To be fair, £12/hour is probably more than Hull’s total economic output so it’s pretty impressive nonetheless.
Thanks for the interesting thread, all who have participated.
That’s a bold guess bearing in mind you know zero about my business. Do you really I think it’s possible to oprate a successful business without doing the numbers, and by losing money on every transaction?
Regardless, I’ll stop posting since it obviously displeases you. Ill try to do as you say and emulate Mr Mixerman, especially this part:
That’s priceless. A real gem.
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Hi AJ113
My intention wasn’t to get you to stop posting, my intention was to bring some reality and business acumen to the discussion. My guess is not actually that bold. Here is what it is based on. 95% of businesses of any sort fail within 2 years. I see many, many businesses loose a nickel per unit and try to make it up in volume. The most common studio model is self funded studios that get their funding from someones day job because they are a hobby not an actual business returning a profit.
I’m not sure where you are recording. You may rent a facility, use your basement, garage or bedroom. If you are renting you’ll probably be putting the lions share of your profit into rent. If you are not renting you likely don’t count the fact that you should pay rent to yourself for the use of space and that this is a real expense. Most “hobby type” recordists spend every cent they earn on gear, plugins etc. There is nothing wrong with this and it should not be mistaken for a business. It is a hobby. A very rough estimate on profit for a lot of businesses can be run on percentage. Shop rate can be divided into 3. 1/3 Infrastructure costs(heating, equipment, property taxes etc) 1/3 staffing, 1/3 profit. Some companies like construction companies operate on very thin margins of 15%. Well run restaurants run at about 30% profit. So if you have no staff and you are very shrewd with your expenses 1/3 of your cash flow will be for expenses and you will be pocketing the rest. If you are booked for 50 weeks a year 5 days per week (maximum reasonable hours possible) that is a gross profit of $22500. If you take 1/3 for expenses you’ll have $7500 for expenses. and $15000 to live on. Converted to pounds you’ll be sitting at roughly 20,000 cash profit and 10,000 for expenses. To be quite honest I can’t see running a facility of any sort and turning a profit at that price. Especially since the reality is that few studios are 100% booked.
Don’t get me wrong I totally respect that many hobbyists make great recordings and have no need for cash flow because that comes from a day job. That is the majority of home studios.
What my post was meant to inspire was a critical fact based discussion, not a shutdown. What I hear is mixerman divulging is his strategy for maximizing what he can bring in for cash flow. In this situation it is true that not all clients will pay the same rate and he will do more or less a similar job. In my experience it is 100% true that clients that are only worried about the cost end up being a total pain and taking even more time than a reasonable person will estimate. People that will pay the higher rate are often good decision makers, get projects done, and don’t sabotage the work by second guessing decisions that don’t create a positive emotional impact. When you get a good client that pays well you tend to do better work because you are free to do your best without the frustration of people that work against themselves.
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Which I have done, and you didn’t like it.
Your post is one massive strawman. I don’t even know where to start to refute it, but I don’t have the time, the energy or the inclination anyway.
Have a nice day.
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People were waiting to see if you would figure out how much Eric’s knowledge and experience exceeds anyone we’ve had with us to date. But now many of us are scratching our heads wondering why you just won’t be quiet and learn something for however long he decides to stick around.
Look, if Donald Trump walked into an networking event and started taking over the conversation in the room, and I didn’t want to hear listen to his bullshit I’d just go to another room and snack on free horderves there until he went away. I wouldn’t stay there and heckle him because its impolite to the people that are trying to speak with him, and even worse, it would make me look like a stupid pretentious ass hole that shouldn’t even have been invited to the event. Yeah, I may not have asked for Trumps help, and I may not even want him at the event, but the reality is that other people do and the world doesn’t revolve around me.
This entire forum is past pretending that it is a ‘home recording forum’. We’re both on another forum that’s a ‘home recording forum’. I’m sorry if that’s a blow to your ego (well, actually I’m not) but the other reality is this is NOT the same forum we came from.
I had noticed. I’ll leave you to it.
Wow… throw money into a discussion and the worst of human nature immediately shows up.
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