Favored Nations Entertainment is a record label founded in 1999 by guitarist Steve Vai and Ray Scherr, former owner of Guitar Center.

The first album released by the label was Coming to Your Senses by guitarist Frank Gambale in 2000. Soon after, a variety of artists were signed, such as Johnny A., Larry Carlton, Peppino D'Agostino, Marty Friedman, Johnny Hiland, Allan Holdsworth, Eric Johnson, Stanley Jordan, Steve Lukather, Novecento, John Petrucci, Eric Sardinas, Neal Schon, Andy Timmons, Dave Weiner, The Yardbirds, and Dweezil Zappa.

Favored Nations was followed by the creation of separate branches, Favored Nations Acoustic in 2002 and Favored Nations Cool in 2004. Pro-Found is a sister label that promotes Favored Nations artists through the Favored Nations and ProFound websites.