RightsFlow raises $1.5M to help manage music licensing

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RightsFlow, a company that manages licensing and payments for record labels, musicians, and online music services has raised $1.5 million in a first round of funding.

New York City-based RightsFlow says its technology helps companies and artists manage the complex issues around copyright. Launched in 2007, the company claims to have more than 1,500 clients, including Muzak (the company whose name has become synonymous with elevator music) as well as music startup imeem. In addition to improving existing services, RightsFlow says it will use the money to build a site where fans and artists can easily license songs from publishers — if you want to record a cover version, you could just visit the site, search for the song, and then pay the licensing fee.

The round comes from Originate Ventures. Competitors include RoyaltyShare, which is backed by Hollywood talent agency William Morris, and Music Reports.

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