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How do I know I’m getting a good music distribution deal?

Question by Ali E: How do I know I’m getting a good music distribution deal?
I own a independent record label and I am about to talk to some distributors about a deal. I’m wondering what is a good distribution deal? What should I ask for and what shouldn’t I.

Best answer:

Answer by Rick W
I’m a label owner too, and I negotiated a distribution deal for one of my CD’s: http://www.CharlieDoesSurf.com

I think anyone who pays you to make and distribute your discs is offering you a good deal. The question is, how much, and what kind of deal are you getting into?
The answers I looked at were:
How much are they offering you?
How many discs are they buying?
Is this a “consignment” or “payment-on-sale” contract? In other words, are they buying CD’s outright, or are they allowed to return unsold products to you?
Will they continue to buy after the first purchase?
What other labels do they represent?
Will they buy any of your other material?

If you’d like, contact me offline at http://www.RickshawRecords.com

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