Royalty statements from DSPs arriving in different formats with no automated ingestion pipeline, so statements are reconciled manually each quarter?
Split sheets stored in spreadsheets that don't connect to the payment system, so every payout requires manual calculation?
Music Royalty Management Software Development
Royalty statements arrive from Spotify, Apple Music, and 40 other stores in different formats, on different schedules, with different data structures. Without an ingestion pipeline, someone reconciles them manually every quarter -- a process that takes weeks and still produces errors.
We build custom royalty management systems that automate the full pipeline: DSP statement ingestion and normalization, mechanical and performance royalty processing, split sheet application, statement generation, and payment disbursement to rights holders.
DSP royalty ingestion and normalization from Spotify, Apple Music, and 40+ stores
Mechanical and performance royalty processing
Split sheet management linked directly to payment calculations
Automated statement generation and payment disbursement
Music royalty management software ingests royalty statements from DSPs and PROs, processes mechanical and performance royalties according to deal terms and split configurations, and disburses payments to rights holders with full statement documentation. RaftLabs builds custom royalty management systems for labels, publishers, and distributors that replace manual statement reconciliation with an automated pipeline from DSP ingestion through to payment disbursement.
100+Software products shipped
·FixedCost delivery
·10-14Week delivery cycles
·24+Industries served
Why royalty management requires a purpose-built system
Music royalties are complex not because the math is hard, but because the data is fragmented. Streaming royalties come from dozens of DSPs in different file formats. Mechanical royalties are reported separately from performance royalties. PRO distributions arrive on their own schedule. Each income type is governed by different deal terms, different split configurations, and different reporting requirements.
When that data lands in a spreadsheet, someone has to normalize it, apply the right splits, calculate the right payouts, and generate statements -- manually, every cycle. Errors compound across quarters. Rights holders question statements because they have no way to verify the numbers. Staff time is consumed by reconciliation work that should be automated.
We build royalty management systems for labels, publishers, and distributors. The system is built around your catalog structure, your deal types, and the income sources you process. DSP ingestion, split logic, statement generation, and payment disbursement are built as connected modules, not separate tools that require a human to pass data between them.
What we build
DSP royalty ingestion pipeline
Automated ingestion of royalty statements from Spotify, Apple Music, Amazon Music, YouTube Music, Tidal, Deezer, and 40 or more additional stores and DSPs. Each DSP delivers data in its own format -- CSV, TSV, XLSX, or proprietary formats via SFTP or API. The ingestion pipeline normalizes all incoming data to a common schema: track, ISRC, territory, streams, download units, and gross revenue. Statements are matched to your catalog by ISRC or UPC so earnings are attributed to the right recording without manual lookup. New DSP formats are added as a configuration change, not a code change.
Mechanical and performance royalty processing
Mechanical royalties (from streaming services, downloads, and physical sales) and performance royalties (from PROs including ASCAP, BMI, and SESAC) follow different rate structures, reporting timelines, and split configurations. The system processes each income type according to its own rules. Mechanical royalties are calculated against statutory or negotiated rates depending on the territory and deal type. Performance royalty distributions from PROs are ingested as statement data and matched to compositions in your catalog. Both income types are tracked separately in the rights holder's royalty account and combined in the final statement.
Split sheet and ownership registry
Split sheets are stored as live data linked to the recording or composition they govern -- not as PDF documents filed away from the payment system. Each split record carries the rights holder's identity, their ownership percentage, the income types their split applies to (master vs. publishing, mechanical vs. performance), and the effective date range. When a royalty payment is processed, the system applies the correct split for the income type and reporting period. Split amendments are versioned so historical payouts can be reproduced exactly as they were calculated at the time.
Royalty statement generation
Statements generated directly from the processed royalty data -- not from a spreadsheet export that someone formatted manually. Each statement shows income by DSP, territory, income type, and period, with the split calculation applied to arrive at the rights holder's net payment. Statements are generated on a schedule (monthly, quarterly, or annually) or on demand. Rights holders receive their statement by email or through a portal. Statement data is exportable in formats compatible with accounting software. Statement generation takes minutes, not weeks.
Payment disbursement and reporting
Payment runs triggered from the processed royalty data with a single approval step. Each payment is linked to the statement it corresponds to so the audit trail is complete. Payment methods include ACH, wire transfer, and payment processor integrations depending on your rights holder base. Minimum payment thresholds are configured per rights holder so small balances accumulate rather than generating payment fees on tiny amounts. Payment status is tracked through to confirmation and matched to the bank record. Finance teams see a full payment history by rights holder, period, and income type without manual reconciliation.
Rights and catalog data management
A catalog registry that ties every recording and composition to its rights holders, ISRC and UPC codes, release dates, territories, and deal terms. Catalog data is the foundation that makes royalty processing accurate -- if a recording is not correctly registered with its splits and rights holder identifiers, the royalty attributed to it cannot be correctly disbursed. The catalog module supports import from existing systems, bulk ISRC registration, and territory-level rights restrictions. Changes to ownership or split configurations are effective-dated so historical calculations are not affected by current changes.
Frequently asked questions
Mechanical royalties are generated when a musical composition is reproduced -- through a stream, a download, or a physical pressing. In most markets, they are paid by the DSP or label to the music publisher or songwriter at a statutory or negotiated rate. Performance royalties are generated when a composition is performed publicly -- through broadcast, streaming, or live performance -- and are collected and distributed by PROs (performing rights organisations) like ASCAP, BMI, and SESAC. The two income types flow through different channels, are governed by different agreements, have different reporting timelines, and are split differently between co-writers and publishers. A royalty management system that treats them as the same income type will produce incorrect statements and incorrect payouts.
Split accuracy at scale is a data management problem, not a calculation problem. The calculation is straightforward once the split data is correct. The challenge is ensuring every recording has a complete, verified split record before royalty processing runs. We build the system with validation rules that flag recordings with incomplete or mismatched split data before a payment run is approved. Splits that sum to less than 100% or that reference rights holders without payment details are held for review. The admin interface lets your royalty team work through the exceptions without blocking the rest of the catalog. The goal is to eliminate manual double-checking by making incomplete data visible before it causes a wrong payment.
PRO integrations are handled differently from DSP integrations because PROs do not provide real-time APIs for distribution data. ASCAP, BMI, and SESAC distribute statement files on their own schedules -- typically quarterly -- in their own formats. The system ingests those statement files, matches distributions to compositions in your catalog by ISWC or work registration number, and processes them through the same split and disbursement pipeline as other income types. For publishers and labels that collect directly from PROs, the ingestion is automated. For artists who collect their performance royalties directly from PROs (rather than through the publisher), the system tracks those distributions separately so statements reflect the correct net income.
A focused royalty calculation and statement system -- handling a single income type with a defined catalog size -- runs from $20,000 to $50,000. A full royalty management platform with DSP ingestion from multiple stores, mechanical and performance royalty processing, split sheet management, automated statement generation, and payment disbursement runs from $50,000 to $120,000 depending on the number of income sources, catalog size, and integration requirements. We scope projects in detail before quoting. The estimate is based on your actual income sources, your catalog structure, and your rights holder base -- not a generic range.
Tell us about your income sources, your catalog size, and where the current process breaks down. We will scope a system built around your royalty workflow.
