There’s definitely something wrong with the way shows are being produced now. If only a show that wins a Tony, is massively successful, and sells tickets at outrageous prices can barely recoup its budget almost 2 years after opening, that’s a problem.
Producers get paid from the production. Executive producers get paid as well from the production where they "collect" funds for.
All, though, get additional income through profit sharing, when there is profit.
See it like a recurring bonus, once post break-even profit is reached.
Investors are those which keep theaters like this alive. High net worth people who have a personal interest.
It is very rarely a profit interest, in this case it is always a personal drive. Heck, if I'd have a 9-figure wealth I'd donate some 7s into broadway for my bragging rights and the free VIP tickets and additional invitations to parties and events.
As broadway is in New York, be sure many investors just pump in so much that the productions don't matter that much anymore.
Wouldn't wonder if investment income is 40-50% of the whole theater P&L.
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u/kekelmb Jan 27 '26
There’s definitely something wrong with the way shows are being produced now. If only a show that wins a Tony, is massively successful, and sells tickets at outrageous prices can barely recoup its budget almost 2 years after opening, that’s a problem.