An independent record label, often known as an indie label, is a record label that does not receive financing or distribution from big record companies. Independent record labels are considered to be a sort of SME, which stands for small- to medium-sized firm. The record labels and artists are often represented by trade groups in their respective countries or regions, which are, in turn, represented by the worldwide trade body, the Worldwide Independent Network (WIN).
Many of the record labels had their start as producers and distributors of certain types of music, like jazz music, or as representatives of something novel and outside of the mainstream, like Elvis Presley in the early days of his career. Independent record labels distribute music in a variety of genres, including rock, soul, R&B, jazz, blues, gospel, reggae, hip hop, and world music. It is common practise to refer to music that is released by independent record companies as "indie music," or to refer to it more precisely by genre, such as "indie hip-hop."
Independent record companies have a long history of being ahead of the curve when it comes to predicting changes in popular music, starting with the era after World War II in the United States. A rise in the number of independent record labels that focus on country, jazz, and blues music might be attributed to disagreements with large record companies. Working with musicians such as Elvis Presley, Carl Perkins, Johnny Cash, Jerry Lee Lewis, Roy Orbison, and Charlie Rich, Sun Records was a significant contributor to the creation of rock 'n' roll and country music. These indie record companies often targeted a modest but devoted audience for their new album releases. They were able to give artists with far more scope for experimentation and aesthetic expression since they depended less on mass sales.
Recordings are produced and distributed by independent record labels, which are often smaller businesses. They are not associated with any of the three big record labels, nor are they supported by any of those labels. Independent record companies are responsible for the production and distribution of around 66% of music titles, yet they only account for 20% of sales, as reported by SoundScan and the Recording Industry Association of America.
Many aspiring musicians begin their careers by signing with independent record companies, with the ultimate goal of eventually securing a record deal with one of the major labels.
Sometimes it might be difficult to tell the difference between large and indie record labels. A record label is considered to be a major label if it also controls its distribution channel, since this is the conventional definition of a major label. Some independent record companies, especially those that have musicians that are popular, may make arrangements with larger record labels that allow for dual releases or distribution exclusively. It's also possible that they'll depend on foreign licence agreements and other arrangements made with large labels. Independent record labels may sometimes be acquired in whole or in part by major labels.