Artist statements explained: commission, expenses and payouts

An artist statement is a document a booking agent sends an artist showing what each show earned, how much the agency received, the commission deducted, any agreed expenses, and the amount paid out. It should let the artist check every number in a couple of minutes and match the payment that lands in their bank account.

It's different from a show settlement, which is the calculation between the promoter and the artist's side on the night. The settlement feeds into the statement: the settlement says what the show earned, and the statement says what the artist ends up with after commission and costs.

Key takeaways

• A statement should show, for each show: the fee earned, what was received and by whom, commission, expenses and the net payout.
• Commission must be calculated exactly as your artist agreement says: on gross, or after specified deductions.
• Only deduct expenses the artist has agreed to, and attach or reference the evidence.
• Send a statement with every payment, even if it's a single show.
• VAT, withholding tax and overseas shows can change the numbers. Show them clearly and get an accountant's advice.

Settlement vs statement: what's the difference?

How show settlements work

A settlement is straightforward on a flat fee: the promoter pays the agreed fee, less any deposit already paid. It gets more involved with deals that depend on ticket sales.

Flat fee (guarantee): the artist gets a fixed amount, whatever the ticket sales.

Door split or percentage deal: the artist gets an agreed percentage of box office receipts, sometimes after agreed costs.

Versus deal: the artist gets either a guaranteed fee or a percentage of the box office after agreed costs, whichever is higher. For example, "£600 versus 80% of net box office receipts" means the artist gets at least £600, and more if 80% of the net comes to more.

The contract defines what "net" means: usually box office receipts after VAT and ticketing fees, less a list of agreed show costs. Those costs should be specified in the contract and evidenced at settlement. For the contract side, read live performance contracts: the clauses that matter.

What a settlement sheet should show

• Tickets sold at each price, plus comps and guestlist
• Gross box office receipts
• Deductions to reach net receipts (VAT, ticketing fees), as defined in the contract
• Agreed show costs, itemised
• The deal calculation (guarantee, percentage, or both)
• Deposit already paid
• Balance due to the artist
• Merch commission, if the venue takes one
• Signatures or written confirmation from both sides

Ask for it in writing every time, even when the promoter is someone you trust. It's the evidence behind your statement. Confirm how settlement will work as part of advancing the show.

What an artist statement includes

A good statement has three parts.

1. Show-by-show earnings

For each show in the period:

• Date, venue and city
• Deal type
• Fee earned (the guarantee, or the settled amount for percentage deals)
• Deposit and balance received, and who received them: agency or artist

2. Deductions

• Commission, at the agreed rate and on the agreed basis.
• Agreed expenses the agency has paid on the artist's behalf, such as hotels, flights or backline hire, each itemised.
• Any tax withheld at source, for example on overseas shows.
• VAT on commission, if the agency is VAT registered.

3. The payout

• Total received by the agency
• Total deductions
• Net amount paid to the artist, date paid, and payment reference

Include a running balance if you pay periodically rather than per show, so the artist can see what's still owed.

A worked example

Here's an example statement for a three-show period. The figures are illustrative, chosen to show the calculation, not typical rates or fees. It assumes 15% commission on the fee earned, as set out in a hypothetical artist agreement, and ignores VAT for simplicity.

Show 1: Club show, flat fee £1,000. The promoter paid a £500 deposit to the agency and the £500 balance directly to the artist on the night.

Show 2: Versus deal, £600 versus 80% of net. Box office after VAT and ticketing fees was £2,500. Agreed show costs were £1,300, leaving £1,200 net. 80% of £1,200 is £960, which is more than £600, so the artist earned £960. The promoter paid the full £960 to the agency after the show. The agency also paid £180 for the artist's hotel, as agreed.

Show 3: Festival, flat fee £1,500. Paid in full to the agency.

Then the deductions:

Two points to notice:

• Commission is on the full fee earned, including the £500 the artist received directly. That's why it's taken from money the agency holds. If your agreement says something different, follow the agreement.
• The artist can check it. Fees earned, minus what they already received, minus commission and the itemised expense, equals the payment. If any line can't be checked, the statement needs more detail.

Commission: getting the basis right

Most statement disputes come from commission, so be precise.

