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[Nick Andrews]

Hi guys,

I have an associate who is a freelance a1 that does not own any gear that has brought in an event to me. I appreciate the business but how do you guys handle a situation like this? this gentleman is looking for 25% of the entire event and will be a1 for the event with his a1 day rate. I will be providing all the gear, trucking, insurance and labor of the event. Is there a standard percentage or procedure here? I honestly think that this number is way off, but maybe I am wrong.

many thanks in advance!

[Nathan Riddle]

ROFL  25%   

Try 5%

On smaller gigs, maybe a bit more; but it can't cut into your expenses.

Most don't even do finders fee. He's working for the day, that should be enough. He couldn't do it without you.

[kel mcguire]

Hi guys,

I have an associate who is a freelance a1 that has brought in an event for me. How do you guys handle a situation like this? this gentleman is looking for 25% of the entire event and will be a1 for the event. I will be providing all the gear, trucking, insurance and labor of the event. Is there a standard percentage or procedure here? I honestly think that number is way off, but maybe I am wrong.

many thanks in advance!

25% seems high but without details, history, fee structure, it's sort of hard to say. So, does he get an A1 fee on top too or does the 25% include that? What happens next year if you're asked back?

[Nick Andrews]

ROFL  25%   

Try 5%

On smaller gigs, maybe a bit more; but it can't cut into your expenses.

Most don't even do finders fee. He's working for the day, that should be enough. He couldn't do it without you.

 Ok good ! that is what I thought! just making sure I am not being a cheap bastard lol 

[Nick Andrews]

25% seems high but without details, history, fee structure, it's sort of hard to say. So, does he get an A1 fee on top too or does the 25% include that? What happens next year if you're asked back?

details - its an outdoor event in a tent for a band. His A1 fee on top of % yes , not sure if we get hired again, that is a very good question. As far as history , we have done some mutual work together , i have hired him for day labor a2 in the passed, that's about it.

[Scott Olewiler]

Hi guys,

I have an associate who is a freelance a1 that does not own any gear that has brought in an event to me. I appreciate the business but how do you guys handle a situation like this? this gentleman is looking for 25% of the entire event and will be a1 for the event with his a1 day rate. I will be providing all the gear, trucking, insurance and labor of the event. Is there a standard percentage or procedure here? I honestly think that this number is way off, but maybe I am wrong.

many thanks in advance!

When I sub work out to others who are using their own equipment I only keep 10% and up until the last minutes I deal with the client. If he just found this job and then handed it off to you and you're now dealing with the client I certaiinly wouldn't give him more than 10%.

That being said; business is just as much about relationshsips as it is about money, so you'll need to factor that in for yourself. 

[Roland Clarke]

I'd like to offer a different perspective.  How would the job look if he was paying you an inter company rental on your kit? The reason I say this is in effect that's what it is.  The only slightly odd thing is that it appears he wants you to do the invoicing and hire him.  When I've done these events I quote and hire the kit in either totally dry or with crew.  I fully expect to make the engineer rate and a good margin on the kit.  25% sounds entirely reasonable (providing you are charging a reasonable rate), if you can't do that I would suggest you tell him how much you need to see from the job and give him the option of looking at another vendor that is prepared to do the deal.  Put another way, if I sub a job to another company I would be looking at around 20-40% margin just for factoring the job.  The only exception would be perhaps a late call to cover something due to unforeseen circumstances.  Remember, if you treat this guy well, he might very possibly put other work your way, his day rate and 10% just doesn't cut it, on that offer I wouldn't work with you.

[Nathan Riddle]

his day rate and 10% just doesn't cut it, on that offer I wouldn't work with you.

You're kidding right?

To me it sounds like he's a stage hand who has a 'friend' who needs work done. This new client is now handed off to the professional AV company. Just because you're a stage hand doesn't mean you operate a business and can snipe clients away from actual businesses and then turnaround and have an actual business run it and claim it was 'his' gig/company that ran things.

[Nathan Riddle]

That being said; business is just as much about relationshsips as it is about money, so you'll need to factor that in for yourself.

THIS ^^ I didn't mention this. But you might get LOADS more work by giving him a higher finders fee & keeping the relationship.

Also, if he does good work PAY him more (charge client more too).

My initial post isn't a hard and fast rule that you should go by. Just a suggestion. Same as others.

[Scott Olewiler]

I'd like to offer a different perspective.  How would the job look if he was paying you an inter company rental on your kit? The reason I say this is in effect that's what it is.  The only slightly odd thing is that it appears he wants you to do the invoicing and hire him.  When I've done these events I quote and hire the kit in either totally dry or with crew.  I fully expect to make the engineer rate and a good margin on the kit.  25% sounds entirely reasonable (providing you are charging a reasonable rate), if you can't do that I would suggest you tell him how much you need to see from the job and give him the option of looking at another vendor that is prepared to do the deal.  Put another way, if I sub a job to another company I would be looking at around 20-40% margin just for factoring the job.  The only exception would be perhaps a late call to cover something due to unforeseen circumstances.  Remember, if you treat this guy well, he might very possibly put other work your way, his day rate and 10% just doesn't cut it, on that offer I wouldn't work with you.

I don't see this situation as a company hiring another company. This looks like a guy who got a lead on a gig, or was asked to find someone to do it , had the OP quote it and then wants a percentage of that quote.  If he personally quoted  the job to the client and then hired it out he can make any kind of deals he wants with the company he hired and the client.

If I'm the company being hired, I don't care how much the job was quoted  to the client as long as I get what I need to do it. This doesn't sound like that to me.  The more the OP charges the more he pockets.  I think the OP should tell the guy "I need this much to do the job. I will pay you your A1 rate as requested. Whatever deal you make with the client is your business.   

Tell him that and call it a day. He can then negotiate with the client and pocket whatever his negotiating skills can net him. Everyone's happy.

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