Banking Credit Framework for African Music IP Lending: Turn music catalogues into bankable assets. The institutional model for a $270M untapped market.

The Problem

Banks won't lend against music IP because they lack credit infrastructure. Artists and catalogue owners can't access institutional capital at reasonable rates.

The Solution

A 43-page framework that answers the three questions every credit committee needs:

1. How much can we lend? (Credit capacity)
2. What should we charge? (Risk-adjusted pricing)
3. What do we recover in default? (Workout value)
   

The Core Innovation

Direct platform payment architecture reduces default risk from 35% to 8.6% when 80% of revenue flows from Spotify/Apple with letters of direction in place.

Result: Same catalogue supports 21% more debt with properly structured security. Banks can price at 14% instead of 18-20%. Borrowers save $30k annually on a $500k loan.

Excerpt from report

What's Inside

Complete credit model covering:

• LTV architecture (collateral vs cashflow constraints)
• Liquidity discount framework (40% → 27% with direct payment)
• Multi-scenario stress testing (revenue decline, FX risk, platform fees, hit decay)
• Security perfection scoring (8-component matrix)
• Basel III capital treatment & regulatory strategy
• 8-week implementation roadmap
• Market sizing across 6 African countries

Real example: $1.79M Nigerian catalogue → $566k maximum loan at 14% rate, 1.35× DSCR, BB+ risk rating

The Opportunity

• Total addressable market: $270M lending capacity
• Current penetration: 2-3% ($5-8M deployed)
• Untapped: $260M+

African music IP lending is where US music IP was in 2015—about to explode. First movers will dominate.

Who This Is For

• Bank credit & risk teams evaluating IP lending
• DFIs and institutional lenders
• Asset managers designing IP-backed funds
• Legal advisors structuring IP transactions
• Music platforms seeking lending infrastructure

ROI

Framework cost: $147
Additional capacity on first deal: ~$100k
Additional annual interest income: $14k
Payback: <3 months

Your alternative: Build this internally (200+ hours, $50k-$100k fully loaded) or pay consultants $15k-$50k for similar deliverable.