Royalties to Certified-Gold Song “2AM” Sells In Crowded Auction

Aug 16, 2016

Songwriter royalties to one of the hottest R&B songs recently sold on Royalty Exchange

The royalties sold for 35% more than its starting price.

The auction sold 100% of the ASCAP songwriter’s royalties for the 2014 hit song “2AM,” performed by Adrian Marcel.

The list for the auction started with an opening bid of $8,750. But it pushed to a final selling price of $12,000 thanks to 35 motivated bidders.

Songwriter royalties to this RIAA-certified gold single generated $3,130 over the previous 12 months. The royalty stream also averaged $899 per quarter for this song.

The hit “2AM” sold more than 500,000 copies and reached as high as #29 on the US Hot R&B Chart. The Adrian Marcel song features Sage the Gemini. Fans have watched the official music video more than 41.5 million times on YouTube. They have also streamed the song on Spotify more than 22.5 million times.

It was a great deal for the owner given the importance of royalty payments for today's artist. Work that they performed in the past can take years to accumulate a lot of money for a musician.

These songwriters royalties sold at a strong financial "multiple." The previous received a strong cash payment based on the future payouts of the income stream.

The songwriter also maintained ownership interest in the music composition of the song. The writer will still receive income from plays and sales on streaming sites and music stores. The song remains popular on Spotify, Pandora, Rhapsody, and iTunes.

Are you interested in putting your royalties up for auction to finance your next album or project? You can receive a complimentary royalty valuation consultation from the team at Royalty Exchange.  Learn more, right here.