About
Historically, institutional investors have monopolized catalog royalty assets, enabling them to exert significant control over artists and dictating the terms under which they acquire the copyright interest, often prioritizing financial returns without any regard to fandom.
Why would artists make more with fans than with institutional investors?
01
Reflects current market for securitized royalty income debt at 50% leverage
02
Net present value based on 30-yr cash flow of an example song catalog asset generating $100 per year and declines 5% per year
03
Assets with growing royalties will generally have larger premiums at lower discount rates, mathematically speaking
Institutional
Fan
Cost of Equity
14.0%
6.0%
Cost of Debt (1)
6.0%
6.0%
Leverage Ratio
50.0%
0.0%
Total Cost of Capital
10.0%
6.0%
Net Present Value (2)(3)
$660
$880
Premium Better
0%
33%
At MOTYF, we aim to disrupt this status quo and shift that power from institutions to artists and their fans.
MOTYF Services
Artists retain full copyright ownership of their catalog.
Artists have the flexibility to sell just a portion of their royalties, such as 20%, or
only specific streams,
like PRO royalties.
Artists can earn 30% more on their catalog than if they were to sell it to an institutional investor by opening catalog access to a new class of retail investors who have the lowest cost of capital.
Artists can repurchase their catalog back whenever, or at a lower price, thereby generating profit from the price difference or sell more of their unsold royalties at a higher price, if there is demand.