what does it mean to be signed to a record label?

Question by alex: what does it mean to be signed to a record label?
What does being signed to a label entail? are recording hours payed for by the label? do they pay for production and distribution? does it change with every band and their contract?

I guess my basic question is: what advantages does being signed have over being an independent musician/band who distributes and produces the music completely on their own?

Best answer:

Answer by goodros_nemesis
Signing with a record label means they have exclusive rights to distribute and sell anything they produce for you. Depending on the contract, it can also mean you may not produce and distribute your own music except for demo.

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