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  1. Yeah, the record labels work as a sort of "bank" / investor in musicians. They give artists the funds they need to promote their material across all the platforms, in a fast manner. The funds also help cover Merch, live shows, and the people within the label often have many connections that help you into doors. I'd also say that the music industry is more profitable than ever now adays, because of streaming. You get paid per view, and although the pay is significantly worse than a record sale, you get paid for every view. Now everyone who would only listen to you casually, never buying CD's, is paying you each time they play your song on Spotify. Not only that, you collect revenue for repeated streams, imagine if your record has been collecting streams for twenty years. But yeah, it's tough reaching an audience if you aren't signed.

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