Godspell Investors/Producers

[ggersten]

Posted: 2/9/12 at 2:30pm

With apologies, I tried the search function because I know there was some discussion once upon a time about how individuals could invest in the Godspell revival for as little as $1000. So, if anyone did make that investment, what kind of reports are you getting about the investment? And yes I expect there will be snarky responses about the loss of the investment.

Edited per downstream suggestion to correct "producers" to "investors" - Edited Again to Put BOTH Terms in per further information.


Updated On: 2/9/12 at 02:30 PM

[Elphie3]

Posted: 2/9/12 at 2:49pm

I know people involved. They've actually been getting money back

[Producer2]

Posted: 2/9/12 at 3:47pm

I am one of the producers. I must say I am having the time of my life! We attend shareholder meetings at the theater, performances, parties, opening night, etc. I've met more celebrities than ever. Each month we get a statement in the mail showing our expenses and profits. Yes we are seeing a return on our investment, the show is a real crowdpleaser! The show has become very successful thanks to the smart marketing and warm winter. I love producing!

[wonkit]

Posted: 2/9/12 at 5:12pm

Getting money back is, of course, not the same as making a profit. Until the show recoups, you are only getting back the money invested in the first place. But if you are enjoying it, it was a good investment anyway.

[blaxx]

Posted: 2/9/12 at 5:16pm

Getting money back is, of course, not the same as making a profit.

Sad enough that you have to explain it.

[blaxx]

Posted: 2/9/12 at 5:17pm

And if it's really a mega hit, they should stop giving away free tickets.

[MusicalMo]

Posted: 2/9/12 at 5:37pm

Just to clarify, these people that invested $1,000 are 'investors' NOT 'producers'... major difference and we should be careful not to confuse the two. But that's great that Ken is involving his investors in that way. The title of this thread should read 'Godspell Investors'.

[wonkit]

Posted: 2/9/12 at 8:26pm

Davenport called these people producers, even though I can't imagine that showing up for meet-and-greets but not staying up all night negotiating with unions is really being a "producer."

[gvendo2005]

Posted: 2/9/12 at 9:22pm

That was part of the terms... in exchange for their money, they'd get a producer billing as "The People of Godspell" and a page listing the people (and organizations; not kosher to mix those, btw) who made up that group. Whether we would consider them investors or not (I consider them a braaave bunch of people, to say the least), they are, according to the terms of their circular, "producers."

[orangeskittles]

Posted: 2/9/12 at 9:51pm

So when an actor gets their legs broken by unsafe working conditions, they'll get to sue every single $1000 investor? Nice.

Producer2, come back and shill once you've actually made back your original investment. Until then, stop misleading people. Even Spiderman producers are getting some money back and they're still $80 million in the hole. That doesn't mean they're "making" money.

[PlayItAgain]

Posted: 2/10/12 at 12:20am

Blaxx where are there free tickets?


And I have a friend who seconds everything Producer2 said, she has seen some money back and is having a great time being involved....

[blaxx]

Posted: 2/10/12 at 1:16am

I got an e-mail promoting this for Godspell:

Buy 1 Get 1 Free!
Valid for 9 performances only
Use code GSTMC241

Friday, Feb. 10th at 8pm
Saturday, Feb. 11th at 8pm
Tuesday, Feb. 14th at 7pm
Wednesday, Feb. 15th at 2:30pm
Thursday, Feb. 16th at 8pm
Tuesday, Feb. 21st at 7pm
Thursday, Feb. 23rd at 8pm
Sunday, Feb. 26th at 7:30pm
Tuesday, Feb. 28th at 7pm

Ticket Tip: Buy 1 Get 1 Free Tickets are extremely limited
so buy yours today before they're sold out.

So, they're you go...

[PlayItAgain]

Posted: 2/10/12 at 3:46am

Technically there not "free tickets" if you spend any money what so ever.... and what service/company sent you that?

[temms]

Posted: 2/10/12 at 3:50am

So when an actor gets their legs broken by unsafe working conditions, they'll get to sue every single $1000 investor? Nice.

No. It's still a Limited Liability Situation - partners are only liable up to the amount of their investment.

Davenport can call these people whatever he wants, but technically they're Limited Partners in a corporation. There's no true definition of "Producer" so if that's what he wants to call small-money investors he can do it. Most people who actually do this for real know the difference between someone who does the work of actual day-to-day producing and someone whose investment gave them the title of "Producer".

