BMI Music License: The Complete Guide for Business Owners

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Finding the right licensed music for business is essential for any owner looking to stay legal. While many assume a personal Spotify or Apple Music account works, playing music in a public space requires specific permission. A BMI music license is one of the most common ways to secure these rights, ensuring that songwriters and publishers receive their fair share of royalties when their work is played in your shop or restaurant.

Understanding the BMI Music License for Business

BMI (Broadcast Music, Inc.) acts as a bridge between music creators and the businesses that play their songs. When you pay for a license, you gain access to a massive catalog of over 22 million musical works. This prevents your business from facing copyright infringement claims, which can reach thousands of dollars per song.

For those managing multiple business locations, licensing becomes even more critical. You must ensure every “zone” or physical address is covered. While you can negotiate directly with BMI, many modern owners prefer using a “commercial music service” that handles these fees automatically.

Coffee Shop barista with music license from BMI

Make an informed choice! Compare music providers for your business on our Compare Page—free and simple.

Navigating BMI License Cost and Value

he BMI license cost is not a flat fee for everyone. It is typically calculated based on several factors:

  • Business Type: Restaurants, retail stores, and hotels have different rate structures.
  • Square Footage: Larger spaces often pay more than small boutiques.
  • Occupancy: Your fire code limit can influence the annual fee.
  • Music Use: Background music generally costs less than hosting live bands or a DJ.

According to the official BMI website, most small businesses find that annual fees range from a few hundred to a few thousand dollars. If you want to see how these costs stack up against all-in-one streaming services, you can compare music for business providers that bundle these fees into a monthly subscription.

Managing Performance Rights Organizations (PROs)

Understanding how to manage various Performance Rights Organizations (PROs) is a major hurdle for business owners. It is a frequent misconception that a single agreement covers every song ever recorded. In reality, different organizations represent different groups of songwriters and publishers. If you choose to play a broad variety of music, you will likely need to account for all of them to remain fully compliant.

  • BMI (Broadcast Music, Inc.): As the largest PRO in the United States, BMI manages the rights for more than 22 million songs from artists like Lady Gaga and Taylor Swift.
  • ASCAP (American Society of Composers, Authors and Publishers): A member-owned organization that represents over 13 million works, including catalogs from legendary artists like Beyonce and Stevie Wonder.
  • SESAC: Unlike the others, SESAC is an invitation-only, for-profit entity. While their catalog is smaller, it includes massive global stars like Adele and Jack Harlow.
  • GMR (Global Music Rights): A specialized boutique PRO that represents some of the most frequently played hits on the charts, including works by Drake and Bruce Springsteen.

To avoid the administrative burden of paying four different entities, many owners choose a licensed music for business provider. These platforms act as a single source, bundling the necessary fees so you can focus on your business rather than licensing paperwork. It’s easy to compare and find the right provider for your business with our comparison tool.

Music Licensing PRO Comparison

Music Licensing for Business:

Understanding the Four Major PROs
BMI
Nonprofit • Est. 1939
Songwriters
1.4M+
Musical Works
22M+
Annual Cost (Small Business)
$250–$2,500
Notable Artists
Taylor Swift, Luke Combs, Lady Gaga, Kendrick Lamar, Doja Cat
ASCAP
Nonprofit • Est. 1914
Songwriters
900K+
Musical Works
13M+
Annual Cost (Small Business)
$250–$2,000
Notable Artists
Billie Eilish, Jay-Z, Katy Perry, Lin-Manuel Miranda, Ariana Grande
SESAC
For-Profit • Est. 1930
Songwriters
30K–40K
Musical Works
400K+
Annual Cost (Small Business)
$700–$2,000
Notable Artists
Bob Dylan, Neil Diamond, Adele, Zac Brown Band, Rush
GMR
For-Profit • Est. 2013
Songwriters
Elite Tier
Musical Works
Undisclosed
Annual Cost (Small Business)
Premium
Notable Artists
Bruno Mars (publishing), Pharrell Williams, Drake (some works)

The Problem: You Can't License Just One PRO

There's no way to know which PRO represents the songs playing in your business. A single playlist might include artists from all four organizations. To legally play diverse, popular music, you need licenses from ALL major PROs.

