How to Create a Lease Contract for Selling Beats

by Chris Newton, Demand Media
Producers need to indicate whether royalties are included in a contract for their beats.


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Music producers and composers have tools that simplify the process of writing, arranging and selling music digitally. Laptops and the Internet allow producers to create beats and sell them from virtually anywhere. However, the abundance of music on the Internet has also led to music pirating and free downloading. Producers who make hip-hop, electronic or other kinds of beats need to ensure they have a valid legal contract signed before distributing their music to any studios or musicians.

Step 1

Write the general terms of the contract. Indicate who the agreement is between, such as your name as the producer, and the name of the artist, label or studio who wants to use your beat.

Step 2

Indicate the specific name(s) of the beat(s) you are leasing to the other party. Indicate that the agreement is good only for those specific beats, and not for your entire catalog.

Step 3

Write the length of time and specific purposes the beat(s) can be used for, if appropriate. For example, if you are allowing your beats to be used in a song, but not in a commercial, indicate that in your contract. If you are granting the other party total control, indicate that the other party has exclusive rights to the beat(s). This means that the other party essentially owns them once the agreement begins. If the other party is only entitled to use your beats for a certain amount of time, indicate the exact date and time the other party's rights to your music expire.

Step 4

Define the financial terms of the agreement in as much detail as possible. If you are leasing the music for a set amount, indicate that amount, indicate who is to pay and indicate when the payment is due and to whom the check should be written. If you are going to be paid a percentage of revenue generated by the music that uses your beat(s), indicate the exact percentage and other details of the revenue share model.

Step 5

Review the contract in detail and have all parties sign, print their name and date the agreement. Make several copies, at least one for each party. Keep your copy handy at all times. Never give anyone your music until the contracts are signed by all parties.


  • Consult a lawyer to review your standard contract as a producer. You only need to do this once, then change the details on the contract based on the participating parties.


  • Never loan out or give someone your beat based on a handshake or word of mouth agreement. If you don't have the agreement in writing, then you have no proof as to the terms of the business arrangement.

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