262 lines
10 KiB
Markdown
262 lines
10 KiB
Markdown
# Music Business Blueprint — Owner-Operated Band Company
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**Goal:** $60K/year minimum to owner (non-performing), scaling to 6 figures
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**Style:** Snarky Puppy × Jacob Collier × Todd Goldberth
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**Market:** NW Indiana / Chicago
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**Size:** 15-20 members
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**Status:** Research phase — not yet formed
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---
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## The Models That Work (12 Sources Studied)
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### Source 1: Snarky Puppy — The Collective Model
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Michael League owns the LLC. 25-40 musicians rotate in/out. Not everyone plays every gig. Revenue comes from the ecosystem: band + record label (GroundUP Music) + annual festival (1,500 attendees/day in Miami) + education clinics + YouTube sessions. Members also work with Erykah Badu, Kendrick, D'Angelo — which RAISES the brand. Estimated $3-5M/year gross.
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**Lesson:** The band is one product inside a larger machine. Build the ecosystem.
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### Source 2: Vulfpeck — Low Overhead, High Impact
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4-person core sold out MSG without a manager or label. Jack Stratton does everything: production, video, business. YouTube-first with a distinctive retro visual brand. Launched their own Vulf Records + the Vulf Compressor plugin (passive income). Vinyl-heavy (higher margins than streaming). Estimated $3-8M/year at peak.
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**Lesson:** Distinctive visual brand + YouTube = free marketing. Plugins/digital products = passive income. Own everything.
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### Source 3: Pomplamoose / Jack Conte — Transparent Economics
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Published full tour breakdown: 28 days, $135K revenue, $147K expenses = $11K LOSS. This transparency became massive marketing. Built audience on YouTube covers → monetized via Patreon ($6,326/video). Frustration with YouTube economics led Conte to found Patreon ($4B company).
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**Lesson:** Touring with 6+ musicians costs ~$5,300/day minimum. Don't tour until the math works. Covers = discovery; originals = monetization. Membership/Patreon smooths income gaps.
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### Source 4: Jacob Collier — Audience as Product
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100,000+ concertgoers recorded singing on tour; their voices appear on his albums. Created a free instrument plugin from those recordings. Fans literally become part of the product. 150+ collaborations cross-pollinate audiences. 7 Grammys generate free press.
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**Lesson:** Audience participation creates superfans. Every collaboration is a new audience funnel.
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### Source 5: Postmodern Jukebox (Scott Bradlee) — Owner ≠ Performer
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One person owns the brand, hires rotating musicians per video/tour. Non-performing owner built a multi-million-dollar entertainment company. Rotates 50+ musicians through the brand. YouTube is the engine (billions of views). Tours under the brand name, not any individual.
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**Lesson:** THIS IS YOUR MODEL. The brand is the product, not any single musician. Owner controls the brand, musicians are hired per project.
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### Source 6: Vitality Music Collective (Chicago) — Entertainment Company Model
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Operates as a company that deploys different configurations of musicians depending on the event. One roster, multiple formats (duo for cocktail hour, 12-piece for reception, DJ for afterparty). The company is the brand.
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**Lesson:** One roster, many products. A 15-20 person collective can deploy as a 4-piece jazz combo, 8-piece funk band, or full 15-piece show band depending on the gig budget.
