What percentage does venue take?

Venue ($25-40): For the use of the venue, staff, stagehands, furniture, rigging, medical staff, and more, bands can expect anywhere from 25-40\% of the ticket to go directly into this. Promoter ($3-11): Of the 54-69\% of the ticket left, the promoter is going to take anywhere from 5-15\% to advertise the event.

How much do venues pay artists?

50\% is most common, but it can be any number, from 25\% up to 100\%. Bands with little booking experience get scared of splits, because they worry about not making any money. Venues prefer splits for new and un-proven bands, because it takes the risk away from the venue, and puts it on the band.

Are music venues profitable?

It varies depending on which libation you’re looking at, but a reasonable average is about a 75\% profit margin or 25\% in cost of goods – the raw ingredients in the drinks you’re serving. Some are higher, some are lower. Now you might be thinking, “Whooooaaaaa…. 75\% profit?!?

How do small music venues make money?

As with movie theaters, music venues make a critical share of their revenue from sales of refreshments—for music venues, that particularly means refreshments of the liquid variety. “We make the majority of our money off bar sales,” says Flasher. “So getting people into the room is step one.

How do performers get paid for concerts?

The artists make their money on ticket sales and merchandise. They are also often touring to promote a new album and hope that live performances will encourage sales of it.

Are event venues profitable?

Do event venues make money? The short answer to this is yes, absolutely, as long as they are managed correctly and have a good strategic plan in place. Any business will need a solid business plan in place before opening.

How much does it cost to run a concert venue?

Large arenas can cost over $50,000, while local music venues can cost just a few thousand dollars. The larger venues can be more challenging to book for an independent concert promoter, as many larger promotion companies snatch these venues up for the more extensive tours.

How much do music venue owners make?

The lowest paid 10 percent earned less than $38,660, and the highest paid 10 percent earned $145,600 or more per year. Club managers and owners who are certified earn higher salaries than those who are not certified.

How much does it cost to promote a concert?

Large arenas can cost over $50,000, while local music venues can cost just a few thousand dollars. The larger venues can be more challenging to book for an independent concert promoter, as many larger promotion companies snatch these venues up for the more extensive tours. Still, they can have them if the promoter knows the right people.

Where does the money from concert ticket sales go?

No matter the size of the concert, the money from ticket sales all goes to generally the same places. Independent concert promoters set the ticket prices based on several factors. After they estimate their costs, including the revenue they’d like to bring home, they put their budget.

What should you avoid when booking a concert venue?

Avoid college towns when school is out of session. Venue size and type are important. A low turnout can be be a bummer for you, the promoter, and most of all – the fans. So don’t book a venue that you can’t fill at least 70\% or sell out.

Why are outdoor concert venues so difficult to develop?

Outdoor venues are a challenge because of extra production costs and weather considerations. Developing artists should set a reasonable ticket price. High ticket prices can kill your concert turnout. A thorough budget and careful planning will ensure you don’t get screwed.