Why Nigerian artists are leaving labels to own their masters

When Charles Chibueze Chukwu, professionally known as Crayon, stepped into the spotlight under Mavin Records’ Blowtime (Entertainment) wing in 2019, he carried the hopes of countless young Nigerian artists chasing stardom. But years later, the same label that helped launch him became the source of deep frustration.

In raw social media posts that stunned fans in March this year, the singer openly aired grievances about unequal support, stalled career growth, unpaid royalties, and a sense of being trapped in a system that controlled his voice, literally. He claimed the label collected around $200 million, possibly referencing a recent investment or deal involving Mavin, without distributing his share.

Like Crayon, many artists believe that uploading their song to streaming platforms gives them full ownership and control over the recording. This is often not the case.

The owner of the master recording, usually a record label or music company, holds specific rights to the sound recording. These rights control how the song is distributed, used, and monetised. Artists who do not understand this distinction risk losing leverage when they sign agreements.

This issue has contributed to several public disputes involving Nigerian artists and labels, especially in an era where monetising and ownership is prioritised by younger artists who are now developing an understanding of the business of music.

Oniyide Azeez, known as Zinoleesky, officially left Marlian Music after several years. The separation was not presented as a bitter dispute. Zinoleesky announced his new imprint, Zinodict Music, and released new music independently. Fans and observers noted possible underlying tensions, especially given past controversies around the label.

These examples underscore a growing trend where artists are increasingly bypassing the traditional label pipeline to establish independent ventures and retain greater control over their work.

These stories also highlight ongoing questions about the balance of power between artists and labels. To understand the issues, it helps to examine what record label rights cover, how revenue moves through the system, and perspectives from industry professionals.

What record label rights cover

When a label owns the master recording, it controls the specific version of the song that was recorded. This is separate from the composition (the songwriting, melody, and lyrics), which the songwriter or a music publisher usually handles.

Key rights held by the master owner include Master rights, which grant full ownership of the sound recording itself, Distribution rights, which grant the ability to release the recording on physical formats, digital downloads, and streaming services around the world. Monetisation rights give the right to collect revenue from streams, downloads, advertisements, subscriptions, and other sources.

Beyond basic distribution, master ownership encompasses an array of vital rights that control the recording’s usage and monetisation. This includes YouTube Content ID rights for managing unauthorised uploads, synchronisation licensing for placing tracks in films, TV shows, and games, and communication rights covering streaming services, internet radio, and public performances. 

Additionally, master owners hold digital exploitation rights for both current and emerging formats, compilation rights for inclusion in curated collections, broader licensing rights for third-party agreements, and neighbouring rights that ensure royalties are collected from public performances.

These rights apply only to the recorded sound. They do not extend to the underlying composition.

How revenue actually flows

The process is straightforward but often misunderstood. The master recording is uploaded to platforms such as Spotify, Apple Music, YouTube, Amazon Music, and others. The platforms generate revenue from user streams, downloads, ads, and subscriptions. Revenue flows first to the owner of the master recording, which is typically the label or distributor acting on its behalf. The label then pays the artist according to the royalty terms in their contract.

Royalty rates, recoupment of advances and marketing costs, territory-specific payouts, and contract length all affect what the artist ultimately receives. Streaming payouts vary significantly by country and subscription type. For example, one million streams in some high-value territories can generate far more income than the same number in lower-value markets.

Record label (master) rights are distinct from publishing rights (composition) and performer rights. Artists who retain or co-own their masters gain more control and a larger share of revenue over time.

Henry Ezikeoha, an entertainment lawyer, and  Managing Partner at Lexborg Attorneys highlights that major misconceptions often stem from the financial aspects, particularly royalties. He asks, “If signed to a label, when do they start earning off the Masters and Publishing if they are not given Publishing from the onset? What’s deducted from earnings that comes in?”

