How much do you charge?

[Chadfish]

Well zeke, I am an employee halftime now, and I work from home, using all my own gear, save for lights. My point was that why would I break my back doing these jobs if I could sign up for them myself and get the whole 300.00 vs just 45.00 from my boss. It comes to about twice my pay to really cover the cost of paying for me, according to my boss, so he basically pays out 90.00 and after getting the 300.00 makes 210.00 profit. That's OK if the job is local and easy for me, but I won't break my back driving 6 hours and working 3 at 15.00 an hour. That's all I was saying. I can spend my time on one of these cheapo ads and have a better work/pay ratio.

Cheers.

[Eric1138]

I just checked out this thread and haven't read all the posts, so forgive me if someone has already stated any or all of this.

If you're thinking about going out on your own, there's a lot you have to think about. I say this as someone who runs his own small production company - www.100acrefilms.com. It can be very hard with long hours. But it can also be one of the best, most fulfilling experiences of your life.

I spent a lot of time working in the video production industry here in San Diego after film school. I got to know many of the players, and after being laid off from a company I was at, I decided to go on my own. I spent almost a year making not a lot of money ($15-$20/hr) shooting and editing for a local producer. While the pay wasn't great, I got a lot of experience and the producer was someone who was very well known in the local production community. Through him, I was able to meet a lot of people in the industry, and some of them wanted to hire me based on work they'd seen me do. Of course, I raised my rates for them.

I went out and built a new computer, loaded it up with Premiere Pro, bought myself a camera, and slowly, but surely, the new clients started to call. Never underestimate the power of word of mouth - clients want to go with someone they trust, and if someone they know recommends you, that goes a long way. Working for that lower paying producer was one of the best things to happen to me. Through him, I was able to make a LOT of connections – connections I now call on all the time to help with projects. And he’s a great guy – one that I can call on for advice.

My initial investment to get started was pretty low - I financed my gear with no-interest credit cards that I paid off over time, and I worked out of my small apartment. But I've been able to grow my business, and I've got clients that keep me busy. I sometimes work long hours, but it's worth it.

I still freelance myself out to other companies for shooting and editing - and I give them a 35% discount on my rates if I'm using my gear. After all, they brought me the work, and it was them that landed the client. Now, if they want me to use their gear, then I have a lower set of rates...after all, it’s their gear – not mine.

Rates are, as I'm sure someone has said, is whatever the market will bear. Many production companies here in San Diego charge $125/hour or so for editing - some more, some less. For shooting, rates range from $400 to $1250 per day depending on the shoot. You need to find the rate that best suits the level of service you provide. I’m no ASC quality shooter, but I can do a good job. For high profile jobs, I hire a DP who is very, very good. For other projects, I do it myself. If you’re not a great shooter, you’ll never make it charging top shooter rates. And you shouldn’t take those jobs because you’ll be doing the client a disservice, and possibly ruining your reputation with the client if you can’t deliver the quality they’re looking for. Same goes for editing.

I will say this though - the market for our work is changing. The lower cost for equipment, the advent of YouTube and people accepting lower quality looking work (things just have to look "good enough" it seems), and the current economic climate have impacted everyone I know. The production houses that demanded top dollar are cutting rates, clients are wanting the same (or more) level of work for less money, and kids out of film school with a prosumer camera and FCP on their MacBooks are charging next to nothing for work and hurting the whole industry.

So - where does that leave you? If you are a highly motivated person, if you love what you do, and if you are passionate about your work I'd say go for it. But realize that YOU have to make it happen - you have to the find time to work, invoice clients, deal with finances and paying quarterly taxes, landing new clients, staying on top of new technologies, and having a life...if you think you can balance all that - go for it. I don't regret it a minute.

Sorry for the LONG post...just trying to help!

[Buck Forester]

Eric, them some wise words. Gracias.

[telcoman]

Originally Posted by Chadfish

Well zeke, I am an employee halftime now, and I work from home, using all my own gear, save for lights. My point was that why would I break my back doing these jobs if I could sign up for them myself and get the whole 300.00 vs just 45.00 from my boss. It comes to about twice my pay to really cover the cost of paying for me, according to my boss, so he basically pays out 90.00 and after getting the 300.00 makes 210.00 profit. That's OK if the job is local and easy for me, but I won't break my back driving 6 hours and working 3 at 15.00 an hour. That's all I was saying. I can spend my time on one of these cheapo ads and have a better work/pay ratio.

Cheers.

Few people get rich working for someone else. So, I'm happy to encourage people to hang up a shingle and start their own business. I guess the element missing here is that you aren't the one getting the business. Once you've mastered that, (providing you can deliver once you get it) then you'll be making the $300 instead of $45.00.

