Do You Need A Music Licence For Your Cafe Or Gym?

Do you really need a music licence just to play a playlist in your cafe, gym or studio?

In most cases, yes. If your business plays music where customers, clients or class participants can hear it, you're usually making a public performance of copyrighted music under the Copyright Act 1968. That means you need permission from the copyright owners, even if you've paid for Spotify, Apple Music or another streaming service.

The good news is that this doesn't have to be complicated. For many Australian businesses, music licensing is handled through OneMusic Australia, which brings together licensing from APRA AMCOS and PPCA for public music use.

Let's break down what this means in practical terms, especially if you run a cafe, gym, yoga studio, Pilates studio, dance studio, salon or similar customer-facing business.

Do I Need A Music Licence For A Cafe?

Yes, you usually need a music licence for your cafe if you play recorded music, radio, TV audio, playlists or live music for customers.

It doesn't matter whether the music is loud, quiet, in the background or part of the atmosphere. If customers can hear it in your business, it's generally a public use of music. That means the usual personal-use rights you get at home won't be enough.

For example, say you run a cafe in Brisbane and you play an indie playlist through a speaker behind the counter. You might think of it as background music, but from a copyright point of view, you're using that music to create a better customer experience in a commercial space. You'll usually need a licence that covers that use.

A cafe music licence may cover things like:

• background music from speakers
• music played from a phone, tablet, laptop or sound system
• radio or television music playing in the venue
• music in outdoor dining areas, if customers can hear it
• live music or DJ performances, depending on your setup

Your licence fee will usually depend on factors such as the type of business, the size of the space, how the music is used and whether the music is background music, featured music or part of an event. OneMusic publishes tariffs and categories, so it's worth checking the current rules for your specific business model.

Do Gyms And Fitness Studios Need A Music Licence?

Yes, gyms and fitness studios usually need a music licence if they play music in reception areas, training spaces, group classes or workout zones.

Music in a fitness business often does more than sit in the background. It can drive the pace of a class, create energy and form part of the service you're selling. Because of that, the licensing rules for fitness businesses can be more specific than for a small retail shop or cafe.

You may need licensing for:

• background music in the gym or studio
• music used in group fitness classes
• music used by instructors during PT sessions
• music used in spin, boxing, HIIT, yoga, Pilates, barre or dance classes
• music played in reception, changerooms or waiting areas
• music used in online or recorded classes

Group fitness music can attract different licensing treatment because the music is often synchronised with movement and used as a central part of the class. If you run a gym in Melbourne with 20 spin classes a week, your music use will look different from a cafe playing background jazz during brunch. Your licence needs to match what you're actually doing.

If you use pre-made fitness music services, check what the service actually covers. Some services provide specially licensed tracks for fitness instructors, but they may not cover every use, every venue or online content. It's common for businesses to need both a commercial music service and the right public performance licence.

Does Spotify, Apple Music Or A Playlist Cover My Business?

No, a standard personal streaming account usually doesn't cover music played in your business.

Most consumer streaming services are licensed for personal, domestic and private listening. Paying the monthly subscription doesn't give your business permission to play music to customers, class participants or members.

This is one of the most common misunderstandings we see. The issue isn't whether you've paid something for the music. The issue is whether your business has the right permission for commercial public use.

If you want to use playlists in your business, check:

• whether the streaming service terms allow business use
• whether the service is designed for commercial premises
• whether you also need a OneMusic licence for public performance rights
• whether the licence covers all areas where music is played
• whether your staff are allowed to use their personal accounts at work

Commercial background music providers can be useful because they're built for business environments. Some provide curated playlists, scheduling tools and hardware options. Even then, you still need to confirm exactly what rights are included. Don't assume a music platform covers everything unless the contract says so clearly.

What If Staff Bring Their Own Playlist?

If staff play music from their own phone or account during a shift, your business can still be responsible for the public use of that music. From a practical point of view, the music is being played in your venue for your customers.

A simple internal music policy can help. It can set out who controls the playlists, which services can be used, volume expectations, language standards and what happens if a customer complains. This is especially helpful in venues where your brand depends on the atmosphere.

What About Live Music, DJs And Open Mic Nights?

Yes, live performances usually still need permission, and you may also need clear contracts with the performer.

It can feel different because a person is physically performing the song in your venue. But if they're performing copyrighted songs, those songs are still protected by copyright. A licence may be needed for the public performance of the musical works, even where the performer isn't using a recording.

If you host live music, DJs or open mic nights, think about both copyright and your commercial arrangements.

Copyright Licensing

Your business may need a licence that covers live music or DJ sets. A background music licence may not automatically cover featured performances or ticketed events. The rules can change depending on whether the performance is free, ticketed, incidental or a main attraction.

If a performer only plays original music they wrote themselves, the position may be different. However, you still need to be careful. The performer may be a member of a collecting society, there may be co-writers, and recordings can involve separate rights. Getting the details in writing, ideally in a music licence agreement, helps avoid confusion later.

