Reports today say Simon Cowell and Syco get the rights to Zayn's solo work with his first album released in 2016.
According to an exclusive in The Sun Newspaper, Simon made a deal that allowed him to get out of the group's contract early, providing his debut material is released on Syco.
An insider told The Sun: "Zayn is now the most in-demand solo artist in the world. There's huge excitement as he's the first member who will be able to release on their own.
"Simon was very understanding about him leaving the band but quickly made it clear he would stay a Syco artist for his future projects.
"He'll now be able to make sure any releases are timed so they don't clash with anything by One Direction."
The 22-year-old singer will reportedly be looked after the same label executives he worked with during his time with One Direction.
Zayn's first solo album is expected to be released early 2016, and whilst people would have preferred him to stay in the band, it seems the current situation "still works out".
The source added: "Obviously everyone at Syco would have preferred he had stayed part of the band but this result still works out for everyone."