Friday, 7 December 2012

Budgeting Workshop


Estimating - Production - Invoices

  • Working out and accertaining production costs is a key skill for photographers
  • Being able to price cots effectively and efficiently will make your persnoal work be more productive and will win you commissions if a potential employer knows that they are getting value for money
  • Being able to account and bookkeep for incomes and expenditures in everyday life will help to stabilise your career
Paperwork
Estimates are based on the information/brief originally given by the client and should include:
  • Agency and Client
  • Photographer
  • Job description
  • Media use
  • Right to a credit
  • Exclusivity
  • Fees
  • Expenses
  • Base usage rate
  • Contingency (10%)
  • Terms and Conditions printed on reverse
Working out a fee
There
 are 
no 
standard 
fees
 in 
photography
 and should therefore
ideally 
always
 try and
 get 
an 
idea
 of 
the client’s 
budget 
before
 you
 begin 
an 
estimate.



Your 
fee 
or 
day‐rate 
needs
 to 
encompass
 not 
only
 your
 creativity, experience 
and uniqueness, 
but 
also 
the 
tools 
of 
your
 trade, including 
the 
running
 of 
a 
studio, equipment
 purchases 
and maintenance, 
plus 
other 
miscellaneous
 expenses.
As 
a 
rough 
guide
 here 
are 
the 
fees
 photographers 
in 
different disciplines 
can 
expect/hope
to
 charge:

• Advertising
: 
£1000 
‐ 
£3500
 per 
day

• Design/Corporate
: 
£500 
‐ 
£1500
 per 
day

• Wedding
: 
£500
‐
£2500
 per
 day
 (mainly
 weekends?)

• Editorial
: 
£50
‐
£450 
per 
day

Working out a day rate
Quick points to consider:
  • No one works 365 days, or 52 weeks a year
  • Figure out how much income you need for fixed and non-fixed overheads - then divide that by how many days you will idealy work: 50 for newbies, 100-150 for more established photographers
  • £400 a day is the figure to aim for
Fixed overheads
These can include:
  • Rent
  • Portfolio, test shots
  • Marketing
  • Mobile phone
  • Stationary
  • Banking and overdraft charges
  • Repairs
  • Insurance
Insurance
http://www.williamsoncarson.co.uk/ is an insurance company originally designed for the entertainment industry. It has since expanded to other industries, such as meat, catering, and travel, but still has it's strong creative industry base,

Non-fixed overheads
Examples of these include:
  • Studio hire
  • Equipment hire
  • Assistant
How to calculate a day rate
cost of fixed overheads + cost of non-fixed overheads = the cost of producing one day's photography
the number of days worked

Questions to ask regarding a brief
  •  How
 many
 ads/portraits 
are
 required?

  • Where
 will 
the 
ads
 be
 going 
–
 final 
format, 
portrait, 
landscape,
 DPS, 
48 
sheet 
billboard?

  • Budget 
for 
locations?

  • Is
 a 
casting
 required?

  • Will
 the 
models 
need
 styling/hair and 
make‐up 
- if so, 
what 
budget?

  • Will
 client 
and 
what 
other members
 of 
creative 
team
 will
 be
 on
 shoot?
  • Ascertain 
how
 many 
days 
to shoot

  • Ascertain 
what 
camera
 format to
 shoot 
in,
 35mm/MF/LF

  • Ascertain 
number 
of 
scouting and 
casting
 days 
required?

  • Ascertain 
need
 for
 stylist 
and/or
 hair 
and
 makeup

  • Ascertain 
how
 big
 the 
crew
 is for
 logistics
 and
 subsistence
Fees
 & 
Expenses
 in
 Real
 Terms

  • Commission 
Fee 
– 
Your 
personal
 fee
 for
 your
 talent 
and creativity,
 but
 will
 also
 include insurance 
and 
bought equipment 
costs

  • Pre
Production 
Fee 
– 
All 
the
 time
 you
 have 
spent 
scouting, calling,
 casting
 and
 organising the 
shoot. 
Fee 
will 
not 
always be 
met.

  • Post
Production
 Fee 
– 
Digital 
capture, 
RAW
 processing 
and retouching 
of 
files. 
A 
way
 of getting
 money
 back 
on 
your digital 
investments.


  • Base
 Usage 
Rate (
B.U.R) 
– 
a 
percentage 
table 
indicating
 how
 much
 one
 can
 charge 
for licensing 
and
 future
 licensing dependent 
on 
certain 
factors 
such 
as 
geographical 
territory

Equipment suppliers
10% contingency
A 10% contingency rate should be applied to any project in order to get funding. It gives an extra 10% of the budget, just in case something goes wrong, that way you have enough money in the budget to cover yourself in case of unseen costs.

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