(New York , New York) INgrooves announced an agreement with RightsFlow to provide INgrooves distributed labels access to RightsFlow’s mechanical licensing and royalty payment services. INgrooves’s clients will be able to use RightsFlow’s proprietary licensing, accounting and royalty payment technology to help them manage the complex issues of copyright compliance and royalty payment. By offering labels this service, INgrooves is providing a cost-effective solution that will help reduce liability and insure that creators are paid.
RightsFlow is one of the leading experts in mechanical licensing, simplifying how rights holders get paid. The company has been at the forefront of solving the complex issues of copyright compliance and royalty payment as new methods of consuming music have emerged. RightsFlow pioneered a single, cost-effective channel through which rights-holders and companies that sell or distribute music can connect, ensuring proper licensing, accurate accounting and timely payment of royalties. The company’s FLOW technology has been widely adopted by labels, artists and global businesses.
“RightsFlow’s technology and service solution helps extend INgrooves’s effort to automate the mechanical administration process for all of our clients,” said Robb McDaniels, CEO and Founder, INgrooves. “We are excited about the partnership and look forward to providing our labels with these cost-effective tools to manage their royalty payments and clearances.”
“We are delighted to partner with a distribution and marketing leader like INgrooves,” said Patrick Sullivan, CEO, RightsFlow. “We look forward to demonstrating how RightsFlow’s proven, simple service can provide a cost-effective solution for mechanical licensing compliance and royalty accounting and payment for INgrooves and its distributed labels. By utilizing our streamlined licensing and payment service, participating labels will be able to better focus on their core business of finding and releasing the best music for INgrooves’s robust distribution system.”
Under U.S. Copyright Law, mechanical licenses are required for music to be distributed through online music services. The current U.S. statutory mechanical rate for permanent downloads is 9.1¢ for songs five minutes or less and 1.75¢ per minute for songs over five minutes. Limited download and interactive streaming services generally pay a mechanical royalty of 10.5 percent of revenue, less amounts owed for performance royalties.
INgrooves is a digital media infrastructure company that provides various distribution and marketing services via its INgrooves and ONE Digital division. ONE Digital is a proprietary software platform that provides distribution and administration to large distributors, record labels and film production companies at rates far below the industry standard. INgrooves provides clients customized distribution, marketing, promotion, synch licensing and administrative support to help maximize the earnings potential of specific releases or catalogues.
RightsFlow is a leading provider of a mechanical licensing and royalty payment technology platform for online music services, record companies, distributors and artists. The RightsFlow technology powers rapid song identification and provides an unprecedented level of transparency for publishers and songwriters and those music services, distributors, labels and artists seeking licenses in a digital age. RightsFlow specializes in obtaining bulk physical, DPD, and ringtone licenses including streaming, tethered, and limited download rights.
Our proprietary “FLOW” system and 10.5 million song database allow us to license, account, and pay royalties on behalf of clients quickly and accurately while ensuring that rights-holders are paid for the use of their work. RightsFlow serves over 9,500 clients obtaining physical, DPD and interactive streaming licenses from publishers and songwriters all over the world – including major, independent and artist controlled works.