How Investment Works

The finance for Red Table is currently raised on a per-production basis. If you want to invest in a production, you can buy any number of units of investment up to the production budget – which are treated as a loan to the company and are used to pay for marketing, print costs, props, insurance, and so on.

After the books have been closed for the production, any money remaining in the accounts will be allocated equally to each unit of investment, with an upper limit of perhaps 105% or 110% (specified when we raise the finance), which will be returned to the investors as interest on their loan.

After the investors are paid back the money they have invested, plus their return on investment, the cast, crew, and company share in any profit that the production has made.

Investors, like cast and crew, are entitled to examine the books of the production in the password-protected area of this website.

Example:

A production costs £160 to put on. We issue two units of £100 each with an interest cap of 10%. The money loaned to us then funds the production completely, leaving £40 in the bank.

If total income = £100, the distribution to investors is £100 + £40 = £140, which means that £70 is returned per unit

If total income = £170, the distribution to investors is £170 + £40 = £210, which is £105 per unit

If total income = £200, the distribution to investors is £200 + £40 = £240, which is £110 per unit and £20 which goes into the profit share scheme.

If you would like to find out more about how our investment model works, please email info@redtabletheatre.com.