs.loc.gov/copyright/2020/04/the-breakdown-what-songwriters-need-to-know-about-the-music-modernization-act-and-royalty-payments/
    Source snippet

    The Library of CongressThe Breakdown: What Songwriters Need to Know about...Apr 13, 2020 — The MLC will only distribute mechanical royal...

  15. Source: blogs.loc.gov
    Link: https://blogs.loc.gov/copyright/2023/03/mechanical-unmatched-historical-what-are-the-differences-between-all-these-royalties/
    Source snippet

    The MLC's most important job is to identify and locate musical work copyright owners and match...

  16. Source: aristake.com
    Title: Ari’s Take The MLC is Sitting On $423 Million, How Songwriters Can
    Link: https://aristake.com/songwriters-claim-mlc-money/
    Source snippet

    Ari's TakeThe MLC is Sitting On $423 Million, How Songwriters Can...May 5, 2021 — It collects mechanical royalties from DSPs (streaming...

    Published: May 5, 2021

  17. Source: federalregister.gov
    Title: Federal Register Unclaimed Royalties Study: Notice of Inquiry
    Link: https://www.federalregister.gov/documents/2020/06/02/2020-11893/unclaimed-royalties-study-notice-of-inquiry
    Source snippet

    Unclaimed Royalties Study: Notice of Inquiry - Federal RegisterJune 2, 2020 — The US Copyright Office is undertaking a study as directed...

    Published: June 2, 2020

Additional References

  1. Source: musicreports.com
    Link: https://www.musicreports.com/html_pages/faq
    Source snippet

    FAQThe MLC also manages a publicly available music rights ownership database and a music claiming system similar to the one Music Reports...

  2. Source: youtube.com
    Link: https://www.youtube.com/watch?v=BJP6kpdtDtc
    Source snippet

    The MLC Portal: How to Use the Claiming ToolThe MLC Claiming Tool helps Members claim their share of songs that are already registered in...

  3. Source: youtube.com
    Link: https://www.youtube.com/watch?v=-34kxLpXKTQ

  4. Source: diymusician.cdbaby.com
    Title: DIY Musician What is the Mechanical Licensing Collective?
    Link: https://diymusician.cdbaby.com/music-rights/what-is-the-mlc-and-do-i-still-need-a-publisher/
    Source snippet

    | DIY Musician8 Feb 2022 — The good news for international artists is that you can still collect mechanical royalties from the MLC if you...

  5. Source: facebook.com
    Title: Songtrust acts as your Publishing Administrator,
    Link: https://www.facebook.com/ONLY1GEEGEEMILLER/posts/if-you-have-songtrust-you-do-not-need-to-register-your-music-directly-with-the-m/10109208516426437/
    Source snippet

    FacebookIf you have **Songtrust**, you do **NOT** need to register...If you have **Songtrust**, you do **NOT** need to register your mus...

  6. Source: songtrust.com
    Link: https://www.songtrust.com/the-mechanical-licensing-collective
    Source snippet

    The Mechanical Licensing Collective (The MLC)Songwriters, composers, lyricists and music publishers do not pay to use The MLC...

  7. Source: medium.com
    Link: https://medium.com/%40ARIPO/what-you-should-know-about-the-mechanical-licensing-collective-the-mlc-9a92f5aec1c8
    Source snippet

    ates the royalties due for each song and sends its members the...Read more...

  8. Source: medium.com
    Link: https://medium.com/%40JPriceOfMusic/the-insanity-of-the-mlc-b7afb2533b3a
    Source snippet

    e needed information to allow us to resolve conflicts or...Read more...

  9. Source: chartlex.com
    Link: https://www.chartlex.com/blog/money/mlc-unclaimed-royalties-claim-guide-2026?srsltid=AfmBOoqDF0H6s6UInKW_NV8myvCFwOkovG7AwlPjOCME6JJZeEp2G1rV
    Source snippet

    How to Claim Your Share of the MLC's $424M Black Box...May 16, 2026 — The MLC inherited a $424M black box pool of unmatched mechanical r...

    Published: May 16, 2026

  10. Source: instagram.com
    Title: Unclaimed royalties don’t wait forever
    Link: https://www.instagram.com/reel/DSfcfKIja9V/
    Source snippet

    If you released music years...December 20, 2025 — The MLC holds unmatched royalties, but if you don't register your songs correctly, tha...

    Published: December 20, 2025

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