Sunday, March 16, 2014

Payments to the Singing Artist from the PowerPop Music Investment Fund

Dear Aida Nikolaychuk,

   Hello. This is a more clear explanation of benefits to you, the singer, from the PowerPop Investment Fund. There are two large financial sources that will decide if they want to work with this program. One source said they are committed to other investments until some time in April 2014. I do highly appreciate your talent, personality and character as I said in previous communications and described what I believe will be the success of your music career, regardless of what competitions you win or not. There is a limited set of awards for a competition, however business has unlimited possibilities.

  "A long time ago I learned about the difference between  Critics and Box Office!" said Ronald Reagan, B-Grade USA Actor and A-Grade US President. The "Teflon President" did not care about comments by critics as he famously said with humor and that classic large smile and easy-going, confident attitude.  Many people in the audience laughed. He was a wealthy man without entertainment awards long before public service. It is also understood that you have a previous obligation to fulfill first and that you might like to consider the following offer for your next stage.

    Business is the ability to keep giving something to people.

    Provided that there is an investment source of US$7 Million, even paid in 3-month or 6-month installments, This is a plan that many Music Producers would agree to for a new Artist to be fully developed in Show Biz over a three (3) year time frame. The following is the portion that applies to the Singing Performing Artist.

The following cash amounts are in US$.

$ 30,000 - per concert to the Artist in first year. Eight (8) dates per month. $30K x 8 = $240,000 per month x 12 months = 2.88 Million USD in first year. The investment fund will provide this support for the first year. Those payments are more than enough for an apartment, food, family, car lease and assistants.

$ 30,000 - $300,000 – per concert to the Artist in the second year, in proportion to the concert revenues when there has been a recapture of significant investment expenditure of initial year (Recoup).  

$ 50,000 – Advance to the Artist at beginning of each of three (3) years. 

$ As required – for international persons moving to USA on a work visa during the initial time of transition from their country to USA. This is comprehensive to include, but not limited to, moving expenses, USA Work Visa, Housing Search, Review and Approval to include all fees of leasing, rent or purchase until Concert Revenues provide substantial profit.

    Van Dichoso CPA, or CPA of your choice with oversight by Van, will keep track of all revenues and pay expenses, so the Artist is free to perform their Art and not worry about bills & taxes. Statements of account will be furnished on a regular basis to Artist and/or her Assigns. Artist can even appoint another person to double check Van Dichoso. A Certified Public Accountant (CPA) is a highly regulated business in the USA including outside Auditors.

    The above services have a similar provision for education of children, transportation and full time interpreter-voice coach at a minimal of $70,000 per year paid by the Investment Fund to that assistant who could also be the chauffeur and provide other assistance. 

$ 100,000 per year Travel Budget is shared with the Crew. This includes travel per diem (per-determined daily expense) and hotels, dancers, grips, sound man, crew, etc. The Project will incorporate a band once paying gigs begin. This includes band rehearsals, etc. 

$ 100,000 per year for Incidentals (buying things while traveling) includes sharing that with the Crew.

Gross Revenues (Values are Anticipated Gross Approximates in US$) Artist gets a percentage.

$9,000,000 - If an Artist is on a major tour after the first year and making $30,000/show (to the Artist) with 100-300 dates a year (all appearances including visits for charities, radio & TV spots and poster sessions). Not all appearances are long. When an Artist becomes ‘Hot’ the more appearance they make, the better is their success in the following years. 

$5,000,000 - If 500,000 digital download albums sell at $10.00. 

$3,000,000 - If 3 million World Wide downloadable singles sell @ $1. 

$1,800,000 - If there are 3 top ten singles within the first year, this would accumulate in performance royalties. 

$  500,000 – or less if the Project has a song on two national commercials due to the synchronization rights. 

The amounts are the project gross. The singer receives a percentage of the Gross, the balance goes to expenses and the other people on the Music Success Development Project.

Endorsement Opportunities for Artist
Subsidiary companies can be established for things like Merchandizing.

EXAMPLE: If Artist Project Gross Annual Income is  $43,000,000, the Record Label will get 10% = $4,300,000. 

$24,000,000 per year potential Gross Income for the Whole Project (to pay Singer, Team, Expenses and Profit) based on a moderate scale of income from the Artist Development Project.
Case histories exist of Recording Artist Projects grossing $44 million to $96 million in their first year. The moderate projection of 24M (US$) was stated above as a conservative estimate based on actual histories of average successful singers.. Aida's exceptional talent & well skilled team may be able to gain revenues much higher.

    This is a plan that many Music Producers would agree to. It is something that can be a goal to build towards, if you would rather first start with either the 1 day meet 80 Execs - make a short contract, or the 3 Months - 3 Songs with Ron and after that success become more independent.

      I am presenting this way, since in the past, one of your managers did not seem interested in translating the most important material even after 5 weeks, had little to say on the telephone and did not keep his promise to call back. The other manager never responded to emails, hung up with much nervousness speaking only a few short words in Russian -  the one time I called their publicly listed phone #, but weeks later during our last communication it was handled with very little people skills. It was not a good experience.

    I do forgive them. This is understandable for young people with little experience. If you want to bring them to the 1 day meeting with 80 executives, that is fine and we will treat well whoever are your guests. Their expenses have not been discussed with Van Dichoso Consultants. However it makes no sense to have managers 7 years younger than you who have only been in business for one year and just completed Bachelor degrees in college. Also their motivations are to be performing artists and not fully developed entertainment managers. Most artistic people are not able to be diplomatic, logical, handle business or express concepts to coach and develop a Stage Persona. Artists are usually focused to be good at performance with a strong motivation to conform to high ideals. Your managers have done a superb job with your internet presentations.  

     It is understood that you have a previous obligation to fulfill first. For your next stage please also consider these other offers extended to you.