Managers' commissions are typically between 15 to 20% of an artist's gross income. Whether it's 15% or 20% really depends on the level of the band and the bargaining power of each party. I've seen some net deals, but they are extremely rare. That being said, I always push for a net commission on merchandise.
Generally, to be legally valid, most contracts must contain two elements: All parties must agree about an offer made by one party and accepted by the other. Something of value must be exchanged for something else of value.
5 Must-Have Clauses in Artist Management Contracts Commission Rates. Term Length in Management Agreements. Decision-Making Authority. Sunset Clause (place after Term) ... Exclusivity.
Contracts like an artist agreement help avoid miscommunications and confusion over the rights and responsibilities of both parties involved. Artist agreements typically include availability expectations, performance markers, and licensing or ownership rights of the works created during the partnership.
The core of the artist's team consists of publishers, record labels, concert promoters and booking agents. The Artist Managers are the grand overseer of that whole team, and they are the ones getting that band together in the first place.