Quote Originally Posted by Wales-Bales View Post
I have a teenage relative who plays in a band. They had 2 songs on Spotify and organised their own gigs and an international label found them and offered them a deal. The first thing they did was send them to a top studio to record a single. They are now in debt and there is a good chance they won't make it, but unless you are part of it people have no idea how things work these days.
If they don't make it, the label will drop them and take the loss. If they stay with the label, the money will be expected to be "recouped" from future royalties. The can't come after you if you don't recoup the money on the songs they released. What was the deal? Bands used to get signed for big money on a three or five album deal. That doesn't happen so much these days because it's so much harder to sell music. Often new bands will get signed for one album with an option for more.