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---
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## The Revenue Math ($60K Owner Target)
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### What a 15-20 Piece Band Can Charge
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| Gig Type | Per Event | Frequency | Annual |
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|----------|-----------|-----------|--------|
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| Corporate events | $10,000-$20,000 | 20-30/year | $200K-$600K |
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| Weddings | $6,000-$10,000 | 30-40/year | $180K-$400K |
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| Casino/hotel residency | $3,000-$8,000/night | Weekly (subset) | $50K-$250K |
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| Studio/production work | $75-$150/hr | Ongoing | $30K-$180K |
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| Sync licensing catalog | $500-$50,000/placement | 10-20/year | $5K-$100K |
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| YouTube/social media | AdSense + brand deals | Ongoing | $5K-$80K |
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| Education (clinics) | $1,000-$5,000/workshop | Monthly | $12K-$60K |
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### Conservative Year 1 Projection
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| Revenue | Amount |
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|---------|--------|
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| 20 corporate gigs @ $10K | $200,000 |
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| 15 weddings @ $7K | $105,000 |
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| Studio sessions | $30,000 |
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| Sync (building catalog) | $5,000 |
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| **Total Gross** | **$340,000** |
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| Expenses | Amount |
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|----------|--------|
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| Musicians (70% of gig revenue) | $213,500 |
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| Production/equipment | $30,000 |
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| Marketing/admin | $20,000 |
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| Insurance/legal | $10,000 |
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| **Total Expenses** | **$273,500** |
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| **Net to Owner (LLC profit)** | **$66,500** |
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**$60K hit in year 1 at 35 gigs = less than 3 gigs/month.**
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**Year 3+ (mature):** $150K-$300K+ net to owner.
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---
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## Company Structure
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```
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Samuel James (Sole Owner)
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│
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└── [Band Company LLC]
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│
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├── PERFORMANCE (primary revenue)
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│ ├── Full ensemble (15-20 piece) → corporate, festivals, premium weddings
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│ ├── Medium format (8-10 piece) → standard weddings, clubs, casinos
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│ └── Small format (4-5 piece) → lounges, restaurants, cocktail hours
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│
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├── PRODUCTION (secondary revenue)
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│ ├── Studio sessions (for hire)
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│ ├── Sync licensing catalog
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│ └── Producing for other artists
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│
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├── MEDIA (marketing + revenue)
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│ ├── YouTube live sessions (discovery engine)
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│ ├── Social media (TikTok/Reels/Shorts)
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│ └── Brand deals / sponsorships
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│
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└── EDUCATION (tertiary revenue)
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├── Workshops / clinics
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└── Masterclasses
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```
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---
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## Roster Breakdown (15-20 Members)
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| Role | Count | Type | Pay Model |
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|------|-------|------|-----------|
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| Owner/Creative Director (Sam) | 1 | Non-performing | LLC profit (20-30% of gross) |
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| Music Director | 1 | Core | Retainer + per-gig |
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| Event Planner/Booker | 1 | Core | Salary or commission (10-15%) |
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| Keys 1 (MD or lead) | 1 | Core | Per-gig + retainer |
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| Keys 2 | 1 | Core/Rotation | Per-gig |
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| Bass | 1 | Core | Per-gig |
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| Guitar | 1 | Core | Per-gig |
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| Drums | 1 | Core | Per-gig |
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| Vocalist 1 (lead) | 1 | Core | Per-gig + retainer |
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| Vocalist 2 | 1 | Core | Per-gig |
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| Horn section (2-3) | 2-3 | Rotation | Per-gig |
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| Media Director (video/content) | 1 | Core | Salary or retainer |
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| Media Assistant (social/editing) | 1 | Core/Part-time | Per-project |
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| Sound Engineer | 1 | Core | Per-gig + studio salary |
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| Percussionist/Aux | 1 | Rotation | Per-gig |
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---
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## Per-Gig Musician Pay
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| Tier | Rate | Who |
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|------|------|-----|
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| Music Director | $500-$800 | Leads rehearsals + arranges |
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| Core musicians | $300-$500 | Regular members |
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| Rotation musicians | $250-$400 | Called as needed |
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| Sound engineer | $300-$500 | Per gig |
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At $400 avg × 12 musicians per gig = $4,800 musician cost. Charge $10K+ and keep $5K+ per event.
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---
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## Social Media Strategy (Unfair Advantage)
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A 15-20 piece band is visual spectacle on camera. Inherently viral:
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- "15 musicians play [trending TikTok song]" — instant shareability
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- Rehearsal clips with that many people = energy
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- "The horn section reacts to [viral song]"
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- Arrangement breakdowns
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- Member spotlights (network effect — each has their own following)
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**YouTube strategy (Snarky Puppy model):** Record "live in studio" sessions. One production = album track + YouTube video + sync catalog entry + social clips. Quadruple-dip.
