Performing rights organization
Also known as PRO, Performance rights organization, Performing rights society
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Short answer
A performing rights organization (PRO) licenses the public performance of musical compositions — on radio, television, streaming services and in venues — and distributes the fees as royalties to songwriters and publishers. In the United States the PROs are ASCAP, BMI, SESAC and GMR; most other countries have a single national society, such as PRS for Music in the UK or SOCAN in Canada.
How a PRO works
A PRO grants blanket licenses to broadcasters, streaming services and venues, allowing them to perform every work in its repertoire for a fee. It then works out, from usage reports and surveys, which works were performed and pays the money out to the registered writers and publishers, minus its operating costs.[1][2]
The writer's share is paid to writers directly, which is why a songwriter joins a PRO even when they have a publisher.
The United States
The United States is unusual in having several competing PROs. ASCAP and BMI are the largest and operate under consent decrees with the U.S. Department of Justice; SESAC and GMR (Global Music Rights) are smaller and admit members by invitation. A writer affiliates with one PRO at a time for any given work, and each co-writer of a song may belong to a different one.
Outside the United States
Most countries have one society covering performance rights, and many also cover mechanical rights — for example GEMA in Germany and SACEM in France. Societies are linked by reciprocal agreements, coordinated through CISAC, under which each collects for the others' members in its own territory and passes the money back.[3]
What a PRO does not collect
A PRO collects for the composition's performance only. It does not collect mechanical royalties in the United States, income from the master recording, digital performance royalties for recordings (collected by SoundExchange), or sync fees.
Questions
Which PRO should I join?
In the United States most independent songwriters choose between ASCAP and BMI, which both accept applications; SESAC and GMR are by invitation. Compare their terms and payment schedules — the core service is similar.
Can I belong to two PROs?
Not as a writer for the same works in the same territory. You affiliate with one, though your co-writers may belong to others.
Does a PRO collect streaming royalties?
It collects the performance royalties streaming services pay for compositions. The mechanical side of a US stream goes through the MLC, and the recording side through the distributor.