Determining Royalties: The BMI Calculation Method
When a song is played on the radio, in a commercial, or in a public setting, the song’s copyright holders are entitled to compensation in the form of royalties. BMI (Broadcast Music, Inc.), one of the world’s largest music rights organizations, has developed a specific formula for calculating these royalties. This article will delve into the intricacies of the BMI royalty calculation process, exploring its historical roots, benefits, and key components that determine the distribution of royalties among songwriters, composers, and publishers.