Money making schemes
From The Star And Shadow Cinema Wiki
The next few months are going to be extra tight in the S+S bank balance. There are a number of reasons, listed below. Not to scare anyone, but to be open and transparent about our situation. We need to be collectively savvy and come up with some long term ideas so that we can keep are heads a bit further above water.
Please post any ideas here, and come to the meeting on 3rd May where we will start to discuss and action ideas.
IDEAS HERE:
- Make big clear donations box on bar and door [[Website "make a donation" buttons? B]]
- Make signs that say words to the effect of "our prices are cheap so they are affordable for everyone but donations keep us going"
- Auction: ask film-makers, musicians and artists to contribute items for us to auction.
- Life- and premium-memberships. Not sure how this might work, but I'd buy a £50 membership to support the Cinema. Maybe just a wall of honour of those who'd coughed up in some way? [[inspiration could be taken from the Great North museums Butterfly wall where someone makes a wholesome donation and they get a colourful wooden plaque thingy forever placed on our "Star wall" perhaps?? B]]
- Sell some stuff
- Have rent parties
- Cash in our EDF deposit (£1,600)
- Cut costs - we waste A LOT of money on films etc. We should try and programme cheap or free films (Craig)
- I think its more a case of wasting money when the films are promoted poorly or not at all. I think we should be more strict in hearing from programmers how they are publicising.(debbie)
- A monthly 'rent party' with guest DJs - first Saturday of every month, with all money going back into S+S.
- Charge a nominal amount to people who use S+S resources on a daily basis - electricity, internet, workshop etc.
- Press campaign through Narc / Crack, [[don't forget other local press - www.bigeyenetwork.org/directory_localpress.html ]] etc. Alert people to our parlous financial state and ask for help. Donations, offers of performing, in-kind print and design etc.
Information:
I do not know all the amounts off the top of my head but we can fill them in. More important are the unknown points below and the amount these will add. Taking all into consideration, we need to increase our income by £1-2k a month. Any thoughts on how to do this?
Current S+S financial hurdles:
1. We're hopefully about to sign a new lease. Terms and price being negotiated but at present this could increase by £1,600 a year (equivalent to an extra month) as though price has been kept at old level, our percentage has increased according to the owner. Possible increase of about £150 a month
2. The Artworks bill situation. We used to share most of our utilities bills with artworks. Of course our usage hasn't increased, but all fixed charge and standing charges are now footed by us directly, until such time as a tenant is found for next door [[is there any way of finding out more about this?? B]]. There are also extra costs in re-setting up some services that were cut, and deposits to set up new accounts. Still to clarify - whether we need to reinstate Red care line (stopped in 2008 - needs investigation/ questions to insurers) Costs: double water and alarm costs. Set up costs for new contracts and deposits
3. Building insurance. Our lease always has had us paying the equivalent percentage of building insurance to our portion of the building. However Artworks never took out building insurance so we never paid it. The new landlord will be getting this. Unknown amount.
4. Increased price of stock, non-increased prices for admission/ bar. We have debated wanting to keep our prices affordable, and are waiting to see full accounts for this year to see how far we can afford this. Unknown amount
5. VAT. The big one - we have had a VAT inspection and we have to pay back around £6,500 plus interest - taking our bill to around £8k. We have tried very hard to find a way out of some of the charges - about half are due to clerical errors in our first year when we thought we could manage more accounts than we do, and now we pay the accountant to help more. The other half is due to a very unfortunate situation where the company that fitted our electrics went bust just after we paid, leaving us without full evidence of the work. We claimed VAT on this and now are being asked to repay this. If repaid over 6 months, this is an extra £1,500 a month.
6. PRS. we have tried to arrange a license previously but not succeeded so far. We will need one. It shouldn't be a huge amount but it will be something. Unknown amount
7. Gas and Electric. we'd like to change to a green electricity company but this is likely to cost an extra £1,600 or so a year - about 50% increase. Our gas bills are also a grey area, which Artworks didn't pay properly so we still need to be arrange a gas bill and don't know what this will cost. Unknown amount
8. August (and Christmas) closing. We really want to do a building festival in august, but this needs both money to do stuff (not huge amounts, but some) and is the same month we get no income, although we still have outgoings to pay. Christmas is also a difficult time, especially if, like last year, we don't do a new years eve party. This has always been a big money spinner. Loss of income - approx £3-4k. Cost of work unknown.
9. City Council funding. we get £10k a year. we definitely have it for this financial year, April 10-April 11. However we have been requested by the council to make an effort to bring more money in and not be reliant on this - which is both good risk management and protects is the event of a funding cut. We have been categorically told that we are not in the firing line for cuts if the council are forced by lack of funds to cut cultural funding. However with the economic situation, and strong possibility of a Tory led government, cuts could be much bigger and we still have a cut. Our funding is both a drop in the ocean money wise, and seen as key to the council, but it is key to our financial survival at the moment, covering about 4 months outgoings. With increased outgoings it goes less far. Possibility need to find additional £10k per year (£850 per month)
Current outgoings:
Rent - Approx £1580
Electric -
Bins -
Water -
Alarm -
Gas - unknown
Insurance - £2900 a year for theft, damage, public liability, directors insurance (policy in office). Paid over 3 months April, May, June. (can we spread payments over a longer period? - Craig)
Rates - £160 a month for 10 months (Have we investigated small business rates relief? - Craig)
Phone line and broadband -
Current income and expenditure:
We get money from ticket sales, membership sales bar sales, hires, donations and funding. We spend money on bar stock and event costs, e.g. film hire, PA hire, travel/fees for artists etc and publicity. Bar prices are approx 100% mark up (i.e. if something costs us £1, we sell it for £2). There is no direct comparison for ticket prices which tend to be fixed for films and vary for gigs/events, with the idea that bar sales cover outgoings and ticket sales cover event costs. (Bar and ticket prices to rise - maybe only by 10%? - Craig)
Please note - I have probably forgotten something so anyone with info please feel free to edit or amend)
