Music Licensing for Non-Profit Organizations: Do’s and Don’ts

Music licensing isn’t optional for non-profits. Despite your charitable status, using music without proper permission can result in hefty fines and legal headaches. Many organizations make costly mistakes by assuming exemptions that don’t exist.

This guide breaks down the essential rules for legally incorporating music into your nonprofit’s events, videos, and everyday operations, helping protect your organization while respecting artists’ rights.

Why do Non-profit Organizations Need Music?

Non-profit organizations incorporate music into virtually every aspect of their operations and outreach efforts, often as a critical component of their communications strategy. Music serves multiple essential functions that directly impact a non-profit’s effectiveness in fulfilling its mission.

Non-profit organizations incorporate music into their operations and outreach for numerous strategic reasons:

Emotional connection in promotional materials

Music creates immediate resonance in videos showcasing your mission, guiding viewers through emotional journeys that increase engagement and response.

Atmosphere at fundraising events

The right soundtrack at galas, auctions, and benefit concerts sets the tone that encourages generosity. Research shows environmental factors like music can significantly influence giving behavior.

Enhanced advocacy campaigns

Music helps simplify complex issues and makes messages more memorable, allowing your cause to connect with audiences beyond facts and statistics.

Community-building tool

Music creates shared experiences among program participants, breaking down barriers and facilitating connections across diverse populations.

Increased digital engagement

Content with appropriate music receives higher view counts, longer watch times, and more shares than silent content: critical metrics for resource-constrained organizations.

Brand identity reinforcement

Consistent musical themes across different materials create recognition even before words are spoken, helping establish a professional presence.

Welcoming physical environments

Background music in offices, thrift stores, or service centers creates comfortable atmospheres for clients, volunteers, and staff.

How to License Music for My Non-Profit?

Licensing music for your non-profit organization involves several straightforward options tailored to different needs and budgets:

Contact Performance Rights Organizations (PROs)

Obtain blanket licenses from ASCAP, BMI, and SESAC to cover public performances of music. These organizations represent different music catalogs, so that you may need permits from multiple PROs. Annual fees typically range from $300 to $2,000 based on your organization’s size, facility square footage, and how you use music.

Business music streaming services

Services like SiriusXM for Business, Mood Media, or CloudCover offer legal streaming options specifically designed for public spaces, with licensing fees included in their subscription costs ($16-$40 monthly).

Royalty-free music platforms

Single-use licenses for videos

Platforms like Musicbed offer specific non-profit licensing options for individual songs used in promotional videos. These typically cost $50-$300 per song, with reduced rates for registered 501(c)(3) organizations with fewer than 50 employees.

Mechanical and synchronization licenses

For music reproduction (like on CDs) or pairing music with visual media, contact music publishers directly or use services like Easy Song Licensing or the Harry Fox Agency to secure proper permissions.

Creative Commons music

Some composers offer their music under Creative Commons licenses for free under specific conditions. Platforms like Free Music Archive and ccMixter host these tracks, but carefully check the exact license terms.

Public domain music

Works where copyright has expired (generally 70+ years after the creator’s death) can be used freely. Sources include MusOpen and the Library of Congress.

Custom music creation

Commission original compositions from local musicians, music students, or production houses. This provides unique music tailored to your needs with clear copyright ownership established through proper contracts.

When applying for licenses, have ready:

Your organization’s 501(c)(3) documentation

Information about your physical space (if applicable)

Details about how and where you’ll use the music

Estimated audience or viewership numbers

Remember that different uses (background music, online videos, events) may require different types of licenses, so assess your needs comprehensively to ensure complete compliance.

What Qualifies as Fair Use?

Fair use is a limited exception to copyright protection that allows the use of copyrighted works without permission in specific circumstances. For non-profits, understanding these limitations is crucial:

The four-factor test: Courts evaluate fair use based on:

Purpose and character of use: Educational, research, commentary, criticism, or news reporting purposes are more likely to qualify. Simply being a non-profit doesn’t automatically make your use “fair”

Nature of the copyrighted work: Using factual works is more defensible than highly creative ones. Music is considered highly creative and receives stronger copyright protection

Amount used: Using small portions is more defensible than large portions, though even short music clips can be regarded as substantial if they’re recognizable or represent the “heart” of the work

Effect on potential market: If your use could replace paid licensing or diminish the copyright holder’s ability to profit from their work, it’s unlikely to qualify as fair use

Common misconceptions: Non-profits often incorrectly assume these scenarios qualify as fair use:

Playing background music at events (not fair use)

Using popular songs in promotional videos (not fair use)

Streaming music in public areas (not fair use)

Playing “just a small clip” of a song (rarely fair use for music)

Limited educational exemptions: Specific exemptions exist for teaching activities in non-profit educational institutions, but these don’t extend to general non-profit organizations. Even educational non-profits must use music within classroom contexts for these exemptions to apply.

