Photo studio as a business: first steps
First of all, you need to decide on the positioning of your business.
There are two main options here:
- Providing premises with interior for professional photographers.
- Organization of photo sessions with the provision of a full range of services - in addition to the filming itself, it may include the services of a makeup artist, image selection, costume rental, etc.
The first option will not require much expense from you, except for rent and creating the desired interior. It will suit any person, even those who are not involved in photography.
The second option will require more effort and investment. You will need a whole team - photographer, makeup artist, costume designer, stylist. The potential profit here is higher. This path is often chosen by photographers themselves.
Advantages and disadvantages
Here are the main advantages of this business:
- Relevance and demand, especially in large cities. Now it is fashionable to order photo sessions for birthdays, weddings and all other holidays, as well as just according to your mood. There is a category of people (models, actresses) who must have their own professional portfolio.
- This is a creative business that provides the opportunity for self-expression and development. Professional photographers are akin to artists.
- Prospects for good earnings. Such a business brings high income with relatively small investments. In Moscow, for an hour of work in a photo studio, taking into account rent, services of a photographer and stylist, you can get from 20,000 to 40,000 rubles - depending on the class of the studio and the photographer. In other cities the price tag is lower, but the profitability is still very high.
But there are also disadvantages:
- High competition in this niche. There are a lot of photographers and photo studios now, and you will need to make an effort to attract a sufficient number of clients.
- Seasonality of business. The demand for the services of photographers is seasonal: for example, in the summer people rarely conduct photo sessions indoors. There are a lot of weddings at this time of year, but clients usually book on-site photography services.
- Risk of loss. Despite the high cost of a photo shoot, the owner of a photo studio may be left without clients and suffer losses. Therefore, it is important to immediately analyze the market, determine the demand for the business and draw up a competent business plan.
Professional photo studio formats + Video
Any studio is a place for creativity, so they differ from each other in appearance, specialization, and some proprietary features. But if we talk about opening your own photo studio in a business sense, you need to take into account that several types of this business have developed.
According to the range of services provided
- Purchase (long-term rental), renovation and design of photo studio premises in order to make a profit from renting it out on an hourly basis to professional specialists and private clients for filming.
- Comprehensive organization of services, when at the same time you provide your own photographer, including one who works on location (weddings, christenings), as well as photo processing, printing, delivery.
In the second case, photo studio sites are also rented, and in general, a more complex and profitable business is obtained due to income differentiation. More personnel are required for maintenance, accounting becomes more complicated, extensive connections are needed among stylists and makeup artists, who most often work on a temporary basis and gather as a team to complete a specific project.
Based on the direction and scale of activity, photo studios are divided into simple and interior. Simple photo studios contain all the necessary equipment that is needed to carry out subject, multi-purpose, artistic portrait photography:
- special lighting devices (flashes, stands, attachments);
- paper or fabric forms to create backgrounds, textured walls;
- cycloramas - structures with a smooth transition from vertical to horizontal;
- additional accessories: smoke generators, reflectors, fans.
Interior photo studios offer several rooms with artistic decoration, or locations for staged photography, and are very popular. In one large room with an area of 150–200 m2, several different art zones can be designed, and in general their number ranges from 3 to 6, for example, in former converted factory workshops. Be sure to have a dressing room and a place to change clothes before the photo shoot.
A very interesting video about the wedding photography industry in China:
What you need to open a photo studio: step-by-step launch plan
Demand and market analysis
The first stage is market analysis. Study how in demand the services of photographers are in your region and how often they are ordered.
Competitor analysis
To do this, you need to find out how many studios are already operating nearby, study their services and price list. Go to competitors' websites and study their social media pages. This will allow you to determine your advantages by offering customers something new. It would be a good idea to also explore offers in other cities and regions. At the same time, you should focus only on the services that are in demand among clients.
Writing a business plan. Concept development, design project.
At this stage, you have already decided to open a photography studio. All that remains is to determine the details: write a business plan.