Performer Agreements

A short performer agreement can save a lot of awkward conversations. It can cover:

• date, time and length of the performance
• payment and invoicing
• cancellation terms
• who provides equipment
• sound limits and venue rules
• whether you're allowed to film or photograph the performance
• whether the performer can sell merchandise
• who is responsible for any special permissions or copyright licences

Templates can be a starting point, but live music arrangements can vary a lot. If the performer is a regular act, a DJ, a contractor or part of a branded event, it's worth tailoring the agreement to how your venue actually operates.

Can I Use Music In Instagram, TikTok Or Promo Videos?

It depends, but you shouldn't assume that a music licence for your venue also lets you use the same song in social media videos.

Playing music in a cafe or gym is one type of copyright use. Adding music to a video is another. When music is combined with video, you may be dealing with synchronisation rights, sound recording rights and platform rules. These rights aren't always covered by a standard public performance licence.

This matters for everyday content like:

• a reel showing your barista making coffee with a popular song over the top
• a gym promo video using a trending track
• a class highlight video with music playing in the background
• a paid ad featuring music from an artist you like
• a customer testimonial video filmed while music is playing in the venue

Social media platforms often provide music libraries, but the terms can differ between personal accounts, creator accounts and business accounts. A track that appears available on a platform may not be cleared for commercial advertising, boosted posts or use outside the platform.

If you're creating content for your business, safer options can include:

• using platform-approved music available to business accounts
• using royalty-free or production music with a copyright licence for commercial use
• commissioning original music and getting the music rights in writing
• removing background music from customer or class videos
• checking whether your marketing agency has properly licensed the music

If someone creates content for you, such as a videographer, influencer or marketing agency, your content agreement should say who is responsible for music clearance. Without that, you may end up with a polished video you can't safely use.

How Do I Get The Right Music Licence?

You get the right music licence by matching the licence to how your business actually uses music.

For many Australian businesses, the starting point is OneMusic Australia. OneMusic offers licences for different business types and music uses, including hospitality, retail, fitness and dance, hair and beauty, events and workplaces. It combines rights from APRA AMCOS, which deals with songwriters, composers and music publishers, and PPCA, which deals with sound recordings and recording artists.

Before applying, map out your music use. Don't just think about the main speaker in the front room. Think about every place and channel where music appears.

Music Use Checklist

• Do you play background music in your venue?
• Do you use radio, TV, playlists or streaming services?
• Do you run group fitness, dance or movement classes?
• Do instructors choose their own music?
• Do you host live music, DJs or ticketed events?
• Do you play music in outdoor or shared areas?
• Do you record classes or stream them online?
• Do you use music in ads, reels, stories or promotional videos?
• Do you operate from more than one location?

Once you know your actual use, you can check the relevant licence category and fee basis. Some licences are calculated by floor area, number of locations, number of classes, attendance, capacity or the type of music use. If your business model changes, such as adding Friday night DJs or online classes, your licence may need to change too.

Other Permissions To Check

Copyright isn't the only issue. Depending on your business, you may also need to think about:

• lease terms: your commercial lease may restrict live entertainment, trading hours, noise or events
• council rules: local councils can have noise, planning and venue use requirements
• liquor licensing: if you serve alcohol, live entertainment or events may affect your licence conditions
• contractor arrangements: instructors, DJs and performers should know what they're allowed to use
• brand risk: explicit lyrics or unsuitable content can affect the customer experience

Getting these settings right early can make your music use feel much easier to manage as your business grows.

What Happens If I Play Music Without Permission?

If you play music without the right permission, your business may be asked to stop, take out a licence, pay fees or deal with a copyright claim.

Under the Copyright Act 1968, copyright owners have exclusive rights in their music and recordings. Using those rights without permission can amount to copyright infringement. In practice, many issues start with a notice or request to fix the licensing position, but ignoring it can make the problem more expensive and stressful.

Practical consequences can include:

• being required to pay licence fees you should have paid earlier
• having to remove music from your venue or content
• social media videos being muted, blocked or taken down
• ads being rejected or paused
• damage to relationships with performers, agencies or collaborators
• unnecessary legal costs if the dispute escalates

For most cafes, gyms and studios, the goal isn't to overcomplicate things. It's to make sure the permission matches the way you use music. If you're unsure, get advice before rolling out a new music-heavy service, campaign or event series.

Key Takeaways

• Cafes, gyms and studios usually need permission to play music for customers, members or class participants.
• A personal Spotify, Apple Music or similar account usually doesn't give your business commercial public performance rights.
• OneMusic Australia is often the starting point for music licensing for Australian businesses.
• Fitness classes, live performances, DJs and online classes can need different treatment from simple background music.
• Using music in social media, ads or promo videos can require separate rights, especially where music is combined with video.
• Clear contracts with performers, instructors, agencies and content creators can help you avoid confusion about who is responsible for music permissions.

If you'd like help with your music licensing position, performer agreements, social media content permissions or venue terms, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.