The legalities of starting a part time photography business - Startup Series, Part 3
The Part Time Photographer Startup Series:
Part 1: How to make money as a part time portrait photographer
Part 2: What you need to start a part time photography business
Part 3: The legalities of starting a part time photography business
Part 4: What does a successful part time photographer look like?
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With the disclaimer made that I am neither a lawyer nor an accountant, let's broach the topic of legalities you'll need to be aware of as you kick off your part time photography business.
All of the thoughts I share here are from my experience over the past 10 years as a part time professional photographer in a small town in Texas. The language, terms, and governmental entities you have to deal with in your state or country may go by entirely different names. At the end of this article, I'll provide some sure-fire advice as to how you can rest easy knowing you are completely covered as a working photographer. The peace of mind is worth the research.
DBA - Doing Business As
When I launched Outlaw Photography, I was required to go to my local county clerk (found conveniently at my local county courthouse) to file a DBA or Doing Business As form. This just makes a recorded connection between you as a person and your business.
You'll spend a few minutes going through their records to ensure your business name isn't taken (in a future article, I'll show you how to name your business in five seconds flat), then fill out a form and pay a filing fee. Mine was $25.
To accept checks in your business name, most banks will ask you to show them your DBA, and will require you to open a separate account. My local Wells Fargo branch did not have this requirement, but the bank I now work with does. Expect to pay a monthly fee for this second account.
It's sound business advice to always use your business checking account for business income and expenses.
Sales Tax
Next up you'll need to go to the web site of your state's sales tax enforcer and find their sales tax application.
For me, I went through my state comptroller's web site and completed the free and easy application online. You'll get your sales tax ID # slip of paper in the mail, which you'll want to keep displayed where customers can see it. Unless you have a retail studio space or home office open to the public, just slap this in a file which you can show customers if needs be. No one has ever asked to see mine.
When it comes to collecting sales tax, the rate you collect from customers and later deliver to the state will depend on where your business is located. When I worked out of my rural home I collected 6.75-percent sales tax - now that I have a retail studio in an incorporated city, I collect 8.25-percent sales tax. Your taxing entity will provide you with the rate you should charge.
To answer the age-old question of what services or products you should collect sales tax on, I charge it on everything. The wisest advice I was given was that professional photography is considered manufacturing a product and thus you collect sales tax on parts and labor both. See my advice at the end of this article regarding the Your Mileage May Vary aspect of this point.
In Texas, you hand over the sales taxes you've collected on an annual basis unless you collect in excess of $xxxx amount, in which case you pay quarterly.
Income Tax
You will need to report all of your business income and business expenses come tax time. I've always trusted my numbers to H&R Block, of which we have a local branch with local people who take care of me any time I have a question and have given me great advice and peace of mind over the years.
If you enjoy filing your own taxes form by form, you'll need a Schedule C. That's honestly as far as my knowledge goes in that realm. There's some good advice over at the Keeping Nickles blog for the do-it-yourself'ers out there.
Zoning
The last legal requirement you need to worry about is the zoning of your property if you live within a city and plan to work from home. This should only ever be an issue if you have clients visit you at your home, either for shooting in your home studio or doing photo viewing and sales sessions there. If you shoot entirely on location and do viewings at Starbucks on your laptop, you should never have an issue.
If you do plan to host clients, visit with your friendly secretary at City Hall about what permits or restrictions you may face working from your home. If you live in a subdivision, visit with your Home Owner's Association. Part time portrait photography is a very low-traffic business, so most associations will have no problem with you doing part time business from home.
Making sure your butt is covered
God bless the spirit of the bootstrapper, but even I will say that the legal issues of starting and running your part time photography business are no place to be chintzy. Talk to a local CPA (Certified Public Accountant), preferably one recommended by a fellow photographer so you know they know your business. Even the shortest consultation will help you understand your legal position and needs, specific to your business, city, and state.
Your second option is to visit with other photographers in your city or state via online forums. I'm a big fan of my state's best photography forum, TexasPhotoForum.com. Join your state's forum and search their archives in the Business section for startup advice. This won't guarantee your butt's covered, but it's the fastest way to get a good idea of what you need and where to look for more information.
While you're there, search for recommendations for a CPA you can trust and talk with.
