I'm very familiar with Joe Budden's deal over E1. They gave Budden $75,000 to spend in marketing & advertising & $75,000 to spend on the album as far as recording, production, etc & for a Music Video...
The average E1 Artist spends about $30,000-$40,000 on paying for radio play. Also about $20k on PR, blogs, getting his video in rotation, etc... & he more then likely spent less then $35,000 on production & $15,000 on recording, mixing & mastering because he has most of it in-house...
Budden only needs to sell around 40,000-45,000 for E1 to recoup its money completely because they have a 65/35 split because Budden had previous success in the industry. In about 9 months Budden's sells will top off around 75k-85k so even without touring he'll pocket a couple hundred thousand. Especially since E1's only real job will be to distribute his album since he has all of his own resources & relationships that he's built over the years.
If you're an artist who can drop an album every few years & make $250,000 you're doing better then 95% of artists in the industry...
I can't stand Joe Budden... I think he is a hypocritical ass whiny ass underground wannabe mainstream artist but he is winning right now...