“You threw an amazing live event with 500 people dancing to the hottest songs. Three weeks later, a letter arrived: a copyright notice demanding $10,000 in performance royalties. You forgot to get a music license.”
Hosting a live event with music—whether it’s a wedding, corporate party, nightclub, concert, or festival—requires legal permission to play copyrighted songs. Many venue owners and event organizers don’t realize this until they receive a cease-and-desist letter or a lawsuit claim from a performing rights organization (PRO).
Live event music licensing is one of the most misunderstood areas of entertainment law. The rules differ from radio, streaming, and podcasting. You cannot simply assume that because a band is performing live, the venue is “clear.” The venue, the event organizer, and potentially the performer each have separate licensing obligations.
This guide explains exactly what licenses you need, which organizations enforce them, how much they cost, and how to structure your event legally so you never receive a surprise royalty notice.
1. The Core Concept: Performance Rights vs. Mechanical Rights
When live music plays at an event, two separate rights are being exercised:
Who Needs a License?
Generally, the venue or event organizer is responsible for obtaining the performance license—not the DJ, band, or performer. However, all parties should verify licensing to avoid disputes.
- Nightclubs/Bars: Must have a blanket performance license.
- Concert Venues: Usually require artist-specific or event-specific licenses.
- Restaurants/Cafes: If live music is performed, need a performance license.
- Wedding Venues: If a DJ or live band plays, the venue needs a license.
- Corporate Events: If copyrighted music is used (DJ, background music), need a license.
- Festivals: Each artist headlining needs clearance; festival organizer coordinates.
2. Performing Rights Organizations (PROs)
In the United States, three main PROs collect and distribute performance royalties:
| Organization | Founded | Market Share | How It Works |
|---|---|---|---|
| ASCAP | 1914 | ~33% | Membership-based. Writers and publishers pay to join; royalties collected from venues/broadcasters. |
| BMI | 1939 | ~37% | Largest PRO. Similar model to ASCAP. Represents most mainstream music. |
| SESAC | 1930 | ~20% | Smaller PRO, but growing. Represents country, rock, and indie music heavily. |
| GMR | 2000 | ~5% | Newer PRO for gospel music primarily. |
International PROs
Outside the US, each country has its own PRO. The UK has PRS for Music, Canada has SOCAN, Australia has APRA AMCOS. If hosting international events, you may need licenses from multiple PROs.
3. Types of Live Event Music Licenses
Blanket License
Annual license covering unlimited songs from the PRO’s entire catalog. You pay a flat annual fee (often based on venue capacity and/or ticket sales).
Cost: $500–$5,000+ per year depending on venue size.
Best For: Nightclubs, bars, restaurants, recurring events.
Per-Event License
A one-time license for a specific event. You pay for that single show.
Cost: $100–$2,000 depending on attendance and event type.
Best For: One-off concerts, festivals, private events.
Theatrical License
Specifically for stage productions, musicals, and theatrical performances. Different pricing and terms than standard performance licenses.
Cost: Highly variable ($500–$50,000+).
Best For: Broadway-style productions, dance recitals, staged musicals.
Sync + Performance Bundle
Some events (like award shows) may need both sync rights (to broadcast the performance) and performance rights (to play it live). Often negotiated as a bundle.
Cost: Custom, often six figures.
Best For: Televised or streamed live performances.
4. Key Terms in Live Event Music Licenses
Territory
The geographic area where the license applies. Most are “United States Only” unless you’re hosting an international event or streaming globally.
Venue Capacity
Larger venues pay more. PROs often tier pricing by capacity (under 50, 50-500, 500-2,000, 2,000+).
Type of Performance
DJ performance, live band, recorded music, acoustic set? Different types may have different licensing requirements or rates.
Public vs. Private
A private corporate event may have different licensing than a public concert. “Public” typically means the general public can attend (paid or free).
Duration
Is the music playing for 1 hour, 4 hours, or an all-night event? Duration may affect pricing.
Streaming/Recording
If the event is streamed (Twitch, YouTube, Instagram Live), you may need a sync license in addition to the performance license.
