Diverse Global Pop Catalog - Estimated 13.59% Return

Invest $25,000 to receive $32,000 in royalty payments from by pop music that earns worldwide by major American, European, and Asian artists.

$25,000

advance amount

$32,000

repayment amount

$500

down payment

Sorry, this advance has been sold.

Historic royalty income is no indication of future royalty income. Future royalty income is dependent upon future sales and licensing revenue generated by the sound recordings or compositions associated with this listing.

What is a peer advance?

With a Peer Advance, the investor is buying limited-term rights to collect royalty income until a fixed return is achieved.

In this case, the investor would pay $25,000 for the right to collect the seller's royalty income until the investor receives a total of $32,000 in royalty payments.

With this investment, the variable is not the amount of return the investor can expect. The investor will receive all royalties generated until the total return is achieved.

Instead, the variable is the amount of time it takes for the investor to receive the full Repayment Amount. You will receive $32,000 in royalty payments. The only question is how long it will take. Fortunately, we can look at the earnings history of the asset to approximate the payback period.

For example:

  • If future quarterly payments equal the average of the last four quarters, the investor will receive the Repayment Amount in 21 months. That's approximately a 19.39% Annual Rate of Return.
  • If future quarterly payments equal the most recent quarterly payment, the investor will receive the Repayment Amount in 36 months. That would generate approximately a 13.59% Annual Rate of Return.
  • Even if future quarterly payments drop by 5% in each quarter, the investor will receive the Repayment Amount in about 27 months. Even in this case, the Annual Rate of Return is about 18.59%.

What is the Royalty income stream?

The investor is purchasing rights to 100% of the seller's interest in the songwriter's share of all public performance royalties attributable to the seller's catalog of musical works. See the “Financials” tab for a full tracklist.

In the past 12 months, this catalog has generated $18,735. More details can be found in the financial information tab above.

HOW DO PAYMENTS WORK?

Royalty Exchange will collect and distribute the royalties generated by the seller's catalog of musical works to the investor on a quarterly basis. Payments will continue until the investor recoups $32,000. As soon as the investor realizes the entire Repayment Amount, the owner will again receive 100% of their royalties.

Royalty Exchange will administer quarterly payments from ASCAP. The first distribution is in May 2018 to be paid in June.

DISCLAIMER

*Information presented is not intended to be investment, tax or legal advice. Past performance of this royalty stream is no guarantee of future results. Estimated or projected investment returns and payback periods are not guaranteed, and investors may lose some or all of the principal invested. Investors should consult their financial advisor if they have any questions or need additional information.

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