Recording an album is a big step in any musician’s career.

For many, an album is more than just a collection of songs. It’s a work of art that showcases a band’s musical range and creative vision.

Music videos, too, are a way to bring your music to life. They can also double as powerful promotional tools.

Unfortunately, they cost money to produce – often more than up-and-coming musicians can afford – but that doesn’t mean they need to be out of reach.

If you’re at the point in your career where you feel it’s time to make an album or music video, there are plenty of ways to get funding for your music, especially now that the internet has revolutionized the creative scene.

These are things you can do to make money with music even if you don’t yet have an established fanbase or industry presence.

Here’s our guide to how musicians get funding for albums and music videos!

What Costs Do You Need to Cover?

Producing an album is… not cheap.

In the late 1990s, Michael Jackson spent over $30 million to create his album, Invincible. Obviously, that’s on the extreme end of things and you definitely don’t need to invest that much, but it does show that production costs are a big deal.

So, where does the money go?

If you want your album to sound polished and professional, there are a few costs you’ll need to cover. These include equipment purchases and rentals, studio fees, distribution costs, and labor expenses for session musicians, recording engineers, and producers.

When it comes to music videos, even a very short one for a single song can rack up significant expenses for production crews, performers, venues, equipment, permits, and more.

Of course, great albums and music videos can be produced on a small budget, but even in those cases, you’ll have costs to consider, and the money has to come from somewhere.

If you’re looking for effective ways to finance your music so you can create an album or music video, here are seven things to try!

1. Crowdfunding

If you have an enthusiastic fanbase for your music, then you’re not the only one who wants to see your album or music video become a reality. You have a whole crowd of people who might be willing to contribute financially.

If only there were a way for your fans and supporters to help.

There is, and it’s called crowdfunding.

Crowdfunding is a way for creators to get funding for their ideas from anyone who is interested in their projects.

It’s usually done through online platforms, and over the past couple of years, it’s exploded in popularity among creators of all kinds, including musicians, artists, writers, inventors, and others.

The beauty of crowdfunding for musicians is that it benefits both the artist and their listeners.

Music lovers are usually excited to show support for their favorite artists by backing new projects, especially when they know you’ll be using their donations to give them what they want most: more music!

It’s worth noting, however, that a successful crowdfunding campaign doesn’t happen automatically. 

You can just set up a page and wait for cash to start flowing in. You won’t get anywhere unless you take the time to promote your campaign according to best practices.

If you want to know what these best practices are, we recommend the book Music Crowdfunding Secrets: Fund Your Next Album, EP, or Tour, by Salvador Briggman and Ian Anderson. Get the free audio book with Audible’s 30-day Free Trial.

In it, music crowdfunding experts describe proven methods for putting together a killer campaign and leveling up your music career. It’s a great read if you’re thinking of using crowdfunding for a project.

The two crowdfunding models that musicians use to finance albums and music videos are rewards-based and subscription-based crowdfunding.

Rewards-Based Crowdfunding

Rewards-based crowdfunding campaigns are done with a specific goal in mind (in this case, the production of an album or music video) and usually last for a limited time only.

In these campaigns, backers put up funds so that creators can complete their projects. In return, backers get access to the finished product as a reward for their contribution. Depending on how you choose to structure your campaign, backers may receive additional perks for bigger donations.

There are many sites that facilitate rewards-based crowdfunding, but the Big Three are Kickstarter, Indiegogo, and GoFundMe.

Musicians at all stages of their careers use rewards-based crowdfunding. Notably, Pixies, Toad the Wet Sprocket, Amanda Palmer, and TLC have successfully used this model to finance individual projects.

Subscription-Based Crowdfunding

Unlike rewards-based crowdfunding, subscription-based models are used for more than just a single project. They can help finance whole careers!

Through subscription crowdfunding platforms, backers pay a recurring fee to support their favorite creators. In return, they usually get access to various perks, such as merch, exclusive content, early releases, and more.

Starting a subscription-based crowdfunding campaign is a great way to obtain a regular stream of revenue that you can put towards your album or music video.

The most popular subscription-based crowdfunding platform is Patreon, which was founded by musician Jack Stratton of Pomplamoose fame to help independent artists profit from their talents.

