Okay here's the deal. I want to produce an All Around event in Los Angeles next year. I feel like men's pro pool needs something. There is a complete lack of quality events for the top men to play in. I mean, after the U.S. Open and DCC, what's left. There are a few good 25K added events put on by Mike Zuglan, Shannon Daulton and Mike Janis, and that's about it. Then you have the regional tours with two to five thousand added events, with the Seminole Tour being the lone exception.
I want to produce a Major tournament in Los Angeles with major prize money. I'm talking $60,000 in added money. It would look something like this.
Bank Pool - $225 entry fee - Limited to 64 players - $10,000 Added
With a full field, first prize would be $7,500
One Pocket - $325 entry fee - Limited to 96 players - $15,000 Added
With a full field, first prize would be $15,000
Ten Ball - $425 entry fee - Limited to 128 players - $25,000 Added
With a full field, first prize would be $20,000
Plus a $10,000 bonus fund that is distributed to the top three players overall.
$5,000 to first, $3,000 to second and $2,000 to third.
It's possible (but highly unlikely) for one player to win $47,500. I wouldn't be surprised if someone wins over 30K though. And several players may win 10K or more.
The entire event would last nine days, with the first five days devoted to Bank Pool and One Pocket. The last four days would be Ten Ball.
I'm projecting an overall budget of $100,000 to stage this event. I would be willing to put up $50,000 of my own money. I need another 50K to pull it off. I am looking for 25 partners to put up $2,000 each. They would each own 2% of the gross revenues the event brought in. Of course someone could buy a larger share. It is basically one point for $1,000.
Now for the risk assessment on this investment. YOU WILL PROBABLY NOT MAKE ANY MONEY! And neither will I. The best case scenario is realistically we break even or make a small profit. And the worst case scenario is you may get back only half your investment.
Projected income is as follows:
Live gate - $40,000 to $80,000. I'm looking at all day passes of $20. And a season pass of $120.
Exhibitor and Vendor income - $15,000 to $30,000. Ten foot booths that rent for $750 each.
Registration fees - $5,000 to $7,000. It all depends on how many players we get in each event.
Hotel rebates - $0 to $10,000. Totally a factor of what I can negotiate. Bottom line, we must get the ballroom for free based on room rentals.
Sponsor income - $1,000 to $20,000. Again dependent on what can be negotiated.
Table rental income - $3,000 to $6,000. This for after hours play on the sixteen tournament tables.
DVD sales - $10,000 to $25,000. There is a cost factor on this, so it is not gross income. Whether I produce the DVD's or have an outside company do it, we will get a piece of this pie.
So as you can see, the worst case scenario is that we all lose some money, me more than anyone else. I don't mind losing a few dollars, but I sure don't want to blow twenty or twenty five thou. The best case scenario is that we all make a few dollars, and put on a helluva event. NO ONE is going to get rich off this one!
Each investor gets two free passes to the event. That's it, sorry. We need that gate! All investors will get a full accounting of all expenses and all income. If it comes in under budget, the left over money will be considered as income. If it goes over budget, that is on me to make up. The investors still own their full shares. All investors will receive their full accounting plus a check within thirty days of the conclusion of the event. Supplemental income on DVD sales will be paid in quarterly intervals.
Investors will not be expected to do anything other than invest their money. The actual organization and conducting of the event will be up to me. Of course if any investors would like to help in some capacity, that would be a welcome bonus for all concerned. We will need personnel manning the box office, the doors and at the tournament proper. The fewer hired workers, the better the bottom line.
Okay first question.
