INDIE NEWS BY FRED GOSTEIN www.themusic.com
Do you really want to sign a document that wouldn't be legally binding in any other industry? Do you want to end up in horrendous debt? Do you really need to have your every artistic decision dictated to you? Are you sure you want to be at the mercy of some A&R person's career decisions? Are you a victim, or are you in control?

Sure, if fame is all you want in life, sign your life away. Be a puppet - hell, it's working for George W.

Mind you, if fame is all you want, be prepared for the comedown. Be aware that every day is one day closer to the one when you get thrown in the gutter. Be sure that you've got an alternative source of income, cos it's gonna be a little embarrassing working in that café and having people say, "Don't I know you from somewhere?"

It's true, not everybody ends up on the scrap heap the moment they turn 23. . But sift through the debris of past charts and you'll see a lot of Leonardo's Brides, Bardots and Human Natures whose next bout with fame is most likely going to be in the 'Whatever Happened To' section of some glossy magazine.

Now, I don't know much about any of these acts - Poison is about the only song I'd know from any of them - but I've got a funny feeling most of them owe a lot more than they're ever going to make. I'm also guessing most of the members of these acts will have second thoughts the next time someone offers to sign them.

But I'm not saying that being signed is all bad. The promotional power and distribution capabilities of any big label can be very useful. Just ask george, The Whitlams or John Butler. Each of these acts has secured big label support largely on their own terms.

And this is the critical factor. If you go around begging labels to make you famous, well, as they say, beggars can't be choosers. You're gonna get screwed. What's more, you'll deserve every single twist of that screw as it binds you to indignities beyond the call of any self-respecting artist.

However, if you see a label as a tool rather than an ideal, you're bound to have a much better time of it. For a start, you'll have things in perspective. You'll also have a lot more control of your artistic career, and end up with a lot more money in your pocket.

Let's have a look at the maths. A Platinum record in Australia needs to sell 70,000 copies. Assume you've got an eight point deal, where you get 8% of the royalties from the wholesale price - say $14 (for a $20 CD). That gives you $1.12 per CD. Take away the packaging deduction (about 30 cents), then pay the producer's royalty, who should get around three of your points, and you're left with about 50 cents a copy, if you're lucky. That means you should end up with about $35,000 from a top selling CD; which wouldn't be so bad if you could do it every year - and you're a solo artist. Bear in mind that there's a bunch of promotional expenses, production costs and other outgoings that you'll probably need to deduct from that amount, as well.

Now, if you've independently produced your CD but the labels still want a piece of the action, you're in the money. You should be able to get at least a couple of bucks per CD out of them, if not more. Then you'll only need to sell a quarter as many CDs to get the same return. Furthermore, you'll probably own more of the publishing rights, have all the artistic licence you want, and have kept your self- respect.

But what about the acts that don't even bother with labels? Bands like The Waifs travel around the country, and overseas, selling plenty of CDs directly 'off the stage'. They take home the whole $20 from every sale, but had to come up with the finances to produce them first. Once their costs are covered, they only need to sell 1,750 copies to get the same result as the Platinum selling artist who busted their balls for a label that took home a couple of hundred grand just for being big and powerful.

I'm not Isaac Newton, but even I can see that this equation simply doesn't add up. Things would work a bit better for you in the States or Europe, where the market is significantly bigger. But here in Australia, we really can't expect the major label model to work for any but the select few artists.

I recently spoke to Phantom Records' head honcho, Sebastian Chase, about these issues. He has recognised this problem and reckons what we need to see more of are strategic partnerships, in which different parties work with one another as the need arises. If you need distro, you get distro; if you need promo, seek it out; if you need to tour, get yourself a tour manager. That's a highly simplified version, but it's definitely worth a thought. To make it in today's music industry, you have to think beyond the square. There's no other option. If you use a 'tried and true' approach in these changing times, you're setting yourself up for failure. The old ways are no longer relevant, and the new direction is still finding its way. Help it along, y'hear.