What Happens When You Only License Some PROs?

BMI Only
35% Coverage
BMI + ASCAP
75% Coverage
BMI + ASCAP + SESAC
90% Coverage
All Four PROs
Complete Coverage ✓

The Simpler Solution

Fully licensed commercial music services handle ALL PRO relationships for you. One subscription covers BMI, ASCAP, SESAC, and GMR—plus curated playlists, scheduling, and support.

$25–50
per month per location

Compare to $1,000–3,000/year managing PRO licenses yourself

Use one provider to make sure you're protected! Compare music providers for your business on our Compare Page—free and simple.

Top 3 Music Providers for Your Business

ProviderGreat For...Starting Monthly PriceFree Trial AvailableLearn More
Soundtrack Logo
Soundtrack
The True Spotify Successor
$29
Yes, Soundtrack.io has a free trial available
Learn More
SoundMachine Logo
SoundMachine
Brand Control & Luxury
$27
Yes, SoundMachine has a free trial available
Learn More
Rockbot Logo Rockbot
TV & Signage Integration
$25
Yes, Rockbot has a free trial available
Learn More

Why We Picked These Top Music for Business Providers

 

  1. Soundtrack (Best for Tailored Atmospheres): If you have spent years building the ideal Spotify playlists for your business, Soundtrack (formerly Soundtrack Your Brand) is your premier solution. It features a highly intuitive integration that allows you to import your existing Spotify curation into a compliant, licensed environment. This ensures your business retains its signature “sound” while eliminating the threat of copyright infringement.

     

  2. SoundMachine (Great for Brand Consistency): For high-end boutiques or entrepreneurs managing multiple business locations, maintaining a cohesive identity is vital. SoundMachine provides deep administrative tools, enabling you to blend diverse “stations”—such as 30% Modern Lounge with 70% Energetic Pop—to craft a distinct “audio trademark” for your company. Their management portal allows you to standardize volume and playlists from a central hub, ensuring every branch offers an identical experience.

  3. Rockbot (Great for “Set It and Forget It”): Rockbot is ideal for busy store owners who don’t want to play DJ. Their smart algorithm ensures songs and artists aren’t repeated too often (saving your staff’s sanity). They also offer Digital Signage integration, allowing you to use TV screens to promote in-store sales alongside the music from one unified platform.

How to Conduct a BMI Music List Search

Salon owner listening to music with BMI music license

Before you sign a contract, you might want to perform a BMI music list search. This allows you to verify if the specific artists you love are covered under their repertoire. BMI provides a public database called “Songview” where you can look up titles, performers, and songwriters to ensure your favorite playlists are legally available to you.

Frequently Asked Questions: Your BMI Licensing Questions Answered

Q: Can I just use a personal Spotify or Apple Music account if I pay for BMI?

A: No. Personal streaming terms of service specifically prohibit public use. Even if you pay BMI directly, you still need a commercial-grade playback source to be fully compliant. There is no Spotify for Business, Apple Music for Business or even Amazon Music for Business.

Q: What happens if I play music without a license?

A: You risk being sued for statutory damages. Federal law allows for fines ranging from $750 to $30,000 per song played. It is much more affordable to pay for a monthly service.

Q: Does a BMI license cover live music?

A: Yes, but your rate may change. If you host live bands or karaoke, you must disclose this to BMI as the “mechanical” license for background music is different from “live performance” rights.

Q: Do I need a BMI license if I only play royalty-free music?

A: If you only play music where the creator has waived their rights, you do not need a BMI license. However, this means you cannot play any popular, recognizable music.

Ready to choose? See the best music providers for your business on our Compare Page—it's free and easy!

By John Boyle

John is a music for business expert and the founder of MusicforBusinessFinder.com which has been featured on BigIdeasforSmallBusiness.com, Noobpreneur and YFS Magazine. He focuses on helping small business owners navigate the confusing world of commercial music licensing, improve sales, and protect their businesses. By providing clear, independent analysis of top audio platforms, he ensures owners can make informed choices with confidence. He also loves rooting for the Mariners and his daughter’s soccer team.