Music financing platform beatBread has secured one other USD $124 million in credit score and fairness capital to broaden its artist advance program.
This system is able to paying money advances of over $10 million to impartial musicians and labels.
US-headquartered beatBread obtained fairness funding from Citi, Deciens Capital, Mucker Capital, and Benefit Capital within the spherical. Extra credit score was supplied by GMO and different lenders, the corporate mentioned Tuesday (August 5).
Based in 2020, beatBread beforehand raised $34 million in a seed spherical in 2022, earlier than closing a $100 million institutional fund later that 12 months.
The corporate additionally launched an “unique investor community” in 2022 that introduced funding from music firms, distributors, and ‘high-net-worth’ people into its present institutional capital pool.
In February of this 12 months, beatBread mentioned it had paid advances to over 1,300 purchasers throughout six continents, with funding quantities spanning from $1,000 to over $10 million. These advances cowl each present music catalogs and new, unreleased materials.
In 2023, the corporate launched multi-million greenback advances particularly for songwriters, and added publishing administration providers by means of partnerships with Kobalt and AMRA final 12 months.
“At beatBread, we’re constructing a monetary basis for true artist and label independence. By giving creators extra alternative, extra entry, and extra management, we’re serving to them keep impartial on their very own phrases.”
Peter Sinclair, Beatbread
BeatBread mentioned it would deploy the brand new $124 million in funds to broaden its gross sales, advertising and marketing and product operations, along with offering extra funding to artists, writers, and impartial label purchasers.
Peter Sinclair, CEO of beatBread, mentioned: “At beatBread, we’re constructing a monetary basis for true artist and label independence.
“By giving creators extra alternative, extra entry, and extra management, we’re serving to them keep impartial on their very own phrases.
“We imagine in a future the place artists and impartial labels have the ability and freedom to form their very own success, evaluate a number of funding choices from a number of funding sources, and make the selection that’s proper for them, whether or not it’s funding from beatBread, a associate or perhaps a competitor.”
Citi participated by means of its Unfold Merchandise Funding in Applied sciences (SPRINT) workforce, which makes strategic investments in specialty lending, various property and actual property.
Lee Smallwood, Citi’s Head of Markets Innovation and Investments, mentioned: “We’re excited to assist beatBread as they empower impartial artists with tech-driven financing options. This funding additionally marks a significant step in our publicity to music royalties as a reemerging asset class.”
“We’re excited to assist beatBread as they empower impartial artists with tech-driven financing options.”
Lee Smallwood, Citi
beatBread says it would moreover use the funds to additional broaden its proprietary expertise and deepen partnerships with distributors, managers, and the broader music business.
Paul Steele, Govt Associate at Triple 8 Administration, who invested within the spherical, mentioned: “At Triple 8, we imagine artists ought to be capable of create and launch the music they need, the way in which they need. beatBread will get that in every part it does. They offer artists, managers and labels larger readability, management, and truthful phrases.”
“At Triple 8, we imagine artists ought to be capable of create and launch the music they need, the way in which they need. beatBread will get that in every part it does.”
Paul Steele, Triple 8 Administration
“That’s necessary in a enterprise the place so many individuals are attempting to be something aside from clear. Day-after-day we see the ability of what they’ve constructed, and that’s why we’re not simply utilizing beatBread, however I’m personally actively investing within the firm as a complete.”
In February, beatBread launched a Deal Comparability Instrument for impartial artists and labels, permitting purchasers to match a number of funding gives aspect by aspect.Music Enterprise Worldwide
