Connect Music Group launches $10m indie artist fund backed by investment firm Preserver Partners

Memphis-based Connect Music Group, a publishing and distribution management services startup, has launched a $10 million fund for independent artists.

The startup, founded by CEO George Monger, says its new fund, backed by investment firm Preserver Partners, will see select indie artists receive financial support as well. as designated “a team, infrastructure and resources comparable to the major labels while maintaining ownership of their music”.

Protectoralso headquartered in Memphis, is headed by President and Chief Investment Officer Floyd Tyler and has nearly $230 million in assets under management.

Connect Music says that its new fund is designed “to promote economic empowerment through intellectual property rights over image, music and sound recording rights”.

Founder and CEO George Monger has also confirmed that the company plans to increase the value of the fund in the future.

“Our fund with Preserver is substantial in size,” he told MBW. “We have also been approached by larger funds who are interested in this space. We are committed to Preserver as a long-term partner that will be instrumental in our growth. ”

Headquarters in 2.5 million dollars downtown real estate in Memphis, Connect Music Group was founded by Monger in August 2020.

The company claims to have more than 200 brand clients and has developed an editorial partnership with Pandora, Spotify and Apple.

Here, George Monger tells MBW why Connect Music Group is launching a $10 million fund, how the company plans to select participating artists, and his predictions for the future of the field indie artist…

Why did you decide to establish this fund at this time?

Black creations were once at the heart of American music, but many artists struggled to derive substantial income from ownership.

Larger multinational music rights organizations are beginning to realize this and are working to correct the wrongs that have affected Black creators. Black Music accounts for nearly a third of all online consumption.

Tell us about your partner Conservation Partnership Company. How did you start working together?

We are excited about our partnership with Conservation Partners. Through our efforts, we have found that investing in sound and industry expertise around a musical production – especially in hip-hop and R&B offers endless opportunities for those creative and independent music field.

Floyd Tyler, Founder and Chief Investment Officer of the group Preserver Partners and his team approached us in December 2020 about fundraising.

“The creative music class is emerging as a significant economic force in the Southeast economy.”

As a Black-owned asset management firm with nearly $230 million under their management, Floyd and the Preserver Partners team have strong commanding authority in building sustainable models for investment. private.

For over 18 months, we worked very closely with the Preservation Partners team to launch our sponsorship model. During this time, we were able to engage Michelman and Robinson, [one] of the largest companies at the intersection of music and finance to strengthen the fund.

The musical creative class is emerging as a significant economic force in the Southeast economy. Independent Hip-Hop and R&B artists from the southeast are at the forefront of the industry, dominating music and culture across the county and beyond. We (Connect Music) help artists realize their vision.

How would you choose which artists to work with?

Connect Music is based on hundreds of data points in our model that includes a three-stage per-transaction approach. Team, Talent and Total Consumption play an important role in our process. Our model is dynamic and collects specific data in addition to streaming metrics.

Will you pay the artist’s advance?

The fund is designed to ensure artists/right holders have the capital to maximize the execution of their marketing and branding strategies. This means taking a narrow view of the advancements. We believe it is not in the best interests of the customers we serve to trade dollars today for the loss of music copyright ownership.

“Artists get a team, infrastructure and resources comparable to major studios” – Can you elaborate on this?

Connect Music has an extensive network of partners that can help artists expand their musical offerings. We make extensive reviews of an artist’s music, their group, and the resources around them. From there, we identify what an artist needs to strengthen their infrastructure and fully leverage their brand.

For example, we have a number of clients that have large audiences but don’t have the background around them to support project implementation and cultivate active funding and community engagement. We can provide those resources. Additionally, we have active and productive partnerships with streaming services to define brand alignment through future updates and integrations that benefit products. of cutomer.

What will you get when you invest in the artists, such as you take the equity of those artists?

Absolutely not. We do not own the IPR rights. Our deals are structured to gain a longer return on investment and license in return for our investment. There is a fixed revenue share of up to 70% that goes directly to our customers.

If there was one thing you could change in the music business, what would it be and why?

So that music creators can effectively manage their entire music production process, to maximize their brand’s money.

Despite the strides that have been made in the industry, many independent artists are still unable to fully realize all aspects of the music business and miss out on the opportunity to do so.

There are still too many talented creators in the music industry that aren’t able to bring about their effects through their music copyrights and intellectual property.

What are your long-term predictions for the independent artist sector?

I believe that in the next 5 years we will see significant, double-digit growth in the indie music sector. I also believe we’ll see companies reduce their portfolios to move into the services sector as the sources of money with Web3 grow and indie music expands as well.Worldwide music business