SOMRE

Open Beta and Business Model Changes

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Photo by Javier Allegue Barros on Unsplash

 

Moving Forward: Open Beta

SOMRE has unofficially been in an Alpha testing phase as we build up the business and the platform from scratch. The amount of support we have seen has been very encouraging and so we are delighted to move forward with our Open Beta phase.

 

 

What is the Open Beta?

Open means it is available to anyone to sign up. Beta means we are in the second phase of testing. While we have laid a lot of the groundwork to acheive our mission of making music royalty investing approachable and accessible, we still are working to improve our business model and our user experience.

 

 

How to Sign Up

Like we mentioned before, SOMRE is now available for anyone to sign up. Whether you are an investor or a copyright owner, you can sign up below. We will keep you updated as we continue to make improvements and begin to offer royalties for purchase.

 

Sign Up

 

 

 

Business Model Changes

 

New: Rights Grouped in Catalogs

Previously, you had the opportunity to purchase individual rights. Now those rights will be grouped together according to the work. These groups are called Catalogs.

 

A catalog can contain both Composition Copyrights as well as Recording Copyrights. However, generally only one composition copyright will appear in a catalog. There can be any number of Recording Copyrights associated with a work depending on how many recordings have been produced, so you will often see multiple Recording Copyrights in a Catalog.

 

Example:

Under the old model, you could purchase tokens for any of the following:

  • The Performance Royalties from the Composition Copyright on Red Sovine's song "Phantom 309"
  • The Reproduction Royalties from the Composition Copyright on Red Sovine's song "Phantom 309"
  • The Reproduction Royalties from the Recording Copyrights on Recording A of Red Sovine's song "Phantom 309"
  • The Reproduction Royalties from the Recording Copyright on Recording B of Red Sovine's song "Phantom 309"
  • The Sync Royalties from the Recording Copyright on Recording C of Red Sovine's song "Phantom 309"
  • etc.

 

 

Under the new model, you will purchase tokens for the catalog, "Phantom 309 by Red Sovine". The Catalog will contain all of the above mentioned royalties. So anytime ANY of those royalties are paid out, token holders for the Catalog are paid out rather than token holders of the specific royalty.

 

 

While this model may offer less flexibility as far as how you are able to customize your portfolio, we feel that it is in line with our mission of making royalty investing approachable and accessible. 

 

 

Old: Right Management by SOMRE

New: Selling Rights to SOMRE

SOMRE is now purchasing rights that will make up the catalogs which are listed on our marketplace. We are no longer offering copyright holders the option to retain the ownership of the rights. 

 

Fairness for Copyright Owners

The primary reason for this change is our move to offering tokens on a Catalog level. There is no way to accurately compensate all copyright holders for a given Catalog. If Copyright Owner A owns the Composition Copyright and receives $100,000 every year and Copyright Owner B owns the Recording Copyright and receives $50,000 every year then their rights are not equal and they cannot be offered tokens representing the same Catalog. They can, however, each be given a fair value offer from SOMRE to sell the rights which they own.

 

Integrity for Investors

Another reason for this change is investor confidence. Investors should not need to be concerned that all royalty income is being collected, reported, and paid out properly. Investors also will not need to worry about one of their investments being removed from the platform if the copyright holder no longer wants to list it.

 

With SOMRE as the owner of the rights, there is a layer of complexity removed and there is clearer visibility into where payments are coming from. All this boils down to accurate income reporting and more security, which are areas we highly value.

 

 

New: How to Sell

We are now providing immediate offers if you are interested in selling your rights. The only information we will need to get started is a description of the catalog you are interested in selling along with an estimate of the last twelve months of income. Once you have signed up for an account, simply click on "Sell Copyrights" from the home page.

 

 

From there, you will have the opportunity to provide information about the catalog and the twelve month income. Once an offer has been accepted, we will review and work with you to complete the transaction.

 

 

 

 

Feedback

We appreciate your feedback and want to build a platform which you find useful. We may not be able to meet all requests, but we would love to hear them. SOMRE's mission is to make music royalty investing approachable and accessible. We welcome any feedback or questions about things you don't quite understand.

 

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