How Much Does a Music Licence Cost for a Small Business?
Confused by music licensing costs? Here is the exact breakdown of PPL and PRS fees for 2026, and how to save £150+ a year.
By Sonosfera·Built by a salon owner·
Key Takeaways
A standard music licence (TheMusicLicence) costs a small salon ~£335/year.
You need TWO licences: one for the song (PRS) and one for the recording (PPL).
Fees are based on square footage, chair count, and how you play music (radio/CD/streaming).
Playing the radio isn't free—it costs the same as playing CDs.
Sonosfera costs £167.88/year flat, saving you over 50% immediately.
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How Much Does a Music Licence Cost for a Small Business?
Direct answer: A standard TheMusicLicence (covering both PPL and PRS) costs a small UK business approximately £238.33–£335/year + VAT, varying by square footage and business type. Alternatively, Sonosfera (£19.99/month) includes all commercial licensing in one flat fee — no separate PPL or PRS bill.
You’ve opened your shop. The sign is up. The coffee machine is on. You turn on the radio to kill the silence.
Congratulations. You just incurred a ~£300 bill.
Most business owners assume playing the radio is free. Or that their Spotify subscription covers them. Neither is true. In the UK, playing commercial music in a business requires "TheMusicLicence," which covers fees for both PRS and PPL.
But how much is it, exactly? And is there a cheaper way? (For the full picture on business music legality, see our guide: Can I Play Spotify in My Salon?)
Fast facts
TheMusicLicence for a typical small salon or shop starts at approximately £238.33/year + VAT (combined PPL + PRS).
You pay two separate copyright bodies — PRS (songwriters) and PPL (recordings) — even though they now bill jointly.
Fees are calculated on square footage, chair count, and how you play music (radio/CD/streaming).
Playing the radio is not free — it costs the same as playing CDs or streaming.
Sonosfera costs £19.99/month (£167.88/year) — saving you over 50% vs the traditional route.
The honest comparison: TheMusicLicence vs Sonosfera
There is an alternative. You don’t have to play commercial music. If you play music that is direct-licensed (like Sonosfera), you bypass the PPL and PRS collecting societies entirely.
Feature
TheMusicLicence (Standard)
Sonosfera (Smart)
Music Source
Radio, CD, Spotify (Illegal)
Sonosfera App
PPL Fee
£160/year
£0
PRS Fee
£175/year
£0
Admin Fee
Included in above
£0
Total Annual Cost
~£335.00
£167.88*
Legal Status
Fully Licensed
Looking for legal background music for your business?
Built by a salon owner who got tired of PPL/PRS letters. Background music, made simple and legal for UK businesses — no licensing headaches, no copyright worries.
*Founding members pay just £119.99/year (£11.99/mo).
Here is the math that makes you angry.
The Two-Licence Trap (PRS vs PPL)
First, you need to understand why it costs so much. You aren't paying one person. You're paying two organisations that have joined forces.
PRS for Music: Represents the songwriters, composers, and publishers. They own the lyrics and melody.
PPL (Phonographic Performance Limited): Represents the record companies and performers. They own the actual recording.
When you play an Ed Sheeran song on the radio, you are using both rights. So you pay both fees.
They used to bill separately. Now they bill together as TheMusicLicence. It’s simpler paperwork, but the cost is still the same double-whammy.
Key takeaway: You cannot pick and choose. If you play commercial music (radio, CDs, Spotify, TV), you legally need to pay both PPL and PRS.
Real Cost Examples (2026 Estimates)
Costs vary wildly because they are calculated based on your specific setup: square footage, number of chairs (salons), or seating capacity (cafes).
Here are the typical annual costs for small businesses.
1. The Hair Salon (Small)
Setup: 1-5 chairs, playing radio/CDs/streaming.
PPL Cost: ~£160
PRS Cost: ~£175
Total: ~£335 per year
2. The Cafe / Coffee Shop
Setup: Up to 30 seats, background music.
PPL Cost: ~£185
PRS Cost: ~£200
Total: ~£385 per year
3. The Retail Shop
Setup: Small boutique, under 100sqm.
PPL Cost: ~£150
PRS Cost: ~£160
Total: ~£310 per year
Note: These are estimates based on standard tariffs. Prices increase annually with inflation. Ignore them at your own risk — fines can reach thousands.
Wait, you have a TV? Add another ~£100-£150 if you have a TV in the waiting area, even if it's on mute with subtitles (PRS still applies if music is broadcast).
Hosting events? Live music, DJ nights, or karaoke require separate, higher tariffs.
More chairs? In salons, the price jumps significantly once you go over 5 chairs (PPL) or 10 chairs (PRS).
The Honest Comparison: TheMusicLicence vs. Sonosfera
There is an alternative. You don't have to play commercial music.
If you play music that is direct-licensed (like Sonosfera), you bypass the PPL and PRS collecting societies entirely. We own the rights to our music catalogue, so we charge you directly. No middlemen. No double fees. For details on how this works, see PRS and PPL licence explained.
The full breakdown is in the comparison table at the top of this guide — the saving for a standard hair salon is over £185 a year.
What Do You Get for £335?
You get the right to play Ed Sheeran and Dua Lipa. That's it.
You don't get a music player. You don't get playlists. You don't get scheduling tools. You still have to provide the speakers, the device, and the music source (and remember, using a personal Spotify account is a breach of their terms).
With Sonosfera, you get the licence and the player. You get curated playlists designed for business (Coffee Shop Chill, Salon Luxury, Gym Motivation). You get dayparting tools to change the vibe automatically.
"But My Staff Want to Listen to the Radio"
We get it. Staff love the chat on the radio.
But ask yourself: is that chat worth £335 a year? That's nearly £30 a month just for the privilege of listening to adverts and presenters.
Most businesses find that switching to a curated, ad-free stream actually improves productivity. No more fighting over the station. No more inappropriate news bulletins. Just consistent atmosphere that makes customers spend more.
Frequently Asked Questions
Q: Is Sonosfera's music "elevator music"?
A: No. We work with independent artists who produce high-quality Lofi, Jazz, House, Pop, and Lounge music. It sounds like the playlists you'd find on "Spotify Chill" or "Luxury Lounge"—just without the licensing headaches.
Q: How do I prove I don't need a licence?
A: When you sign up to Sonosfera, we provide a certificate. If a PPL PRS inspector visits, you show them the certificate. It proves you are playing Royalty-Free / Direct-Licensed music and are exempt from their fees.
Q: Can I cancel TheMusicLicence if I already have one?
A: Yes. You can cancel your PPL PRS licence at your renewal date. You just need to inform them you are switching to a "Royalty Free" or "Direct Licensed" music provider.
Q: Is there a cheaper PPL PRS licence for small businesses?
A: Not really. The "Audible Area" tariff is the standard. Unless you are a "sole trader working from home with no customers visiting" (in which case you might be exempt), the £300+ fee is standard.
