What is a Backend Deal?
A backend deal (also called a plus deal or simply the backend) is a show deal where the artist receives a guaranteed fee plus a percentage of the profit once the show has covered its costs and broken even. It rewards artists for strong ticket sales while protecting the promoter's costs first. Backend deals are common for mid-sized and larger tours, where the show costs and expected profit are large enough to share.
How a backend deal works
A backend deal is worked out step by step:
- Set the guarantee: the artist's fixed guarantee is agreed.
- Set the break-even: show costs, the guarantee and often a promoter profit are added together.
- Sell tickets: net ticket income is compared with the break-even figure.
- Split the excess: income above break-even is split, for example 85% to the artist and 15% to the promoter.
- Settle: the guarantee and the backend share are paid at the settlement.
Working out a backend needs every cost and payment tracked accurately, which promoters do with invoices in Crescat.
Backend deal vs versus deal
A backend deal pays the guarantee plus a share of profit after break-even. A versus deal pays the guarantee or a percentage, whichever is higher. The two can look similar on paper, so check the wording of the offer.
Example backend deal
- Guarantee: £2,000, plus 85% after break-even
- Show costs: £3,000, promoter profit: £500
- Break-even: £2,000 + £3,000 + £500 = £5,500
- Net ticket income: £7,500, so £2,000 above break-even
- Artist backend: 85% of £2,000 = £1,700, total pay £3,700
- The promoter keeps £300 of the excess, plus the £500 profit
Frequently asked questions
What does break-even mean in a show deal?
The point where net ticket income covers all agreed costs, the guarantee and any agreed promoter profit. Only income above that point is split. Agreeing what counts as a cost is often the hardest part of the negotiation.
Do small shows use backend deals?
Less often. Small shows usually use a flat fee or door deal, as there is less room for profit above costs.
Can the artist see the costs?
Yes. In a backend deal, the artist's team is entitled to check the costs at settlement, usually with receipts.
Related terms
- Guarantee: paid before the backend
- Versus Deal: the "whichever is higher" deal
- Settlement: where the backend is paid
- Offer: where the deal is set out
- Promoter: shares the profit