A music label is an organization or company that deals with the marketing and release of music productions.
Labels are responsible for the production, marketing, promotion, and distribution of music. They work closely with artists to develop and promote their music projects.
This collaboration is often long-term in order to support artists in building their brand and ensuring that their music reaches a wide market. In addition, they finance the production and recording of releases and individual tracks by providing all necessary resources, such as producers or recording studios.
They also manage the income generated from the sale or streaming of music and distribute it among artists, producers, and other parties involved. Labels can either be large, internationally operating companies (major labels) or smaller, independent companies (independent labels).
For an explanation of the difference between label and distribution, please also read this article: