A guarantee moves the risk to the promoter. The artist is paid the same whether the room is full or a third full.
How it is paid
- Half on confirmation as a Deposit, the balance on the day
- Cash or bank transfer, agreed in advance and written into the contract
- Net or gross of withholding tax, which has to be stated rather than assumed
What sets the number
Ticket price times realistic sales, minus the promoter's costs. A 400 capacity club at 20 euro sells 8.000 euro of tickets at best, so a 5.000 euro guarantee leaves nothing for production, marketing and staff. Agents who price above that line get one show and no return date.
The alternative
A Versus deal keeps the guarantee as a floor and pays more when the show sells. A flat guarantee is normal for support acts, festival slots and one-off club dates.