The short answer is you DON’T need to have an MBA from a top graduate business school to start your own record label because an MBA doesn’t address the key fundamentals of the intellectual property as it relates to the music business.
Intellectual property is the heart of the music business and this is were an MBA program falls short because it will only give you a generic overview introduction to running a company without specifically addressing a particular field such as the music industry.
However, enrolling for an MBA program comes with some benefits because you will gain knowledge and insights about things such as:
- How to Professionally Manage a Business
- Networking Skills
- Branding & Marketing Skills
- Budgeting & Project Planning Skills
- The Art of Financing a Business (e.g Debt or Equity Financing)
So if there is anything that you really need besides getting an MBA degree to start a record label (or record company) it’s definitely CAPITAL and enough MOTIVATION to sit down and understand things like:
- Music Copyrights & Licensing (intellectual property)
- Music Publishing
- Music Distribution
- Merchandising & Marketing
The Opportunity Cost of Spending Money on an MBA Program
Opportunity cost is something that is often overlooked by most people when making financial decisions in their lives. For example, in this case the money that you would spend on student loans or paying for an MBA program you could actually use that as capital for starting your record label.
Remember fortune favors the bold and if there’s no risk in any venture chances are there isn’t quite frankly, any profit to made either. So the question you should ask yourself is, “How does the opportunity cost of spending money on something you can possibly learn through self-education or via YouTube tutorials worth thousands of dollars yet you are in need of that capital to hit the ground running?”
On the other hand if money isn’t an issue at all then you absolutely have the luxury to fund your MBA program while at the same time investing some of your money into your record label. Now ain’t that a good thing? Of course, yes! But it’s not too many people that have that type of privilege you know.
- What Are Mechanical Royalties?
- The Importance of Financial Reporting When Running a Record Label
- What is a Record Label?