The Big Lie of the Music Business: Why the Artist May Never Get Paid

In a world where streams tally in the billions and record labels boast million-dollar launches, there's an uncomfortable truth lingering behind the smoke and lights of the music business: the artists, especially those behind the scenes or off the mic, often walk away with next to nothing.

Let’s be blunt—the music industry is broken, and it’s been that way for a long time. Behind the façade of platinum plaques and sold-out tours is a system that routinely leaves the very people who create the music—broke, bitter, or both.

Consider this: a band sells millions of records, generates millions more in touring and merch sales, but their lead guitarist—the one writing the riffs, laying down the soul of the songs—gets zero in residuals. You’d call that theft in any other industry. In music? It’s business as usual.

Mike Mushok (Staind): Platinum Records, Zero Royalties

Mike Mushok of Staind recently pulled the curtain back in a brutally honest interview. Despite selling millions of records with the band since the late ‘90s, Mushok said:

"I've never once received a royalty from the record company."

More than two decades in, and he still “owes” the label money due to the way advances and recoupment clauses work in most record deals. Even though Staind hasn’t put out a major label record since 2011, they are still in debt. This isn’t just a glitch in the system—it is the system.

Kevin Cadogan (Third Eye Blind): A Co-Founder Left Out

Kevin Cadogan co-wrote many of Third Eye Blind’s biggest hits. Yet, after being dismissed from the band in 2000, he discovered he had been locked out of ownership rights altogether. Frontman Stephan Jenkins had set up a corporation in his own name, claiming all future profits. A lawsuit followed, and while the case was settled out of court, the damage was done. Cadogan’s creative legacy became a cautionary tale about contracts and control.

Mick Taylor (The Rolling Stones): A Legend Left Behind

Even icons aren’t immune. Mick Taylor played guitar on some of the Rolling Stones' most beloved albums, including Sticky Fingers and Exile on Main St., but by his own account, he hasn’t received royalties since the early 1980s. Despite contributing to music that continues to generate millions, Taylor has been left with no share of the ongoing financial pie.

The Harsh Math of Music

So where does the money go? Labels, publishers, managers, streaming platforms, tech companies, and investors all take a cut. By the time it reaches the actual creator, the pie has been sliced into oblivion. In what other industry do the people who make the product get paid last, and sometimes never?

The illusion of success in the music business is incredibly well-curated. But behind the scenes, many of these artists are fighting legal battles for rights, clawing through archaic contracts, or just trying to survive.

Iron Gate Records: A Tech-Driven, Artist-Centric Alternative

Iron Gate Records was born directly out of frustration with this very system. Co-founder Mark A. Skoda, a seasoned tech executive, watched his son’s band suffer under an exploitative deal with a Nashville indie label. Determined to ensure artists never again face such unfair treatment, Skoda partnered with 3 Doors Down drummer Greg Upchurch to launch Iron Gate Records in Nashville.

From day one, their mission has been to revolutionize the music industry by prioritizing artist empowerment and technological innovation. Skoda’s tech pedigree drove him to build a proprietary stack for the label, offering tools like AI-driven analytics, artist development systems, and real-time data dashboards. Iron Gate operates on a modern subscription-based label model where artists retain ownership of their masters and revenue. Contracts even include a 30-day exit clause — radical transparency by design.

At the core of this model is GeoMelody, a hyperlocal, AI-powered streaming platform invented by Skoda. The platform uses geocoding to map artists and listeners, creating hyper-localized discovery experiences that connect fans with local musicians. GeoMelody also features blockchain-powered royalty tracking for tamper-proof, transparent compensation.

Key Innovations at Iron Gate Records:

Hyperlocal Streaming: Connects fans with nearby talent.
AI Fan Engagement: Personalized recommendations and artist interaction.
Blockchain Transparency: Real-time, accurate royalty payments.
Artist Subscription Model: Transparent, non-exploitative business practices.
Comprehensive Artist Support: Real tools, real mentoring, real results.

Skoda describes it best: “Our vision with GeoMelody is to level the playing field for all artists, especially the independents who are the lifeblood of the music industry.” While the traditional industry leaves guitarists unpaid, Iron Gate is designing a future where artists thrive—financially, creatively, and independently.

Time for a New Tune

Until the system is fixed, we’ll keep hearing stories like Mushok’s, Cadogan’s, and Taylor’s. But with models like Iron Gate Records and platforms like GeoMelody, there is hope. Hope for transparency. Hope for fairness. And most importantly, hope for the people who actually make the music.

Because when the guitarist doesn’t get paid, the whole system is out of tune.