Sadie The Musical
Business Plan
In the world of theater, the
journey from a regional or international stage to the grandeur of Broadway is a
dream shared by countless producers, investors, and creatives. This dream is
often realized through exceptional storytelling, captivating music, and a deep
connection with audiences. In this business plan, we present a compelling
opportunity that draws inspiration from the successes of musical dramas that
originated in Toronto and subsequently made their indelible mark on Broadway.
The theater landscape in Toronto, known for its vibrant arts community and diverse audience base, has proven to be an ideal testing ground for productions that possess the potential to captivate audiences on a broader scale. The examples of “Come from Away,” “The Band’s Visit,” “The Light in the Piazza,” “Kinky Boots,” and “Once” demonstrate that musical dramas with powerful narratives and emotionally resonant music can successfully transition from Toronto to the illustrious stages of Broadway.
As we embark on this journey, we invite you to explore the potential for investment in a production that has the power to inspire, entertain, and enrich the lives of audiences on both sides of the border. Together, we will embark on a theatrical venture that combines the creative spirit of Toronto with the global reach and prestige of Broadway, offering investors a unique and promising opportunity in the world of theater.
Examples of musical dramas that succeeded in Toronto and transitioned to Broadway:
Come From Away
· Toronto Success: “Come from Away” is a musical drama that tells the heartwarming true story of the events that unfolded when 38 planes were ordered to land unexpectedly in the small town of Gander, Newfoundland, following the September 11 attacks. The musical had its world premiere at the Royal Alexandra Theatre in Toronto in 2016, where it received critical acclaim and garnered a strong local following.
· Broadway Transition: After its successful run in Toronto, “Come from Away” transferred to Broadway’s Gerald Schoenfeld Theatre in 2017. The musical continued to receive rave reviews, and its touching narrative resonated with audiences in New York City and beyond. It went on to receive seven Tony Award nominations and won the Tony for Best Direction of a Musical. The show’s uplifting story and powerful performances made it a financial success on Broadway.
The Band’s Visit
· Toronto Success: “The Band’s Visit” is a musical drama based on the 2007 Israeli film of the same name. It premiered in Toronto at the Ed Mirvish Theatre in 2019. The show’s intimate and contemplative storytelling received positive reviews and developed a dedicated fan base during its Toronto run.
· Broadway Transition: Following its successful Toronto engagement, “The Band’s Visit” moved to Broadway’s Ethel Barrymore Theatre in 2017. The production received critical acclaim for its unique, character-driven narrative, musical score, and performances. It became a surprise hit, winning ten Tony Awards, including Best Musical. The show’s success on Broadway showcased its appeal to a wider audience and underscored its financial viability.
The Light in the Piazza
· Toronto Success: The Light in the Piazza” is a musical drama with music and lyrics by Adam Guettel and a book by Craig Lucas. It had its Canadian premiere at Toronto’s Princess of Wales Theatre in 2006. The production received positive reviews, particularly for its lush, operatic score and emotionally charged storytelling.
· Broadway Transition: Following its Toronto run, “The Light in the Piazza” transferred to Broadway’s Vivian Beaumont Theater in 2005. The musical was well-received by critics and audiences alike. It won six Tony Awards, including Best Original Score, and its success demonstrated that Toronto could serve as a successful launchpad for musical dramas with unique and emotionally resonant stories.
Kinky Boots
· Toronto Success: “Kinky Boots” is a musical with music and lyrics by Cyndi Lauper and a book by Harvey Fierstein. It had its Canadian premiere at Toronto’s Royal Alexandra Theatre in 2015. The production was a hit in Toronto, receiving positive reviews and building a dedicated fan base.
· Broadway Transition: After its Toronto success, “Kinky Boots” moved to Broadway’s Al Hirschfeld Theatre in 2013. The usical became a commercial and critical success, winning six Tony Awards, including Best Musical. Its transition from Toronto to Broadway demonstrated the potential for diverse and inclusive storytelling to find success on both sides of the border.
Once
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- Toronto Success: “Once” is a musical adaptation of the 2007 film of the same name, with music and lyrics by Glen Hansard and Markéta Irglová. It had its Toronto premiere at the Royal Alexandra Theatre in 2015. The production received positive reviews for its heartfelt storytelling and music.
- Broadway Transition: Following its Toronto run, “Once” transferred to Broadway’s Bernard B. Jacobs Theatre in 2012. The musical was embraced by Broadway audiences and critics, winning eight Tony Awards, including Best Musical. Its transition highlighted the power of intimate, character-driven musical dramas and their potential for success both in Toronto and on Broadway.
