Like it or not, you ARE a business

For the best financial advice on the planet, click here. And no, I'm not getting anything out of it. I legitimately feel that he speaks financial truth, and that it's valuable information for anyone who is breathing. 

Are you running a business?


The answer, no matter how you slice it, is yes. And if you're in denial, it doesn't mean you actually aren't in business, it just means that your business is being run poorly.

In an earlier post, I mentioned a masterclass I attended with Evelyn Glennie. At one point the discussion turned to the matter of running her tour schedule and finances. With her was an assistant who handled a large portion of those duties. Everyone thought she was joking when she finally said that if she had it to do all over again, she'd get a business degree and minor in music!

But she was very serious.

No, I'm not suggesting that you give up your aspirations of majoring in music (nor was she), but it's a lesson well taken that you need to be able to run your career and life in a profitable, organized manner in order to achieve meaningful success.

Courtesy of Dave Ramsey, here's the question: If you viewed your life like a business, and you hired you to manage things, would you fire yourself? What are your goals? Are you accomplishing them? Why or why not? How do you know?

If you haven't ever asked yourself these questions, take some time when you can think about it thoroughly, discuss it with a friend/parent/spouse/etc. and write down the answers. It may surprise you to find out that you aren't as focused or efficient as you think.

And before we talk specifically about money, I want to clarify my position. I believe, no - I know - that life is not about money. Life is about making a difference, being happy, having great relationships, caring about people, family, spirituality, and enjoying the precious time that you have here. Life is about making music, for crying out loud! 

But while money can't buy any of those things, and it certainly can't buy happiness, it can provide you with a certain amount of security and freedom of choice. For example, imagine that you get called for the gig of your life, but it requires a certain dress code, or drum finish, or whatever - and you're broke! If you can't come up with the money, you must turn down the gig. And that leads to making less money, and so on.

Having a little cash also means greater choice in how you live - what kind of house, car, clothes, food and DRUMS you can afford to use.

So, life's not about money, but you need some. Clear? Okay....

Allow me to offer a few simple (but not easy) suggestions that should make your music and drumming career pay off for both your soul and your pocketbook.

1. Give some of your money away. Many religions advocate giving a tithe, or tenth, of your income away. Pick your church or a worthy charity, and give them some of your hard-earned dough. Even if you're an atheist, trust me on this one. The universe will give you back more than you've given away.
2. After giving, pay yourself first. Some of your money should go in the bank - or even better, a retirement fund - and not come out until you're ready to retire. I know, I know - musicians don't retire. But at some point, you're going to want to have the choice whether to work or not, and you can only do that by having a decent sized nest egg stored away.
3. Let your music pay for your music. If I had a dollar for every time I've given this piece of advice, I'd have......probably about fifty bucks. (Hey, it'd be better than no bucks!) Take a percentage (I take about 15%) of the pay from every gig you play and every lesson you teach - anything music related that earns a little money - and save it for music related purchases. Want a new drum kit? Fine. Need cymbals, a snare drum, or even sticks or heads? New mics, cases or bags? Great! Pay for them by saving up money from gigs, lessons, lectures, clinics, etc. and pay in cash.

Sorry if this feels like a lecture, but I'm getting tired of seeing musicians who give their souls for the art and live in rags, ratholes and relative squalor. Even if you don't make a lot, you owe it to yourself to make your future as bright as it can be. 

Make a difference, make some money, and make it count!

Gear Up: Getting the most bang, boom and crash for your buck!

Part 1 of 2.

When was the last time you made a significant purchase for your rig? I mean a purchase of at least $100 dollars. I know that for some of you $100 isn’t very much, but for me that’s a major purchase!

Today we’re going to take a look at how to keep your expenses down while you keep up your kit.

Have cash in hand.

This is good advice for buying virtually anything, but it’s especially important if you want to get a good deal on a major purchase. Put simply, money talks. Whether you’re buying new or used, make sure you actually have the ability to make the purchase before you start trying to make a deal. 

Cash also has a sort of magic to it when you’re bargaining, even in a retail establishment. You may find that you can get a better deal when the seller knows that you can pay now and that you’re prepared to walk away if it isn’t a good deal for both parties. (For more about saving and managing money, visit Dave Ramsey’s web page.)

For those of us who are fortunate enough to be making a few dollars playing music, I recommend that you set aside a certain amount (at least 15%) from each gig that will only be used on instruments or related equipment and supplies. If you’re consistent and committed to this, it shouldn’t take long before you’ll have a tidy little pile of cash so that you can make careful, relevant purchases when you need to.

A nice side benefit of having a little cash on hand is that you can take care of an emergency without having to forego paying the light bill. Just last fall I had a microphone die (my Beta 52, so it’s not like I could just go without), and I had the cash on hand to replace it with no hassle. I’ll have to put off that new snare drum for a little longer, but my mic dying could have also been a financial problem. It wasn’t.

Be realistic about your needs and priorities.

Unless you’re Terry Bozzio, you probably don’t need 24 chromatically tuned toms or 44 relative-pitch cymbals - and don’t even think about the gongs, my friends. You may have a dream kit on your mind, but you need to focus on the things that will have the most positive impact on you, your playing and your career right now. 

That being said, I have a long wish list, too, and a lot of it is totally unrelated to what I actually need. But at the top of my list are the things that will improve my sound, make me more versatile (and marketable), and will help me expand where, how often and with whom I’ll be able to play. 

So, while you may really want that shiny new quadruple bass drum pedal with matching soda dispenser, it may be more important to get a solid ride cymbal, hi-hat stand or snare drum. Establish your priorities, and always get the most important things first. 

Know the numbers.

I worked in a retail music store for several years. I was amazed by people who had (or have) absolutely no clue about price. This was especially true of younger players, beginners and their parents. What is the internet for if not for finding prices and values? Can you say “eBay?” 

As with saving up money in advance, you need to know what you can expect to pay for something so that you’ll know a good deal when you see one. It also helps to know the MSRP (manufacturer’s suggested retail price - you should NEVER pay this amount for anything!), the MAP (minimum advertised price, although not all brands/items have one), and the street price (average that you’ll pay for it new). 

If you’re buying used, even if something’s in perfect condition, you should never pay more than about 80% of the new street price. The only exception to this rule is if you can be sure that the warranty is still in effect and you get the original packaging and purchase receipt so that you can get help if you have a problem. Also, some manufacturers will only warranty the product to the original purchaser, meaning that the warranty is voided as soon as you buy it from a private individual.


More next week!