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A VERY Quick Poll on Ownership
Old 24th August 2002
  #1
Lives for gear
 
Midlandmorgan's Avatar
 
🎧 15 years
A VERY Quick Poll on Ownership

Curiousity only: how are you guys set up business-wise? I mean, are you exclusive sole proprietors, or do you partners?

Not trying to be nosy, but doing some homework. I've had some serious people inquiring about how to buy into our little operation here. I would hate to lose out on the ability to upgrade the facilities and gather up some of the goodies on these pages, but also don't want to get myself into some deep ca-ca .

Thanks for your input, and again forgive me if I am stepping into forbidden territory...



(dfegad on the business side.... for the actual behind the board side)
Old 24th August 2002
  #2
Founder
 
Jules's Avatar
I was just talking to nightclub owner chum of mine and asking how his business was going.... he said he had a new partner that a) had experience with drinks supliers and b) was a hands on resourse for accounting and paper work.
So what can yourpotential partners bring to the table?
I worked as a nightclub promoter for a while and my partner started stealong from me....
Studio partners..... no idea, but its an area to tread very carefully!
Old 24th August 2002
  #3
One with big hooves
 
Jay Kahrs's Avatar
 
🎧 15 years
I'm the sole owner of my company. I'd take on a partner if they had something to offer but it would have to be the right person. And, they'd have to have more then money to offer. That's one of the easiest thing to come across, finding someone you can trust who's a good engineer is a much bigger priority.
Old 24th August 2002
  #4
Lives for gear
 
Midlandmorgan's Avatar
 
🎧 15 years
There are specifically two...one is a real estate wheeler dealer (something that could be massively beneficial-huge isolated facilities) and the other is a nightclub owner (whom I trust) and major act booking agent...

They both offer some very good things. I know that because of the sheer expenses incurred in this biz, that upgrades are, well, expensive, and to be competitive even at the regional level, one must have the right tools and facilities to get nearly any job done.

FWIW: This whole thing started out as a hobby...now it has become an all-consuming obsession...and life as I knew it is on hold until certain recording goals are achieved...

Thanks.
Old 24th August 2002
  #5
Lives for gear
 
C.Lambrechts's Avatar
 
🎧 15 years
I used to have my own little studio in a basement .... jobs kept growing untill it was decission time ..... keep it small or grow into something.

That's about a year ago now .... mentioned it to my ProTools dealer at that point ..... he was having a similar problem. Somehow we talked each other into doing something we both would have sworn not to do .... EVER.

Well we ended up doing it anyhow. ... And now we are looking into rebuilding a hangar to house a big studio, recording shop, some rehearsing rooms and a live stage ....

Partnerships are delicate .... only by fully realising that and having good agreements it can work.
Old 24th August 2002
  #6
jon
Capitol Studios Paris
 
jon's Avatar
 
🎧 15 years
One important rule with partnerships is to never be equal partners and especially not 50/50.

Personally, in your position, I would take on partners only if you retain absolute majority and control.

Good luck,

Jon
Old 25th August 2002
  #7
Lives for gear
 
davemc's Avatar
 
🎧 15 years
I am a sole operator, I still work in IT 2-4 days a week to keep my gear habit going. This causes me not to have the time to promote the studio better. I would not mind getting some one in as a partner. If I could find some one with some more gear/clients/experience and help me up and running to full potential
Lately I have had to put the studio in the background as I had to work on an IT project. So it just sat there idle apart from one of my friends using it for freebies.
It is just hard to find some one you would trust, not going to do the ad in a paper thing. tut
Old 25th August 2002
  #8
Gear Guru
 
Drumsound's Avatar
 
🎧 15 years
I was working at a studio where I was almost in terms of what I did and that I got 1/2 of what I did. I recently bought out the boss, or the gear anyway. I'm going it alone. Though my wife and I may form a corporation for both of our businesses. I think I would only take on a partner if they could really add to the business, and not try to tell my what to do. I would definitely maintain a considerable majority share (at least 65%) because this is my life's blood. I tried being a professional player but have too many "Philosophically" problems with it. I have found studio work to be just as enjoyable/pleasing and it has a lot less of the things I absolutely hate about giging.
Old 25th August 2002
  #9
Gear Guru
 
