Cavalry Media Is In Bad Financial Straits
25.02.2023 - 01:35
/ deadline.com
EXCLUSIVE: The management/production company Cavalry Media appears to be circling the drain. We’re hearing that the company co-founded by Keegan Rosenberger and the recently exited Dana Brunetti is in financial chaos. How desperate is it? The firm’s 14 person staffers have not been paid in months, and they have been without benefits for that long.
Some employees are owed as much as $50K to half million in backpay and commissions. While staffers have been promised by Rosenberger and Cavalry CFO Reed Rogers that more money is on its way in pending deals, they are tired of hearing excuses. They believe the cavalry isn’t coming, and that the company has blown through a majority of its $14M seed funding. Legal suits to get backpay are mobilizing, Deadline hears.
Cavalry’s Rosenberger defends that he’s making a big acquisition in the audio space and that more cash is on its way to right the ship here.
“The company is not in a state of financial distress,” Rosenberger told Deadline this afternoon.
“We have not been notified of a single wage claim or received anything from third party counsel,” he added. Before Cavalry, Rosenberger previously headed strategy and corporate development at Relativity Media.
Morale has bottomed out within the ranks. Staffers and their families are under financial distress having to either borrow to stay afloat or live off savings to pay their mortgages or kids’ tuition. Cavalry staffers are currently at a stalemate with Rosenberger, having been advised by counsel to stay on to keep the meter on the wage claims they’ve filed against the company. A legal rep for Cavalry staffers provided no comment to Deadline.
The honest thing to do would be for Cavalry to let staff go, however, once they do,
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