Glossary › Versus deal
Versus deal
The artist gets a guarantee or a percentage of the net, whichever is higher.
A versus deal ("vs.") pays the artist the higher of two numbers: a guaranteed fee, or a percentage of the show's net receipts after approved expenses. A typical way to write it is "$2,000 vs. 85% of net."
The guarantee protects the artist if the show sells badly. The percentage lets the artist share in a strong night. The key is the expenses line: the promoter's agreed show costs come off before the percentage is calculated, so they decide where the break-even sits.
Example
"$2,000 vs. 85% of net." Gross after taxes and fees is $12,000 and approved expenses are $8,000, so net is $4,000. 85% of $4,000 is $3,400, which is more than $2,000, so the artist is paid $3,400. If the net had been $1,500, 85% would be $1,275 and the guarantee of $2,000 would apply. (EXAMPLE numbers.)
Check at settlement
Ask for the expense breakdown in advance, compare it with the deal memo, and question anything new.