Ask any independent artist; a major pain in their career is the constant concern for consistent cash flow. For up and coming indie artists, not enough money can be made to sustain their musical career. There are even artists who have a family they need to support, yet not so many can invest in independent artists.
While you’ll think, why can’t they get a job on the side, you should also know that it will be taking indie artists away from focusing on their craft. Another viable option is getting crowdfunded or borrowing from loved ones. None of these options is as advisable as getting an investor.
Here’s a caveat; getting an investor is not the same as being signed to a record label. While a record label has total control on your music, an investor is only interested in return on investment.
As an investor, there are ample reasons why you should give a thought to bankrolling indie artists. Here are a couple of such reasons;
1. Indie Music Is Beyond a Hobby
The days when music is considered just a hobby is long over. Today, indie music is as profitable as any other field of human endeavor. In 2019, the independent artist sector of the music industry was reported to have generated about $1.61billion.
This value is expected to rise by 32% to about $2 billion in 2020. By implication, independent artists are doing well, and the industry is growing.
2. Outrunning Major Record Labels
If you think indie music is the future, then you are not far from the truth. There is a shift going on in the music industry, and it’s in favor of indie artists.
Even major record labels are adopting the business models that benefit indie artists with their contractual agreements.
There’s no better time to venture into investing in indie music than now.
3. Streaming Revenue is On The Increase
Since we are trying to give you reasons why investing in indie artists could be a viable investment. Then, we should look at it from the major revenue streams of indie music.
There is a digital revolution going on, and indie music is one of the major beneficiaries. If you compare revenues of streaming platforms, it’s on the rise.
4. There Isn’t Much of The Major Record Labels To Invest Into
The music industry is currently in a weird state, and if you have an eye for investing in music, don’t even go near the three major record labels. Not to scare you, but investing in the three major labels isn’t as fun as it appears to be.
That leaves you with an option; indie music.
Before it becomes tough to invest in indie music, you should pitch your tent now.
5. Invest In Independent Artists as a Support
If an indie artist is your fav, then you should be able to see the enormous potentials in the artist. Moreover, if you don’t invest in such an artist, you may see them switching careers and moving to something else.
As an investor, your favorite artist deserves your support. Just know that such support won’t be just fanatical; it will be profitable.
6. Invest in Independent AertistDiversify Your Portfolio
When Bitcoin surfaced, not so many believed in its potential as an investment. Not until it peaked at $19,000/Bitcoin in 2019. This is not to say that your investment into indie artists will experience such as good run, but the one that will be worth it.
This is why you should give a thought to indie music if you see the need to diversify your investment portfolio.
Investing in indie artists and music is beyond just a moral obligation; it’s an investment with a high return on investment. If you’ve got the means and resources, there’s no better time to identify a number of indie artists and put pen to paper.