Originally functioning as a recording studio and distributor for Martinez, the label expanded its roster to include other Tejano musicians to avoid financial failure.
The label commenced producing albums for an array of artists, including Ramón Ayala, Agustin Ramirez, Oscar Martinez, and Joe Bravo.
As Tejano music's popularity surged, Freddie Records augmented its foundation by incorporating an additional 6,000 square feet for a second studio and production facility replete with updated MCI equipment capable of accommodating cassette tape and 8-track formats and instigated a release schedule of two albums per month on average.
The label awarded gold and platinum certifications to Mazz for Straight from the Heart (1989) and La Sombra for Good Boys Wear White (1990), respectively, and attracted interest from major record companies due to its large catalog.
Its staff could undertake most tasks in-house, including designing artwork, producing tapes, packaging, and distributing merchandise across the United States and Mexico, while CD manufacturing had to be contracted out.
At the 1995 Grammy Awards, Ayala and Los Terribles del Norte were both nominated for Best Mexican-American Album, marking the first time Freddie Records' artists had received such recognition.
By 1996, Freddie Records had experienced thirty years of being the foremost purveyor of the most significant names in regional Mexican music.
While Billboard deemed Martinez as being conservative when seeking out new talent, the label remained vigilant in searching for musicians who can appeal to both norteño and Tejano enthusiasts.
In June 2006, Billboard ranked Freddie Records as the leading regional Mexican album imprint, outpacing Sony BMG Norte, EMI Televisa, and Fonovisa.
In October 2019, the city council of Corpus Christi released a proclamation announcing a month-long celebration commemorating the 50th anniversary of Freddie Records.
[9] Martinez approached Studio B Recording, which was situated near the Corpus Christi Bay, with $400 (1970 USD),[7] and the company accepted his offer in March 1970.
[9] Martinez invested $15,000 in renovating the studio and carpeted the building to prevent external sounds from interfering with recordings while adding a singer's booth to avoid the override of instruments.
[14] The label expected their artists to excel in the company's return exchange formula, requiring them to be self-promoting and put on exceptional concerts to secure bookings for future events.
[15] Martinez had to delay plans for further developments in the company, such as a crossover into English-language music, entering the film production market, and expanding Freddie's Studio B with a 16-track acquisition, following a recession in the United States in the mid-1970s.
[16] In 1976, songwriter Johnny Herrera sued Martinez for $1 million in royalties (1976 USD) alleging that he was not compensated for his works that he provided for the company.
[20] The concert faced opposition from residents who complained of noise violations to the city council, which banned future events in the area.
[23] The label was receiving 10-20 demo tapes every week from Tejano music hopefuls, and Martinez would press 1,500 singles for a musician he was interested in, with 400-450 sent out to radio stations and the remainder sold to stores.
They had a distribution facility that was capable of making 30,000 cassette tapes a month, near their recording studio and office in Corpus Christi.
Freddie Records expanded its base with an additional 6,000 square feet for a second studio and production facility with updated MCI equipment capable of handling cassette tape and 8-track formats, and began averaging two releases per month.
The label began suing small record stores that were knowingly selling counterfeited albums and imports from Mexican artists in the area.
In 1989, Jesus Guterrez wrote for Billboard, stating that the Tejano music genre still had a long way to go before it could attain any significant gains, despite its steady climb in popularity in Texas.
[29] On January 10, 1990, EMI Latin bought Bob Grever's Cara Records, beginning the golden age of Tejano music.
[42] By 1996, Freddie Records had been the leading supplier of top regional Mexican music for three decades, with Ayala as its best-selling artist.
Although the company had limited video production due to the high cost, it purchased a plot of land to unite its office, warehouse, duplication, and studios.
In September 1997, Martinez planned to build a 32-channel "state-of-the-art studio" in South Corpus Christi,[43] and that year he was inducted into the Tejano Roots Hall of Fame.
[45] Billboard found Martinez to be conservative when scouting for new acts,[46] but the label actively searched for musicians who could appeal to both norteno music and Tejano audiences.
All pleaded not guilty to the charges of conspiring to defraud the Internal Revenue Service (IRS) of $99,637 of unpaid income tax from June 1991 to February 1995.
[50] Martinez recognized the potential of the internet as a tool for promoting new artists and included audio and video archives, music news, and message boards on the label's website.
[51] In 2002, Freddie Records entered a joint venture with WEA Latina for Ayala's tribute album for Pedro Infante.
[57] In June 2006, Billboard named Freddie Records as the top regional Mexican album imprint, surpassing Sony BMG Norte, EMI Televisa, and Fonovisa.