Search for premises
The location of the studio in the center is considered ideal, but renting such premises is too expensive. You can choose through streets that are not exactly in the center.
However, deep suburbs and industrial areas will not suit you. The services of a photographer are not essential services, so attracting residents of a residential area will not be enough to pay for your project. And no one will go to a photo studio located two hours away from home or office.
In addition to location, there are a number of other requirements for the premises:
- no less than three-meter ceilings;
- area from 55 square meters and length at least 8 meters;
- without dividing the space by beams;
- dark color of the flooring.
The cost of renting a premises with an area of about 70 square meters in the center of a large city is usually about 50 thousand rubles.
The room for photo sessions should be divided into zones and several different locations should be placed there - at least three. into several zones, each of which will house a location for shooting. Don't forget about the toilet and visitor area.
Financial plan
To learn how to create a financial section, read the article on the structure of the financial plan of a business plan.
Project financing
Investments will amount to 1,725.35 rubles, of which capital expenses - 1,475 thousand rubles. and working capital - 250 thousand rubles.
1 million rubles will be a bank loan received at 15%, the project initiator will invest in the project in the amount of 725 thousand rubles.
The loan is repaid in equal payments in the amount of 49.2 thousand rubles. for 2 years, starting from the 3rd month from the start of the project. Interest on the loan is included in the payment.
Own funds are returned to the project initiator after repayment of the loan within 2 years, taking into account inflation.
Project payback indicators
The payback of the photo studio is calculated over a planning horizon of 10 years:
- contributions to social funds 30% (PFR - 22%, social insurance fund - 2.9%, medical insurance fund - 5.1%);
- the cost of the patent is 42,000 rubles. per year (3500 rubles per month);
- annual inflation 10%.
Direct payback period – 19 months. (1.6 years).
The discount rate is calculated as WACC in the amount of 12.48%:
- The direct payback period is 19 months. (1.6 years).
- The payback period based on discounted cash flow is 21 months. (1.75 years).
- NPV - 10,288 thousand rubles.
- IRR - 153%.
Risk analysis
Main risks:
- low incomes of the population. The lack of demand for photo printing and photo sessions is partially compensated for by document photography. The rest is resolved through a flexible pricing policy.
- The seasonality of demand is partially compensated by the location and a wide range of services, superior to photo studios that print photos only for documents and photo labs. Taking into account seasonal factors is associated with the start of investing in a project, when the opening occurs during a decline in demand between filming on location and low demand for filming on the pavilion.
- advertising. Customers want to make sure that the photographer is experienced, which means they need to see the work. Having a website and your own group is required. The period of connection of “word of mouth” in this area of business is significant.
Business registration
To complete the documents, you need to register an LLC or individual entrepreneur. IP is simpler, faster and cheaper. LLC is more complex and longer, but opens up more opportunities for finding partners and further scaling. Choose a simplified taxation system. The OKVED code that suits you is 74.2.
You do not need to obtain any special licenses, but you will need a fire department permit that is standard for any business. Do not forget about maintaining cleanliness and order - although photo studios are rarely under the close supervision of inspection authorities, their visits are not excluded.
Repair
The premises need to be renovated into a photography studio. It is better to choose a room that does not require serious repairs.
Ordering equipment
You need equipment and props for photography. We will examine these issues in detail in the following sections.
Personnel search
You will need two administrators working in shifts. Sometimes the owner takes on his responsibilities. If you do not take photographs yourself, you will need a photographer, and to provide a full range of services, you will also need a makeup artist and costume designer. You don’t have to employ them on staff, but outsource them. The same goes for the cleaner and accountant.
Advertising campaign
As a rule, such a business is promoted on social networks, especially Instagram. This is easy to explain: good photos are key for both the photo studio and Instagram. For high-quality promotion, you need to take good pictures of all studio locations. You also need to post contacts, portfolio, reviews, interior options and information about bonuses and promotions on the Internet. Accounts don't just need to be filled out; they need to be maintained by regularly adding information and attracting new subscribers. You can do this yourself or with the help of an SMM manager.