Drumsound's Avatar
 
🎧 15 years
Quote:
Originally posted by Drumsound
I was working at a studio where I was almost a partner in terms of what I did and that I got 1/2 of what I did. I recently bought out the boss, or the gear anyway. I'm going it alone. Though my wife and I may form a corporation for both of our businesses. I think I would only take on a partner if they could really add to the business, and not try to tell my what to do. I would definitely maintain a considerable majority share (at least 65%) because this is my life's blood. I tried being a professional player but have too many "Philosophically" problems with it. I have found studio work to be just as enjoyable/pleasing and it has a lot less of the things I absolutely hate about giging.
Old 25th August 2002
  #10
Gear Addict
 
RobMacki's Avatar
 
🎧 15 years
I'm small now. In my home. Getting ready to build an addition which will include a studio w/ smal tracking room.
My business is incorporated and the studio (all gear) is mine and paid for. I rent the studio to my corporation (passive income less tax) and pay myself a small salary. I have to be diverse though; radio production, audio post, location audio, some music. and still have to work on the side.
Maybe when studio is finished and has more professional look and vibe, hope to win more clients.
Old 25th August 2002
  #11
Lives for gear
 
Midlandmorgan's Avatar
 
🎧 15 years
Interesting info...especially about personal incorporation and renting back...Thanks! I'll see if I can post bail for my accountant and lawyer...see what they've got on that approach.:eek:
Old 25th August 2002
  #12
Gear Addict
 
RobMacki's Avatar
 
🎧 15 years
As long as all paper work is in order....It's all above board. Just two separate entities and rental agreements etc. I was audited by IRS about two yrs. ago. I think I’d rather have a root canal and proctology exam at the same time. Unless you can have nitrous oxide during the audit. That would be an oxymoron.
Old 28th August 2002
  #13
Here for the gear
 
Donald Ashcroft's Avatar
 
🎧 15 years
I'm intrigued by your audit by the IRS... how'd that go? I'm not being audited but my business is highly suspect(being music related) and I am agressive with the rightoffs... what'd they do? Did they come to your studio/house? Were they hard to deal with?

any info would be apreciated...



dfegad I dfegad R dfegad S
Old 28th August 2002
  #14
Gear Addict
 
Curious G's Avatar
 
🎧 15 years
I'm a sole proprietor and have been at it full-time since 1989 when I left a studio downtown. I've always worked out of my house and the only thing I really want (besides my constant need for new gear) is more space... a nice tracking room would really be welcomed! I doubt I'd ever look for a partner. If I did though, I'd find some successful partnerships and find out why they work and then look at some abyssmal failures and try to gather something from their mistakes.
Old 28th August 2002
  #15
Lives for gear
 
David R.'s Avatar
 
🎧 15 years
Sole Proprietor.

I tried a partnership with two other guys, it never made any $. Instead of one person wanting to buy gear and write it off, there was three. One of the guys was giving huge discounts to his friends (the only people he ever brought in), the other guy never brought in anyone and just wanted to use the stuff to record his own music.

I had to push to get time for my clients, and I was supposed to kick some $$ to the partners for that?

I did this -
Old 29th August 2002
  #16
Lives for gear
 
Midlandmorgan's Avatar
 
🎧 15 years
Hmmm...been giving this a LOT of thought, and as it stands now, I'd just as soon win, lose, or draw on my own accord, with the stuff/facilities I currently own.

There's just something about people, ya know....I'd be real happy if one of my dawgs would inhereit a buttload of money, as I truly TRUST them...shoot, I even ask them to watch my sandwich without a second thought....can't say the same about many people...

Thanks to everyone who posted/mailed...
Old 29th August 2002
  #17
Lives for gear
 
Mad John's Avatar
 
🎧 15 years
I own my own Studio! Only took about 20 years to get to this point, but here I am.

