B Y
A M E Y A U P A D H Y A Y
To create a platform where musicians and listeners can interact and go into business together without intermediaries.
To level the playing field in the global music business
– so that the commercial success of musicians is not dependent upon financing through “record deals”……which are often discriminatory and distortionist.
An evangelist ( individual , corporations) creates a platform (mainly the internet ) holds a repository of aspiring musicians along with their creative outputs
– mainly a new album the artists’ desire to release commercially.
Music lovers or believers are encouraged to sample the music and “invest” or contribute to the artist they believe will make it big in return for a claim to their revenues if and when their music is sold commercially.
Once the money is invested the believers and musicians become business partners and can accelerate promotions in tandem ( facebook, word of mouth etc. ). The corporation hosting the platform also augments the promotion by offering incentives to believers contributing a certain minimum investment.
Once a predecided critical investment is reached the artists have a commitment with the believers and the hosting corporation to record their music for commercial marketing
Musicians have COMPLETE ownership and right for their music right form the start of recording the music . The corporation provides the support needed.
Once the music is released the revenue is split in three parts between the artists, believers and host.
Already working model - sell a band in the US.
Success story
29 artists have raised $50 000
18 albums have already released
On tour in the US with top artists before album release.
http://www.sellaband.com/
Prospective bands with sales of over 30000 CDs in the past.
Parikrama
Moksha
Motherjane
Pentagram
The demand side potential exists.
Critical mass investment
Individual Investement percentage of revenue to flow to the individual
5,00,000
1000
No additional costs from the beliver side
0.20%
Demand Projections
Assuming a total of 25000 CDs over five years in tapering steps price 75 margin
Calculating the IRR
20% years
No. of CDs total revenue net revenue
1 2 3 4 5
15000 12500 10000 7500 5000
1125000 937500 750000 562500 375000
225000 187500 150000 112500 75000 cash flows revenue flow to individual
IRR
-1000
450
450
19%
375
375
300
300
225
225
150
150