hollywood billionaire

Chapter 40 One Hundred Thousand Dollars
"One hundred thousand dollars?!"

Phineas and Bi Li looked at each other, and they both saw the unconcealable shock in each other's pupils.

In the music industry, advance payment is one of the most basic and crucial contract concepts for artists.It is an advance payment made to an artist by a music rights issuer, label or music distributor before they earn royalties.Essentially speaking, the advance payment is an interest-free loan secured by the artist's future income, which aims to pay for a series of costs such as the artist's living expenses, creative expenses, recording and production expenses, and music promotion and marketing expenses.

So why do musicians need to pay upfront?
You know, the way musicians earn their income is fundamentally different from their showbiz counterparts.Fashion models are settled according to the number of catwalks and shootings, and the level of brand sales has no effect on their income.Film and television actors are paid according to the number of episodes they star in. Only real superstars will negotiate box office cuts with producers and distributors, but even such cuts are just icing on the cake bonuses on top of their originally agreed paychecks.Some actors can even earn more than their original salary from the share, but this still does not change the incentive nature of the concept of box office share.

The income of musicians is closely related to the sales of music works.If you are a songwriter, then the music you create needs to be authorized to the record company through the music copyright distribution company you signed, and then the record company will hand it over to the signed singer to sing. process, and finally can be put on the shelves for market consumption.

On the other hand, if you are a studio singer signed by a record company, although the authorization step can be omitted, you still need to wait for the same long release time and settlement cycle before you can actually get your share of the royalties.

In the era of streaming media, online playback royalties are generally settled on a quarterly basis, and some settlement agreements are even semi-annual or annual.After the platform transfers the royalties to the record company's account, there is usually a settlement cycle of 30 to 45 working days between the record company and the artist.In other words, even if you release a song immediately after signing a contract, the time to get the first royalties is at least half a year later.

And this is already the speed of real-time settlement in the Internet era. In the era of physical records, the settlement process is not only slower, but also several times more complicated.The record company needs to check the specific sales amount with different physical channels, and then calculate the royalties based on the accurate sales figures and artists.

Yes, record labels get an advance payment for an order from a brick-and-mortar distributor in most cases, but what does that have to do with an artist?

This deferred income is also counted as a liability on the record company's books, so it is impossible for the record company to settle with the musician before it is actually converted into income.

It is precisely because of the slow and lengthy settlement process of royalty income, in order to ensure that the signed artists have enough funds to cover the cost of living, so as to ensure that they can focus on the music business, music copyright distribution companies and record companies have introduced an advance payment policy.

At the same time as the era of big studios in Hollywood, there was also an era of big distribution companies and big record companies in the music industry.In the era when Frank Sinatra and Dean Martin were active, the singers standing in front of the stage were those who purely sang songs. They had no creative ability and did not need to have creative ability.A bright skin and a good voice are the only requirements for an artist signed by a record company.At that time, the distribution company monopolized all music creation resources. Composers, lyricists and producers did not have the current industry status. They had to rely on copyright distribution companies to find suitable outlets for their creations.

The music copyright distribution company integrates the works, records them as demos and sends them to the record company, and then the record company selects the favorite tracks and distributes them to artists with suitable styles.Throughout the record production process, all the singer needs to do is go to the recording studio, sing the specified notes according to the score, and then close the door and leave, that's all.Therefore, the advance payment at that time only played the role of covering the artist's living costs.

But in all senses, the great 60s came, and the outstanding figures who changed the history of modern music appeared like a tide, Bob Dylan, the Rolling Stones, the Beatles, the Beach Boys, Led Zeppelin, these musicians They are no longer the creamy little boys with their backs upright and dancing twists and turns. They are not handsome, not tall, and some are even crooked, but they are musicians who really record their thoughts, wisdom and inspiration in their records.

In the 50s, the engineer-type composer who was buried in the cubicle came to the stage and transformed into a rock star that everyone was looking forward to.

Such singer-songwriters have a common feature, that is, they will never hand over the creation and production process to others.Record companies suddenly discovered that they not only need to fully delegate power to these masters, but also need to match the corresponding financial support for their production process.

