In the past few years, startups like Substack, Patreon, and Shopify have created alternative ways for creators to build businesses online through direct transactions, rather than advertising. This shift exposed a simple fact: in an ad-driven world, creators were generally under-monetizing their audiences.

But we could create a better deal: These organizations could invest in artists rather than owning them outright.

Music studios could invest in musicians and Spotify could invest in podcasts, giving those artists the capital they need to distribute their work on a grand scale, but the artist could retain majority ownership and creative control over ... See more