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• David McLoughlin

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APPENDIX IV Live Music Tour sponsorships in US music industry are on the rise. Music sponsorship spending was $575 million in 2003 and it is projected that the number will jump to $695 million in 2004. According to Billboard Magazine, music is the fastest growing sponsorship category in US with an increase of 21% from last year. Although struggling record labels are less able to continue tour support, companies are constantly increasing their branding. There is fierce competition between videogame and telecom companies for brand opportunities. In order to promote new pr odu c t smor ee f f i c i e nt l y ,t h e s ec ompa n i e sof t e na s s oc i a t et he i rpr odu c t swi t ha na r t i s t s ’t ou r .To p10s pon s or s h i pc a t e g or i e si n 2003 consist of auto, beer/spirits, candy, credit cards, footwear/apparel, non-alcoholic beverages, personal care products and quick serve restaurants. In markets where one tour date has occurred, companies have seen an increase up to 25% in sales, trying and reaching downloading MP3 files and the young adult market. What you should know about touring in the United States Your budget should include the following:  Salaries and per diems o Musicians o Tour manager o Roadies o Driver (if touring in a bus is required) o Hotel rooms  in order to economize, band members should try to share rooms, as well as seeing if accommodation in the same chain throughout the country is possible. Usually, the driver's contract will call for a separate room/day room so that he can sleep during the day/drive at night.  Travel Costs o Bus buyout o Mileage o Insurance  Airline tickets  Train tickets  Van rental o Gasoline o Inter- and intra-state toll payments o Freight / shipping costs for equipment o Equipment rental  Entry Visas  Expedited Visa Services $100 per visa if applying directly to the US government. Higher if going through a middleman such as Traffic Control Group

ATA Carnets "Your Passport for Goods" What is an ATA Carnet? The ATA Carnet is an international customs document that permits duty-free and tax-free temporary import of goods for up to one year. The initials "ATA" are an acronym of the French and English words "Admission Temporaire/Temporary Admission." ATA Carnets cover:  commercial samples;  professional equipment;  goods for presentation or use at trade fairs, shows, exhibitions and the like. That means almost anything: computers, repair tools, photographic and film equipment, musical instruments, industrial machinery, vehicles, jewellery, clothing, medical appliances and aircraft, race horses, old masters, prehistoric relics, ballet costumes and rock group sound systems are just some of the items that can cross borders duty-free and tax-free, thanks to ATA Carnets. We recommend the following site (International Camber of Commerce/World Chambers Federation) for all information on how to apply for an ATA carnet. < http://www.iccwbo.org/index_ata.asp >

SAMPLE TOUR BUDGET

Budget

Days Shows

Wages and Per diems

x number of days Rate

Shows Rate

Band Party Artist 1 Artist 2 Artist 3 Artist 4 Artist 5 Artist 6

11 11 11 11 11 11

0.00 0.00 440.00 440.00 265.00 420.00

24 24 24 24 24 24

0.00 0.00 440.00 245.00 265.00 420.00

$$$15,400.00 $10,720.00 $9,275.00 $14,700.00

Crew Party Road Manager Front of House Monitors Lighting Designer Stage manager Backline Backline

11 11 11 11 11 11 11

385.00 325.00 310.00 280.00 255.00 235.00 235.00

24 24 24 24 24 24 24

385.00 325.00 310.00 280.00 255.00 235.00 235.00

$13,475.00 $11,375.00 $10,850.00 $9,800.00 $8,925.00 $8,225.00 $8,225.00

Sub total wages Per Diems (band party) Per Diems (crew party) Per Diems (supplier cocrew) 1 Sound/1 Merch

$120,970.00 Non show Rate 66 30.00 77 30.00

Shows Rate 144 30.00 168 30.00

$6,300.00 $7,350.00

22

48

$2,100.00

30.00

30.00

Sub total Per Diems

$15,750.00

Total Wages/PDs Unit Equipment rentals and purchases Lighting Equipment rental Dry Hire only Lighting Equipment purchase PA Equipment rental Inc 1 crew PA Equipment rental purchase Video Equipment rental Backline rental Backline purchase Spares/Repairs Misc Production expenses Riser rental Flight case Total Equipment Costs

