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I still think the best thing she could do at this point is to engage with her fans -- does she have a website? a blog? -- and let them know she is struggling to make ends meet. I've seen plenty of indie musicians do this, and the fans are usually very enthusiastic to buy a CD for a family member or something.
And if she IS doing something "wrong" (that is fixable, I mean), her fans can help her discover that reason. I'm a big fan of artist/consumer communication.
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