What does Back-End Deal mean?
Back-End Deal refers to an agreement in which an actor, director, producer, or other key personnel receives a percentage of a film’s or TV show’s profits rather than an upfront salary. Back-end deals are common for high-profile actors and directors who are confident that the project will be successful and generate significant revenue. These deals can be highly lucrative but come with a level of financial risk since the profits depend on the project’s success at the box office or in syndication.
Example:An A-list actor agrees to a back-end deal, opting for a percentage of the film’s profits instead of a large upfront payment.
Example: A director secures a back-end deal that entitles them to a share of the TV show’s profits once it reaches a certain number of syndication episodes.
Did you know?
Some of the biggest Hollywood paydays, including those for actors like Robert Downey Jr., have come from lucrative back-end deals!
