THE ECONOMICS
Revenue exists so the mission can bless. This is not a pitch deck. This is a transparent accounting of how the organism sustains itself and why every dollar flows the way it does.
ENTITY: LLC REGISTRATION PENDING
REVENUE STREAMS
The Local Motives generates revenue through six interconnected channels. Each one triggers the next. The Rube Goldberg machine of sustainable art economics.
| Revenue Stream | Description | Est. Annual | % of Revenue |
|---|---|---|---|
| Mural Commissions | City, brand, and private mural projects. Full project management. | $120,000 | 35% |
| Brand Partnerships | Authentic cultural sponsorships with full IP protection and brand-safe execution. | $85,000 | 25% |
| City Contracts | Municipal cultural infrastructure. Graffiti-to-mural conversion. Youth programs. | $60,000 | 18% |
| OnlyCans Subscriptions | Patron subscriptions (Drip/Pour/Flood tiers). Live stream tips. Direct artist support. | $35,000 | 10% |
| Licensing & Merch | Design licensing, print sales, branded merchandise. Sticker campaigns. | $25,000 | 7% |
| Grants & Donations | NEA, state arts councils, private foundations, individual donations. | $15,000 | 5% |
| Total | $340,000 | 100% |
ARTIST PAYOUT MODEL
The industry standard is a 50/50 split — or worse, "exposure" with zero compensation. The Local Motives operates on an 85/15 split. 85% of every commission, tip, and subscription goes directly to the artist. 15% sustains the platform, covers insurance, manages contracts, and funds the next mural.
"You can make more friends in two months by becoming interested in other people than you can in two years by trying to get other people interested in you."
— Dale Carnegie, How to Win Friends and Influence PeopleThe platform exists to be interested in artists. Not the other way around. When artists succeed, the platform succeeds. There is no scenario where the platform wins and the artist loses.
COST STRUCTURE
- Artist payouts (85% of commissions/subs): $170,000
- Insurance (liability + artist coverage): $8,000
- Legal (contracts, IP protection, entity): $5,000
- AWS infrastructure: $500
- Marketing (stickers, events, travel): $12,000
- Equipment (supplies, scaffolding, lifts): $15,000
- Founder salary (modest): $48,000
- Gross revenue: $340,000
- Artist payouts: -$170,000
- Operating costs: -$88,500
- Net margin: $81,500
- Reinvestment (50%): $40,750
- Emergency reserve: $20,375
- Mission fund (grants): $20,375
UNIT ECONOMICS
| Metric | Value | Notes |
|---|---|---|
| Average mural commission | $8,000 | Range: $2,500 - $25,000+ |
| Platform take per commission | $1,200 | 15% of $8,000 |
| Average OnlyCans subscription | $15/mo | Weighted avg of Drip/Pour/Flood |
| Target subscribers (Year 1) | 200 | Conservative, organic growth |
| Monthly subscriber revenue | $3,000 | 200 x $15 |
| Average sticker campaign ROI | 15:1 | $200 print cost : $3,000 lead value |
| Customer acquisition cost | $0 | Guerrilla marketing. QR stickers. No paid ads. |
| Lifetime patron value | $540 | 36-month avg retention at $15/mo |
THE BEAUTIFUL BUFFET
Every seat at the table eats. This is not negotiable. If the system cannot produce a win for every party, the system is not finished. We do not ship until everyone eats.
| Stakeholder | What They Get | What They Give |
|---|---|---|
| Artists | Paid work, legal protection, creative ownership, livelihood | Their craft, their time, their vision |
| Cities | Cultural infrastructure, graffiti cost reduction, civic pride | Wall access, permits, partnership funding |
| Brands | Authentic cultural partnerships, brand-safe execution | Sponsorship funding, market reach |
| Patrons | Exclusive content, direct artist access, community belonging | Monthly subscriptions, tips, word of mouth |
| Communities | Belonging, purpose, civic pride, mental health infrastructure | Engagement, feedback, local advocacy |
| Youth | Workforce pathways, mentorship, creative programming | Energy, learning, the next generation of the mission |
"Talk to someone about themselves and they'll listen for hours."
— Dale CarnegieEvery page on this site talks about the people it serves. The economics page is no exception. This model was designed for humans, not spreadsheets.
LEGAL STATUS
PENDING The Local Motives is in the process of registering as a single-member LLC in the State of Utah. EIN application, business banking, and formal operating agreements are in progress. All contracts, artist agreements, and partnership documents are drafted and available in the legal library.
EXISTING LEGAL INFRASTRUCTURE
- Artist Agreement — Standard contract for commissioned work
- Brand Sponsorship Agreement — Partnership terms with IP protection
- City Partnership Agreement — Municipal activation contract
- Mutual NDA — Confidentiality for partnership discussions
- License Agreement — IP licensing terms
- Vendor Agreement — Third-party service terms
- Volunteer Release — Liability waiver for community events
- Advisor Agreement — Terms for strategic advisors
- Terms of Service — Platform usage terms
- Privacy Policy — Data handling and privacy commitments
COMMUNITY PROGRAMS
- Spray It Forward — Diversion, reintegration, community service, and AI workforce insulation
- Law Enforcement Briefing — Comprehensive civic briefing for officials and agencies
- Civic Activation Deck — State-level partnership briefing