A good option is to establish mutually beneficial relationships with photographers based on barter. If you give them the right to shoot in your photo studio for free, they will indicate contact information in their profile. This option is beneficial to both parties.
Don't forget about the system of bonuses and discounts. A good option is to organize a competition or drawing where the main prize is a certificate for a free photo shoot. Promotions “happy days” and “happy hours”, bonuses for the second / third / tenth shooting are also possible. An advertising campaign should begin even before the opening.
Opening a photo studio
You can make the opening of the studio a real event: decorate the room with balloons, draw a certificate for a free visit among the guests, hand out loyalty cards, announce discounts for the first week or first month of work. This will allow you to immediately make yourself known and attract your first clients.
Let there be light
Among studio lighting accessories, there are many options for flash photography. The most important are the following three:
Stable lighting A lamp for all occasions (too abstruse a name for a lamp). With their help, you can see how the light falls on the object, but you won’t get the brightness and power of a flash from them.
Such lamps are not portable, and it is almost impossible to use them outdoors. Therefore, before buying them, read about other types of lighting, more versatile.
Flashes These lights are easy to install and are best used in combination with radio triggers and a receiver. This method will make your work much easier, and you won’t have to carry cords around the entire studio.
You can also take them with you because they are not bulky.
Studio strobes Stroboscopes are a powerful flash that plugs into a wall outlet. Compared to a regular flash and other lamps, this is just a dream for any photographer, but the price of this device is rather high. This flash will speed up your work significantly, but you need to remember that it is quite bulky and works from a wall outlet. If funds allow, you simply must have this device in your professional home photography studio.
Photo studio interior
The interior of a photo studio requires creativity and an individual approach.
Pay attention to the most popular topics:
Stylish - for teenagers, youth and students. Possible design in Art Nouveau style. You can use a background made of plaster, a brick wall, chalk boards with inscriptions, chairs and shelving, structures made from lighting fixtures and even stepladders.
Romantic – for filming a love story or family sessions. The background should be light, you will also need hearts and flowers. An original option is a hanging canopy bed or a small swing where you can take pictures in motion.
The chameleon location is usually used for rare or seasonal photo shoots. Here you need to change the environment often.
Equipment and design of a photo studio
Here is a sample list of equipment:
- at least four light sources;
- reflectors;
- curtains;
- synchronizers;
- umbrellas;
- fastening installations;
- stands and tripods.
If you are not into photography yourself, consultation with a professional photographer is required.
It also makes sense to distribute flyers to nearby offices, hairdressers and beauty salons, shopping centers and fitness centers, schools and kindergartens.
How much does it cost to open a photography studio?
The need for investment is the cornerstone for any aspiring businessman. The exact amount of investment in a photo studio depends on the area, location and other factors. Usually the amount starts from 600,000 rubles and can reach several million.
Here is an approximate calculation: you need to budget 100,000 - 150,000 rubles for repairs. The purchase of equipment will cost approximately the same amount. The main expense is decorations. They can cost about 200,000 rubles. Rent of premises – 50,000, company registration – about 20,000, marketing costs – another 30,000 rubles.
To save money, choose inexpensive premises that do not require major renovations, think about locations that do not require large expenses, and carefully select decorations, giving preference to budget options. This will save not only money, but also time.
How much income will the photo studio bring?
Let's figure out how much you can earn on such a project. Earnings will depend on the price of your services and the number of visitors. The price list differs greatly depending on the city: in Moscow or St. Petersburg such services will cost much more than anywhere in the provinces.
If we are talking about renting out a studio to photographers, then the average price per hour of shooting is 1200 – 1400 rubles; in Moscow the price can reach up to 2500 rubles. If you reach the level of four hours daily, or 120 hours a month, your revenue will be about 150,000 rubles (in Moscow - up to 300,000). About half of this amount is net profit.
