Performance royalties – Performance royalties refer to the payments made to songwriters, composers, and music publishers for the public performance of their musical works. These royalties ensure that the creators are compensated whenever their music is performed publicly.
A public performance includes playing music in public spaces such as concert halls, restaurants, bars, retail stores, as well as on the radio and television broadcasts, and through online streaming services.
Performing rights are typically managed by performing rights organisations (PRO) or collective management organisations (CMO). These organisations issue licences, collect performance royalties every time a song is played, and subsequently pay out the royalties to the rights holders.