During a recent live session following the release of RegalStone’s market-defining Basslines to Billions: Nigeria’s Music Market Intelligence Report, industry experts Obi Asika and Bizzle Osikoya appeared on a live session by RegalStone in which they discussed how the flow of institutional investment into the Nigerian music industry is being hampered by a lack of financial structure and transparency among many artists. The consensus was that without clear financial records, investors remain hesitant.
Bizzle Osikoya, co-founder of The Plug, was direct in his assessment, stating that the gap in the industry is due to a lack of “structure and financial transparency like with data.” He observed that for many musicians, their success is viewed as a way of “escaping poverty,” leading them to “blow up what they have” rather than investing or keeping proper records. This behaviour makes it nearly impossible for investors to track revenue, which in turn fuels scepticism and keeps capital on the sidelines.
Obi Asika, the Director General of the National Council for Arts and Culture (NCAC), noted that investors are looking for viable asset classes, like music catalogues, but they need the data to back it up. He stated that banks and funders need to be able to “look at the data,” and say, “I can fund you because I can see that this asset class is… viable and valuable.” This highlights how crucial it is for artists to embrace the data-driven approach that investors demand.
To bridge this gap, Osikoya proposed practical steps for professionalisation, including encouraging artists to “register their companies,” providing tax education, and ensuring they are signed to relevant royalty societies to track their earnings. He stressed that the industry must help artists move from a mindset of consumption to one of investment. This will create an environment where the data is clear, the structure is sound, and investors can confidently participate in the industry’s growth.
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