The InfraFi Market

Revenue-Based Financing for Live Entertainment

The live entertainment industry has always run on capital. From small clubs to massive stadiums, venues need upfront investment to operate, expand, and compete. TIX Credit brings this financing on-chain through a proven model: advance capital in exchange for exclusive ticketing rights.

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The Ticketmaster Playbook

Ticketmaster didn't become the dominant force in live entertainment through better technology—they did it through capital deployment.

How Ticketmaster Won

┌─────────────────────────────────────────────────────────────────────┐
│                    THE TICKETMASTER FLYWHEEL                        │
├─────────────────────────────────────────────────────────────────────┤
│                                                                      │
│      ┌─────────────┐                                                │
│      │   Capital   │                                                │
│      │  Advances   │                                                │
│      └──────┬──────┘                                                │
│             │                                                        │
│             ▼                                                        │
│      ┌─────────────┐         ┌─────────────┐                        │
│      │   Venue     │────────▶│  Exclusive  │                        │
│      │   Deals     │         │  Ticketing  │                        │
│      └─────────────┘         └──────┬──────┘                        │
│                                     │                                │
│                                     ▼                                │
│                              ┌─────────────┐                        │
│                              │   Ticket    │                        │
│                              │   Fees      │                        │
│                              └──────┬──────┘                        │
│                                     │                                │
│      ┌─────────────┐                │                                │
│      │   More      │◀───────────────┘                                │
│      │   Capital   │                                                │
│      └──────┬──────┘                                                │
│             │                                                        │
│             └─────────────────▶ (back to top)                       │
│                                                                      │
└─────────────────────────────────────────────────────────────────────┘

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Why Revenue-Based Financing?

Traditional Lending Doesn't Work

Asset-backed lending requires collateral you can repossess. But:

• We don't own the venues

• We can't repossess a building

• Physical collateral is illiquid and costly to recover

Revenue-Based Financing Does Work

Instead of collateral, we secure capital with future revenue:

Traditional Lending	Revenue-Based Financing
Collateral: Physical asset	Security: Exclusivity agreement
Default: Repossess & auction	Slow sales: Contract extends
Recovery: Legal proceedings	Recovery: Continued fee collection
Risk: Asset depreciation	Risk: Volume underperformance

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The TIX Credit Model

Deal Structure

Based on real KYD Labs agreements:

ADVANCE:         $500K - $1M+ upfront capital to venue
INTEGRATOR:      Venue must use TIX-enabled ticketing platform
REPAYMENT:       Integrator pays TIX Credit portion of service fees
TERM:            Until EITHER 48 months OR $X million in sales
PAYOUT:          95% to venue bi-weekly, 5% reserve for 6 months

Example Economics

DEAL: NYC Club Venue
─────────────────────────────────────────────────────────────────

Advance: $750,000
Volume Threshold: $10 million
Time Limit: 48 months

PROJECTED OUTCOME (assuming $8M in 36 months):
─────────────────────────────────────────────────────────────────
Gross Ticket Sales:           $8,000,000
Integrator Fees Collected:    ~$1,360,000 (varies by integrator)
TIX Credit Share:             ~$600,000 (negotiated portion)
─────────────────────────────────────────────────────────────────
Less: Advance                 -$750,000
Net Position:                 Recoup in progress over 36 months

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Why Venues Take This Deal

The Venue's Perspective

Venues live in constant cash flow tension—they're paying for future shows with revenue from past shows. One slow month can cascade into a crisis.

Challenge	TIX Credit Solution
Artist deposits due before sales	Upfront advance covers float
Cash flow timing mismatch	Immediate working capital
Banks don't understand the biz	Volume-based underwriting
Traditional loans too slow	4-8 week closing

The Trade-Off

Venues accept:

• Using a TIX-enabled integrator (ticketing platform)

• 100% exclusivity requirement

• 48-month commitment

In exchange for:

• Immediate working capital to cover artist deposits

• No personal guarantees

• No asset liens

• Flexible volume-based term

• A ticketing partner who understands the business

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Market Opportunity

The Real Financing Gap: Artist Deposits

The #1 reason venues need capital isn't renovations or equipment—it's paying artists before tickets sell.

