No one wants to have a debt. This is because debts can be awfully troubling. Debts can reduce your level of creativity. Studies show that people with debts are twice likely to lose their cool compared to debt free people. Which means you can be erratic. When your photography business is in debt, you are in debt. You must do everything in your power to get out of it.
A photography business is a people-centered service. You need referrals, networks and more people appreciating your work. To achieve this, you require time and an effective marketing system. Trying to spend more or buying more items can be counterproductive. In this article, we look at how not to go into debt. To do that, try to follow this guide.
Never chase trends
There is no customer who will ask you what camera you use to shoot. Most customers look at your portfolio. If they like it, they will hire you to shoot them. It really doesn’t matter if you have the latest Leica or you simply have a $700 camera, what matters is if you have a decent portfolio.
Never chase new trends in the photography market if they will make a significant dent in your finances. Most people fall trap of trendy cameras. Though the camera gives you a boost for some time, hedonistic adaptation soon kicks in before you even recover your money.
Spend prudently on new items and work within your capability. At any level, notice there are customers. At your level, there are customers. When you grow to the next level, there are customers too.
Track your dollars
You can find spreadsheets online or even software programs that can help you track your finances. Use a simple spreadsheet. No need to buy a software. In that spreadsheet, make sure there are columns for customers, products, profits, costs, taxes, revenues, and savings. You may add more columns on demand.
Tracking your dollars gives you a clear picture of your finances. If you don’t track your finances, a client may pay $2000 and you feel like you have a windfall and be tempted to take a small vacation. If you break down the money, you might notice that the costs take 40% of the money. Remember you must restock if you have used your supplies. Tracking will make you a better spender.
Practice second thought and alternative thoughts especially on travel
Has a client ever asked you where you took a photograph and once you told him or her he is shocked? If yes, it means you have known to work within your available resources. Appreciate the resources you have. You don’t have to scale the Rockies to get inspiration. You can work in your immediate environment.
It is tempting to break your bank occasionally to go to exotic locations, but be careful. Overspending on travel or on some items can leave you scrabbling for loans. Nationwide Debt Direct advices small businesses to operate within their budget. They argue that no amount of loan is ever enough for a startup if it cannot learn to exercise second thought.
Spend your money and resources learning new things
If you learn more things, it makes it easier for you to do things. For example, spending on a management seminar or class can give you plenty of insights on how to run a business. It can also help you network. Further, a class in bookkeeping can save you a small fortune that you would have otherwise spent on a tax expert.
Learn how to do online marketing, learn new tricks in the business, follow inspirational role models and keep tabs with their secrets. Remember that, photography is an experience. Always learn one thing or another and you will save a lot. It will help you cut on costly mistakes that you would otherwise make if you did not learn.