Thread by @wumifab

1/ HOW TO ARRIVE AT A BILL: LESSON FOR CREATIVES

So let's talk about how to bill for Creatives, in this case, photographers. Any artist can definitely work around this too. A thread inspired by @MayorUyo question

This #Thread will give you an idea of how to go about it

2/ deciding how to bill clients without making it a guess work. This thread works with estimates, so you decide on your costs based on your reality/location.

Here it is:

It takes a process. With a lot of valuation.
That helps give a base line cost

Values your gear

Say

3/ that comes to ₦600,000

So you use a ₦600,000 equipment on the average to shoot.

If you forcast they will become unable due to age or wear in 2 years, that's mean

Every shoot (if you do 12 a year) cost your ₦25,000 in equipment.

For a better estimate, you would

4/ actually need to break your gear down to each component eg. Camera, lens, flash etc

So for a shoot for me for instance,

Camera = ₦10,000
Lens each = ₦3,500 (so that's ₦7,000 for 2 lenses)
Higher end lenses cost more
Flash= ₦3,000
Reflector= ₦500
Other lights= put a

5/ figure for each

This gives a baseline equipment shoot cost

Now let's say that comes to ₦60,000 (per day)

You then create a based line cost for Transportation

Lagos for me is = ₦6,000 (epe, Ikorodu and Badgry cost more)

Out Lagos is estimated based on location and type

6/ of transportation

If lodging is required, I often ask clients to sort that out. So I won't over bill for accommodation at the same time I talk to them about quality of accommodation to. Nothing fancy, something within budget

So let's say location for shoot in this case

7/ case is Epe, I'll charge around ₦9,000 for transportation

That puts our overall figure to ₦69,000 (60k for equipment)

Now personnel cost

I pay myself ₦10,000 daily for a shoot plus ₦2,000 feeding

That's ₦12,000

That's now ₦81,000 in overall cost

8/ Post shoot edit 

I pay my about ₦6-10k depending on the number of pictures to edit

Using ₦6,000 (like yours which is documentary not wedding with tonnes of pictures)

That's now ₦87,000 in cost

With this baseline, I know the minimum I can charge even if it's at a no

9/ profit project

You can definitely revise the costs based on your equipments, and your perceived daily worth of your skill.

There's another long epistle on doing a self value accessment which can help you value your personal worth per project.

Once you are about to figure

10/ out a baseline like it's reflected here, you can decide your profit is 100% of baseline, or 50% etc.

Then you can also decide on discount based on long engagement meaning if you will be with a team or company for a week, you may decide to cut your baseline cost by half. So

11/ instead of charging  ₦87,000 per day baseline, you charge ₦44,000 x 5 (₦220,000 baseline) on that you then add a percentage profit margin.

With this approach, you cost would be less based on feelings or the colour of the sky 😃 on the day you are sending out a cost.

12/ With this you can even create packages you can sell i.e.

2 day documentary shoot

XYZ camera

1 man shoot

20 edited pictures after shoot

Location within XYZ

Cost: ₦2***,***

May I add, when cutting back on baseline cost during long engagements, try not to cut deep

13/ into your equipment cost as this is kinda a fix cost for you

On the flip, you can breakdown your equipments based on perceived usage cycle.

If you perceive a ₦400,000 camera to work fully 50 time, then your per used value is ₦8,000. Just work with something that errs

14/ towards the higher valuation. For some of the cost, just SWAG it (that's making a Systematic Wise Ass Guess)

I hope this epistle helps.

Please retweet and tag someone who might need this. Share your idea in the comment section too.

I may just decide to do a thread on calculation of self (personnel) cost for Creatives.

Don't forget to like and retweet.

@HenshawKate
@DrJoeAbah

#END

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