Do I Need a Music License in the US?

Short answer: yes, almost certainly. If you play music that customers or staff can hear in your US business, whether from Spotify, the radio, a USB stick, CDs or any streaming service, you need a license to play it commercially. The only size exemption covers radio and TV broadcasts in small establishments, under strict limits. A directly licensed service like Melodial, at $6.99 per month, is one of the more cost-effective fully licensed options in the US, and includes both the music and the license.

Why the license is required

Playing recorded music where customers or staff can hear it is a public performance under the US Copyright Act. In the US, public performance rights are administered by the US performing rights organizations (ASCAP, BMI, SESAC, and GMR). Without the right license, you are exposed to serious penalties: backdated fees, damages and legal costs. The PROs actively contact businesses playing unlicensed music. They send letters, make phone calls, send representatives to listen in person and use music recognition technology. A license from one PRO does not protect you from the others, because each represents a different catalog. “Too small to notice” is not a real category.

Wondering what happens if you do not comply? See the real penalties for playing music without a license in the US.

Does my situation require a license?

Situation	License status
Playing Spotify in my shop	License required. Spotify’s terms only cover personal use, even with Premium.
Playing the radio	License required if customers or staff can hear it.
Playing CDs or USB music	License required. Buying music only grants personal use rights.
Playing YouTube or Apple Music	License required. Personal streaming services prohibit commercial use.
No music at all	No license needed.
Playing Melodial exclusively	License included. Your subscription is your commercial license.

What a music license normally costs in the US

Traditional licensing means paying a music rights organization for permission to play music in public, and then paying separately for the music itself.

Depending on the size of your business and how many people come through your space, this can run to thousands per year.

There is a much cheaper option

Melodial includes both the music and the license in a single subscription. Because Melodial owns every track in the catalog outright, none of the music is registered with the PROs or any other collecting society, so there are no royalties to collect and no license fees to pay.

Get licensed in three steps:

1. Subscribe to Melodial for $6.99 per month ($69.99 per year). No contracts, cancel anytime.
2. Play Melodial exclusively. Switch off Spotify, radio and CDs, and use the streams, playlists or mobile app instead.
3. Download your Music License Certificate, official proof that your music is fully licensed for commercial use.

Frequently asked questions

Do I need a music license for a small business in the US?

Almost certainly. The one size-based exemption, Section 110(5)(B), covers only radio and TV broadcasts in small establishments under strict size and equipment limits. Music from Spotify, other streaming services, CDs or playlists is not covered at any size, so even a one-person shop or a small waiting room needs a license if customers or staff can hear it. With Melodial, your subscription covers one stream at a single premises of any size, for $6.99 per month.

What if I just play the radio?

Usually, yes. A small establishment can play radio or TV broadcasts without a license only within the narrow Section 110(5)(B) exemption, which sets strict limits on floor area, speakers and screens and rules out a cover charge. Outside those limits, playing the radio in a business is a public performance of copyrighted music, and the performing rights organizations pursue businesses for it.

What if I use Spotify Premium?

Spotify’s terms of service prohibit commercial use. Even with Premium, you would need a separate public performance license from the PROs, which costs hundreds or thousands per year on top of your Spotify subscription.

What is a cost-effective music license option in the US?

Melodial, at $6.99 per month, includes both the music and the license in one subscription. The alternative is typically a separate streaming subscription plus PRO licenses costing $800 to $5,000 or more per year across the four PROs.

What if the PROs contact my business?

Show them your Melodial Music License Certificate. It proves your music is fully licensed and not part of any collecting society’s catalog. If they press further, forward Melodial their email and the team will help you respond.