Quote:
Originally Posted by FlikFilms
My biz partner and I are finally tired of destroying our living rooms to (barely) meet our studio needs. The majority of our business is portrait and wedding with a little advertising/editorial work thrown in here and there. We are currently looking in the higher end areas right now and have found prices to be, well, priced accordingly!
Here is my question... Do you guys think that it is worth an extra $1000-$1500 per month for the high end exposure? I would love to hear about your experiences. Thanks for the input!
-Jason
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Jason,
Cost of leasing is difficult to comment on unless the person making the comment is familiar with your area and various other factors. I could not find where you are mentioned anywhere on your site, but noticed from the info on your profile you are in Tulsa. You stated a figure, but do not say how much square footage. You also did not mention if you have an area in mind; not that I would know where that would be, since I am not that familiar with Tulsa. In my area of West Texas (Odessa), at the moment retail space is at a premium, and little is available.
If your current location has a separate entrance and can be perhaps redesigned to make it appear like a "commercial" studio that might be a consideration. If you need additional space for camera room, reception, etc, could that be done for $12,000 to $15,000 (in renovations)? If so, that would represent about a year's lease.
I agree that some customers are more apt to consider using you because you have a commercial location, but then you have to (probably) add the cost of utilities, and insurance. Most lessors require a certain amount of liability insurance in order for you to operate from their property.
Other considerations:
Travel time to and from the studio is a factor also. Will you spend an additional 2 hours commuting? Do your current customers express any displeasure with your location? How long would your lease run.. 1 yr.. 5 yrs?
Just tossing out some random thoughts in no particular order.
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You might talk to your CPA or maybe get professional advice from a management company about how much more income you would need to bring in to cover the additional cost.
Think about cost more like double what the figure you stated.
.edit........... I mean costs (some previously mentioned)... insurance., travel,
new furniture,.. addtional phone lines....
There are so many photographers who are either returning to their homes because of cost (or so I am hearing form those in Texas), and others who are just starting out in their homes.
I began my career in 1970, and purchased my building about 25years ago and am established. However the area I am in is not a highly desirable retail area. It is not run down, but not "spiffy and shiny" like a mall location. I am sure I loose some business because of that.
I looked at your web site and you have some very impressive work.