Engine 01Labels & distribution
Equity in labels and distributors. We take a share of profit and of the growth in company value.
How we earn
One song. Many cash flows.
One song. Many cash flows.
A share in each.
We make money on what music generates after it is created: the play, the ticket, the merch and the licence. Here is the mechanism.
The life of a song
Every stage pays — and we hold a share at every stage
A hit can appear with any artist, on any label, in any country. Our income comes from the stage, not from the name.
| Stage | Who usually earns | How Off the Record earns |
|---|---|---|
| Streaming | Platform, label, distributor | Stakes in labels and distributors, bought-out royalty shares |
| Live | Booking agency, promoter, venue | Stakes in agencies, mid-size festivals and club networks |
| Merch | Producer and retailer | Share of artist IP and brand revenue |
| Sync & licensing | Publisher | Publishing shares and royalty buy-outs |
| New formats | Niche platforms | Stakes in fitness, gaming, AI-music and regional services |
Four revenue engines
Where the money comes from
Engine 01
Engine 02Artist IP & production houses
Shares in the intellectual property of established artists and in production centres in South Korea, Japan, the USA and Europe.
Engine 03Live revenue
Stakes in booking agencies, mid-size festivals and club networks — a share of every ticket sold.
Engine 04Niche & emerging platforms
Early stakes in fitness, gaming, AI-music and regional services where new listening habits form.
20–49%Typical stakemostly minority, with the right to increase
4Revenue engineslabels · IP · live · platforms
4Music marketsUSA · Europe · Korea · Japan
MonthlyRoyalty distributionsto partners, after operating costs
Deal structure
Minority stakes, royalty buy-outs
We usually take 20–49% of a company and keep the right to increase it. Founders stay in control; we bring capital, expertise and technology.
- Equity: a share of profit and of the company’s growth in value.
- Royalty buy-outs: we purchase part of existing royalty streams and earn on every stream, ticket and sync.
- Option to grow: successful positions can be increased over time.
The market toll
Like owning the exchange, not a single stock
As a market operator, Off the Record takes a commission on the deals that pass through it. No artist and no label has this asset: a flow of fees from the whole market.
The most valuable thing we offer a partner is not the royalty of one song — it is a share of the “tax” on the entire hip-hop economy.
A toll road earns whoever drives. Our fee income does not depend on which artist wins this year.
A different bet
One artist vs. the whole board
A typical label says
“We found an artist. Let’s put $500k in and try to make a star.”
- One outcome decides the result
- Earns on one link only
Off the Record says
“We invest in 100 artists, 10 labels, 5 production companies, catalogs, publishing, live companies, merchandise and infrastructure. Not every asset has to win.”
- Losses in one link are offset by gains in others
- Earns on many links at once
For partners
What a partner receives
The holding brings together its own capital and that of outside partner-investors. Each partner holds a position in the shared portfolio.
Dividend income
Monthly distribution of royalty receipts after operating costs.
Capital growth
A proportional share of profit as portfolio companies grow in value.
Steady cash flow
A diversified income stream designed to outperform average bank deposit rates.
The artists you love
The more music is made and played, the more the portfolio earns.
Why partners join
In hip-hop, an investor is first of all a fan
A strong offer has to deliver three things at once.
Money
Income and growth of the capital invested.
Status & access
Being closer to the artists, the events and the culture itself.
Identity
“Own your masters” has always been hip-hop’s core value. Here it becomes: own the culture.