We also have a team of experts, which includes Certified Fraud Examiners, that can prepare damage calculations, and assist with case assessment, case strategies, discovery, expert witness testimony, tax analysis, and fraud prevention, detection, and deterrence. We work with the entertainers directly or with their agents, attorneys and personal managers. Our focus is on tax and accounting issues, recoupable expenses, tour budgeting, asset depreciation, contracts, program budgeting and much more. By acknowledging the challenges DEI leaders face and providing them with the resources, autonomy and support they need, accounting firms can cultivate an inclusive culture that attracts and retains diverse talent.
Entertainment Industry Accounting (CPE Course)
It’s this, along with the opportunity to work closely with artists and arts-related organizations, that draws most to this field. If you are in the music business, the chances are good that you got into it to create music, express yourself artistically, and allow others to connect with the beautiful music you made. You unquestionably did not get into the music industry to deal with the business end and manage things like music royalties.
Entertainment Industry Accounting
Arts music industry accounting and entertainment accountants advise both individual artists and arts-related businesses on financial matters. If you’re looking for a strategic entertainment accounting firm to help with your financial and consulting needs, we can help. Because we value education, Growth Group supports musicianship because we believe participation in fine arts gives students an advantage in school. Growth Group also provides music business financial coaching and resources for emerging artists through online consultation and workshops. Outlets that owe royalties make it very complicated to track them, especially in rural areas, so no one can easily figure out what’s going on. Catalano said it gets even more difficult when an American has their music sold and streamed all over the world, as each government has its own rules about foreign royalties.
Accountant for the Music Industry
We provide litigation support for the music industry, including expert witness services, reviews of recoupable expenses, penny letters, tour budgets, depreciation schedules, and tax planning. Accountants may be self-employed, work for an accounting firm, or be employed by a music company or film or television studio. There are few specialized training programs for arts and entertainment accountants; those who aspire to work with creative professionals or companies should look for internships and other opportunities, network with industry professionals, and focus on building a solid résumé. Jerry Catalano has been helping performing artists navigate concert, touring, mileage and instrumentation costs for more than 50 years, but things can get more complicated when musicians write their own music. When performers have original material and recordings, music accountants must track royalty streams that come from sales of records, streaming revenue and other sources of income, as well as make sure they are properly copyrighted.
- If you are an entertainment attorney, agent or manager, and are seeking a CPA who can provide your clients with tax and accounting services, either through you or directly servicing your client, please email or call and ask for Jerry Catalano.
- With YouTube and TikTok being reluctant to pay royalties and less than a penny earned per stream, Catalano said many artists end up confused and disappointed.
- This short tenure highlights just how taxing the emotional and physical demands can be in this line of work.
- We work with our artists on a monthly basis to assist with managing the financial side of their artistic businesses.
- Johnson explained how they could inherit those producers’ rights, as well as how to save a lot of money on taxes.
Since streaming services didn’t exist back then, any sales from these platforms are not covered in older contracts, and Catalano said it’s almost impossible to overturn contracts that were signed during that period. Catalano recommends that artists be extremely wary of what music accountants call a « 360 deal, » or a contract that gives most of the sales revenue to their record label, even once they have stopped performing. The Music CPA tries to save people from this dishonest policy by connecting young artists with attorneys who can review their contracts and point out any red flags. This is what Catalano describes as a fight with industry « whores and thieves, » between artists ready to sign anything to achieve their dreams and labels that don’t hesitate to take advantage of their enthusiasm. To partially resolve this issue, Congress designated SoundExchange, a nonprofit music rights management collective, as the only recognized organization allowed to collect and distribute digital performance royalties for sound recordings. As a result, composers and performers now receive payment for songs played on satellite and internet radio, but Catalano said it adds another layer of complexity for music accountants, who now need to make sure that artists have registered their work with SoundExchange.
- A Cambridge Judge alumnus has written a light-hearted song about his life-changing decision to switch from a career in music to accounting via the Management Studies Tripos (MST) programme at Cambridge Judge Business School.
- What happens when accountants decide to focus their practices on exciting fields like music, aviation, sports and forensic investigation?
- You unquestionably did not get into the music industry to deal with the business end and manage things like music royalties.
- From analyzing production incentives to coordinating with state film offices, our national Entertainment practice provides a unique set of strategic services geared toward maximizing opportunities while minimizing risks.
- We expressly disclaim all liability in regard to actions taken or not taken based on the contents of this blog as well as the use or interpretation of this information.
On-the-job training and experience are necessary to land a position as a Music Business Accountant. However, since this field is so specialized, the aspiring Certified Public Accountant Accountant doesn’t have to land a job with a professional music industry accounting firm right out of school to get the experience required. Music industry experience is great, but solid work history in the accounting field is more important. Our professionals work with production companies and lenders to track entertainment incentives, including analyzing weekly and monthly production expense reports to ensure projected incentives are tracking as expected and identify shortfalls as early as possible.