35 24

$136,720.00 $ 136,720.00 Total

Weeks Rate

12,250.00 1 35,025.00 1

12,250.00 0.00 35,025.00

$12,250.00 $$35,025.00

100.00 150.00 0.00 0.00

0.00 0.00 0.00 0.00 600.00 900.00 0.00 0.00

$$$$$ 600.00 $ 900.00 $$-

6 6

$48,775.00

$48,775.00

No.

Unit

Nights Per Night

200.00

1

11,800.00

$11,800.00

150.00

1

14,700.00

$14,700.00

100.00

1

3,900.00

$3,900.00

Accommodation: Band Party Crew Party Day Rooms

$200 per day @1.8 59 $150 per day @1.8 98 $100 per day @ 1.8 39

Total Accom Transportation: Flights International

Flight Internal

$30,400.00

Flights from Paris 3 Flights from London 7 Flights from Other1 Flights from Other1 Band (Dave & Earl) Leif + Techs

Truck Hire

2 3 1

approx $60 per Truck Driver hotel allowances day buyout 1 Bus Hire 1 approx $90 per Bus Driver hotel allowances room 1 $10 per non show day Drivers meal allowances 11 Freight 1 Eqpt/Ground Misc. Transport Transport Misc. Transport Public transport Misc. Transport Travel Misc. Transport Travel Misc. Transport Train

550.00

1,650.00

$1,650.00

1,080.00 450.00 360.00

7,560.00 450.00 360.00

$7,560.00 $ 450.00 $ 360.00 $-

500.00 500.00 20,000.00

1,000.00 1,500.00 20,000.00

$1,000.00 $1,500.00 $20,000.00

60.00 33 32,190.00 2

1,980.00 64,380.00

$1,980.00 $64,380.00

90.00

5,940.00

$5,940.00

330.00 12,600.00

$ 330.00 $12,600.00

66

10.00 3 12,600.00 1

$2,000.00 $1,000.00 $1,000.00 $0.00 $0.00

Total Transport Miscellaneous costs: Production rehearsal Production rehearsal Production rehearsal Rehearsal expenses Wardrobe expenses Insurance Insurance Insurance Insurance

Agency Com PD Mgnt Com

$121,750.00 $ 121,750.00

Venue costs Equipment delivery/return Local crew Transport to and from etc

$$$-

1 Individual Public Liability Cancellation Hired equipment Based on 10% of gross Based on 5% of gross

75.00

5

375.00

$$ 375.00 $2,200.00 $2,200.00 $5,500.00 $6,500.00

$27,500.00

$ 30,400.00

Bus Mgnt Com Carnet / Documentation Visas/Immigration Pre-production Pre-production Pre-production Catering Itineraries/Laminates Misc. Gratuities & Tips Mobile phone/internet costs Phones/Faxes Total Misc. Costs Withholding tax at 25% over 50% of gross over the tour Total tax Costs 3% contingency Total Costs after Contingency Income Show Income Other income (merchandising sales, CD sales) Total Income Balance (Shortfall)

Based on 5% of gross

Tour Manager Production Manager Person 3

10

150.00

1,500.00

10 10

145.00 80.00

1,450.00 800.00 0.00 700.00 1,500.00 750.00 1,000.00 1,800.00

$ 34,375.00

$$$1,500.00 $1,450.00 $ 800.00 $$ 700.00 $1,500.00 $ 750.00 $1,000.00 $1,800.00 $53,775.00

$ 34,375.00 $34,375.00

$53,775.00

$ 34,375.00 $ 425,795.00 $ 12,773.85 $ 438,568.85 $ 275,000.00

$-163,568.85