Of course, this process is far from being as simple and easy as described. There has been a decades-long struggle between record company executives and musicians over creative control and music production rights, and the final result has been very serious in 2016. Obviously, bad money can drive out good money in a short period of time, but consumers will vote with their ears after all.The music consumption market still prefers those creative players with real content and substance. Therefore, record companies have gradually begun to reduce full-time production staff.

By the second decade of the 21st century, the so-called in-house production departments of record labels were largely dead in name only.Each label is more inclined to look for musicians with original ability and give them an advance payment, and this advance payment includes not only living expenses, but also creation fees, production fees, recording fees, and sometimes [-]% music promotion Fees will also be included.

Any innovative move will eventually be distorted into a system that favors capital.Record companies found that it was easier to pay an upfront fee and be a supervisor than to labor their own way.And this advance payment, in essence, needs to be repaid by the artist to the company.

For example, if an artist receives a $[-] advance from a record company, and the royalty split between him and the record company is [-], he must first earn $[-] for the company, Only by repaying the [-] advance payment in full from the part of the royalties that I should get can I really start to share the royalties.

If the artist doesn't make enough sales of the album to cover the full upfront amount, they may have to pay it back out of their own pocket or with royalties from their next album.That's why many musicians, especially rappers, get into debt as they release more albums. The money they get from the record company may turn into a Van Cleef & Arpels necklace or a Louis Vuitton purse as soon as it arrives. , this way of spending will naturally make the multi-purpose advance payment quickly overrun.

Generally speaking, when a newcomer signs the first record contract, the advance payment for the first album is between 0 and 10 US dollars.Yes, you read that right, many indie labels don't even give artists advances.If you're a little famous, the advance for an entire album is probably in the $10 to $20 range.Go one step further and become a star musician, and the upfront payment may fluctuate between $30 and $75.And only those real superstars can get a huge advance payment of more than 100 million US dollars.

For example, Madonna signed a contract with an advance payment of 1700 million US dollars, and it is the kind that does not have to be repaid. Such a generous contract, how can I be envious?
Therefore, when Phineas and Bi Li heard the numbers thrown by Han Yi, they were understandably surprised.

"Wait, Mr. Han, what do you mean." Phoenix's right hand froze in the void, "Just the prepayment for the song "Ocean Eyes"? Isn't it an album?"

"A song." Han Yibi pointed out his index finger, and then extended his middle finger, "Of course, please note that what I'm talking about is the music copyright and the master tape copyright of this song, and I have to sign them together. "

10 million US dollars.

Just an advance payment for a song.

And this song has already been produced.

Even if the music copyright and the master tape copyright are given together, it will still make a lot of money.

How much is $10 enough for me and my sister to do?

You know, the little recording studio in their bedroom only cost $3000.

As for the production cost of "Ocean Eyes"?

Didn't you hear Phineas say that even the sample packs are the ones that come with Logic?

$ 0!

After all, she was still a child, and Bi Li had already clenched her hands into fists and screamed, while Phineas, who was six years older, could still maintain a little basic sanity.

"Is this number too exaggerated? I mean, we..."

Phineas hesitated to speak. What he wanted to say was that the song hadn't even earned a thousand dollars yet.

246000 streams, for just $805.65 under what SoundCloud calls a "fan support royalty" policy.

Zhao Youzhen also pursed his lips, and cast a worried look at his future partner.

She did have faith in Billie and Phineas, but not enough to drop the full $[-] on the first single.

"I know what you're trying to say, but we're confident, Phineas. Both Miss Zhao and I."

Han Yi looked at Zhao Youzhen, and gently pressed down with his right hand at an angle that only Korean girls could see, signaling the latter to be relieved.

"It's a way for us to show our trust. Yes, $[-] seems like a lot right now. It can help you and Billy do a lot of things... Hey, isn't that what we want? To help you accomplish anything What do you want to do?"

Of those present, only Han Yi knew the song's stamina.After Bi Li became popular, this simple single not only did not become a stain on her, but also became the most acclaimed masterpiece of her and Phineas.There are more than 4.1 million plays on Spotify alone, which translates to $140 million in royalties, and that's just one platform.

