Last Updated: September 10th 2025
SESAC is one of the best known Performance Rights Organizations. Also known as the Society of European Stage Authors and Composers, it was founded by Paul Heinecke, a German immigrant, in New York. In its origins in 1930, it provided support to underrepresented European stage authors and composers when they performed in the USA. Although the name has remained the same throughout the years, the organization has evolved and now represents artists from all over the world, not just Europe. Heinecke led the company until he passed away in 1970.
So, what is a Performance Rights Organization?
A Performance Rights Organization, also known as a PRO, is an organization in charge of administering the rights of songwriters and publishers. In the United States, the main PROs are ASCAP, SESAC, BMI and GMR.
Nowadays, it’s almost impossible to keep up with all the different ways music can be played, purchased, listened to and consumed. The revenue from the sale of physical CDs is declining, as are downloads. Attention is turning more than ever towards other sources, such as royalty revenues (performance rights). PROs play a big role in collecting these rights and ensuring the compliance of these fees.
Their duties include the collection of royalties on behalf of songwriters and publishers, as well as their distribution. It’s impossible for creators to pick up individual royalties; there are simply too many. So what is the purpose of ASCAP, BMI and SESAC? PROs work to make sure the relevant royalties are paid. To do this effectively they have close contact with music platforms as well as a network of people checking physical locations.
What distinguishes SESAC from BMI and ASCAP?
Unlike ASCAP and BMI, which are non-profit organizations, SESAC is a for-profit organization, making them a slightly different player in the market. They take a partnership approach with their affiliates in order to improve their financial outcomes. Another point of difference is that SESAC is not subject to the consent decree, so they license in a free market. This enables them to achieve better outcomes for their members, but it also implies higher fees for the businesses using their music. Because of this, many background music providers avoid SESAC altogether, leaving their clients without access to important catalogues. SoundMachine, however, includes SESAC licensing in every plan, ensuring businesses get full coverage that competitors often can’t provide.
Why SESAC Operates Differently
SESAC has a reputation for efficiency and tailored service. Because it is not bound by the same consent decrees that regulate ASCAP and BMI, it has more flexibility in setting licensing rates. This allows SESAC to negotiate terms that may better reflect the current value of music in a marketplace increasingly dominated by streaming and digital consumption.
Its licensing model benefits from this flexibility, with rates negotiated directly with businesses based on factors such as venue size, industry type, and music usage. This enables SESAC to offer more personalized services to its songwriters and publishers.
While its overall catalogue is smaller than ASCAP’s or BMI’s, SESAC represents high-profile works that are essential for comprehensive music coverage. Notable names in its catalogue have included Bob Dylan, Adele, and Neil Diamond.
How SESAC Licensing Works
Public performance rights and blanket licenses
Under U.S. law, anyone who publicly performs copyrighted music must obtain permission from the copyright holder. SESAC provides that permission through a blanket license. A SESAC blanket license allows the licensee to publicly perform any of the songs in SESAC’s repertory without negotiating with individual rights owners.
SESAC emphasizes that this blanket license is the most efficient way to clear performance rights and that licenses from ASCAP or BMI do not grant authorization to play SESAC‑represented songs.
Who needs a license?
Any business where music is played for customers (bars, restaurants, hotels, retail stores, etc.) needs a public performance license. Even if musicians provide their own playlist, the business is responsible for obtaining licenses.
Personal subscriptions to Spotify or Apple Music do not cover commercial use; both services explicitly state that their consumer versions are only for personal, non‑commercial use.
SESAC Licensing Costs
SESAC recommends that business owners contact the company directly to understand the required fees, as each contract can be slightly different. SESAC doesn’t provide an official summary of fees, even on the organization’s FAQ page. Bloggers and writers suggest fees for a blanket license could be about $700 per year, but confirming your music licensing cost without a call is impossible.
Why costs vary
SESAC license cost depends on several factors:
- Industry type – Licensing fees reflect how music contributes to the business. Hotels or casinos often pay more than small retail shops.
- Venue size & number of listeners – Larger rooms and larger audiences increase the fee. Many PROs ask for square footage when quoting prices.
- Number of speakers & hours of music – More speakers or longer play times raise the cost.
- Live vs. recorded music – Venues hosting live bands or karaoke typically pay higher fees. Bars or restaurants that charge an admission or cover also pay more.