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Hypothetical Toronto Financial Data:
(Canadian Dollars)
1. Production Costs in Toronto:
- Initial production costs: $1 million (including creative team, cast, set design, costumes, and marketing)
- Weekly running costs: $50,000 (salaries, venue rental, marketing, and other operating expenses)
- Theater rental fee (50% of gross revenue): $320,000 per week (50% of $640,000)
2. Ticket Sales and Pricing in Toronto:
- Average ticket price: $80
- Average theater capacity: 1,000 seats
- Weekly performances: 8
- Estimated weekly gross revenue: $640,000 (before deducting the theater rental fee)
- Estimated annual gross revenue (32 weeks): $20.5 million (before deducting the theater rental fee)
3. Merchandise and Concessions in Toronto:
- Estimated merchandise and concessions revenue per patron: $10
- Total annual revenue (assuming 80% of patrons make purchases): $2.5 million
4. Sponsorships and Partnerships in Toronto:
- Estimated sponsorship and partnership revenue for the Toronto run: $500,000
5. Total Expenses in Toronto (including Production Costs and Theater Rental:
- Estimated annual production costs in Toronto: $2.6 million ($50,000 per week for 32 weeks plus $1 million initial production
costs) - Estimated annual theater rental fee in Toronto: $10.25 million (50% of $20.5 million for 32 weeks)
- Total estimated annual expenses in Toronto: $12.85 million
6. Profit Margins in Toronto (including Production Costs and Theater Rental:
- Estimated annual gross revenue in Toronto (before theater rental fee): $23.5 million
- Estimated annual expenses in Toronto (including production costs and theater rental fee): $12.85 million
- Estimated annual profit in Toronto: $10.65 million
- Investors’ share (assuming a 50% equity stake) in Toronto: $5.35 million
Hypothetical Broadway Financial Data (Including Theater Rental Fee):
(U.S. Dollars)
- Production Costs for the Broadway Transition: Transition and Broadway launch costs: $2 million (marketing, set adjustments, hiring New York-based talent, etc.)
- Revenue Generated on Broadway:
- Average Broadway ticket price: $125
- Average Broadway theater capacity: 1,300 seats
- Weekly performances: 8
- Estimated weekly gross revenue: $1,300,000
- Estimated annual gross revenue (32 weeks): $41.6million
- Production Costs on Broadway:
- Weekly running costs on Broadway: $350,000 (including salaries, rent, marketing, and other operating expenses)
- Estimated annual production costs on Broadway (32 weeks): $11.2 million
- Theater Rental Fee (50% of Gross Revenue):
- Estimated annual theater rental fee (32 weeks): $20.8 million (50% of $41.6 million)
- Profit Margins on Broadway (Including Theater Rental Fee):
- Estimated annual gross revenue on Broadway: $41.6 million
- Estimated annual production costs on Broadway: $11.2 million
- Estimated annual theater rental fee on Broadway: $20.8 million
- Estimated annual profit on Broadway: $9.6 million
- Investors’ share (assuming a 50% equity stake) on Broadway: $4.8 million
$1 Million Budget for Toronto ($1,020,000)
(Canadian Dollars)
1. Script and Rights: $50,000
• Acquisition of script and story rights.
2. Venue Rental: $150,000
• Rental of a high-quality venue for rehearsals and performances.
3. Production Team: $120,000
• Director, choreographer, musical director, set designer, costume designer, lighting designer, sound designer, stage manager, and other key production team members.
4. Cast: $200,000
• Payment for cast of actors, singers, and dancers.
5. Set Design and Construction: $150,000
• Set construction, including advanced technology and special effects.
6. Costumes: $100,000
• Detailed and high-quality costumes for the cast.
7. Props: $50,000
• Purchase or rental of intricate and high-quality props required for the production.
8. Lighting and Sound: $100,000
• State-of-the-art equipment, skilled technicians, and complex lighting and sound designs.
9. Marketing and Promotion: $80,000
• Comprehensive marketing campaigns, advertising, promotional materials, and ticket sales.
10. Rehearsal Space: $30,000
• Additional rental fees for spacious and well-equipped rehearsal spaces.
11. Insurance and Permits: $20,000
• Insurance coverage for the production and any necessary permits.
12. Contingency: $20,000
• Buffer for unforeseen expenses or last-minute changes.
13. Recording and Music Production: $50,000
• For original music, recording, and production costs.
14. Transportation and Lodging: $40,000
• Travel and accommodation expenses for cast and crew.
15. Miscellaneous Expenses: $10,000
• Miscellaneous costs that may arise during the production.