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First Corporate Sponsorship?

i'm beginning to get in touch with an upstarting energy drink company and am treading in uncharted territory, just wondering if anyone has had experience with dealing with the suits?

Pretty good, we get quite a few smaller companies sponsoring djs and events over here and it usually works out for the best. basically they want visibility and in return you'll get more $ and probably more opportunities.



just make sure to get as much money as possible. they have no soul, remember!



a friend gave a fee of 1200 to the beer company, that figured was adjusted to 2000 before being sent to the company



btw tony sent you an email on facebook ages ago... am going to be in calgary end of august, would love to do something, will resend you my availability

for sure man, i'm not promoting any nights anymore but i know a few places where i can get you a gig

I disagree with the concept and would certainly have nothing to do with it myself, but if you feel that it's beneficial to you then all the more power to you, just don't get screwed.

Congrats. It's really hard to offer general advice, but when you're dealing with suits, you just have to make sure your bases are covered. I'd be a little extra cautious with a start up, too.

Did they contact you, or you them? I'm assuming they are paying a fee and working as a vendor?

Make sure you cover bases on worse case scenarios: What if they don't show? When will you have payment? Is there a revenue share? What are the terms to terminate the contract (if you want out for any reason, can you get out - what do they need to provide to cancel on you - 30 days?)? Do they have insurance (it's a small likelihood, but if their employee or product did something in a worst case scenario, are they liable or are you)?

Also figure out: How can you use their logo/name in marketing? How will they promote it? What is the price when they are there (you don't want your customers pissed off)? Is it any good? Is it exclusive - in other words, are you prevented from other sponsors taking part? What other events have they done? Do they have references?

Just in a general sense - what are their expectations? What will they consider a success?

Hope that helps... PM me if you have any questions. I've worked through 1000 of these contracts when I used to promote and now for work with vendors. As a start up, they probably won't have as many rules as the big sponsors of events, which is good. But as a small company, you've just got to cover yourself first.

I suppose I should've asked first before completely writing off the sponsorship. Are you looking to be sponsored as a DJ, or as a promoter?

quote:

Originally posted by idoru I suppose I should've asked first before completely writing off the sponsorship. Are you looking to be sponsored as a DJ, or as a promoter?

Good question. Since I overlooked the fact that he said he isn't promoting nights, it may be as a dj... My bad for skimming over that.

i did give up my edm nights, i only hold down one saturday night top 40 and retro night at a cougar bar, love it though

as for the sponsorship, the initial plan is to throw an outdoor event next summer with said energy drink company providing the financial backing

i met the sales rep at an afterparty and we totally hit it off, he djs as well, an up and coming dj in calgary ATM, i was looking for cash to help me throw a party and they're looking for a promoter to pull it off

i've only talked with a sales rep so far that has hooked me up with literature and a dvd info pack plus a week's supply of the stuff, it's like a 2-6 and apparently worth at least $60 for the bottle, you only need 3 shots of it a day

better believe if we get fully involved there will be contracts and a paper trail, i'm thinking of starting small with a party with one major headliner (norman cook?) and all VERY talented locals i have met while going after this new sponsor, i don't think exclusivity will be a problem since as far as i know, it's just energy drinks they sling, booze or beer gardens are definitely going to be happening if i actually follow through with this event

also, does anyone have any experience "working" with norman cook?

We got 25 crates of some Bourbon from a big company to have them put their name on our flyers and to run promotions for their product.

Just don't let yourself get shafted or have any big contracts without a lawyer.

quote:

Originally posted by Tony Morello also, does anyone have any experience "working" with norman cook?

I have a few years ago (not as promotion or a DJ booking but as a former client). What do you want to know?

how tough is it to book and what do his rates look like? i assume it's a pretty penny, but hey, if the company is picking up the tab i might as well aim high, plus he hasn't played calgary yet

i figured i'd try get some more info here before getting in contact with his booking agent

This kind of thing should happen so much more in the UK, maybe it would mean things wouldn't have to be run on such a shoestring budget all of the time, promoters would be able to spend money on decor etc and wouldn't have to charge �20 on the door.

The people I got my first residency with were sponsored by Kodak, Playstation and a load of others, but I pretty much haven't seen nights being sponsored since, apart from festivals - I think it's such a waste of an opportunity, when you've got a group of people from a particular demographic who certain brands would love to be able to target that specifically and would be willing to pay a fair amount to do so.

You may have already, but I'd also recommend doing this through something like an LLC. Not to go too formal, but I was burned once as a promoter and it left me holding the bag personally - since then, I've never signed a contract as an individual in the agreement... it's always been on behalf of an LLC (like what they are doing, signing on behalf of the company). If something unforseen happens and you don't have this, it means you are personally responsible (your finances, your credit, your assets, etc.) rather than the LLC. I assure you no one at the sponsor is putting their personal stuff at risk. Not enough people do this, and it's so easy, cheap, and the best insurance policy... ESPECIALLY when money is changing hands per a contract with another company. Just my advice.