THE VENUE CASH FLOW PROBLEM
─────────────────────────────────────────────────────────────────

         CASH OUT                              CASH IN
    ┌─────────────────┐                  ┌─────────────────┐
    │  Artist Deposit │                  │  Ticket Revenue │
    │  (50% of fee)   │                  │  (after show)   │
    │                 │                  │                 │
    │  60-90 days     │                  │  30+ days       │
    │  BEFORE show    │                  │  AFTER show     │
    └────────┬────────┘                  └────────┬────────┘
             │                                    │
             │         ┌─────────────┐           │
             └────────▶│   TIMING    │◀──────────┘
                       │   MISMATCH  │
                       │             │
                       │ = CASH FLOW │
                       │   CRISIS    │
                       └─────────────┘

The math is brutal:

• Book an artist for $100K guarantee

• Pay $50K deposit 60 days before show

• Pay $50K balance on show day

• Tickets don't fully settle until 30+ days after

• Meanwhile, you're booking next month's artists...

Multiply this across 15-30 shows per month, and venues need hundreds of thousands in working capital just to operate—before any renovations or improvements.

Capital Need	Typical Size	Frequency
Artist deposits (primary)	$200K - $1M+	Ongoing
Production advances	$50K - $200K	Per show
Seasonal ramp-up	$100K - $500K	Quarterly
Renovation/equipment	$100K - $500K	Occasional

Traditional options are slow, expensive, or require collateral venues don't want to pledge.

Why On-Chain?

Traditional	TIX Credit
3-6 month origination	4-8 weeks
Bank due diligence	Volume-based underwriting
Personal guarantees	No personal liability
Collateral required	Exclusivity only
Local capital only	Global liquidity

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The Protocol Advantage

For Depositors

Benefit	Description
Real yield	Fees from actual ticket sales
Continuous revenue	Every ticket generates return
Downside protection	Contracts extend, not default
Diversification	Portfolio across venues

For Venues

Benefit	Description
Fast capital	Weeks, not months
No collateral	Exclusivity only
Flexible terms	Volume-based completion
Modern platform	Best-in-class ticketing

For the Ecosystem

Benefit	Description
Protocol growth	More venues = more tickets
Network effects	Exclusive inventory
Fee revenue	Sustainable yield source
Market position	Competing with Ticketmaster

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TIX Credit vs Alternatives

For Yield Seekers

Option	Yield	Risk	Liquidity
T-Bills	4-5%	Minimal	High
Corporate Bonds	5-8%	Low-Medium	Medium
Private Credit	10-15%	Medium	Low
sUSDtix	10-15%	Medium	Queued

For Venues

Option	Speed	Cost	Flexibility
Bank Loan	3-6 months	8-12%	Low
SBA Loan	2-4 months	6-10%	Low
Private Equity	3-6 months	20-30%	Very Low
TIX Credit	4-8 weeks	Fee-based	High

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Competitive Landscape

vs. Ticketmaster

Factor	Ticketmaster	TIX Credit
Capital source	Corporate balance sheet	DeFi liquidity
Deal size minimum	$1M+	$100K+
Contract flexibility	Rigid	Volume-based
Technology	Legacy	Blockchain-native
Transparency	Opaque	On-chain

vs. Other RWA Protocols

Factor	Typical RWA	TIX Credit
Collateral	Physical assets	Exclusivity agreements
Default risk	Repossession	Extension
Yield source	Interest payments	Fee revenue
Liquidity	Very low	Moderate (queued)

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Conclusion

TIX Credit isn't inventing a new model—it's bringing a proven model on-chain.

Ticketmaster proved that capital + exclusivity = market dominance. We're democratizing access to both sides:

• Depositors earn yield from entertainment infrastructure

• Venues access global capital without traditional friction

• Protocol builds inventory and sustainable revenue

The question isn't whether venue financing works—Ticketmaster's market cap proves it does. The question is who captures the next generation of live entertainment venues.

TIX Credit: Revenue-based financing for live entertainment.

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