Sunday, March 25, 2018

How Much Will This Cost?

repair_costOne of the many things students don’t get much of in school is practical economics. As a result, the hourly rate lots of freshly-hatched audio technicians earn is embarrassingly unlivable. One of many reasons the career-longevity of people in the music and entertainment business is notoriously short. While I was working on one of those projects that usually inspires the notion “I could be doing better than this working at a convenience store,” I decided to write something about my own business experience in the music and audio business.

Until the day I retired, I had a price list for the various services I supplied to a variety of; from musicians and facilities who hired me for location recording gigs to studio and audio equipment repair services for musicians and recording studios to building contractors (acoustic design consulting) to law firms (audio forensics). Some of my price list was determined by the liability insurance required which was mostly determined by the customer (law firms) and the risk (to me, financially) involved in making a court statement about whatever the law suit involved. Acoustic consulting work for commercial construction was almost as risky and required similar insurance protection.

My rates ran from $75/hour to $275/hour. Those are “billable” rates, however, which are not necessarily the same as the hours I actually spent on a project. For example, a lot of recording work requires prep time and effort that the customer doesn’t see or appreciate. So, it just gets folded in to the billed rate. Recording projects are particularly expensive, time-wise, from my perspective. It’s possible at the high end of the “audio engineering” world that people actually make a decent income, but I always suspect a trust fund is involved when someone can afford to spend a career in entertainment.

pyg7cOddly and classically American, my experience with the high-ticket projects came dangerously close to being volunteer work because my liability insurance was so expensive. When I started planning for retirement and was winding down my businesses, the legal work went first. That saved me about $3500/year in insurance costs. The only way doing that work makes sense is if you do enough of it to make up for the insurance cost; at least 20 billable hours. It isn’t reliable work and lawyers, as you might guess, don’t pay their bills quickly and are hard to collect from. It was easy work to give up.

closedFor that same reason, the acoustic consulting work went next. That saved me about $1500/year in insurance costs. Again, it is work you can’t count on and it’s usually not much fun. Although the engineer for the last contractor I worked with was terrific. He did everything he could to take responsibility from me for liability and customer interaction. Designing a quiet staircase in a multi-use building or plugging all of the sound passage routes between a first floor pediatric dental office and a lower-level computer programming company is just not exciting work. Recording studio work is fun, but not particularly profitable. Most of your customers are cheap and not particularly sophisticated and your competition all has a trust fund to spend.

Mostly because several of my ex-Studio Maintenance students were doing a lot of studio maintenance and looking for more work, that business was mostly easy to quit. I just started directing inquiries to them. In the last two years, I’d raised my prices to $225/hour hoping that would drive the business to cheaper techs. When that didn’t work, I had to tell a few customers that I was absolutely no longer interested in crawling around their studios or scouring the food, drink, and drugs out of their wreaked equipment. At least one of those characters had alienated every decent tech I knew of and, I suspect, they simply shut down the studio after the last piece of gear quit working.

Since the 70’s, I haven’t done music equipment repair for anyone other than myself, mostly buying broken gear and selling it in original or hot-rodded condition. In March, 2018, I had about a half-dozen pieces of equipment left in my shop and I am slowly working my way through the pile. When it’s done, I’ll probably convert the electronics shop to a guitar building and repair shop. Or maybe I’ll hand the bench over to my wife for her art projects.

I still do occasional location recording gigs, but with really limited capabilities: no more than 8 simultaneous channels and my interest in working on overdub or large-track-count projects is close to zero. My simple rule for recording projects is, “If I like what you’re doing and the project is fun (meaning, you are not an asshole), I do the job for my cost. If I don’t like you or the project, you can’t afford me.” Most people can’t afford me. I’ve quit pretending like people or projects that I’d just as soon avoid.

c7bbc0570f684ac0ca8fa94366f438dd27c40c37562726a6e386da61927fae2eI’m not being a snob, I would just rather be retired and working on my own projects than worrying about pleasing someone else. I spent more than 50 years of my life trying to make other people happy. For the few years I have left to live, the only person I’m interested in satisfying (avocationally and vocationally) is me. I’ve paid all of the multi-tasking, menial labor, service-job dues I’m planning on paying until I croak. For a long while, I was fairly good at pretending to care what marginally-talented, egotistical, humorless, joyless people thought of my work. Those days are done and, unless I find a way to go broke between now and my last breath, they will never return.

No comments:

Post a Comment