2. Merch Sales

Selling merch is a classic way for musicians and bands to make money, and both artists and fans love it!

Your fans will be excited to rep your music through t-shirts, CDs, posters, stickers, and other products, and you can use the profits to fund future projects.

It can’t hurt to set up a booth outside during your shows, but nowadays, most merch sales happen through eCommerce.

eCommerce refers to all the buying and selling that happens over the internet, and it’s a common way for fans to purchase merch from their favorite artists.

eCommerce sites like Shopify and WooCommerce make it easy for people without web design experience to set up stores and sell their products.

3. Live Performances

This is one of the most tried-and-true ways to get funding for a band.

From 1960-62, a little-known English band called the Beatles played more than 200 shows in Hamburg, Germany before releasing their debut album, Meet the Beatles, and live performances can be just as much of a career jumpstart today as they were in the ‘60s.

If you already have an established fanbase or access to an active music scene, consider selling tickets to a fundraising show. You can use the proceeds to finance your album, and your audience will feel great about supporting your musical ventures.

Some events and venues such as clubs and bars, will also pay musicians to perform for their guests (no ticket sales necessary), so getting booked for a gig is often the first step toward financing your music. 

4. Busking

Problem: you want to do a live performance, but you’re struggling to sell tickets or get booked at venues.

Solution: Just play anyway!

If you live near an urban area, consider scoping out a spot that gets a lot of foot traffic and start serenading passersby. Some of them might be willing to throw you some cash, and if you attract a big crowd, you could go home with a lot of money.

This is called busking, and it’s another potential way to get funding for your album or music video.

A lot of successful musicians start as buskers. If you were in Galway, Ireland in the 2000s, you might have seen a young Ed Sheeran showing off his talent on the sidewalk.

However, if you’re thinking of giving busking a try, be sure to check local laws first. Some areas might require street performers to obtain permits, and others might ban the practice altogether.

5. Pre-Orders

Here’s the eternal conundrum of artists and bands: selling albums is how you make money as a musician, but in order to sell albums, you need to already have money.

That’s why some artists choose to sell pre-orders for their albums.

This means that people can purchase the album before it is released. Then, once it becomes available, they’ll be among the first to receive it.

There are a few benefits to selling pre-orders.

First, they can help you gauge interest in your album. The amount of pre-orders you receive will give you an idea of how much you should invest in the project.

Second, proceeds from preorders can help you cover distribution costs, so selling pre-orders can play a role in financing album production overall.

6. YouTube Channels

This is another popular way for musicians to get funding in the twenty-first century.

Most people know that Justin Bieber started as a YouTube musician before becoming an international pop sensation, and he’s not the only one! 

The Weeknd, Shawn Mendes, Joji, and many others also began their careers as YouTubers.

Just about anyone can do this with a camera and a microphone. Bieber’s earliest videos were fairly simple and low-budget, mainly consisting of himself singing in his house, and this was enough to capture the attention of fans and industry professionals.

But starting a YouTube channel can do more than just expand your audience – it can make you cold hard cash!

As your channel grows, you can pursue monetization and start making money from ad views and sponsors. Subscription crowdfunding platforms like Patreon can also be used to profit from YouTube channels.

7. SB Loans

Small business (SB) loans aren’t just for traditional startups. Artists and entertainers can take advantage of them, too.

If you intend to make money with music, then you’re an entrepreneur, and you might qualify for an SB loan to make your dreams come true.

The Small Business Alliance offers a Community Advantage Loan for the Arts and Entertainment Industry to help musicians and other artists and entertainers pursue their goals.

If you qualify for this loan, you could receive up to $250,000 to finance your album or get funding for a music video.

Conclusion

If you’re passionate about your music, you shouldn’t have to let a lack of finances stand in the way of producing an album or music video that reflects your creative vision.

Most great artists start out with little in the way of cash and resources, but by using some of the methods outlined above, you can work your way to the top one song at a time!

By the way, if you decide to give crowdfunding a try, you’ll need a landing page that helps you collect contact information so you can direct people to your campaign.

We recommend using Leadpages for this.

Leadpages is a service that can help you create a simple website or landing page so you can grow your brand and share your project.

In an increasingly digital world, having an online presence is pretty much non-negotiable for creators, and services like Leadpages can help you get started.

Good luck!