Tour recoupment

Sometimes they do, sometimes they don't. It's not really a secret. It just happens so often (unlike Broadway), so its not as big of a deal.

I was thinking it would happen more often, because of the number of subscription houses and also if a show tours it most likely meant it was successful on Broadway which would help it be a hit.

As I understand it, they are separate investments. Broadway investors have the right to invest in the tour, but at a smaller level. So if you invest in the NY production at X, you can typically invest 25% X or .33% X in a tour. Rough approximations, obviously, but it's something like that.

That's great about Gents Guide. In my experience, tours don't usually make an announcement about recoupment. Before overages (profit-sharing with company members) were as common as they are now, a tour could recoup and nobody on the show would necessarily know. Now company members (and investors, obviously) know because the overage percentage raises post-recoupment.