The business of royalty collections is, in theory, marred by simplicity. A song, made up of a composition, the copyright of which goes to songwriters and publishers, and a recording, benefiting performers and labels, gets played somewhere and generates revenues.

Royalties collectors identify the track, match it with the plays, collect royalties, and redistribute them to the appropriate rights owners. The problem is that each step of the road is paved with its own set of issues and also its ...