- Number of locations – Businesses with multiple locations may negotiate discounted rates or pay per location.
Because rates are negotiable, businesses are encouraged to gather accurate information (e.g., room size, hours of music) and negotiate with the SESAC representative.
PRO Comparison Table
Category | SESAC | ASCAP | BMI | GMR |
Profit status & membership | For-profit, invitation-only; about 15,000+ members | Nonprofit, member-owned; open membership | For-profit, largest U.S. PRO; open membership | For-profit; membership by invitation |
Approx. catalog size | 1.5 million songs | ≈ 20 million songs | ≈ 22.4 million songs | ≈ 63,000 songs |
Cost transparency & typical range | No published rate card; Many businesses pay around $700 | $390 minimum cost | $250–$2000 | Not disclosed |
Business licensing process
SESAC typically does not publish rate cards. Instead, licensing representatives gather information about the business and quote a price. Obtaining a SESAC license involves:
- Contacting SESAC via an online form – Business owners choose the type of facility they operate and provide contact details.
- Providing details – SESAC then requests information such as room size, number of listeners, hours of music, and whether the music will be live or recorded.
- Negotiation – A SESAC representative emails or calls the business to propose a price. Owners can negotiate, for example by clarifying the number of days music is played.
- Signing the contract and paying fees – Once agreed, the business signs a contract and pays the fee. Payments can be made online, and contracts typically auto‑renew.
While SESAC’s licensing process ensures that your business is legally covered, managing separate licenses for each PRO (SESAC, ASCAP, BMI, and GMR) can quickly become expensive and time-consuming. Each agreement comes with its own terms, negotiations, and renewal dates, which makes compliance an ongoing administrative task.
This is where a service like SoundMachine makes more sense for most businesses. Instead of paying separately for multiple blanket licenses, SoundMachine consolidates all PRO coverage into a single, affordable subscription. Notably, very few providers in this space are licensed with SESAC, but SoundMachine is, meaning you get access to catalogues many competitors can’t legally offer. Not only does this reduce costs, but it also eliminates the hassle of dealing with negotiations and renewals from several organizations.
PRO Licensing Costs: What You’re Actually Paying For
Performance Rights Organization (PRO) fees vary based on their business model and how open they are about pricing. These are the charges businesses pay to legally play music from artists represented by each PRO in a commercial setting.
- ASCAP licenses costs start at $390 a year.
- BMI licenses costs start from $250 to $2,000, depending on factors such as business size, industry, and how music is used.
- SESAC and GMR are for-profit, invitation-only organizations that don’t publish rates. Their fees are often negotiated at a higher premium due to the exclusivity of their catalogues.
Even with modest estimates, a business could easily spend over $1,000 annually to cover licenses from all four PROs, and that’s before paying for music content or the technology to stream it.
With SoundMachine, all these licenses are included for $323.40 per year. You get full legal coverage for ASCAP, BMI, SESAC, and GMR, plus a complete streaming solution. This includes curated stations, custom playlist tools, scheduling, and native integration with systems like Bluesound and Crestron, all for a fraction of the cost and with far greater convenience.
Penalties and Compliance
Failing to obtain the necessary licenses can be costly. Under federal copyright law, unauthorized public performance can lead to statutory damages ranging from $750 to $30,000 per song, with the potential for awards up to $150,000 per song if the court finds willful infringement. Performance Rights Organizations like ASCAP, BMI, and SESAC may send representatives to your business to investigate unlicensed music use and can pursue legal action for violations.
There are examples where bars were sued for using unlicensed music. These cases underscore that paying for a personal streaming subscription does not satisfy commercial licensing requirements.
What can my business do to pay for these rights?
SoundMachine pays SESAC, and the other PROs, directly, on your behalf. By using SoundMachine as your background music service you can enjoy the best music in your establishment with full legal coverage, while knowing your favorite artists are getting paid for creating the music you love.
SoundMachine: Music for Business Made Easy
SoundMachine isn’t just about licensed music coverage. It also offers a wide range of standout features that many other music suppliers simply don’t provide, including:
- Access to 61 million licensed tracks and over 500 curated playlists and stations – a library larger than most providers.
- Licensing with a wider range of performance rights organisations, including SESAC and GMR. Unlike many providers (such as Soundtrack Your Brand), SoundMachine covers artists you would otherwise miss out on – like Bruno Mars (GMR), Drake (GMR), Adele (SESAC), and Green Day (SESAC).
