How Much Does a Music Licence Cost for a Small Business?

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?)

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.

1. PRS for Music: Represents the songwriters, composers, and publishers. They own the lyrics and melody.
2. 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.

Want to skip the complexity? Try Sonosfera free for 14 days — £14.99/month, all licensing included.

The Hidden Multipliers

It gets worse. The base rate is just the start.

• 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.

Here is the math for a standard hair salon:

*Founding members pay just £119.99/year (£11.99/mo).

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.

Related Reading

• What happens if you play music without a licence?
• The £200 Decision: TheMusicLicence vs Sonosfera
• Sonosfera vs PPL PRS: how direct licensing works

Stop paying the "pop tax." Start saving. Try Sonosfera free for 14 days. From £14.99/month. All licensing included.