Your new post is loading...
Yes the Young Money situation is part of the Cash Money deal (there is no Young Money without the Cash Money advance. I don't know how the initial 80,000,000 million has become 100,000,000 million but that's another situation). More than likely Cash Money had a 5% vig (interest) on the 100 million (based on it being a hard money loan) so well just say 5% (it probably was more) just for the understanding. The average interest for a loan like this would be around 3.3% (and that's high). So for the sake of this statement Cash Money more than likely owed Universal around 15 million a quarter in interest payments (the only motivation for Universal Music or Vivendi (Universal's parent company) to make the loan.). With that agreement it's more than likely that Cash Money owed 60 Million a year just on interest. We have no idea what Universal or Vivendi's equity stake was in the partnership but just to be fair on a loan of this nature it would be around 25 to 30% (if not 51%-49% based on the work Universal had to put in, in their opinion). So Universal is due the 100 mill and whatever interest has accrued (which isn't even brought up because it's gotta be massive). So yes based on the initial arrangement between Cash Money, Universal and Vivendi, their initial loan and agreement overrides anything that Cash Money does. It’s hard to believe that Cash Money was hitting the 60 mill a year vig (that's how you make bread in the hard money game. So it wasn't a scam, it was a deal). Ya'll aint even factoring in the interest on the initial loan. Yes Bird, Slim and Wayne spent the money (so did Nicki Drake and any of the YM artists). There is no such thing as free money (that's why you have recouperables on artist projects. To recoup the bread that was put out). Now Universal is just calling on the loan. The artist arrangements are not separate from the labels debts (especially when the artist help create more of the debt). That's 5 million payment was due every 4 weeks (whether cash money sold anything or not). That's the real world. Universal would have never made the loan if this wasn't the arrangement (even if there was a skim play in the situation, those situations change when folks are fired). Bottom line Vivendi wants their cash so Universal has to collect and Cash Money has to pay. Without the initial 100 million there is no Lil Wayne. The royalties are probably the only collectable assets Cash Money has (which more than likely was part of the collateral) The stuntin built Cash Money, not the music or beats. No money, No stunt, No fans, no fame. This business has always been about rent to own fame. No lawyer can change that (unless he puts up his own money... Which they won't). The real crazy here is that Sound Exchange is holding the 40 mill (which is their game). Do you understand what the interest is on 40 million a month?). Sound Exchange is just using the lawsuit to hold the cash and collect the interest (and will probably make up a maintenance fee for holding the cash #lsmh). The judge needs to grab that cash and put it in an interest bearing escrow account, where the interest can accrue but noone can spend it. If Sound Exchange delivered (which they can't because the cash is in dispute). Then that would alleviate some pressure. You gotta always factor in the interest. That’s the side of OPM that folks always leave out because they just want the money and like a bad gambler that figures they'll work it out when the bills come. Well the bill is here with the late fees.
#ItsAboutTheMusic
#ItsAboutTheDeal
#GetAtMe