- Built-in music scheduling and messaging tools in every subscription.
- Import playlists directly from Apple Music, Spotify, and Amazon Music. SoundMachine is the only provider with this type of integration across all services.
- Compatibility with a wide range of audio systems, such as Control4, BluOS, RTI Control, Autonomic, and more – though you can also stream directly from the app if you prefer.
- Flexible plans starting from $26.95/month.
- A risk-free 30-day free trial to get started.
Simplifying Music Rights for Your Business
For any business that relies on music to set the right mood, understanding performance rights and licensing is essential. Organisations like SESAC make sure artists are paid fairly, but navigating multiple PROs can quickly become complicated and expensive.
SoundMachine takes that weight off your shoulders by managing all the legal requirements on your behalf, while also giving you powerful tools to customise and schedule your music. With full coverage, a massive library, and flexible features, you can create the perfect atmosphere for your customers without the hassle.
Why spend time chasing licences when you could be focusing on your business? With SoundMachine, you get peace of mind, happy customers, and the confidence that your favourite artists are supported.Sign up today to start your 30-day free trial.
FAQs about SESAC
What is SESAC?
SESAC (formerly the Society of European Stage Authors and Composers) is a U.S. performing rights organization founded in 1931. It licenses the public performance of over 1.5 million songs and operates as the only for‑profit PRO in the United States.
Do I need a SESAC license if I already have ASCAP or BMI licenses?
Yes. SESAC represents different songwriters and publishers than ASCAP or BMI. Licensing with ASCAP or BMI does not grant permission to play songs represented by SESAC, so most businesses obtain licenses from multiple PROs to cover nearly all music.
How much does a SESAC license cost?
SESAC does not publish an official rate card and negotiates fees individually. Industry estimates suggest that small-to-mid‑sized businesses often pay around $700 per year, depending on venue size, number of speakers, music usage, etc.
How do I obtain a SESAC license?
Start by completing SESAC’s online license request form and providing basic information about your business. SESAC will then ask for details such as room size, number of listeners and whether you play live or recorded music. A representative will contact you with a proposed rate, which you can negotiate before signing the agreement.
Can songwriters or publishers join SESAC freely?
No. SESAC membership is by invitation only. Its FAQ states that prospective affiliates should have an agent, lawyer or manager contact SESAC on their behalf, and unsolicited submissions are not accepted.
What happens if I play SESAC‑represented music without a license?
SESAC may send a representative to your business or a letter demanding that you sign a licensing contract and pay a fine. Courts can impose penalties from US$750, and willful violations can result in statutory damages up to US$150,000.
How are SESAC license fees determined?
SESAC tailors its fees by industry and usage. The organization has developed industry‑specific license agreements, and a licensing representative will walk you through criteria such as business type, square footage, audience size and how music is used.
Do my personal streaming subscriptions (Spotify, Apple Music, etc.) cover my business?
No. Personal subscriptions grant a private listening license; they do not authorize public performances in a business. Legal guides stress that playing music from Spotify or Youtube Music in a bar or restaurant without a commercial license violates copyright law, and you cannot use personal streaming services to legally stream music in your business.
If a band or DJ performs at my venue, am I still responsible for a license?
Yes. The U.S. Copyright Law makes the owner/operator of the establishment responsible for obtaining authorization for any music performed publicly, even if a band, DJ or performer is paid separately. Paying the musicians does not relieve the venue of its licensing obligation.
Are there alternatives to obtaining a SESAC license?
Yes. You can avoid a blanket license by contacting each copyright owner of every song you play, an option SESAC acknowledges. Other lawful alternatives include using public‑domain music, royalty‑free music, original compositions or radio broadcasts that qualify under the Fairness in Music Licensing Act.
What kinds of businesses need SESAC licenses?
SESAC licenses a wide variety of establishments: restaurants, bars, hotels, retail stores, fitness clubs, skating rinks, amusement parks, arenas, convention centers, colleges and universities, websites, broadcasters and many others. Essentially, any business that publicly performs copyrighted music may need a SESAC license.
What is a SESAC blanket license?
A blanket license authorizes an establishment to publicly perform any and all songs in the SESAC repertory as often as desired. This single‑fee agreement is designed to avoid the impracticality of negotiating permissions for each individual song.