Book of Mormon Set to Recoup by October

[lull89]

Posted: 8/24/11 at 10:08am

Cool article detailing the financial side of Book of Mormon's success. Howard Sherman tweeted it earlier.

7 month recoupment for a musical is insane. Good for them.

Bloomberg: Scott Rudin’s $9 Million ‘Mormon’ Gamble Returns Cash, Creative Dividends Updated On: 8/24/11 at 10:08 AM

[GottaHaveAGimmick]

Posted: 8/24/11 at 12:10pm

Very interesting article for those interested in the "business" part of show business. I'm sure all the young actors are pleased with their salaries, but will certainly ask for more when their contracts end.

Investors never know if they will see a dime of their gamble, but these folks hit the jackpot. Do they also receive revenue from CD sales and/or tours?

[Dave13]

Posted: 8/24/11 at 3:44pm

Does anyone know where you look for these investment opportunities?

Is this only through friends of friends?

[Michael Bennett]

Posted: 8/24/11 at 3:52pm

You can always find a producer looking for investors. If you have money to invest, I'm sure most would be happy to take your call.

Of course for every BOOK OF MORMON there are 10 WONDERLANDS so buyer beware if making money based on theatrical investment is your goal.

[jacobtsf]

Posted: 8/24/11 at 3:56pm

That isn't quite right Michael Bennett. It is actually between 25 and 30 percent most seasons (This includes plays and musicals on Broadway only).

[dramamama611]

Posted: 8/24/11 at 5:25pm

That's insane -- but in the very best of ways!!!!

Can anyone tell me what would be an "average" recoupment time line? I remember that Spring Awakening recouped in under a year (11 months?) and it was a big deal.

[dramamama611]

Posted: 8/24/11 at 5:25pm

Double post.

Updated On: 8/24/11 at 05:25 PM

[Gaveston2]

Posted: 8/24/11 at 5:27pm

Yes, indeed, Michael Bennett. Any investment in a Broadway show should be considered a charitable donation to the arts. If you see a return, then that's like winning the lottery, a happy surprise.

[Edna Turnblad]

Posted: 8/24/11 at 5:36pm

I've heard that cast recordings don't usually make a profit.

[Gaveston2]

Posted: 8/24/11 at 6:04pm

^^^^^

I've heard that, too, about cast albums. But we have so many of them, including recordings of so many out-and-out flops and even shows that failed to reach Broadway, that I wonder.

Maybe the truth is they just take very long to recoup. (Or maybe a CD helps to encourage amateur productions of the show.)

There's got to be some reason they keep doing them even though OC albums haven't topped the pop charts since the 1960s.

[Mildred Plotka]

Posted: 8/24/11 at 6:10pm

This Cast Album will certainly make a healthy profit. I'd be shocked if it hasn't already. I heard Ghostlight/Sh-k-boom put up most if not all of the recording/distribution costs, so not sure what percent would go to the producers.

[It's All Good]

Posted: 8/24/11 at 9:02pm

The article mentioned that they didn't calculate royalties when looking at weekly running costs. Does that mean its possible to pay royalties out of your weekly PROFIT vs. GROSS? Also, do royalties have to be calculated weekly?

Sorry, questions I've always had. All the GMs out there, feel free to fill me in!