Investor

ESE MANIAC

New member
I dont know what to do, there is some guy trying to invest in me. He said he will pay for my album cover, pay for the cds to be pressed, posters, mix and master my songs, beats and distirbution. He just wants me to add the lyrics to the beats.
He said that in all he will get 60% and I will get 40%.
Should I do it or what??
 
yeah i tihnk you should,the end product will be a lot more professional and you will have access to better beats, cover art, and promotion
 
ask him for a business plan that way you know exactly what funds he will be using to do each of the things you mentioned above... I will be posting my label's business plan up soon look for it in this section hopefully I'll get the spread sheet done in the next month or two... I want it to be very detailed
 
It all comes down to the math.
Any idea of projected sales?

You don't want to get screwed.

Then again if your an unknown rapper who hasn't really promoted themself,
then you don't have much to lose.
 
60%-40% split of what?
music sales,shows/tours,publishing,merch...what?
get more details....
my idea would be what amount he invest should be recoup then split 50-50
but having an investor isn't bad just get the paperwork discuss before hand so no funny biz later.
 
exactly if the guy wants to invest in you ask for a business plan... I don't know any investor that either doesnt want to have a business plan from a person who wants their money..
and if they are using their money they always have a business plan.. to know exactly how much they are investing in capital..promotion,cd duplication,have sales projection etc.....
 
So you don't have to pay ANYTHING? You're unknown/unsigned? If you're layin' nothing down but your beats, why the hell not?

Just make sure he's legit. There are a lot of scams out there. If for some reason he comes out of nowhere and says "Oh, we'll just need you to pay X amount for Y" then it's probably a scam. Seen it a bunch around here.
 
I would not do it myself. I worked with an 'investor' once, and it was the worst mistake of my music career. The investor soon wanted to be a producer, than a rapper, and before I knew what happened we were spending hours recording his album. I wasted about 3 years working with this crew and got nothing accomplished other than 2 mix CDs. There are plenty of resources out there for you to learn how to put out a quality product. Why are you spending money on packaging CDs? It cost 50.00 to put an album up on all of the major online music stores including iTunes, and Amazon. It should cost maybe a couple hundred to get a quality cover made. Proabably less if you know the right people.
 
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I would do it myself. I worked with an 'investor' once, and it was the worst mistake of my music career. The investor soon wanted to be a producer, than a rapper, and before I knew what happened we were spending hours recording his album. I wasted about 3 years working with this crew and got nothing accomplished other than 2 mix CDs. There are plenty of resources out there for you to learn how to put out a quality product. Why are you spending money on packaging CDs? It cost 50.00 to put an album up on all of the major online music stores including iTunes, and Amazon. It should cost maybe a couple hundred to get a quality cover made. Proabably less if you know the right people.

again this is why you ask for a business plan...so you know exactly how he plans to promote you..market your music...what regions he going to start with first...

and of course a contract detailing what rights the "INVESTOR" has in the control of your music,the artwork,what songs you can or have to make.. do you have to have a cross-over song.. do you have to have a gangsta types sungs etc...
I'm going to be approaching investors..if the investor give me the money I need he/she will have no creative control...only the right to recieve back he/she money by selling off all equipment,etc. that was brought using the investor's money...
I have searched and found a several websites that crater to christian to christian investor and startup business network...
you must pick a investor who... fits your needs...
now if you don't have any knowledge or don't want to do months of research,making business plan, fully detailed marketing plans...then you might have to give some creative control up...
but me I do all the business work,and music development etc....
this is if you want to run a successful business ....not just a simple local music career selling maybe 100 copies of your album... but more like billboards,full professional website...the internet provides tons of tools for independent artists..but if you want a full-blown compaign then it takes more the $1,000 bucks more like $50,000 just for simple compaign
now some might not agree with me... which is fine.
 
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ask him for a business plan that way you know exactly what funds he will be using to do each of the things you mentioned above... I will be posting my label's business plan up soon look for it in this section hopefully I'll get the spread sheet done in the next month or two... I want it to be very detailed

I am working on mine as we speak boy what a pain.
 
I am working on mine as we speak boy what a pain.

who you telling I got a outline from nebrask business development center and been using replace their stuff with my stuff here a sample of mines...it needs alot of work



HOLY LAMB MEDIA & ENTERTAINMENT
Video,Photography,Recording Studio-Biblical Based Music


HOLY LAMB
MEDIA
AND
ENTERTAINMENT
Business Plan


4516 North 39th Street Omaha, Nebraska 68111
Bus Phone 402/444-4444
Fax 402/444-4440 – Email: holy_lamb_media_entertainment@hotmail.com

Contact: Antonio Baugh CEO/President
Home Phone - 402/208-6110
Contact: Annlynn Baugh VP/Creative Director
Home Phone – 402/ 478-1119
Contact: Main Office Phone


