Observations: SellaBand is a sound investment

(AP)

Fan-funding website SellaBand has launched the careers of several bands recording their debut albums, but no major artist has joined until now. Step up, Public Enemy, famous for their politically charged hip-hop albums since the early Eighties, who are aiming to raise $250,000 for the recording of their new album via the site. Fans can invest their money in increments of $25, and in return, are promised an exclusive, numbered copy of the album as well as a share in the album's future revenues.

Other bands would do well to follow the example of Public Enemy who have a pioneer of artist rights in their frontman Chuck D, who has his own internet label SLAMJamz Records and has been releasing MP3-only singles by artists since 2001. As Chuck D says, "SellaBand's financial engine model goes about restructuring the music business in reverse. It starts with fans first, then the artists create from there. The music business is built on searching for fans and this is a brand new way for acts to create a new album with fans first, already on board."