Sometimes I’m overly ambitious….but check this idea out:
If you’re a rapper, is $5,000 too much money to invest in yourself?? Is $3,000 too much?? For a LEGITIMATE chance at success in the music industry….is that too much money???
If it’s not, then this is an idea I’m thinking about…..crowdfunding an indie record label…..selling 100 shares at $3,000 each to fund a label that will properly push a project. Each person that buys a share receives a small portion of ownership into the label AND enters a drawing to be the artist that gets this professionally orchestrated campaign.
The investors will each own a % of the company and agree to allow it be run by known industry professionals (no fcukboys!!).
The money raised will be used to hire Wendy Day as a consultant; create the artwork and purchase all promo materials for the artist (including website, social media marketing, etc.); hire a professional publicist to help bring attention to the artist; secure a wrapped vehicle bearing the artist’s likeness and/or artwork; send artist on a 50-75 city market tour with the proper support; secure CONSISTENT radio rotation (not just mix shows) on 30-40 major stations for at least 16 weeks; as well as providing all other activities associated with a promotional campaign that will span 7-10 states.
The artist will have a 50/50 agreement with the label to split all proceeds for this ONE project. The artist will be able to walk away from this agreement at the end of the marketing plan, whether they get a better offer from a major or decide to start their own business or whatever. Once the push behind this artist is complete, they’re free to leave and continue their career however they see fit.
The artist will be chosen totally at random in a lottery style drawing that will be simulcast online. There will be no picks and chooses. Every artist has an equal opportunity.
To explain roughly how the money will be spent:
Promo Materials: $20,000 Van: $20,000 Wrap $ 3,000 Publicist (12 months) $36,000 Radio Promotion: $55,000 Promo Tour $50,000 Online Mktg (12 mo) $36,000 Staff (12-15 mo) $80,000
Each $2500 investor will receive an equity stake in the company. All monies brought in by the chosen project will be split 50/50 between artist & label up to $750,000 after which, the artist will receive 100% of proceeds moving forward, total ownership of all his/her music, trademark, logo, etc.
The money made by the label will then be used to fund a project of one of the remaining 99 investors. This procedure will repeat itself until an artist doesn’t recoup the investment or until all initial investors are given the proper campaign.
So basically for $3,000 you’ll be given a 1 in 100 chance to work with a woman whose clients have sold over a billion records. For that $3,000 you have the opportunity to receive the “push” and promotional campaign that every major label signed artist receives. If you’re not chosen first, you continue to stay in the pool of names until you are chosen.
Do you consider this a good risk for investment? As an artist does this make any kind of sense to you financially? It’s just the beginning of an idea that seems viable in my mind, but hey maybe it doesn’t sound great to you. I’d really appreciate your feedback on this idea.
Tony Guidry is Senior Marketing Manager for A Scratchy Throat. A Scratchy Throat – the brainchild of music industry mainstay Wendy Day – provides professional social media marketing specifically designed for today’s aspiring artists. Tony is also owner of Precise Music and exclusive booking contact for Trouble (Duct Tape Ent/2 Tru Ent) and O.Z. Mr. 28 Grams (Fratt Boi Muzic Group). For digital marketing services or booking inquiries email: OGTonyG@gmail.com or Tony@aScratchyThroat.com