In the early 1930s, the cabaret artist Emil Damaschke tries to keep his audiences entertained, but his excessive boldness gets him kicked out of the Rosenthaler cabaret. He briefly lands in prison, but after his release, he forms a collective with his former colleagues, who are also out of work after the cabaret's Jewish owner was forced to flee Nazi Germany.

Emil collaborates with Hungarian artist Ida to attract the working class as their new audience. However, they soon encounter trouble when a criminal gang committed to the Nazis decides they want a part in the cabaret.