What does a record company do?
The Record Company
If they like an act they will get them to sign a contract. They send the act to the recording studio, where they make the record. The record company then has to distribute the record to the shops, and if agreed, upload the songs onto the Internet. They also have to publish the song, and do some administrative work.
They should pay for the recording studio and the act shouldn’t have to pay anything.
As an independent, I pay for my own recordings and I upload to the Internet via Record Union. So basically I am the Publisher and I don’t have to bother with a contract.
So why bother with a record company? Most of the contracts are a rip off anyway. Besides the fact that its almost impossible to be signed by a record company, you may as well be an independent.