Really looking for a Reeno, Cliff, or Jake who actually has contacts in the business to answer this but everyone take a shot cause with the logic I use I keep coming to illogical conclusions.
I know the fighters make a % of the buys and what not. My real question is....where do the guarantees come from?
When we hear "Pacquiao is guaranteed 12 million, his opponent 5 million", where does that money come from? From my understanding, it can't be from HBO like the license fee they pay for WCB's and BAD's because from my understanding they don't make enough money of PPV's to throw that kind of money around.
Does it come out of the promoters' pockets? Cause that's a ton of cash to put out on faith that the fight will sell up to expectations. I can only imagine that they use projections on what kind of revenue the fight will generate and offer a guarantee based on that? And then they take the hit of the PPV bombs?
So my question is....anyone know where the guarantees for Network produced PPV's come from?
I know the fighters make a % of the buys and what not. My real question is....where do the guarantees come from?
When we hear "Pacquiao is guaranteed 12 million, his opponent 5 million", where does that money come from? From my understanding, it can't be from HBO like the license fee they pay for WCB's and BAD's because from my understanding they don't make enough money of PPV's to throw that kind of money around.
Does it come out of the promoters' pockets? Cause that's a ton of cash to put out on faith that the fight will sell up to expectations. I can only imagine that they use projections on what kind of revenue the fight will generate and offer a guarantee based on that? And then they take the hit of the PPV bombs?
So my question is....anyone know where the guarantees for Network produced PPV's come from?
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