That crude home-made MV on Youtube also has 4.2 million views, royalties? $144 million!
Signing the master tape copyright and music copyright of this song with US$10 is a big profit no matter what.

What's more, the $10 is just a loan, and after going around and around, it will eventually come back to me.

Damn you capitalists!

... well done!
"And, guys, do you know..." Han Yi leaned forward, deliberately lowered his voice, trying to make the audience more attentive, "In addition to giving you an advance payment of [-] US dollars, we also I will pay another [-] as the promotion fee for this single! This is a guaranteed expense, and it will be written in the agreement I will send to you soon."

"Youzhen, pinch me, or bite me, whatever."

Bi Li stretched out her hand in front of Yu Zhen.

"Tell me I'm not dreaming."

"You're not dreaming."

Zhao Youzhen kissed the back of Bi Li's hand lightly. She is a person with strong adaptability. Since Han Yi has made a decision, she should do her best to support it.This is what she should do as a potential partner, and it is also her firm belief in the billionaire.

Besides, what if the entire $20 was lost?
Can you buy that bathroom with a patio?

"Mr. Han, I'd love to say we have to go back and think about it, but..."

Phineas took a sip of the ice water, but couldn't suppress the flush of excitement that flew up on his cheeks.

"This is one hundred thousand dollars, no, two hundred thousand dollars!"

"Yes, it's $20." Han Yi stretched out his fist, touched Phineas, and winked at Bi Li.

"Let's start here and turn 20 into 200 million into 20 billion, shall we?"

"I hope that this $20 agreement can prove to you that I can be your Alan Klein..."

Having said that, Han Yi spread his hands and turned towards Zhao Youzhen.

"And Yujin is your Brian Epstein."

After the preliminary intention is finalized, the next step is the leisure time for the guests and the host to enjoy themselves.Han Yi led Billi and Phineas to visit every luxurious detail of 864 Stella Della Road, and left them until the dinner was over before letting Fei Yamu send them back to the west side of Pasadena Highland Park.On the other hand, he gave full play to the gentleman's spirit and drove Zhao Youzhen to the Atrium apartment not far away.

"Yi, thank you... in every sense."

The Ferrari slowly drove down the hills and entered the urban area of ​​West Hollywood. Zhao Youzhen, who remained silent all the way, spoke softly until the lease banners painted all over the wall of the apartment came into view.

"why?"

Han Yi frowned slightly, and glanced at the Korean girl beside him.

"I'm very grateful for your trust in me. It means a lot to me. Besides, I..." Zhao Youzhen searched for suitable words in her mind, seeming a little hesitant. I don't know what kind of complicated psychology made her hesitate and agree. cautious.

"Okay, wait, Yujin, we need to talk."

Seeing Zhao Youzhen's unusual caution, Han Yi sighed lightly, and parked the car on the right side of a street parking space with gray shoulders on Gary Avenue.

"what happened?"

Han Yi's sudden actions and the gradually darkening sky made Zhao Youzhen nervous.She put her hand on the seat belt subconsciously, and looked at Han Yi with a bit of deliberate vigilance in her eyes.

Don't be what I hate.

Zhao Youzhen prayed silently in his heart.

"What I'm going to say next, I hope you can listen carefully."

Han Yi naturally saw that Zhao Youzhen was on guard. If he wanted to continue the cooperation, some things had to be clarified.

"You're a very, very attractive woman."

Zhao Youzhen clenched his toes tightly in his shoes.

"In fact, I think you are impeccable in appearance. No harsh critic can find anything wrong with you. I must admit that, as a man, sometimes I will Fascinated, whether it’s in New York or back in Los Angeles.”

It’s over.

Zhao Youzhen's facial muscles stiffened.

The thing I was most worried about... still happened.

"I...I understand, Mr. Han, but listen to me..."

"No, I think you should listen to me first."

Noticing the other party's subtle but by no means subtle expression changes, Han Yi couldn't help shaking his head and laughing.After a while, facing Yuzhen's bewildered eyes, he stared at the other party seriously, and said word by word.

"You're charming..."

"But it don't mean shit."

(End of this chapter)