Booking Major
Entertainment Acts FAQ
© 2007
By C.J. Hays President. American
Entertainment, Inc
This FAQ has been written in an effort to provide you with the
basic qualifications you will need to secure an “A” list artist.
What do I need to have in place before I make contact with an
agent for the acquisition of an artist?
1) Money
You need to have at
least 50% of your total production budget in the bank prior to
making any offers.
How much do I have to pay the
artist up front?
At the point a contract is issued by the artist or agent, you
will need to send a full 50% deposit at the time you send the
contract back after you have signed it. This is usually within 2
weeks of the offer being made.
Can I pay 10% now and more later as we sell tickets?
Absolutely not! Setting the fact aside you need the 50% up
front, by even asking this question, you are telling the agent
you are not in a financial position to promote a concert.
When do I have to pay the balance of the artist fee?
Unless you have a “Door Deal” where the artist manager has
control over the box office, the balance of the artist fee will
be required when the tour manager gets off the bus.
What if our pre sales were slow and we know we will have the
money after the show from walk up ticket sales?
This is not the artist’s problem. If the balance in not paid to
the artist in cash or certified funds when they arrive on the
day of the concert, they will get back on the bus and leave.
Secondly, they get to keep the deposit AND they can sue you for
the balance. So in other words, if you do not have the financial
means you guarantee the performance fees, read no further as you
should not be creating this event.
What else should we be prepared to pay when we pay the
deposit to the artist?
Generally there will be a deposit for the venue along with any
pre-production fees and talent acquisition costs.
2) A Date Chosen
Generally speaking, you should allow at the very least, 90
days for marketing your event from the date you have a signed
contract with the artist.
Why is it important to book at least 90 days out?
Statistics show you need at least a full 90 days to market an
event. You cannot promote an event until you have contracted the
artist with the deposit.
Are there any benefits to booking 6 months out?
Yes, If you have at least 6 months or longer, you could possibly save
money on the artist by choosing a date within the artists tour
routing. Secondly, they would probably have all of their
backline equipment with them.
What is “backline”?
If your artist is flying in to perform at your concert, they are
generally only bringing their guitars and horns. At your
expense, you would need to provide the drum set, keyboards,
amplifiers, risers, special monitor equipment and other items
listed on their performance rider.
3) Contract with a Venue
Artists will not contract until you
have a written contract with the venue for the performance.
First, you have to research to see if the venue you have chosen,
based upon your forecast of ticket sales, will be available on
the date you have chosen or the date that fits with a specific
artists schedule.
Other then the venue rental cost, are there any other costs
related to the venue that I need to be aware of?
Yes, there are many other costs to consider which you should
allow for in your proposed budget. First, in addition to the
venue rental fee, they may require a ticket fee or a small
percentage of the gross revenue. They may require the ticket
sales to go through Ticketmaster or other ticketing agency which
would also have a ticket processing fee attached.
They may have insurance requirements, security requirements and
may require you to use a specific stage, sound and lighting
requirements. And, you will most likely be having to pay union
labor rates. It is good to know all of these costs before
proceeding to the talent acquisition.
4) Research
Do not ask for a specific artist until
you have researched the artist. When was the last time
that artist was in your city? Do they already have a gig
scheduled in your city? Are they even available based upon their
tour schedule?
What other events are scheduled the day/night of the show? You
would not want to schedule a concert on the start of the World
Series. What other similar Genre concerts are scheduled 2 weeks
prior or after the show? In other words, if you are planning a
Country music concert, is Tim and Faith scheduled to perform a
week before your concert? If so, the concert goers you were
expecting already spent their money they could have paid you.
5) Production Experience
If you do not have a track record producing or promoting
concerts, you will have to partner with a company that does,
especially on the larger dollar artists. If you do not have a
successful track record you will NEVER get a major artist. Even
if you are swimming in cash, it is the agent’s responsibility to
conduct due diligence to determine the feasibility of the gig.
Professionalism is everything.
Is this what a PROMOTER does?
Sometimes. The promoter is usually the client purchasing the artist and
is responsible for all of the marketing and advertising and
holds 100% of the liability including recipient of any profit or
loss. What you are looking for is an event/concert management
company who has long standing relationships with artist
management and artist agents.
OK, so I have all my ducks in a row based upon the above
information. Who do I contact to get the talent?
Every major artist has a Responsible Agent (RA). This is the
booking agent who directly represents the artist on behalf of
the artist and the artist’s manager. The RA usually works for a
major agency. In addition to the RA, there are regional agents
within the firm. In a perfect world, you would be able to
contact these agents directly to inquire as to the availability
and price of the artist. Even though this can happen, if you do
not have a track record with the agency or do not know the
business, your likelihood of success is very low.
Can’t I just make contact with the RA to get a list of all
the artists and their prices?