LLC? please elaborate a little more

quote:

Originally posted by Tony Morello LLC? please elaborate a little more

LLC here in the US is a Limited Liability Company. It's similar to incorporating, without the hassle of doing so (taxes, etc.). I'm not sure of the particulars in Canada, but basically, you have a lawyer or online service to help you come up with "Tony Morello, LLC" or whatever you want to call it (and whatever it's called in Canada) and that is who is doing business with the sponsors. If something goes sour, they address their issues with the organization ("Tony Morello, LLC") and not you, just like if you had problems with them, you'd sue the company, not the individual you were talking to. If you don't do something like that and something goes sour, it is you personally that is responsible. It's just a level of protection that should really be used more often by individuals doing business...

I can't speak for Canada's laws specifically, but I'm sure they have plenty of similar options even if it isn't called an LLC (including incorporating). It may sound like a big deal or pain in the ass, but I've had shit backfire one time and I was out nearly $10k... never again. And parties have shit go wrong all the time... people getting hurt, too trashed, people not paying, contracts going sour, people backing out of deals, damage to personal property, etc. Who the hell wants to be responsible for any of that, and it's probably only a few hundred bucks in Canada, too.

thanks, i'll look into that a little bit more, i'll be doing business through my promotion company "passion nightlife", this is good info to know

quote:

Originally posted by Tony Morello how tough is it to book and what do his rates look like? i assume it's a pretty penny, but hey, if the company is picking up the tab i might as well aim high, plus he hasn't played calgary yet i figured i'd try get some more info here before getting in contact with his booking agent

I never had to speak to his agent, just to him and I have to say he's really is probably one of the nicest and most down to earth people I have ever talked to. I think if you put it to him in terms of what you are going to be doning is special for x reason (for example he's never played there etc) will go a long way. Bear in mind, it's quite a long way to go for one gig, especially him being able to basically draw a crowd anywhere in the world so I would speak to other promoters (in other cities obviously to safeguard your exclusivity) about arranging several gigs. It's just a thought but it would make logical sense, but again that could be something his agent would organise, possibly with your help?

Be careful with corporate sponsorships - what they want/expect will often be very different to your expectations. Also, with big names, they will always be wary of sponsorship as they have to be careful in terms of brand affiliation (does it conflict with their existing deals?, are they ethically compatible? etc.). Also, when some agents smell corporate sponsorship they fee goes up as many big DJ's will adjust their rates to play for clubs or promoters they believe in or just to play at places they have never been to before.

I do think you will be able to organise it, just have you ducks in a row.

quote:

Originally posted by Stu Cox This kind of thing should happen so much more in the UK, maybe it would mean things wouldn't have to be run on such a shoestring budget all of the time, promoters would be able to spend money on decor etc and wouldn't have to charge �20 on the door. The people I got my first residency with were sponsored by Kodak, Playstation and a load of others, but I pretty much haven't seen nights being sponsored since, apart from festivals - I think it's such a waste of an opportunity, when you've got a group of people from a particular demographic who certain brands would love to be able to target that specifically and would be willing to pay a fair amount to do so.

Actually it was big business that helped to destroy dance music clubs in the 90's. Drinking alcohol in proper dance clubs then was virtually seen as uncool and the term beerboy had a lot of venom in it. It is believed that he alcohol (and a certain energy drink) companies were desperate to get in to this market and lobbied hard for the criminal justice act of 1994 and the barry legg act "The Public Entertainments Licences (Drug Misuse) Bill" to become law. If you know anything about these laws they basically killed raves and police ridiculous amounts of power to stop "anti-social behaviour"...like young people partying. They also put a lot of effort in making sure the tragic death of Leah Betts was the most publicised story that year. In fact there's an interesting article about how the infamous 1500 "sorted" posters (depicting Leah in ICU) were the creation by an advertising company whose largest clients were multinational brewery and again a certain energy drink company. The law changed, the raves got shut down and clubbing was now a different and more controlled function.

In the years that followed the sad truth came out that Leah had died from drinking too much water and not from ecstasy poisoning, but had also drunk a very large amount of alcohol before, smoked some weed and apparently done some speed.

I have dealt with with corporate sponsorship for "youth events" such as festivals and clubs night when I was in PR - all in all, when you get it right, it does work but usually the sponsors have such a different criteria about what is important compared to the promoter (and often the punter) that it's not worth it.

I'm not saying that in certain situations corporate sponsorship is not useful or beneficial sometimes, but as the story above shows, to companies it's simply about profits, not about people having a good time at your club.

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