# How to figure overhead?



## EvansMomma (Jun 6, 2011)

Okay, I can't stand my day job anymore. I NEED to get my business going. I am trying to come up with a business plan so I can figure what I need to make to survive, and I'm worried I'm planning too low.

Anybody have a good rule of thumb to follow to calculate overhead?

Basically, I'm looking to do portraits, I don't really *want* to get into weddings, at least not yet. I don't feel I'm ready for that, I've shot one as a favor for a friend, and I just don't feel that it was my "thing". So mostly just family, kids, seniors, maternity...the "every day" stuff. Eventually I'd LOVE to get into birth photography, but that's a wayyyyys down the road!

I prefer mostly to work outdoors, with natural light, but there is a studio about 30 miles from my house that I can rent by the hour, if necessary. 

I have a website, which I'm hoping to eventually re-do and add online proofing/ordering to (any suggestions?). What else do I need/should I have in ways of marketing/advertising? Of course, I'd like to rely mostly on WOM, but what's the best way to bring in the initial clientele that would be referring those customers? My friends are all cheap, and wouldn't pay $2.00 for a professional photographer, so that's probably not a good place for me to start! 

...Sorry, getting OT here...

Overhead...what is the best way to calculate? What things do I need to consider that I may be forgetting?

TIA for any answers


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## EPPhoto (Jun 6, 2011)

A well known photographer has a killer website that's focused on marketing/pricif ect... for photographers.  His name is Lawrence Chan and his site is www.tofurious.com

Start there!

Sent from Erics iPhone!   (2) Nikon D300 50mm 1.4, 17-55 2.8, 70-200 2.8VRII, 24-70 2.8, 85mm 1.4, (2) SB900


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## reedshots (Jun 6, 2011)

How much income do you need to pay current bills if you are quiting your day job, then add a bit for slow days and new/more equipment, gas for location shoots, advertising and more.


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## Bitter Jeweler (Jun 6, 2011)

Overhead is calculated by adding all of your expenses for the month. This is what you need to make a month. You can divide that out by how ever many "shoots" you can or want to do per month, to figure out how much you must charge, with a base of basic packages you will offer, and time spent post processing. 

Things you need to include, and not limited too...Your salary, rent, utilities, taxes (remember to figure the taxes that come out of your income), travel, insurance (health, equipment, LIABILITY), marketing, web hosting, equipment rental, and PROFIT. You also have to figure out the costs of supplies or prints, and what your markup should be.

Keep in mind how business cycles go, and when are a photographers busy seasons. You don't want to be strapped for cash in the slow months! 

There is some good business plan creation software out there that is really helpful. 

You will be hard pressed to get your business running to the point that it can replace your day job.
Think of all the other people thinking photography is the answer. They are your immediate competition.
Natural light? Learn how to use flash/stobes, and instantly put yourself above all the other natural light photographers (beginners).
Look at craigslist and facebook pages in your area, and even the phone book.
Good luck, it's a tough world out there!


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## flea77 (Jun 6, 2011)

What Bitter said, and BTW, natural light stinks!!!!! On the best of days when it is overcast so your subject, background and foreground are all equal brightness, it is also very flat. If the lighting is not overcast, you have harsh shadows, so you stick your subject in the shade, then the foreground and/or background gets blown out. What a drag! There is a reason people look at me strange when it is a beautiful sunny day and I am shooting in the park with lights, umbrellas and reflectors (it sure isnt because I enjoy carrying all that around!).

Allan


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## orljustin (Jun 8, 2011)

Your post pretty much says "I'm a mom with a camera, and I'm not really serious about doing this as a business".  Big standout? "I prefer mostly to work outdoors, with natural light" - translation: I don't know how to use lighting or don't really want to make the effort to get the results.  "I'd like to rely mostly on WOM" - translation: I'm not really willing to spend any money to further this venture.  Etc...  

lol - Even your profile says it: "I'm totally a MWAC!"

... but yeah, bitter has it right above.  Pretend your new job has to pay for everything your old job supplied you with.


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## simpy (Jun 18, 2011)

The problem with planing your over heads is no matter what you will almost always find its more than you expect. Every single penny adds up so be careful.


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## Jason_Moore (Jun 20, 2011)

think of home studio. save your money. if you have a backyard then turn it into a studio.


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