• Rate: as agreed. It may differ by show type, such as festivals, overseas shows or shows the artist sourced themselves.
• Basis: gross fee is common, but some agreements calculate commission after specified deductions. A support act paid out of the headliner's fee, or certain production costs, are examples that are sometimes deducted first.
• Percentage deals: commission is usually on the amount the artist actually earned from the deal, not the original guarantee.
• Unpaid fees: if a promoter never pays, there's normally no commission due on that money.
• Merch: agency commission on merch is unusual for live agents, but check your agreement.

Write the basis into your artist agreement, then show the calculation on the statement in a way that makes it obvious. Invoicing as a booking agent covers how deposits, balances and commission are invoiced in the first place.

Expenses: what can be deducted

Only deduct expenses the artist has agreed to in advance, in writing or under the terms of your agreement. Common examples:

• Hotels or flights booked by the agency for the artist
• Backline or equipment hire arranged by the agency
• Visa or work permit costs paid on the artist's behalf

For each expense, show the date, what it was for, the amount, and keep the receipt. Don't deduct your own agency running costs, such as your office, phone or software. Those are what commission is for.

VAT, tax and overseas shows

These can change the figures significantly, and the right treatment depends on everyone's circumstances.

• VAT on commission: if your agency is VAT registered, you'll normally add VAT to your commission. Show it as a separate line.
• VAT on fees: whether VAT applies to the performance fee depends on the artist's VAT status and how the booking is structured.
• Withholding tax: overseas promoters may withhold tax from fees under local rules, and non-UK artists playing in the UK may have tax deducted under HMRC's foreign entertainers rules. Show any withholding as its own line, with the paperwork.
• Currency: for overseas shows, show the original currency, the rate used and the date.

Statements are a record the artist's accountant will rely on, so accuracy matters. Get advice from an accountant who knows the music industry and check HMRC guidance. This is general guidance, not tax advice.

How often to send statements

• Per show for occasional bookings or new artists.
• Monthly for busy touring artists, covering every show settled in that month.
• Per tour sometimes, with interim payments for long runs.

Whatever the rhythm, pay promptly once funds have cleared, and send the statement with the payment. UK rules for entertainment agencies cover how money held for performers is handled and paid on, so check the current requirements on GOV.UK.

In Backline, artist statements are generated from the bookings, invoices and payments already recorded for each show, so the figures on the statement match what's in the system rather than being rebuilt in a spreadsheet. Whatever tool you use, the statement should come from the same records as your invoices, not a separate set of numbers.

A simple statement checklist

Before you send a statement:

• Every show in the period is listed, with deal type and fee earned
• Settlement sheets are on file for any percentage deals
• Money received is split between agency and artist where relevant
• Commission matches the agreed rate and basis
• Each expense is agreed, itemised and evidenced
• VAT and any withholding are shown separately
• The payout matches the bank transfer to the penny
• The payment date and reference are included

If you're managing a roster, a system that links bookings, invoices and statements saves hours each month. See what a booking agent's CRM should do.

Frequently asked questions

What is an artist statement?

An artist statement is a document a booking agent or manager sends an artist showing each show's earnings, money received, commission, agreed expenses and the net amount paid. It lets the artist check their payout and gives their accountant a clear record.

What is the difference between a settlement and a statement?

A settlement is the calculation between the promoter and the artist's side for a single show, usually done on the night, covering ticket sales, costs and the deal. A statement is from the agency to the artist and covers one or more shows, showing commission, expenses and the final payout.

Is booking agent commission taken from the gross fee?

Often, but not always. It depends on the artist agreement, which may say commission is calculated on gross fees or after specified deductions such as a support act's fee. The statement should show the basis clearly.

How does a versus deal work?

In a versus deal, the artist receives either a guaranteed fee or an agreed percentage of net box office receipts, whichever is higher. Net receipts are defined in the contract, usually after VAT, ticketing fees and agreed show costs. The settlement sheet shows the calculation.

What expenses can an agent deduct from an artist's payout?

Only expenses the artist has agreed to, such as hotels, flights or equipment hire the agency paid on their behalf. Each should be itemised on the statement with evidence. Agency overheads aren't normally deductible because they're covered by commission.