How do I judge a recording studio’s mix of hourly bookings and long projects?
Split the booking records into short hourly sessions and extended projects, then compare revenue, room hours and how often each type leaves the room empty. Ask who finds each kind of client, since hourly trade needs steady marketing and projects depend on a few relationships.
Ask for the booking history rather than a summary. Sort sessions by length and client, and see how much revenue and room time each type brings. Pay attention to the gaps between bookings. Hourly clients can fill odd slots but also cause scheduling work, while a long project fills a room but ties it up.
Look at how each type pays. Long projects may involve deposits and staged payments, while hourly trade is often paid at the end of the session. Ask about no-shows and late cancellations, and how bad debts are handled. A project that stalls can leave an expensive room idle.
Consider what each side needs from the owner. Hourly work depends on a steady stream of new and returning musicians and on being easy to find and book. Long projects depend on a few producers or artists and on the engineers who work with them. Ask what is growing and what is shrinking. The right mix depends on your plans. Your accountant can help you read the booking figures alongside the costs. Ask how pricing differs between them, and whether discounts for long projects were agreed informally.
Key takeaways
- Sort the booking history by session length and compare revenue and room hours.
- Look at the empty gaps between bookings for each type.
- Check how deposits, cancellations and unpaid sessions are handled.
- Ask who brings in each kind of client and which type is growing.
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Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
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