Music financing platform Duetti has constructed itself on the concept music rights acquisitions aren’t only for A-list artists with a big again catalog – they are often made to work for comparatively new indie artists as effectively.
Within the roughly 18 months because it was based by Lior Tibon, former COO of Tidal and now Duetti’s CEO, and Christopher Nolte, a former Enterprise Growth govt at Apple Music, the corporate has partnered with greater than 250 indie artists, together with Olivia O’Brien, Sevyn Streeter and Łaszewo.
Now Duetti introduced it has raised USD $90 million in new funding, together with $15 million in new fairness and a $75 million credit score facility.
The fairness financing was led by Nyca Companions, with participation from Viola Ventures, Duetti’s lead seed fairness investor, and Cohen Circle.
The credit score facility comes from Northleaf Capital Companions, a non-public markets funding agency identified for its investments in music, equivalent to a strategic partnership with Lyric Capital Group in 2021 and its subsequent gross sales of asset-backed securities supported by music rights.
The brand new funding “will help accelerated progress of Duetti’s catalog acquisitions, improvement of proprietary superior prediction and analytics know-how, and growth of distinctive catalog advertising and marketing capabilities,” the corporate stated in a press release on Thursday (February 15).
Duetti describes its enterprise mannequin as “democratizing the music enterprise by enabling catalog monetization for unbiased artists,” which in flip allows these artists to “pursue their skilled or private aspirations.”
Duetti, in flip, expands the monetization of these catalogs by means of varied methods equivalent to including them to playlists and teaming up with influencers. The corporate will then purchase rights to extra songs from artists that it has already partnered with.
It appears to be like for artists who’ve been on streaming platforms for at least two years, and clocked at the very least 500,000 streams within the prior yr. It presents “a variety of monetary choices,” with offers ranging between $10,000 and $2 million.
“At Duetti, we’re devoted to creating the {industry} extra clear and unlocking new alternatives for unbiased artists who’re usually ignored by the funding neighborhood and the extra conventional label system.”
Lior Tibon, Duetti
The corporate is relying on the continued speedy progress of the indie music section. In July 2022, Duetti raised $7 million in a seed funding spherical, and adopted that up with a $32-million funding spherical within the spring of 2023, which included Roc Nation, Viola Ventures and Viola Credit score, Untitled and Presight Capital.
The corporate lately opened workplaces in New York, Los Angeles, and Miami.
“The music {industry} has advanced, and unbiased artists are bucking custom and approaching their careers in new, savvy methods,” Tibon stated in a press release.
“At Duetti, we’re devoted to creating the {industry} extra clear and unlocking new alternatives for unbiased artists who’re usually ignored by the funding neighborhood and the extra conventional label system.”
“Northleaf is delighted to accomplice with Duetti to help the corporate’s continued progress, leveraging our mixed experience to drive industry-transforming alternatives for artists and traders alike,” stated CJ Wei, Director at Northleaf.
”Their progressive programs and operational processes are spectacular and we consider they’re well-positioned for ongoing success.”
Jeremy Solomon, a Associate at Nyca, added that “the corporate’s data-forward strategy mixed with its partner-centric mannequin places Duetti able to turn out to be a vital and scaled participant within the music funding house.”
“The corporate’s data-forward strategy mixed with its partner-centric mannequin places Duetti able to turn out to be a vital and scaled participant within the music funding house.”
Jeremy Solomon, Nyca Companions
In December, Duetti launched its first-ever music economics report, which discovered – amongst different issues – that Spotify paid indie artists 8% much less in 2023 than it did the earlier yr, at the same time as Apple Music, Amazon Music and YouTube elevated their payout charges to indie artists. The highest 4 platforms – Spotify, Apple, YouTube and Amazon – generate 96% of streaming earnings for indie artists, the report stated.
It additionally discovered that indie Latin artists make almost 70% much less per stream than Nation artists, and {that a} typical indie artist would wish 5 million streams yearly to earn the US federal minimal wage.Music Enterprise Worldwide
