(Bloomberg) -- Downtown Music Holdings, which helps songwriters and other rights holders manage their catalogs, expanded its credit facility with Bank of America Corp., securing an additional $500 million for lending to musicians.

Downtown gives artists an alternative to working with record labels that want to own their music. Founded in 2007, the New York-based company provides musicians with services like royalty accounting and distribution so they can release their songs all over the world.

The company offers artists advances ranging from tens of thousands of dollars to several million dollars, depending on their needs, splitting sales and letting them retain ownership. It administers music from songwriters such as John Lennon and Yoko Ono, Miles Davis and Air. It also works with music companies such as Beggars Group, a leading independent label.

Downtown’s existing credit line with Bank of America gave it access to up to $200 million. The investments worked well enough that Bank of America provided more money.

“We’ve been outperforming our initial predictions on the fund,” Pieter van Rijn, chief executive officer of the company’s Downtown Music division, said in an interview.

(Corrects company’s role in Lennon’s music in headline, third paragraph.)

©2024 Bloomberg L.P.