Hi Harrison, it's great to hear your experience here on this forum. Thanks so much for sharing. The topic I would like to ask you about his how magicians go about managing their money. It's a tricky and sensitive subject but it seems to me that there aren't a lot of role models to follow in the magic game. How did you develop your skills in managing your income? Is their other resources you point a magician too in this subject. Most magicians I know are living hand to mouth, it's definitely tough gig to get ahead and stay ahead. I heard that Frank Garcia was broke in the end.

Do you invest? Do you have other forms of income or is it soley magic? I realize it's a big topic but would love to hear some of your experience on it. Thanks so much.

Best,

Sean

Hi Sean...
The site was down today, or I would have answered earlier. Guess we've had some hot topics that caused the site to melt down... lol..

Yes, managing money is critical to long term success. Frank Garcia was a good friend of mine right up until his death. Frank was certainly not rich, but he did not die broke. Actually, he was in the process of buying a place in Arizona to retire to. However, many magicians do die broke, and some go broke long before they die.

Because I had a degree in business and worked in the business world before quitting my job to turn professional, I may have had an understanding of things like budgets, sales forecasts, and the like. So, I suppose that helped.

When we are just scrapping by it's pretty touch to invest. I mean, we may be trying to just keep our head above water. But, as we grow our business and begin working more, we need to establish a plan for both the short term and the long term.

As my business grew, my first objective was to have enough money in my checking account so that I could pay my bills for the next six months (that was in case the world came crashing down). Then, as things continued to move forward, I looked at making sure I put money away for the back end (remember, we have no employer contributing to our 401K - we have to do that). We also need to reinvest in our business (which may mean a laser printer, new computer, software, tricks, etc.).

By having a plan we prevent ourselves from just blowing our money, thinking it will last forever - because it won't. If we approach our magic as the product we are taking to the market, and run it as a business, we are already putting ourselves in a good position.

For me, it wasn't any tougher to get ahead and stay ahead than anyone else who goes into business for themselves, be it the local dry cleaner, Dunkin Doughnut Franchisee, or any other small business. The key is not to become complacent, set some goals, and to stay on top of the daily tasks needed to be done to achieve those goals. Then, the business will come, and along with it the money. Which brings us back to your questions.

If you (not you in particular) are a poor money manager, it may be a good idea to read Entrepreneur Magazine, Inc., or any of the really good blogs out there. Believe me, reading this type of stuff does sink in and one begins to think in terms of money management.

Yes. I always invested my money. Going into business for oneself - magic or otherwise is also an investment. When I started, I took 38K out of savings to fund my entry into the business. Had I failed, I would have been out the 38K. This put me in a position where I didn't want failure to be an option, so I worked even harder to make sure I would not fail. As I started to feel I was becoming a recognized and viable solution for the industry, I repaid my account that 38K and continued to sock money away. Like Frank, I'm not rich. But I am lucky to be in a situation where I don't have to work and my wife and I can live out our years.

No. I did not have any other income sources, although my wife worked 2 days a week, and still does - it's more so she has her little spending cache. lol. 99% of my income came from Trade Shows. I did do an occasional event, some sales meetings, product launches etc., but those were spin-offs from my main concentration of energy, which was the Trade Show Floor.

I do talk about managing money in the Trade Show University Program. But ultimately, it begins with a person's understanding that they must manage their money if they want to have a long term career.

I know I got a little winded here, Seah. So, thanks in advance for putting up with me.

Harrison you are the real deal and talking about topics that are rarely discussed,keep up the good work!

Don

Thanks Sean!

That was such a great response to my question Harrison. Thank you so much!

You Got It!