Jukebox - Own Your Favourite Songs

Company & Team Introduction

JKBX, pronounced “Jukebox” is an innovative marketplace that makes investing in music royalties accessible to everyone. Founded in 2022 by John Chapman and Sam Hendel of Dundee Partners, Jukebox was created to bridge the gap between music rights holders and retail investors, unlocking a historically exclusive asset class. Previously, Sam co-founded Chord Music Partners, the largest pure-play music rights catalogue in the world and before that was a co-founder of Dataminr (Last valued at $4.1B), while John previously founded the music and media-focused investment consultancy firm Inkling Capital, bringing together their technical expertise and strong networks to launch Jukebox. The company quickly bolstered its leadership team, appointing prominent music executive Scott Cohen as CEO to leverage his extensive industry expertise and influential connections. Previously, Scott was Chief Innovation Officer at Universal Music Group and Founder of leading digital distribution company The Orchard. Jukebox’s mission is to transform music royalties into a mainstream investment option, combining industry expertise/connections with modern technology to deliver a low-friction and transparent marketplace. Headquartered in Los Angeles, California, Jukebox’s team of ~17 employees are setting the stage for music royalties to become a core part of individual investment portfolios worldwide.

Product Overview

Jukebox offers investors access to music royalty streams through its transparent, mobile-first platform. The company's music royalty marketplace connects investors to top-tier royalty offerings, including catalogue rights from iconic artists and emerging talents. Jukebox has secured over $5 billion in music rights. By allowing fractional ownership, Jukebox enables everyday investors to build a diversified portfolio of royalty assets with no hidden fees. With features like controlled liquidity, detailed catalogue performance insights, and secure transactions powered by GTS Securities, the platform is positioned as the go-to marketplace for investing in music royalties.

Total Addressable Market

The market for fractionalized music royalties for unaccredited investors represents a massive opportunity enabling fans to own a portion of their favourite music. The Jukebox platform is unlocking a historically exclusive market for America's 158+ million retail investors. The global recorded music market, valued at $28.6B and grew a healthy 10.2% in 2023, continues to increase as streaming and licensing expand. These tailwinds further the potential for music royalties to become a mainstream investment class, opening opportunities for investors of all types.

Business Model & The Numbers

Jukebox employs a fee-based business model, seamlessly integrating all platform fees into the listing price of each royalty offering. This approach ensures that users can see the total cost upfront without hidden charges, making the investment process more transparent and straightforward.

Traction

Jukebox has already secured over $5 billion in music rights, highlighting its market's significant traction and growth potential. Among that $5 billion in music rights are some of the most popular artists of all time, with well-known hits like “Lean On” by Major Lazer, “Counting Stars” by OneRepublic, “Sucker” by The Jonas Brothers, “Halo” by Beyonce, and “Happier” by Ed Sheeran all available to invest in on Jukebox. Its strategic partnership with GTS Securities further reinforces its position to establish music royalties as a mainstream investment class.

Competitors

Jukebox operates in a highly differentiated niche, with few platforms offering the same level of accessibility to music royalties. Similar competitors exist, like Royalty Exchange, which provides a marketplace for royalty transactions but sells unfractionalized royalties, which can deter smaller investors as the high pricing increases risk substantially and makes diversification difficult and has a much weaker catalogue for music available to invest in. Jukebox differentiates itself from the competition in a couple of key aspects. One is fractionalization, which democratizes access and allows fractional investments in premium music catalogues to everyday investors. Jukebox’s second differentiator is the quality of songs on the platform, full of well-known hits from notable artists like Beyonce, Maroon 5, Taylor Swift, The Weeknd, and Fleetwood Mac, to name a few. This approach enables Jukebox to appeal to the broader retail market, unlocking opportunities for millions of everyday investors.

Funding

Jukebox has raised one round of funding since being founded in 2022. In June 2023, The company raised $16.1 million in seed funding in a round filled with a healthy mix of strategic investors, VC firms, and angel investors. Participants in the round include Spotify, LiveNation, YouTube, Red Light Management, Maywic Select Investments, Bonnier Capital, Creator Partners, Equable Capital, Valor Equity Partners, Galaxy Digital, and Cameron and Tyler Winklevoss, among others.