Predatory 360 Deals

Predatory 360 deals are the most exploitative contracts in the music industry, claiming a portion of touring, merchandise, and endorsement revenue on top of recordings, leaving artists with just 10–20% of their total earnings. This is a stark contrast to traditional deals that only took a cut from music sales, and it outperforms #2—Streaming Payout Exploitation—in financial damage, with new signees often surrendering up to 50% of all income streams and no cap on recoupable expenses. For example, from a $100,000 gross revenue, a typical 360 deal nets an artist only $15,000, versus $80,000 under a standard recording contract, making it 5 times more costly for the artist. Additionally, the lack of transparency in these contracts means artists frequently remain in debt for years, with recoupable costs like marketing and tours eating into their share, further cementing the practice as the most damaging on this list.