One last thing. When I was a teenager I was being a smart ass to my friend's dad. I said "Dude, you own your own business - you only have to work half a day!" his reply, he laughed and said "Yeah, and I get to choose the 12 hours I work too." That never left me. Every potential business owner should know that it takes lots of work and time but build and keep running a successful business.

[zeke]

Originally Posted by Chadfish

Well zeke, I am an employee halftime now, and I work from home, using all my own gear, save for lights. My point was that why would I break my back doing these jobs if I could sign up for them myself and get the whole 300.00 vs just 45.00 from my boss. It comes to about twice my pay to really cover the cost of paying for me, according to my boss, so he basically pays out 90.00 and after getting the 300.00 makes 210.00 profit. That's OK if the job is local and easy for me, but I won't break my back driving 6 hours and working 3 at 15.00 an hour. That's all I was saying. I can spend my time on one of these cheapo ads and have a better work/pay ratio.

Cheers.

I wasn't dissing you, just bringing things up. If your Boss says it cost twice what you get to cover his costs for you, then by all means, make the jump. I know some employers are just as bad grinders as overly cheap clients.
What's the saying? "You'll never get rich working for someone else" and as long as you let him pay you just 15.00 an hour, that's all he will.
I know some fast food restaurants pay over 10.00 an hour just to flip burgers. And you don't have the travel overhead either (just kidding).

[zeke]

Eric, have you ever looked into someone doing part time book keeping to handle tax payments and billing? If so, were you succesful finding someone?

[Eric1138]

Originally Posted by zeke

Eric, have you ever looked into someone doing part time book keeping to handle tax payments and billing? If so, were you succesful finding someone?

No, not yet...although I'm getting to that point. I'm hoping things will pick up next year and I'll look to hire someone.

I like that "I get to pick which 12 hours I work" comment - so true!

[Chadfish]

Originally Posted by zeke

I wasn't dissing you, just bringing things up. If your Boss says it cost twice what you get to cover his costs for you, then by all means, make the jump. I know some employers are just as bad grinders as overly cheap clients.
What's the saying? "You'll never get rich working for someone else" and as long as you let him pay you just 15.00 an hour, that's all he will.
I know some fast food restaurants pay over 10.00 an hour just to flip burgers. And you don't have the travel overhead either (just kidding).

No dis taken zeke. It's funny - the more work I do for myself, the more my job seems like a grinder gig. Still it's cool to have stuff flow in from that source. It's just at the moment things are also flowing in from 3 stations directly to me through word of mouth (well, and some word of my own mouth), so they are bringing me clients, and I just stick 20% of all that into my "Tax" account and have them 1099 me at the end of the year. Also I bought the EX1 a big HDTV, and many other items - all claimable. Being an audio engineer, and video guy, and jingle writer, performer, I can claim just about anything I buy because I actually use it to do my job! Not to mention I have a couple "big tit" clients that I do bigger projects for once in a while.

All I know is that I'm working at capacity at the moment. It's a blessing.

[Ben_B]

$20 an hour plus traveling expenses. That's for videography, post, whatever. I cap amount of hours spent transcoding/rendering I charge for depending on the project but usually at like an hour or two...the client shouldn't have to pay more for the way my equipment works.

Kind of low but I'm a student and I don't get many gigs doing paid work anyway, mainly doing my own stuff.

[basspig]

Originally Posted by Chadfish

No dis taken zeke. It's funny - the more work I do for myself, the more my job seems like a grinder gig. Still it's cool to have stuff flow in from that source. It's just at the moment things are also flowing in from 3 stations directly to me through word of mouth (well, and some word of my own mouth), so they are bringing me clients, and I just stick 20% of all that into my "Tax" account and have them 1099 me at the end of the year. Also I bought the EX1 a big HDTV, and many other items - all claimable. Being an audio engineer, and video guy, and jingle writer, performer, I can claim just about anything I buy because I actually use it to do my job! Not to mention I have a couple "big tit" clients that I do bigger projects for once in a while.

All I know is that I'm working at capacity at the moment. It's a blessing.

Consider yourself lucky to be working in this day and age.
For the less fortunate, at least the high cost of gear makes a great tax writeoff. Let's see.. made $4,000 this year, but spent $21,000 (mostly on credit). Net income -- negative $17,000. Maybe I'll qualify for state-run healthcare, since my wife's employer switched to a 'wellcare' policy with a $1500 cap on medical expenses.
I had one 'big tit' client once... it was a porn shoot.