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---
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## Platform-Specific Rates (Chicago Market)
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| Band Size | Wedding | Corporate |
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|-----------|---------|-----------|
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| 3-5 piece | $2,500-$6,000 | $2,500-$6,000 |
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| 6-8 piece | $4,000-$10,000 | $6,000-$10,000 |
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| 9+ piece | $7,500-$15,000 | $7,500-$15,000+ |
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| 10-17 piece (your tier) | $10,000-$20,000+ | $10,000-$25,000+ |
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---
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## Sync Licensing (Passive Income Engine)
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| Placement Type | Fee Range |
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|----------------|-----------|
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| Podcast/web series | $100-$1,000 |
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| Indie film | $500-$5,000 |
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| TV show (background) | $500-$5,000 |
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| TV show (featured) | $5,000-$50,000 |
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| National TV commercial | $25,000-$500,000 |
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A 15-20 piece group can produce everything sync supervisors need: orchestral swells, funk/soul, jazz, acoustic. Build 50-100 sync-ready tracks. Even at low end: $5K-$40K/year growing passively.
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---
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## Casino/Residency Income (Steady Baseline)
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| Venue Type | Per Night |
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|------------|-----------|
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| Bar/lounge (small config) | $500-$1,500 |
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| Hotel lounge | $1,000-$3,000 |
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| Regional casino | $1,500-$10,000 |
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NW Indiana has Four Winds, Hard Rock, Horseshoe/Caesars. Weekly Fri-Sat residency at $4,000/night = $32,000/month gross.
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---
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## What Makes This Different from a Cover Band
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| Cover Band | Your Collective |
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|------------|-----------------|
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| Background music | THE entertainment |
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| $2K-$5K ceiling | $10K-$20K floor |
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| No IP, no passive income | Sync catalog, YouTube, production |
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| Musicians interchangeable | Featured artists with followings |
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| No brand | Visual identity, content, community |
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---
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## Mission Statement (Draft)
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> [Band Name] is a Chicago-area music collective delivering premium live entertainment,
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> original recordings, and production services. We exist to prove that a large-format
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> ensemble can be a profitable, sustainable business — not a hobby. Every member is a
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> professional. Every performance is an event. We create music that sounds like a film
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> score came to life in front of you.
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---
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## Next Steps (When Ready)
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1. Name the entity and form LLC (under SnS Holdings? Or standalone?)
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2. Recruit a Music Director (your proxy for rehearsals/arrangements)
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3. Define the sound (what does SP × JC × TG sound like for YOUR market?)
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4. Record 3-5 "live session" videos (YouTube pilot — the marketing engine)
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5. Book 5 corporate gigs at $8K-$12K to validate market
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6. Start sync catalog (record instrumentals during sessions)
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---
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## Key Revenue Streams (Complete List)
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1. Live performance (tickets/guarantees)
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2. Corporate/wedding bookings
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3. Casino/hotel residencies
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4. YouTube AdSense
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5. Sync licensing
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6. Merch + vinyl (40-60% margins)
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7. Patreon/membership
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8. Studio sessions (for hire)
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9. Producing for other artists
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10. Education (workshops/clinics)
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11. Brand sponsorships
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12. Festival ownership (long-term)
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13. Record label (release other artists)
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14. Plugins/digital products
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15. Livestream ticketed shows
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16. VIP/meet-and-greets
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17. Publishing royalties (PRO)
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18. Neighboring rights (SoundExchange)
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19. Print-on-demand merch
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20. Bandcamp direct sales
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---
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*Research completed 2026-08-14. Sources: Snarky Puppy (GroundUP Music, Highway 81 Revisited),
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Vulfpeck (Billboard, Medium), Pomplamoose (CNBC, Jack Conte blog), Jacob Collier (Guardian,
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Billboard), Postmodern Jukebox, Vitality Music Collective, GigSalad, TheBash, Berklee Online,
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artist.tools, plugg-supply.net, venturesmarter.com, influencermarketinghub.com.*
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