I'm all for whatever works, but I really can't see this taking off as a model for financing other shows. And good on Davenport and his people for following through and giving these small investors a good experience - but with that many people it's a huge job to manage and simply not something most productions will want to deal with, in addition to the different legal requirements necessary to take small money from that many people. It's a whole different set of headaches from the usual ones and the usual ones are frustrating enough.

And if the working conditions are unsafe, that's a matter for OSHA and the Unions and the Production Supervisor and injuries would be covered under Workman's Compensation laws. The injured Spider-Man actors don't get to sue every person who put money into the production. They could, but it would be very expensive and time-consuming and wouldn't get anywhere because Limited Liability means exactly that.

[NYCTheatreFan]

Posted: 2/10/12 at 11:23am

I too am a $1,000 investor in Godspell. How is this statement misleading? "Getting money back" is accurate as there are two ways to "get money back", the first is return of capital (some of which has already happened). The other is profit distribution, which happens after recoupment.

It is also not inaccurate to say that the show is making a profit. This refers to the weekly net operating profit/loss: if the income is more than the expense in any given week, there is an operating profit and if not, there an operating loss. When there is enough weekly operating profit to make a distribution, the producer will send return a portion of the capital.

To the other question about "what do we see"...we receive monthly profit and loss statements that show the operating profit/loss for each week over a four week period and I can tell you that those have shown an operating profit...not a huge amount, but I will take being in the black any day at this time of year on Broadway.

[blaxx]

Posted: 2/10/12 at 12:21pm

Technically there not "free tickets" if you spend any money what so ever.... and what service/company sent you that?

Technically they ARE free if you buy one, hello?! If only half of the audience paid for a ticket, then the other ones were free. If you rather think of it as 50% off 2 tickets, that's fine too, love. It is from BroadwayOffers

But it's ok, Godspell is obviously such a huge hit that it can afford to never charge for a performance again, anyhow.

[wonkit]

Posted: 2/10/12 at 1:52pm

To quote an old investing maxim, it ain't profit until the check clears. Any operating profit not distributed to investors can be called upon to satisfy any claims against the production. A show that doesn't break even or have an operating profit is called something else. Closed.

[orangeskittles]

Posted: 2/11/12 at 3:30am

Davenport Theatrical- turning people who fail at basic economics into producers!

"Getting money back" is misleading when you aren't actually getting any money. What you have is a piece of paper that promises you the possibility of money one day.

[chrisampm2]

Posted: 2/11/12 at 6:00am

Orangeskittles, why the unrelenting snark? No one in Godspell has broken a leg and the two investors posting here mentioned they've sometimes gotten a check with some return on their investment. They both say they've enjoyed the experience so far. Why is it so hard to believe them? I know people who've invested in plays and films who've said the same thing, even after a work hasn't been financially successful for them. Without investors, there'd be no work to see. They deserve our respect and the benefit of the doubt when it comes to their opinion of the experience.

Updated On: 2/11/12 at 06:00 AM

[orangeskittles]

Posted: 2/11/12 at 3:50pm

I'm sure they're having fun with the experience. That's not the issue. I'm just concerned, honestly, at the obvious naivete being displayed by the investors- as wonkit and others have pointed out in many of these threads- every single time they post.

Anyone who had a 401K in the fourth quarter of 2008 can assure you that statements showing numbers in the black can be worth less than the paper they're printed on very quickly, so it's silly of them rush to BWW en masse and brag about their low running costs every time someone suggests the show will close. The unrelenting propaganda is just as annoying to me as the snark is to you.

[gvendo2005]

Posted: 2/11/12 at 4:03pm

^ Bravo!

[PlayItAgain]

Posted: 2/11/12 at 4:43pm

@orangeskittles what!

[tazber]

Posted: 2/11/12 at 4:51pm

Wait until the investors get their 1099s.

[goldenboy]

Posted: 2/12/12 at 8:23am

Most people don't get any money back when investing in Broadway Shows.
The investors of Bonnie and Clyde and Lysistrata Jones didn't get one dime back.
That was money flushed down the proverbial theatrical toilet.

If you are getting your money back on a Broadway Show investment,
that's a good thing.
If you are making a profit, that is a WONDERFUL AMAZING thing.

For every Wicked, there are ten Lysistrata Jones.

I am glad that people are getting their money back.

[wonkit]

Posted: 2/12/12 at 10:42am

Investors get K-1's (partnership statements) and I am sure 99% of the GODSPELL investors have never seen one before.