5. Licensing Different Types of Live Events
Nightclubs & Bars
A blanket license from ASCAP, BMI, and/or SESAC is standard. Annual costs typically range from $500–$2,000. Many venues subscribe to all three to ensure they have the broadest catalog covered. Pay special attention to DJ sets—many DJs operate under the assumption the venue is licensed, but verification is critical.
Restaurants & Cafes
If you have a live musician (even acoustic), you need a performance license. Many small cafes skip this, but PROs actively pursue venues. Cost is usually $300–$1,000/year for a small venue.
Wedding & Private Events
A DJ playing copyrighted music at a wedding technically requires a license. However, enforcement for private (non-ticketed) events is inconsistent. If the wedding is very large or semi-public, it’s safer to license. Cost: $100–$500 per event.
Concerts & Festivals
Most artists have management that handles licensing. However, the festival organizer or venue is ultimately responsible. The typical approach: obtain blanket licenses, then artists’ publishers may also claim additional fees (especially for headline acts). Cost: $1,000–$50,000+ depending on scale.
Corporate Events
A conference with a DJ or band needs a performance license. If the event is also filmed or streamed, you need additional sync clearances. Cost: $200–$5,000 per event.
6. Red Flags in Live Event Music Licensing
Red Flag #1: “The DJ Has Their Own License.”Most DJs do NOT have their own blanket licenses. The venue is responsible. A DJ may operate under the assumption the venue is licensed—verify directly with ASCAP/BMI/SESAC.
Red Flag #2: “It’s a Private Event, So We Don’t Need a License.”Wrong. Private weddings, corporate events, and closed parties still need performance licenses if copyrighted music is played. “Private” does not exempt you from copyright law.
Red Flag #3: “The Band Owns the Copyright, So They Can Grant Permission.”The band may own the recording (master), but the composer/publisher owns the composition. Both licenses may be needed. This is a common confusion with cover bands.
Red Flag #4: Getting a License from Only One PRO.ASCAP, BMI, and SESAC each represent different catalogs. A song controlled by SESAC won’t be covered by an ASCAP-only license. Get licenses from all three or verify which PRO represents each song.
Red Flag #5: “We Only Play Original Songs, So No License Needed.”If the band performs originals they own, no license is required. However, if they perform covers or co-written works, you need performance rights. Verify with the copyright holder.
Red Flag #6: Ignoring International Licensing.If your event is streamed globally or features international performers, you may need licenses from foreign PROs (PRS, SOCAN, APRA, etc.). Plan ahead.
7. Negotiation Strategies & Cost Management
1. Bundle All Three PROs
Negotiate a package deal with ASCAP, BMI, and SESAC for annual venues. Some offer discounts if you license all three at once.
2. Use PRO Online Licensing Portals
ASCAP, BMI, and SESAC all have online licensing systems (ASCAP’s ACE, BMI’s licensing portal). Getting a license is often as simple as filling out a form and paying online. Do this before your first event.
3. For Festivals, Negotiate Artist-Specific Rates
Major festival headliners may demand additional “artist performer royalties” beyond standard PRO rates. Negotiate these upfront with the artist’s management.
4. Consider Capping Setlists for Small Events
For a one-time private event, some PROs will honor a “limited setlist” license covering only the songs the artist will play (cheaper than a blanket license).
5. Ensure Streaming is Covered
If you stream the event, explicitly clarify whether the performance license covers streaming or if you need additional sync licenses. Streaming = additional fees.
8. FAQ: Live Event Music Licensing
Protect Your Venue & Event
Live event music licensing is a non-negotiable legal requirement in almost every jurisdiction. Whether you’re running a nightclub, hosting a corporate party, or organizing a festival, music licensing should be one of your first steps—not something you handle after your first cease-and-desist letter arrives.
The good news: licensing is affordable and straightforward. A blanket license from the major PROs costs a few hundred to a few thousand dollars per year. Compare that to the tens of thousands in damages a copyright lawsuit can bring, and licensing is a clear bargain.
Get licensed before your first event. Register with ASCAP, BMI, and SESAC. Keep copies of your licenses on file. And if you hire a DJ or musician, verify they understand that licensing is your responsibility, not theirs. Do this, and your venue will never face a surprise royalty notice.