beatBread introduces investor network for artists

The funding will allow artists with an offer from beatBread to pitch their tour dates, collaborators, marketing partners and other initiatives to a range of pre-approved investors. Investors can then use the information to bid on providing advances on the royalties associated with an artist contract, which could potentially provide musicians more earnings.

Artists who are eligible to join the investor network can set their minimum terms, and if no combination of funding offers from within the network meet the artist’s threshold, the artist can accept their original offer from beatBread or walk away entirely.

“Put simply, beatBread is in the business of empowering artists, first by expanding access to capital while retaining control and ownership and transparency, and now with this new feature, leverage to get the best terms possible,” beatBread CEO Peter Sinclair said.

“We use algorithms to make investment decisions, but we know that some investors may prefer to utilise experience, taste and other subjective factors. Both approaches have their place. If our own capital gets displaced by higher bids from network investors, then we’ve succeeded in our mission to empower artists, who deserve to get the best options when financing their careers.”

All the investors on the platform have an interest and demonstrated financial capacity to fund multiple artists at scale. Advances offered within the network are expected to be higher than beatBread’s chordCash funding platform, which normally range from $1 000 to $2m per artist with options for artists to receive sizeable advances on new and unreleased music.

In both cases, advances are repaid from a share of an artist’s streaming and airplay revenues, over a period of the artist’s choosing, giving artists full choice and control over their distribution, marketing and production partners, and ownership of their music.

Launched in November 2020, beatBread has leveraged its chordCash technology to make financial advances to nearly 500 artists and labels across multiple genres, six continents and a broad range of career stages.