After a little more than a year in existence, here’s the proposed ownership structure for Music Think Tank. Please feel free to weigh in.
The goal of this structure is to attract smart music industry thinkers and writers that want to build a brand with a group of like-minded individuals.
Sometime this summer or sooner, we will announce the formal ownership structure.
Here are the proposed equity splits:
MTT managers acquire 5% percentage points per year, maxing out at 15% (total) per manager.
- After year one - Bruce Warila owns 5% of MTT and Andrew Dubber owns 5% of MTT.
- Managers will continue to earn in over years two and three.
- Managers equity is non-dilutable.
All the authors combined acquire 10% percentage points per year.
- Only the top 33% of authors (in a year) can acquire these percentage points.
- Managers can also be authors and share in this pool.
- ‘Top’ is defined by authors that generate the most unique visitors and comments per year.
- Traffic is counted using Google Analytics, comments are just counted.
- Any author with more than three posts to MTT can obtain access to our Google Analytics account.
- The author’s 10% is carved up by the percentage of the traffic and comments generated over (divided by) all traffic and comments generated during the same time period.
- Traffic generated by images (via Google image search) is not counted.
- Traffic that does not directly hit author’s posts (for example, the home page) is not counted.
- Posts are excerpted after 72 hours of standing open on the home page (excerpting may increase the count).
- The year is tallied from May 1st to May 1st.
- The ownership schedule will be posted by August 1st each year.
After year one, 20% of the MTT equity has been allocated. 80% of the MTT equity is still up for grabs.
MTT is currently generating over 25,000 unique visitors per month (12/2009).
Someday MTT may take on sponsors or find other ways to compensate owners for their investment. Right now, MTT is not pursuing revenue.
If you would like to post on Music Think Tank, please start by signing yourself up to post on MTT Open.