Both Stubhub and Vivid sent emails out on Sunday March 8, 2020 saying they are changing their payment terms to “5-8 business days AFTER the event takes place” due to the coronavirus. I see where they are coming from – let’s say they’ve paid you $10,000 worth of tickets and now all those shows are cancelled – they may have a hard time reclaiming that $10K. Of course they’ll send you to collections and ban you, but they may still not get their $10K back. On the flip side, this means you as a broker now have to float your capital a whole lot longer.
Should be interesting to see how this plays out. Maybe this’ll wipe out the small time ticket brokers who can’t float the capital. Should be interestingg indeed…