LabelWorx has been building its distribution and label-services business for 15 years, focusing on clients in the electronic-music world. Now it wants to provide some of them with funding too.
The company’s new ‘Elevate’ scheme will choose a select group of labels to receive $10m of upfront capital, as well as “tailored growth strategies, promotional opportunities… and ongoing strategic support”.
Like the parent business, the fund will focus on independent electronic-music labels, pinpointing those that have strong growth potential, but are facing financial hurdles to unlock it.
“Independent labels move culture forward but too often are constrained by slow royalty cycles and limited access to capital. We want to change that with Elevate,” said VP Dominic Kerley.
The $10m has been earmarked for the first round of the initiative, but the ‘Elevate’ website makes it clear that more will follow: $25m committed overall for the scheme’s future.