If you have any lingering questions that you can't find from searching your forum's archives, don't be afraid to start a thread and ask dumb questions. Down the road when you've made it big, you'll be the one on the other side of the Internet helping newbies get their start.
Your third option is to visit with your local Chamber of Commerce or business association. They can give you good advice and resources to explore.
In Part 4 of our Startup Series, I'll show you what success looks like, and we'll answer the underlying question of, "Is this something I really want to do?"
Next Steps
(Lots of Next Steps at this juncture - don't be intimidated; this is where you are able to guarantee yourself the peace of mind you need to run your business without stress or worry.)
- Search Google for your state's premier online photography forum. Join (should be free) and search their business archives for threads on startup issues and questions. Take the time to read over each one and as you go along, make notes of what you need to do or investigate further to ensure you're legal. You should be able to answer most of the above-noted questions here. (A couple of good lists for general photography forums can be found at Doug Plummer's blog and Amazon's Askville.)
- If you have a question that hasn't been answered, or need clarification on something, PM (private message) one of the seemingly knowledgeable photographers who was providing answers in the forum. Tell them you're an aspiring professional photographer and ask your question. Keep in mind some people are jerks and don't let them wear you down if they aren't encouraging. If they won't answer your question or aren't encouraging, PM someone else.
- Search the forum for a recommendation for a good CPA. If you can't find a recommendation, ask one of the knowledgeable posters in the forum. I suggest making contact with this CPA, finding out about prices, and finding out what the cost would be for an initial consultation.
- If you can afford it, arrange for an initial consultation with your CPA of choice. This is the best money you can spend on starting your own photography business - the peace of mind of knowing you're covered is worth far more than what you'll pay.
- Brainstorm session: Using what you learned in the forums and / or from your CPA, write down a list of all the things you need to do, all of the people you need to contact for more information, and make a plan for getting it all done. This is one of the hardest parts of starting your photography business, but the costs will be minimal, and there are no stupid questions. This will be the test of whether or not you have it in you to start your own business. Trust me, speaking from experience, it is way easier than you think it is. Go through the motions and within a day or two, you'll have or have set in motion everything you need to legally start your part time photography business.
- I write and post new articles for PartTimePhoto.com daily to help you become successful as a part time professional photographer. If you like what you see here, you're welcome to click on the "Subscribe" link at the top of any page of this site.
- What legal issues have you run into while starting your part time photography business? What have you found to be unique to your city, state, or country? Leave a comment below or drop me an e-mail.
What you need to start a part time photography business - Startup Series, Part 2
The Part Time Photographer Startup Series:
Part 1: How to make money as a part time portrait photographer
Part 2: What you need to start a part time photography business
Part 3: The legalities of starting a part time photography business
Part 4: What does a successful part time photographer look like?
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There are four things you're going to need to start making money through part time photography:
Camera
Here's where the equipment snobs will try to work you over with a sack of credit cards. Or they'll at least try to get you to max yours out.
What you have is what we're going to start out with. Whether that's a little point and shoot or a dSLR, it makes no matter. We're not going to start out aiming at the framed 20x30 crowd. We're looking squarely at the 8x10 and under client set, and anything over 1.3 megapixels should work just fine.
If you're trying to judge the value of your camera, nowadays, odds are if it's made by one of the name-brand manufacturers (Canon, Nikon, Sony, Kodak, Pentax, etc.) it's probably worth what you paid for it. A $50 camera will give you $50 photos and options for taking pics, a $200 camera will give you $200 photos and options. I would hope you're at least starting with something other than your camera phone, but whatever the case, we'll make it work.
The more expensive your camera gear, the greater control you will have in taking photos - playing with depth-of-field to blur a background, manually adjusting the shutter and aperture for tricky lighting, better low-light performance for shooting indoors or at night, etc.
But even a basic point and shoot can make photos good enough for our startup purposes. Again, the business model we'll work with makes every shoot a no-risk, buy what you love situation for you and your clients. The more good photos you make, artistically and technically, the more money you will make, but even with the most rudimentary equipment and skills, you can start making money today.
(Such as: any Canon PowerShot or Nikon Coolpix - dSLR beats point and shoots, more expensive P&S beats cheap, but nearly anything sold today can make a decent 8x10)
Computer
You will need a computer with which you can download pics from your camera, do some post-processing on them (brighten, add contrast, crop, blemish removal), show to clients during their sales session, and to post photos on your blog.