Table of Contents_____________________________________

EXECUTIVE SUMMARY 3
Type of Business 3
Funds Requested & Use of Proceeds 3
Management Overview 3
Financial Objectives & Debt Exit 3
Product/Service and Competition 3
COMPANY BACKGROUND 4-5
Market Background 4
Business History, Growth, & Financial Objectives 4
Legal Structure 4
Company Location & Facilities 4
Plans for Financing the Business 5 ORGANIZATION 6-7
Team Members 6
Organizational Structure 6
Other Employees 6
MARKET ANALYSIS 8
Summary 8
Industry Analysis 8
Major competitors and participants 8
Target Markets 8
PRODUCT/SERVICES 9
Product/Service Summary 9
Product/Service Uniqueness 9
Additional Products Ad works will offer 9
MARKETING 10-11
Creating Customers (Two Tier Strategy) 10
Product Position 11
Targeted Markets 11
Product Pricing 11
Example of Industry Pricing Model 11
FINANCIAL PARTICULARS & ANALYSIS 12
Funds Requested 12
Start Up 5 year Projection Plan (Exhibit A) 13
Income Projection by Month (Exhibit B) 14
Beginning & End Year Balance Sheet (Exhibit C) 15
Sources & Application of Funds (Exhibit D) 16
Personal Financial Statements for the 3 Principals 17-22
PRINCIPALS RESUMES – APPENDIX A 23
EXAMPLE OF INDUSTRY PRICING MODEL – APPENDIX B 24

EXECUTIVE SUMMARY

Type of Business
HLME is a full service video,photography, and recording studio to produce original christian music specifically designed for christian music enthusiasts around the globe . This LLC will be a start-up venture entering into the market with a experienced music producer and audio engineer, that will be invested and active in the business.

Funds Requested & Use of Proceeds
HLME is seeking investment and donation capital of $400,000 to add to the investment of $20,000 from the HLME team. This will complete a total capitalization of $320,000 for: $240,000 office and studio equipment, and $100,000 to make,promote,distribute a christian compilation album, plus working capital, including $60,000 for Holy Lamb Works community works activities.

Management Overview
Antonio Baugh will serve as CEO,lead music producer,and lead audio engineer. Annylyn Philimon will be the Creative Director responsible for video and photography shoots. Antonio and Annlynn Baugh will co-manage the office. Both have success in their fields of responsibility. Both will bring with them business that will give the company some immediate cash flow.

Financial Objectives & Debt Exit
Since the entertainment/media field is very specific industry. We expect to not break even before the end of the first year of operation. Our Sales Projections of $150,000 yearly from music production,demo recordings, song mixing,photography shoots and video production sales will give the company cash flow in the first 3 months. Our financial goals include paying off the indebtedness in the third year from physical and digital sales of the compilation and solo act albums as 10% of the sales will go to fund Holy Lamb Workers Community foundation. (ref. 5 year Income Projection).

Product/Service and Competition
Our goal is to offer the truest biblical based music in the gospel music market. Our cause will be accelerated by a management, volunteer team, and musical acts that are already respected and beloved by gospel listeners around the globe.. The long-range goals of HLME is to produce independent movies,christian clothing line,original christian books,christian graphic novel and comics and use the revenue from these divisions of the company to fully fund Holy Lamb Workers faith based community works foundation that will be utilize to change hearts and minds of communities around the globe. The Big Picture is that Antonio Baugh would remain CEO and President and large building complex will brought and owned by HLME will be known as blank. Accounting and billing would all be centralized for increased profitability. The master plan is to be a major force in the American christian entertainment and media market.

the liner in off because of futureproducers looks real good in Open Office

will upload the full business plan soon
 
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it's just the wife and I.. only....and I'm doing all the business writing,contacting,building relationship etc...
mostly my wife will do photography and graphic design.. which she is learning now... I will also be starting to learn those skills sometime spring next year....we will have a bookkeeper-secetary comes in once a week
 
There's isn't enough information regarding this deal for me to give you a definite yes or no answer. Music can be sold so many different ways and it doesn't sound like your investor will be doing any work himself. Just because he's willing to invest money doesn't entitle him to 60% of your earnings. Honestly, I wouldn't even take him seriously until he has a contract for your lawyer to look at. You should follow Fateltone's advice by getting his business plan in writing.

This industry has been built by taking advantage of the impatient and ignorance. Do as much as you can yourself and don't let money blind into signing a bogus deal.

I dont know what to do, there is some guy trying to invest in me. He said he will pay for my album cover, pay for the cds to be pressed, posters, mix and master my songs, beats and distirbution. He just wants me to add the lyrics to the beats.
He said that in all he will get 60% and I will get 40%.
Should I do it or what??
 
see my busines plan is for bringing in funds from investors..
now I'll have an artist plan as well
a 2-5 page brochure "something color and vivid in other words eye catching" that will outline why they should join my label..
what promotion,marketing,
what website they will have
what avenue they will have for the sale of their music
the contract will be in the brochure so right up front the artist knows exactly what they will be getting as far as percent or points...
start off with a standard percent for everyone and depending how well a artist does they can get points for their future album so they can make more depending on performance and sells
what radio stations wil be targeted,what region we will start in
what media outlets we will be using to build presskits...
etc...
what exact clubs,venues they will be performing at...
all this should be in place if someone wants to invest in a artist(s)
research,research, connections,connections=free usually
getting a web presence up at least... your investor should have a plan for you...I know some are on grassroot level so takes things in part
1.logo
2.website
3.social network presence
4.blog presence
5.music network conferences
 
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