Educational Content

3 Considerations For Developing Your Talent Budget

June 27, 2024
Nick DiRoma and Brad Zweir
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Educational Content

When creating the budget for your event, it’s crucial to be realistic about the size of the artist you can afford for your show. Let’s break down three considerations to make while developing your talent budget:

 

1.    Performer Considerations: When determining how much money to allocate to your talent budget, it’s important to consider the factors of your event. Are you looking for an act with name recognition to draw people in or will this be part of a program of events, so a lesser-known act that puts on a great show will be just as effective? The bigger name often carries a bigger price tag. Would an acoustic show fit with your event? For music acts, having an artist do an acoustic set will often be cheaper than the full band, but not good for opening night events if people are mingling while the band is on. If you’re utilizing a talent buyer, you also must factor in their agency fee, which is typically 10% of the artist fee, billed separately.

 

2.    Production Considerations: The venue & production of your event play a large role when putting together your budget. You may be able to save money by booking your event at a venue you already have a connection with, but it’s important to consider whether this venue has the necessary staging and production equipment. Depending on what facilities the venue already has, you will have to factor in the added cost of bringing in a stage, lights and sound system. Alternatively, choosing a venue that already has all the necessary production may be more cost-effective. Typically, a musician will have significantly more production needs than a comedian or speaker, so opting for the latter may free up some space in your budget.

 

3.     Artist Expenses Considerations: There are a variety of expenses an artist may ask to have you cover during negotiations. If an artist is flying in, they may ask you to provide or cover the costs of airfare, hotels, and ground transportation. A musician who is flying in for your show may ask you to cover their backline. Backline refers to all the instruments, amplifiers, and equipment the artist needs to play the show in addition to the sound system. As the performance fee goes up, these expenses will also grow, so it’s important to be transparent about what is and isn’t included in the performance fee during the offer phase. Depending on the size of the artist, it may also be more effective to do a transportation or backline buyout. Buyouts can be cost-effective because they limit the amount of money you will spend and put the responsibility back on the artist’s team.

 

Balancing the allure of high-profile performers with the practicality of budget constraints is essential. A well-defined budget not only aids in deciding which artist to pursue but also serves as an outline for advancing the show with minimal surprises.  Whether you are negotiating directly with an artist team or working through a talent buyer, review the artist riders (hospitality and technical) before you submit an offer.

 

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