Music Business Handbook and Career Guide Part 3: Managing Artist Relationships

Artist Management Chapter 10

Start Thinking. . . What should an artist look for in a personal manager? What kinds of skills, competencies, and personality traits should a manager possess? What is the goal of personal managers? How are they to go about accomplishing that goal?

Chapter Goals Gain awareness of the importance of a good working relationship between an artist and manager. Acquire understanding of a workable financial relationship between a manager and client. Examine the role of the manager in producing the artist’s act. Learn effective ways a manager can advance a client’s career and maximize income.

Discovering Each Other Look for a manager who believes in the artist’s talent and shares long-term goals is well organized is straightforward and honest is an effective communicator won’t fake expertise has good industry contacts has a strong creative side + good business skills knows how to spot a potential star

The Financial Relationship Personal manager or business manager handles all finances Accounting personal manager’s first responsibility engage accountant with artist’s approval Controlling expense spending constraints put artist on weekly allowance loan money to keep act alive

Manager’s Commission Going Rates Manager principally responsible for the rise and fall of the client’s income Rate = 10% to 25% Several factors influence rates Argument for reasonableness Commission base can be more important than commission level adjusted gross income

Manager’s Commission The Money Flow Anticipate problems of disengagement Commissions on income from contracts manager negotiated Publishing and recording contracts

Manager’s Commission A Possible Compromise across-the-board de-escalation of commissions

The Manager’s Role Producing the act Coordinating the elements polishing the act established act versus new act use video for objective examination engage coaches and trainers Coordinating the elements engage a theatrical producer Programming

Advancing the Career Landing a Recording Contract Prospects for the manager’s success The process make a frontal attack on the label itself work with the songwriter-client’s publisher focus on independent producers and production companies arrange for third parties to spread the word

Advancing the Career Landing a Recording Contract The result negotiate a recording contract nudge label to promote recordings possibly have to renegotiate contract with artist

Advancing the Career Care and Feeding of the Media Materials promo packs swag Interviews news conferences + exclusive interviews professional flacks Billing

Advancing the Career Controlling Performances Determine frequency of performances maximize income BUT avoid exhaustion and overexposure Select kinds of engagement offers Determine when client is “ready”

Advancing the Career Negotiating for Appearances Other talent buyers TV film Broadway Illegal for managers to directly contract talent engagements unless licensed talent agent

Advancing the Career Developing Peripheral Income Product and service merchandising concert souvenirs sponsorship broadcast commercials product endorsements Music souvenir merchandiser licensed by artist’s manager 3%+ on royalties

Personal Management Agreement Engage independent legal counselors Manager issues deal memo Artist counters Negotiations begin Refer to the draft contract on page 188-195 of your textbook.

For Further Thought. . . What factors influence a manager’s commission rate? What are the basic responsibilities of a manager? What are your feelings about an artist who drops a personal manager once a certain level of success is achieved? What factors might lead to this? What positive benefits might result for either party?