20 Questions for New Artists: Artist Glossary--"Advance"
Music Technology Policy
JANUARY 2, 2010
Artist Glossary of Industry Terms: "Advance" An “advance” is almost always defined as a pre-payment of royalties, whether the advance is paid by record company to an artist, a publisher to a writer or a merchandiser to an artist. An advance is also sometimes called a “minimum guarantee”. Advances in the music industry do not earn interest and are not loans. The advance is only “recoupable”—meaning that the advance is applied against earned royalties.