If you work in a different format and do not rent out a studio, but do the filming yourself, your income will be higher. In this case, the price of shooting consists of three components: photographer’s services, which include the shooting itself and photo processing, studio rental and payment for stylist’s services. Cost – from 7,000 rubles per hour (excluding stylist’s services), in Moscow – from 15,000 (+ 4,000 – 5,000 rubles per stylist). You can get from 15,000 per day, the upper limit is 100,000 rubles and above. It all depends on the popularity and demand of the salon.
Photo studio is a seasonal business. On March 8, New Year and other holidays, the demand for photographer services grows greatly, and accordingly, the number of orders and profits also grow. The payback period for a business is on average about a year.
When opening a photo studio, you need to understand that this business is high-margin and provides many opportunities for earning money. The key task is to attract clients, because competition is high, and the services of a photographer are not essential services. At the same time, people appreciate good photographers who know how to “catch the frame.” Therefore, a professional who takes high-quality photographs will always find his client.
Be aware of low ceilings
The depth of the room is a serious limitation, but equally important for photography is the height of the ceiling. If you have a low ceiling, light will likely reflect off it. So you don’t even notice how the ceiling becomes a huge reflector, adding a lot of extra light.
You will have to work with your setup in the studio, learn how the light behaves with a low ceiling to avoid unnecessary backlighting.
Another limitation of a low ceiling is that there is not enough space to place a hair light. This backlight is used to backlight a subject and separate it from the background.
If you have low ceilings, this kind of lighting can only be used for a sitting position, but not for a full-length position (unless children can be photographed this way). You will need an average of 1 meter between the lamp and the object.
How to open a photo studio and not go broke: analyzing the risks
Risks are an integral part of business, and it would be better to calculate them right away, at the beginning of work.
The first risk is high competition. If there are already a lot of photographers in your city and they are not overworked, you will have to work hard to attract attention and get clients. In this case, you will either have to offer clients something unique - high quality images, original scenery, unusual ideas for filming. If your photography studio cannot offer anything new, it will be difficult for it to survive in a highly competitive world.
The second risk is that the studio props are not interesting. To stay afloat, immediately budget for regular updating of props and interior for filming. You need to track trends, be on trend all the time and regularly update your studio by changing its interior and props.
The third risk is poor image quality. If clients are unhappy with the result, they will not come here again and will not recommend the studio to their friends. And word of mouth is the best (and free) way to attract customers.
The fourth risk is seasonality. Good months for a photo studio are considered to be the end of autumn and the beginning of winter (before the New Year), as well as February and March (holidays February 14, February 23 and March 8). The worst period is the summer months. At this time, you can organize competitions with a free photo shoot as a prize, distribute certificates, and expand the list of services. Some photo studios rent out space in the summer: master classes or other events can be held there.
If you are a photographer, your own photo studio will help you significantly increase your income and take it to a new level. But even people who have nothing to do with photography can open a studio and make money from it. To do this, you need to rent out the studio by the hour or hire a photographer and offer clients a full range of services. The main thing is to analyze the market and understand how much these services are in demand in your city. Read on for a review of other promising small business ideas.
Ideal location for filming
Your home photo studio should occupy a specific corner of the house, where every detail and equipment has its place. You don't want any family members to accidentally get caught on the cord, or have to carry wires or move lamps from place to place.
A specially allocated space for a photo studio is no less important for clients. When they come to you for a shoot, they will feel much more comfortable that they are not invading your privacy. After all, sooner or later someone will become uncomfortable and this will be reflected in the quality of the photographs.
Plus, having a separate room or corner will help you isolate your work from another part of the house. You will simply need this if you have children who want to watch cartoons or run around the house. These and similar distractions will keep you or your clients from concentrating.
Sometimes it’s not easy to dedicate an entire room to a photography studio, but believe me, it’s worth it. Assess the situation, think creatively, and ultimately see what you can do in your home.