Nehemiah Melody, founder of SongDis, a Nigerian music rights management and distribution firm, addressed common misunderstandings.

On the biggest misconception artists have when releasing music independently or signing their first deal, he said: Many expect overnight success, fame, and large financial rewards. In reality, building a career requires consistent content creation, audience engagement, marketing, promotion, and sustained effort.

A record deal can offer resources, but it does not replace the artist’s own work. According to Nehemiah, another common error is assuming millions of streams equal millions of dollars. Actual earnings depend on territories, royalty splits, subscription types, and recoupments. Long-term success usually requires multiple revenue streams.

On master ownership, Nehemiah explained: “Master ownership is the ownership of the original sound recording of a song. The master owner controls how the recording is used and earns revenue from streams, downloads, and licensing.”

Nehemiah said that common misconceptions include believing that owning masters automatically leads to wealth or success. The value depends on the music’s commercial performance. Artists also often confuse master ownership with publishing ownership. The key is not only owning masters but building a valuable catalog and understanding the business.

Lessons from successful models: The Tems example

The interview with Muyiwa Awoniyi, manager and business partner to Grammy-winning artist Tems, provides a practical reference point. In the conversation on The Manager’s Playbook podcast, Awoniyi emphasised building a real company around the artist rather than treating music as the only product. Tems’ team prioritised ownership.

According to Awoniyi, they structured deals, including an RCA license deal, that allowed co-ownership of masters with reversion clauses after a set period (such as 12 years). This gives the artist long-term control and leverage.

“Everything is leverage,” says Ezikeoha. “Artists like Tems already know how much she is going to make during the 12-year period based on her previous works. In instances like that, for example, when Omah Lay was given 1 million pounds for publishing, they know they are going to make their money within the 5-year period and make a profit, after which Omah Lay gets his publishing rights back. The companies will look at how much they are projected to make, the streaming number of the artists, and so on. The young artists can’t have such deals because of their limited number of records sold, number of listeners, and the value they offer.”

Awoniyi stressed patience, discipline, and non-transactional relationships. The goal extends beyond immediate releases to branding, fan engagement, partnerships, publishing, sync opportunities, and building sustainable income. Music is the vehicle; the destination includes ownership, investments, and a business that lasts beyond hype.

This model contrasts with situations where artists hand over full master rights without clear terms for reversion or fair splits. It shows that informed negotiation and long-term planning can change outcomes.

Why this matters for artists

Disputes like those involving Crayon in 2026 are not isolated. They reflect broader tensions in an industry where streaming has increased access but also highlighted imbalances in contracts and revenue distribution. Artists who understand master rights, revenue flows, and deal structures are better positioned to negotiate or pursue independent paths when appropriate.

Labels can provide marketing power, distribution networks, and advances. Independent routes, supported by strong distribution platforms and management, offer greater control. Many artists now aim for hybrid approaches, retaining or co-owning masters while partnering strategically.

Ezikeoha notes that many artists choose not to renew their contracts due to a lack of transparency in earnings and a failure to increase the artist’s percentage share even after the label has successfully established their career. “At that point, the label or investor is not spending as heavily as they did when they needed to break the artist in,” he explains. “Artistes feel there should be a better offer when they hit milestones, which doesn’t come in, and these are certainly some of the reasons why they don’t renew contracts.”

However, he remains optimistic about the shift toward independence: “Is it working for artistes? I believe so. The data shows we have much more successful artistes who left their labels and are reaching higher heights, e.g., Olamide.” Looking ahead, Ezikeoha suggests, “I don’t think everyone being an indie artiste will bring generational growth for the industry. However, transparency in earnings and an increase in earnings when artistes hit major milestones while signed to labels will make us see artistes own labels while being signed to labels like we see overseas.”

Nigerian artists navigating this landscape in 2026 and beyond will benefit from these lessons. Whether staying with a label or going independent, a clear understanding of master rights remains central to protecting work and maximising opportunities.