Apple Records was not a failure. It was a label that got tangled up in legal difficulties due to management and the breakup of a band. The label, however, did not fail in itself. In many ways, it was very much ahead of its time. Artist-owned labels were nothing new in 1968 when Apple Records made its debut, but the philosophy behind it was very new, unique and revolutionary. This was the philosophy that George Harrison would take with him when he formed and launched Dark Horse Records. It was Apple’s eventual collapse that gave way to the beginning of Harrison’s new venture.
Of course, The Beatles were not the first band or musical artist to establish their own label. Frank Sinatra had done this in 1960 with Reprise Records in order to have artistic freedom over his own recordings and because he was dissatisfied with Capitol Records.
Because he owned the label, this earned him the nickname ‘Chairman of the Board’, although he sold the label to Warner Brothers in 1963 while retaining one-third ownership. Another example would be Sam Cooke’s label SAR Records, which he formed in 1961. Cook never recorded for the label but used it to help artists he wanted to promote. One of those artists was Billy Preston. Other artist-owned labels included Bobby Darin (Addison), The Everly Brothers (Calliope Records, established in 1961), Bing Crosby (Project Records, 1961), and Nat ‘King’ Cole (K-C Records, 1961). It is worth pointing out that the first record pressed with the Apple label (Apple 1) was Frank Sinatra singing ‘The Lady is a Tramp’, changing the word ‘Tramp’ to ‘Champ’ as a special birthday gift for Ringo Starr to give to his wife Maureen.
Apple did not start out as a record label but rather as an umbrella organisation protecting The Beatles from taxes and financial issues – a tax shelter, if you will. Apple Corps Limited, as it was called, came into being after the death of Brian Epstein, the original manager of The Beatles, but there is no doubt that the seeds of Apple were planted by Epstein, who was encouraging The Beatles to set up smaller companies for tax purposes. As a result, In April 1967, The Beatles and Co. was formed in addition to Beatles Limited, which continued to exist.
Essentially, the existence of these companies was to allow The Beatles to pay a much lower level of corporation tax. So initially, the idea for Beatles Limited/Apple was that it be made up of various smaller enterprises, such as retail, publishing, electronics and film and Jonathon Gould, in his bookCan’t Buy Me Love: The Beatles, Britain and America, confirms Epstein’s masterplan was to establish a business structure that would assist The Beatles in lessening their tax. Sadly, Epstein died before he could see the end results of his efforts.
But one of the first projects under the Apple Banner was the 1967 filmMagical Mystery Tour, which was was produced under the Apple Films Division. Although, if one looks carefully at the back ofSgt.
Pepper’s Lonely Hearts Club Band, released in June 1967, Apple is mentioned.
So, in January 1968, Beatles Ltd. became Apple. The Apple trademark (with a logo designed by Gene Mahon) was registered in 47 countries. This included registering the following smaller organisations: Apple Electronics, Apple Films Ltd., Apple Management, Apple Music Publishing, Apple Overseas, Apple Publicity, Apple Records, Apple Retail and Apple Tailoring Civil and Theatrical. The