PledgeMusic Owes Artists Thousands of Dollars

Billboard

Colin Stutz, writing at Billboard:

According an anonymous former employee who wished to remain anonymous, the root of these problems is improper money management where PledgeMusic failed to hold artists’ campaign funds separately and securely and instead invested it back into the company. The idiom “robbing Peter to pay Paul” came up in many conversations describing PledgeMusic’s actions and as the company’s growth slowed the situation worsened. Over the last year, according to the former employee, in effort to reduce overhead, PledgeMusic also laid off about a third of its U.S. staff and moved out of its New York offices into a WeWork shared workspace.