Not usually. There is no set pricelist for artists. There are
many things for the artist to consider and supply & demand comes
into play. Also unless you have an existing relationship with
the agent, you are not going to get pricing. You would need to
make an offer, but in making the offer you would need to know
where to come in. You could be too high or too low. And if you
think you are going to get a “Top A List” artist for under
$100k, you will be laughed at.
So what are my options?
If you do an internet search to book a specific artist, you will
come up with a long list of sub-agents, entertainment brokers
and promoters all “claiming” to represent the artist you are
seeking. While they may not be the RA for that artist, some of
them have direct contact with the RA’s and can negotiate for an
artist on your behalf.
An advantage to using an outside agency is they generally know
what an artist is going for and have an understanding of riders
and other artist requirements.
But, It is the personal opinion of this author, that the “sub
agent, broker and promoter” market is wrought with greed and
fraud so you have to consider many things.
How do I choose the right sub agent?
1) Look over their
website and look for a track record. Look for how long they
have been in business. Maybe Google the company name or the
name of the primary agent and look for positive references.
Generally the agencies that have been around for awhile are a
good bet.
2) When you make your initial contact,
be aware of an immediate response that
they can get the deal done. If they have not qualified
you as a buyer or made any initial inquires as to the
availability of the artist, prior to asking you for a deposit,
you would want to proceed with caution
as they are too eager.
3) GET EVERYTHING IN WRITING.
If any details are discussed over the phone or promises are
made orally, ask them to send you the details by e mail.
Create a paper trail which is all you would have to stand on
in court prior to a contract being issued by the artist.
Again, GET EVERYTHING IN WRITING.
4) Never pay more then a 10% deposit to a sub agent,
broker or promoter prior to a
performance contract being issued. If the sub agent has
integrity, they will already know that the artist you want
fits within your budget, their availability and that you are
OK with their rider requirements. At the time you authorize
the sub agent to make an offer on your behalf, you will
usually be asked to pay a 10% deposit to go along with your
offer. Generally, if the offer is accepted by the artist
management, and a contract is issued, and you choose to back
out of the deal, you will lose your deposit. But, make sure
you have a refund clause signed by the sub agent that if your
offer is declined, that your deposit is immediately refunded.
GET EVERYTHING IN WRITING.
Next, at the point the offer has
been accepted and you have the contract in your hand, then and
ONLY then would you send in the remaining 40% or 50% deposit
along with your signature on the contract. And, pay the balance
of the performance fee only after the artist arrives at your
venue.
Note: I have investigated many fraudulent entertainment
acquisitions over the years for Entertainment Lawyers throughout
the Kingdom. You would be surprised to note that
some of these companies are still in business and are even
listed in the “top ten” search results on most search engines.
On one deal, a deposit was made on a sweet 16 party before the
agent even knew if he could get the artist. Once he found out
the artist was not available, he kept the deposit and tried to
force the client to take one of his other artists. The client
declined and the deposit was not returned. The broker
specifically told the client to go ahead and sue because her
attorney fees would exceed what he owed her.
On a more recent
deal, a buyer from overseas was led to believe a contract was
going to be issued on a major artist which led the agent to
demand a 50% deposit when it turns out the artist’s manager had
never even been contacted by the sub agent.
Don’t get me wrong, there are many fine sub agents, brokers and
promoters out there. Just do you homework and
GET IT IN WRITING!!
Am I contracting with the artist or the agency?
This depends on whether the agent is reselling the artist to you
or if you are paying them a fee to negotiate a contract directly
between you and the artist.
What is the difference?
1) If your contract is
with a second tier booking agency, and you are buying a lower
level or regional artist, contracting with the agent is the
normal deal. Accept that.
On most deals where you are contracting with a sub agency,
broker or promoter and
not the artist, they are conducting a buy/sell deal.
Basically, because the buyer is a nobody and the agency has a
track record, they are contracting with the artist/RA and are
exposing themselves if the client does something wrong, like
not pay the balance of the artist fee so this is also the
norm. But, you don’t know what the markup is on the deal and
could be as much as 50% of the usual artist fee. In other
words, they are sharing in the risk but they could be making
more NET Profit on the deal then the Band or Artist. I
personally don't feel the agent should net more then the
performers. The buy/sell method is the norm but can lack
integrity and for me, integrity is everything in this
business.
2) If the agency is offering a contract directly
between you and the artist, they are either the “RA” for that
artist or you are paying them a fee to act as YOUR agent in
the negotiations for the artist. This is actually the cleanest
method to acquire talent and ensures you get the artist at the
lowest possible cost. If you retain an agency working under
this method, expect to pay from 5 to 12 percent depending on
the artist cost and the time to negotiate the best deal for
you.
This is how we work
for you with Professional
Talent Acquisition
To recap…
Have the Money
Choose a Date
Choose a Venue
Research Research Research
Know what you are doing or Hire a Pro
Make an offer
GET IT IN WRITING
Have Fun
© 2007 American Entertainment, Inc of
Nevada. No part of this FAQ can be reproduced without the
permission of American Entertainment.
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