Artist Development & Band Management

1. What does SHM do?

SHM is a personal management company. A Personal Manager is an advisor, confidant, counselor, organizer, industry ‘buffer’, cheerleader, protector, and ‘honorary’ member of the band. A manager sees things from a different perspective than the band/artist (the ‘big picture,’) and helps to devise a master plan that the band or artist can follow in order to achieve their goals. A manager is usually able to make difficult decisions without taking things personally. A manager plays an extremely important role in negotiations because they understand the long-term goals of the artist and can make sure that all contracts that are offered address the long-term needs of the artist, even when an attorney is involved. A manager plays a very important role in corresponding with record labels, publishers, booking agents, publicists, music media, and promoters, and in making sure that things get done on time and in the manner promised. An artist can easily get lost in the shuffle on a large record label roster, especially if the A&R rep that signed them is no longer with the company. The manager helps keep everybody exited about the artist, including label promotion departments, distributors, radio promoters, publicists, booking agents, concert promoters, media personnel, etc. SHM takes the role of Personal Manager that helps you build and maintain your band’s company.

2. How does Management get reimbursed in Phase 1 Artist Development?

Management receives a mandatory expense reimbursement once per month during Phase 1 Artist Development. To prevent financial hardships, we arrange for reimbursements to never exceed $89.00 for a group and never more than $49.00 for a solo Artist. It is important to realize that SHM is building your band’s company at this level, and the common expenses your band already incurs will be “moved” or delegated to management. 


3. Why does Management require reimbursement during Phase 1 Artist Development?

There are several reasons for this arrangement.

-Bands are expected to delegate and appoint business work to management, which may have incurred an expense for the Band and is now expensed by Management. Management requires your Band to become aware of company investments/expenditures. This is an intricate step to teach the bands how to manage their band/company books.

-Management requires a minimal, and calculated reimbursement rather than a retainer in order not to “break the bank.”

-Management pays for EPK services, telephone, postage/packaging, Team Leader’s compensation, and advertising that directly impacts each band during Phase 1.

-Management believes all Partner Members should actively invest in their band according to the Band’s Partnership Agreement.

4. Will my band receive invoices in Phase 1?

Bands in Phase 1 Artist Development are not invoiced for EPK services, telephone, postage/packaging, team leader compensation, and advertising. All other potential expenses must be pre-approved by the Band, and invoiced monthly by Management.

5. When will Management begin to commission my income?

Phase 2 Management Commissions begin when the Band Income reaches the minimum negotiated amount shown in the Band’s Personal Management Agreement. The Band and Management determine the appropriate amount of cash flow to afford the commission, the income source, income stability, and selects the dollar amount and circumstance to qualify the band into Phase 2.

6. What if my band entered into Phase 2 but did not receive any income this month?

If your band is in Phase 2 and does not generate the required minimum income to commission, the band will automatically adjust back to Phase 1 on a prospective basis. This circumstance is common and is expected for many new “up and comings” in Phase 2. This detail actually helps the band maintain sound financial records.

7. When can I expect to see results?

Personal Management Agreements begin with a 30-day trial period in order to exchange pertinent information, contacts, and files. A well-oiled “machine” approaching the four-fronts of marketing should be up & running by the end of the 4th month.

8. Does Management actually commission my Gross Earnings from the top, or are there some deductions first?

There are some deductions first.

Monies actually paid by Record Labels or Promoters for actual Tour Support Expenses including sound & lights, and opening support bands is deducted before Management Commission.

Also, Monies actually paid to a co-writer and/or co-publisher of a musical composition of which ARTIST is a co-author. Monies paid to finance video production budgets recoupable from ARTIST's royalties.

And, Monies paid to ARTIST for recording and/or production costs.

9. What happens if I choose to cancel the contract?

Thirty days notice is required. The sunset clause (para. 12) kicks-in if applicable.

10. How do I know if Management is really doing the job?

Managers keep Master Files on each Band or Solo Artist. The file contains a working journal of “notes” covering the four-fronts of marketing; performances, press, publicity, and your products. The Manager also keeps a time disbursement journal and the Management Team Leaders submit monthly reports. Each Manager updates the Band/Artist by email, phone or face to face meetings. Managers correspond with Band/Artist almost daily, and activity is evident with results.

11. Does Management book shows and/or tours?

Management only books incidentally. Which means, we are going to help you get gigs. The goal is to attract a licensed booking agent in your genre to place you in a quality tour.

12. Are the fees and commissions I pay to Management tax deductible?

Yes, if those payments total more than $600 in one (1) year.

13. But I can’t afford anymore expenses. How can I expect to reimburse management in Phase 1?

If your band is currently seeking personal management because of your workload, you’re probably already spending money on your band. The idea is to delegate expenses YOU ALREADY have to Management. Bands and Artist who are ready for personal management, are actively engaged with investments and expenses on a monthly basis because their activity is high. WE ARE NOT TELLING YOU TO PAY MORE THAN WHAT YOU ALREADY SPEND, but only to delegate those expenses and investments to management for the purpose of supporting the management agreement.