HOW MUCH DOES A MECHANICAL LICENSE COST?
Currently (2005) it costs about $85 per 1000 CDs for each song 5 min long (or shorter). Every time you press another 1000 CDs you need to get another license (unless you initially get a license for a larger number of CDs). Here’s the breakdown in official language: For the period January 1, 2004 to December 31, 2005 the statutory mechanical royalty rate is as follows: 8.50 Cents for songs 5 minutes or less or 1.65 Cents per minute or fraction thereof over 5 minutes. * On January 1, 2006, the rate will be raised to 9.1 cents for songs 5 minutes or less and 1.75 cents per minute or fraction thereof over 5 minutes.
