Just add water: architecture startups!


*wince* the come to Jesus moment
March 5, 2014, 8:07 pm
Filed under: Startup

Today, I did the thing that we’re supposed to be doing regularly for the first time since I’ve started out on my own….I actually took into account all the billings vs. the expenses.  *wince*  It sounds ridiculous to only now just begin to look at the overall financial picture, but to be honest, I’ve been too busy working as an architect, and not as a business person.  While I wasn’t in the red, I certainly wasn’t making a lot of money last year.   I was continually getting paid each month with a reasonable fees that I deluded myself into believing that the net $$$ was all working out, peachy-keen.  The thing that I wasn’t really paying attention to is all the larger lump sum fees that you pay per year or the small things like your cell phone that really add up  your overhead:

    • Professional affiliation membership fees
    • Liability Insurance
    • Transportation
    • phone & internet (even if this is your personal phone used for business)
    • webhosting & email
    • health insurance
    • meals while at site visits, with clients, with potential clients…
    • marketting materials
    • rent
    • accounting services
    • lawyer fees, if any consultation

Soon you realize that being an architect seems to be less lucrative than working at the local drug store!  *sigh*  This was a good eye opener to really itemize all those bills and make sure that the future projections actually yield a profit.  (say wha?!)

This guy breaks it down for you:

http://www.entrearchitect.com/2013/08/18/financial-statements-for-architects/

Advertisements

1 Comment so far
Leave a comment

Thanks for sharing the link and wishing you a very profitable 2014.

Comment by Mark R. LePage




Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s



%d bloggers like this: