I have friends who own 2 bars back in PA. Yes, they do pay an annual fee (to whom I have no idea) to play the jukebox music, have karaoke nights and live bands. I'm not sure how much they pay but they figure on what they make extra for people coming in there and buying drinks and food while listening/singing to music, they make out like bandits. Just like paying for football coverage/package. They make tons more per week than without. They dropped karaoke for a while and added a pool table and averaged $2000 loss per week. They added the karaoke back in. I skipped going in there on those nights because I just couldn't take the dying cat sounds coming out of people. They packed the place with regulars who only came there for karaoke though. Those were traditionally their dead nights and slow times of the year. Would they prefer to not have to pay at all? I'm sure they would love to keep more of the profits. I can tell you this, they don't own big flashy bars, just small neighborhood places. I've been to their homes and to their kid's weddings and it would make your jaw drop how palatial they live for small bar guys. Giving their kids jaguars and paying for ivy league college outright should tell you something. Not all bar owners have it that good but these 3 guys know how to work the system to their advantage. No, they don't charge covers either.