Net is what the box office keeps once the unavoidable deductions are taken off. Percentage deals in Europe run on this number.
What comes off gross
- VAT on the ticket: 9 percent in the Netherlands, 7 percent in Germany for most concerts, 20 percent in France
- Ticketing and service fees
- Sometimes card charges and the collecting society licence for the night
What should not come off
Marketing, staff, sound hire and the promoter's own running costs come out of the promoter's share, not off the top, unless the contract lists them as deductions with amounts. Watch for open wording such as reasonable expenses.
Getting it right
Ask for the deductions as a list with numbers before the show, then check the settlement against that list rather than against a total. A percentage that sounds generous on gross can be worth less than a smaller percentage on net. See Settlement.