Religious service exemption: Non-dramatic musical works performed during religious services at places of worship are exempt, but this doesn’t extend to other religious organization activities like fundraisers or social events.

Case-by-case determination: No bright-line rules exist—a court can only definitively determine fair use. The safest approach is securing proper licensing rather than risking a fair use defense.

Transformative use: Using music to add new meaning, message, or purpose improves fair use arguments. Simply using music as background or soundtrack is rarely considered transformative.

Given music’s creative nature and the availability of reasonable licensing options, fair use defenses for music in non-profit contexts rarely succeed in court. The financial and reputational risks of relying on fair use typically outweigh the costs of proper licensing.

What Happens if Non-profit Organizations Use Copyrighted Music?

Non-profit organizations face several consequences when using copyrighted music without proper licensing:

Financial penalties: Copyright infringement can result in statutory damages ranging from $750 to $30,000 per work used without permission. In cases of willful infringement, penalties can increase to $150,000 per work

Legal action: Performance Rights Organizations (PROs) like ASCAP, BMI, and SESAC actively monitor music usage and can initiate lawsuits against non-compliant organizations, regardless of non-profit status

Takedown notices: Online platforms may remove your content if copyright holders file complaints, undermining your digital outreach efforts and potentially damaging your social media presence

Cease and desist letters: Copyright holders often send formal demands to stop using their music, requiring immediate compliance and potentially disrupting your events or programs

Retroactive licensing fees: PROs may demand payment not just for current usage but for past unauthorized uses, which can result in significant unexpected expenses

Reputational damage: Public legal disputes can harm your organization’s image, potentially affecting donor relationships and community trust

Operational disruption: Having to suddenly remove music from your facilities or events due to licensing issues can create logistical challenges and diminish experience quality

Personal liability: In some cases, board members or executive leadership could face personal liability for copyright infringement if they knowingly permitted unlicensed music use

Loss of social media privileges: Repeated copyright violations on platforms like YouTube, Facebook, or Instagram can result in account restrictions or termination

Wasted resources: Time and money spent addressing copyright claims diverts resources from your core mission activities

The enforcement approach typically begins with notification letters rather than immediate lawsuits, but ignoring these communications often escalates the situation. PROs have successfully litigated against many non-profits, setting precedents establishing their right to collect licensing fees regardless of an organization’s tax status.

Where Can Non-profits Get Royalty-free Music?

Non-profit organizations have several excellent options for accessing royalty-free music without risking copyright infringement:

Traditional royalty-free platforms: Services like Soundstripe, Artlist, and Epidemic Sound offer subscription-based access to extensive music libraries. Many provide specific non-profit discounts, with plans ranging from $15-$30 monthly for unlimited downloads.

Free Creative Commons sources: Platforms like Free Music Archive, ccMixter, and Incompetech host thousands of tracks available under various Creative Commons licenses. Always verify the specific license terms; some require attribution or prohibit commercial use.

Music specifically for non-profits: Some services like Musicbed offer special non-profit licensing rates for registered 501(c)(3) organizations, particularly those with fewer than 50 employees.

AI music generation with Beatoven.ai: This innovative platform offers a compelling alternative for non-profits seeking custom music.

How Beatoven.ai Works?

Beatoven.ai uses artificial intelligence to generate unique, customizable music tracks based on your specific needs. Simply type a description of the music you’re looking for (e.g., “inspiring orchestral piece with gentle piano”), and the AI generates a unique track matching your description.

Each downloaded track has a license delivered directly to your inbox, documenting your rights to use the music in your content.

The platform has served over 1.5 million creators who have generated over 6 million tracks, making it particularly valuable for nonprofits needing specific emotional tones for different projects.

Beatoven.ai is a fairly trained, certified AI music generator that ensures ethical practices regarding musician compensation, aligning with many non-profits’ values-based approaches.

Whether you need background music for videos, podcast intros, event soundtracks, or social media content, AI-generated music provides a legal, affordable, and customizable solution that helps nonprofits communicate their message effectively while respecting copyright laws.

Start using Beatoven.ai for free!

FAQs

Can I use copyrighted music if I’m not making money?

No. Non-profit status doesn’t exempt you from copyright laws. The absence of profit doesn’t qualify as fair use. Copyright holders have the exclusive right to control how their music is used, regardless of whether money changes hands. Proper licensing is still required.

How much is a song licensing fee?

Fees vary widely by usage type. PRO blanket licenses cost $300-$2,000 annually. Single-use video licenses range from $50 to $300 per song. Subscription services offer unlimited access for $15-$40 monthly. Special non-profit rates are often available, so always ask about discounts.

How do I start licensing music?

First, identify how you use music. Then, determine the license types needed (performance, synchronization, mechanical). Consider budget-friendly options like royalty-free platforms or Beatoven.ai. For public performances, contact ASCAP, BMI, and SESAC. When applying, prepare your 501(c)(3) documentation and usage details.