An artist development deal (also known as a demo deal) is a

recording artist A musician is someone who composes, conducts, or performs music. According to the United States Employment Service, "musician" is a general term used to designate a person who follows music as a profession. Musicians include songwriters, ...

contract with a

record label "Big Three" music labels A record label or record company is a brand or trademark of Sound recording and reproduction, music recordings and music videos, or the company that owns it. Sometimes, a record label is also a Music publisher, ...

or music publisher that promises to develop the skills and public profile of the artist. In exchange for development support, the recording label or publisher receives a right to future high

royalties A royalty payment is a payment made by one party to another that owns a particular asset, for the right to ongoing use of that asset. Royalties are typically agreed upon as a percentage of gross or net revenues derived from the use of an asset or ...

or other desirable rights. These types of deals are sometimes most helpful to the artist, but the label often takes control of the artist's management and publishing rights. Historically, such deals have been abused by both labels and managers.

References

{{Music-stub Music industry