How to Run Your Country Music Career Like a Business in the UK

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Thomas Jackson* wasn’t considering insurance or tax returns when he took to the stage for the first time. He just wanted to play country songs, enjoy the buzz of a crowd singing along and maybe earn a pint. But when someone offered to pay him to perform at a wedding, Thomas hit a roadblock. He did not know how to register with HMRC, declare income, or issue an invoice. Sound familiar?

This guide from Nashville Copy follows Thomas’s journey from part-time performer to full-time professional. It will also teach you how to legally protect yourself as a UK country artist, register your music career as a business, and manage your finances.

From Hobby to Hustle: Thomas’s Turning Point

Like many UK country artists, Thomas started out playing local venues and open mics. He performed classic country covers like Should’ve Been a Cowboy and Chattahoochee purely for the love of country music. But everything changed when he secured his first paid gig. He had to start treating his hobby of country music as a business. This meant putting the right paperwork in place from the outset to ensure he didn’t get into difficulties later. 

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Thomas is starting out

Registering as a Sole Trader in the UK

In the UK, if you earn more than £1,000 a year from a side hustle, you are legally required to register as a sole trader for HMRC. There can be financial penalties for failing to register, and so it’s best to be organised and register early where possible. 

For a country music artist, self-employed income can include:

  • Gig payments
  • Online tips (PayPal, Instagram)
  • Teaching sessions
  • Merchandise sales
  • Streaming royalties

You can register as a sole trader by visiting the UK government website. You will receive a Unique Taxpayer Reference Number (UTRN), which you will use when submitting your self assessment tax return each year.

The standard Personal Allowance in 2025 is £12,570, which is the amount of income you do not have to pay tax on. Earn less that this in the tax year? You won’t pay any tax!

Tracking Income and Claiming Expenses

Thomas began with a spreadsheet, but soon moved to QuickBooks. This is an online accounting software which helps to simplify the process of logging income and tracking deductible expenses. Other options include Xero, Pie Tax, and Sage.

Common deductible expenses for country artists include:

  • Travel to gigs and festivals
  • Studio hire and instrument repairs
  • Marketing services
  • Website hosting and design

According to guidance from the Musicians’ Union, you should keep all receipts and records for at least five years in case HMRC conducts a review. As a rule of thumb, set aside 25% – 30% of everything you earn to cover tax and National Insurance for the next tax year.

Thomas experiences growing success

Why Public Liability Insurance Matters

When Thomas was nearly dropped from a festival lineup because he lacked public liability insurance (PLI), he realised the importance of being prepared. This type of insurance can protect you if an audience member gets injured or if property is damaged during your set. Many venues require proof of insurance before they will confirm your booking. 

Thomas joined the Musicians’ Union, which offers:

  • Free PLI coverage
  • Legal advice and contract templates
  • Support with copyright and royalties
  • Access to industry insights and resources. 

The main alternative in the UK is The Independent Society of Musicians which also include PLI with membership.

The Musicians Union “Join for a pound” scheme offers 6 months members for £1, with the remaining 6 months at the standard rate.

Contracts, Collaborators, and Creative Partnerships

When Thomas started recording his first EP, he hired session musicians to add steel guitar and harmony vocals. As the project developed, he realised that making music professionally involved more than creativity. He had to organise rehearsal times, agree fees, and make decisions about how royalties would be shared.

If you’re working with producers, band members, or event organisers, written agreements are essential. The Musicians’ Union provides free contract templates for its members. These templates can prevent future disputes and keep projects running smoothly.

Thomas also registered with PRS (Performing Right Society) for Music. This is a UK organisation that was established to support artists, songwriters, composers and music producers. Whether your music appears on the radio or in a pub setlist, PRS makes sure you’re compensated.

The PRS pays out royalties 4 times per year. Maximise your earnings as a music creator—ensure your royalties are collected when your songs are played, streamed, or performed globally.

Also consider joining the PPL (Phonographic Performance Limited) which distributes royalities from recorded music. It’s free!

As your career grows, you may want to bring on:

  • An accountant to help with tax returns and expense planning
  • A lawyer for contract advice and copyright issues
  • A manager to help with bookings, branding, and long-term music goals

Should You Set Up a Limited Company

When Thomas’s income increased, he established a limited company. A limited company has its own legal identity, separate from the person who runs it. This means the company, not the individual, is responsible for its debts and obligations. 

A limited company can help you appear more professional and can offer tax benefits as your income increases. It also protects your personal assets if something goes wrong. The drawback to a limited company is that it comes with extra responsibilities. This includes filing annual accounts at Companies House and keeping detailed financial records. It would be recommended to work with an accountant for ongoing support in relation to the administrative and tax liabilities. 

If you are gigging regularly, releasing music commercially, or earning over £30,000 a year, setting up a company could be a meaningful step in growing your music business.

Thomas is finally hitting the big time

Chase that Neon Rainbow – But with a Plan 

Alan Jackson might’ve been chasing that neon rainbow and living that honky tonk dream – but if you want your country music career to last, you’ve got to do it with a business head. To give yourself a best chance of success make sure you set up the right foundations early on in your career: register your income, protect your rights, and keep your finances in order. 

Want help staying on track? Sign up to our newsletter and get monthly updates from www.countrymusic.co.uk which offers exclusive services for country music artists in the UK. 

Thanks to Danielle at Nashville Copy for this guide and look out for more from her coming soon.

Useful Websites

Register as a Sole Trader: https://www.gov.uk/become-sole-trader/register-sole-trader


“Thomas Jackson” is a fictional example! Images are representative and do not knowlingly indicate any UK country music artists.

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