Investing FAQ

The minimum investment varies from show to show. Most Broadway productions offer units at $50,000, with some offering 1/2 units at $25,000.

Depending on level of investment, you can be invited to opening night, show parties, the Tony Awards (if nominated), exclusive cast events, and more! You also get access to purchasing house seats. My investors are also kept in the loop with exclusive updates on shows through press clips, special alerts, and industry highlights. Along with that, you are the first ones to know about future investment opportunities.

In order to invest in a Broadway show, you must be accredited as an investor by the IRS. This means you meet certain financial requirements in order to invest. To learn more about an accredited investor, click here.

Investing in a Broadway production does carry high risk, the same way that investing in a start-up carries high risk (with potential for big rewards). You should only invest if it will not impact the quality of life you currently have. It is worth mentioning that investors cannot lose more than they invested.

Each week that the show makes a profit, that profit is paid 100% back to investors until they recoup original investments. It should be mentioned it is not standard to have checks sent out every week, month, or quarter. Why? The general management team and lead producers need to ensure there is a sufficient reserve to protect the production for immediate needs. Once the show recoups, the net profits are split 50/50 between investors and the producers (lead and co-producers). Investors can receive a share in ancillary income from the show through merchandise, licensing, albums, etc.

You should consult your tax specialist. In general, at the end of each fiscal year, investors will receive a K1. If the show is making a profit, you can expect to pay tax on it. If the show is not, you can write it off as a loss.

Email Parrish at psalyers@gmail.com to receive more information.