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Chapter 9Record Label Finances

Contents

Profitability of a Project… or the Lack Thereof!

SRLP: Suggested Retail List Price

Distribution Fee

Gross Sales After Fee

Return Provision

Net Sales After Return Reserve

Returns Reserve Opp/(Risk)

Gross Physical Sales

Gross Digital Units/Albums and Singles

Gross Streaming Revenue: SoundExchange (Non-interactive)

Gross Streaming Revenue: Spotify (Interactive)

Total Net Sales

Gross Margin Before Recording Costs

Marketing Costs

Contribution to Overhead

Ways of Looking at Project Efficiency and Effectiveness

SoundScan and Sell Off

As a Predictor Equation

Break-Even Point

A Look at Real P&L Statements

Profitability of a Project… or the Lack thereof! ...

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