Like Frank Zappa, who had his wife, Gail, I too have my darling wife, who is about to have her first Moon or Dweezil!

Your right though, the trust is more valuble than the finance partner.

Good luck to all you newbees!

Peace & Dreams
Old 29th August 2002
  #18
Lives for gear
 
Fibes's Avatar
 
🎧 15 years
I'm in a partnership right now and must say I'm doing relatively everything myself including frequently having to make excuses and clean up messes. My situation is very similar to David R.s experience and after two years of **** ups I stepped in, almost ruined a friendship and managed to pull everything back above water.
We switched to a DAW a year ago and my partner is just figuring out some of the stuff on page 11 in the manual. So even the days I have off I'm still working. The fact is that it is easier now to do all the work, reap most of the rewards, and just let him pick up the slack than it is to restructure. He's lazy and that has worked to my advantage, weird.

I'll be out of this situation one day, maybe if he figures out how to use the internet, it'll be after he reads this.
Old 29th August 2002
  #19
Lives for gear
 
Mad John's Avatar
 
🎧 15 years
Fibes, that is so sad, but you are doing the right thing by takeing over and doing "what must be done!"

Hang in there buddy!
Old 29th August 2002
  #20
Lives for gear
 
Fibes's Avatar
 
🎧 15 years
Thanks man!

I love your sig file! It reminds me of my mom who gave me Zappa's "The Yellow Shark" before they both passed away from the C word.

I'm hangin' in there and having a blast to boot.
Old 2nd September 2002
  #21
Gear Addict
 
RobMacki's Avatar
 
🎧 15 years
A U D I T

They will ALWAYS get their pound of flesh.
It was before I incorporated.
They came to my work (at that time) which is where I began my business.
(my work knew about it I was using their gear, now mine, long story)
I was up front and honest and kept good records.
My accountant has since told me if you wait and file an extension it takes you out of the audit pool. Maybe, maybe not.
All inspired by "Rich Dad, Poor Dad"
I just need to find more clients in this small market. Building my addition on my house, control room and tracking room.

I.R.S.
Old 2nd September 2002
  #22
jon
Capitol Studios Paris
 
jon's Avatar
 
🎧 15 years
I think the "Rich Dad, Poor Dad" books rock.

Too bad we self-employed engineers/studio guys/artists/music people are all basically condemned to the S category...but that's better than the label mooks, who are E's...

The B and I areas would be nicer to be in.
Old 3rd September 2002
  #23
Gear Addict
 
RobMacki's Avatar
 
🎧 15 years
I can't break free to the next quadrant!!!
I want to be a B but I can't let go! As hard as I try I'm still an S!!
At least I have a better understanding of cashflow.
Old 3rd September 2002
  #24
jon
Capitol Studios Paris
 
jon's Avatar
 
🎧 15 years
Hey, where are you at in Southern Oregon?

I went to high school in Eugene...Marist High.

Wow, that brings back memories.
Old 3rd September 2002
  #25
Gear Addict
 
RobMacki's Avatar
 
🎧 15 years
Ashland/Medford area.
I went to HS in Eugene too. Sheldon.
But also in Santa Fe NM, Reedsport OR, Medford OR and Santa Monica CA.
I Been around.rollz rollz rollz rollz rollz
Old 3rd September 2002
  #26
Gear Addict
 
RobMacki's Avatar
 
🎧 15 years
You're in Paris?!!
I guess I haven't been around as much as you.
I'm pretty much just a West Coast guy.
Old 3rd September 2002
  #27
Lives for gear
 
Fibes's Avatar
 
🎧 15 years
Ashland is a beautiful town, I toyed around with the idea of moving there several years ago... You get any rain lately? I know it has been very dry there.
Old 3rd September 2002
  #28
Gear Addict
 
RobMacki's Avatar
 
🎧 15 years
The last rain was almost two months ago w/lightning.
We've had the worst fires in over 100yrs. The Redwoods were even threatened. Smoke, smoke, smoke. Looks like down town L.A.
Ashland is a very cool and hip little town. I love it here.
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