Glossary
80/20 deal
An 80/20 deal splits the money left after costs 80% to the artist and 20% to the promoter; exact terms vary by contract.
Also called: 80/20 split, 85/15 deal, split point deal
Last updated
Definition
Once the show costs are covered (the guarantee, expenses and often an agreed promoter profit), the remaining net is split 80/20 in the artist's favor. Similar splits such as 85/15 work the same way. The contract defines the split point.
Formula
Artist bonus = 80% × (NBOR − guarantee − expenses − promoter profit)
Worked example
NBOR of $11,000, a $2,000 guarantee, $6,000 of expenses and $600 of promoter profit leave $2,400; the artist gets $2,000 + 80% of $2,400 = $3,920.
Illustrative numbers, not a real show.
Work it out
- Promoter deal calculator
What do the artist and promoter each take under a guarantee, versus, 80/20 or door deal?
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