What you have is what you'll use. So long as you have a computer capable of at least running any of the free image editing packages out there (GIMP, Picasa), you have everything you need.
The faster and more modern your computer, the more efficient your workflow will be during post-processing. Faster = less time, less frustration.
A laptop is better than a desktop computer for our part time photography purposes. This will allow you the freedom to process photos anywhere, to do viewings in clients' homes or at Starbucks, and basically take your mobile office anywhere you want.
I love to set up at the local diner, eat pecan pie, and process photos. I often get comments about my photos while I'm working and get to hand out some business cards.
(Such as: whatever laptop is on sale at Newegg - get more for your money by opting for a heavier beast with a medium to large screen)
Software
Software will be the first thing you'll spend your hard-earned part time photography money on. But, as always, you'll start with what you have - or at least with freeware off the net.
The top two free image editing packages are GIMP and Picasa. GIMP is powerful but has a dry interface, and Picasa is very newbie-friendly but not as powerful. Try them both and see which you jive with. I'll write my reviews and tutorials for how to use each for our purposes in the near future.
Other than the image editing software itself, you'll need a good system for organizing photo shoots in folders, backing up those folders, presenting photos to clients during your sales session, and posting photos and information to your blog. I'll cover all these subjects in future posts.
Internet
The great majority of the marketing we'll do is going to take advantage of free services on the Internet - Twitter, MySpace, Facebook, Blogger, Craigslist, Flickr, etc. Most of your on-your-own educational opportunities outside of PartTimePhoto.com will also be through online tutorials, courses, webinars, blogs, and photography forums. We'll also use online labs for making prints.
If you're reading this blog, you've got this base covered. You can take advantage of Wi-Fi hotspots and libraries if you don't have access to the net at home, but hopefully if you have a computer, you have at least dial-up net access, which is all you need.
As with your computer, faster internet = less time, less frustration. A slow computer, slow camera, or slow internet access won't kill your money making opportunities with part time photography.
(Such as: AT&T or any local providers - ask friends or neighbors for recommendations; broadband beats dial-up, but costs 2x-3x as much)
The lesson here is that you can start getting paid today as a part time professional photographer with the tools you already own or have free access to. This is Dave Ramsey-style business financing: bootstrap it, start with what you have, invest what you can as you earn it.
If you are missing any vital piece of this equipment puzzle, watch for my upcoming buying guide which will give solid recommendations across the board for any budget - including $0.
In Part 3 of our Startup Series, I'll make sure you have your legal bases covered for accepting money in exchange for your services.
Next Steps
- Brainstorm session: Write down a list of the equipment you have right now to start your part time photography business. Are you missing any of the above-mentioned necessities? Write down who you can beg, borrow, or steal from to fill in the gaps until you earn enough to buy what you need. File in your Brainstorms folder.
- Read PartTimePhoto.com every day to make sure you don't find yourself lacking at your next photo shoot. You're invited to click the "Subscribe" link at the top of any page on this web site.
- With the equipment you own now, could you start your own part time photography business? Leave a comment below, e-mail me, or call or text me at 830-688-1564.
How to make money as a part time portrait photographer - Startup Series, Part 1
The Part Time Photographer Startup Series:
Part 1: How to make money as a part time portrait photographer
Part 2: What you need to start a part time photography business
Part 3: The legalities of starting a part time photography business
Part 4: What does a successful part time photographer look like?
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The introductions are out of the way, so let's get to some meat and taters of becoming a part time photographer.
The business model I'm going to use throughout PartTimePhoto.com is portraiture: children's, high school seniors, engagement, bridals, couples, family, maternity, and baby photography. I believe it's the easiest to imitate, both as a business and artistic endeavor, until you are able to further develop your talents and become an innovator.
Most photographers start out wanting to be artists. They get a digital camera, show their photos to friends and family, and get told "oh wow, you take amazing photos! You should be a professional photographer!"
Artistry and innovation will come with experience and self development. Right now, I want to concentrate on giving you the tools of knowledge you need to practice making saleable portraits and getting paid for them. Art, bless its heart, will come in due time.
Business success will enable your artistic success. Once you get your first few paid shoots under your belt, you'll have some money to play with - what you do with that money is your business.
That said, investing money and time back into the development of your business will only make your business easier to make money with.
- Buying better camera equipment will improve the technical quality of your images and open doors to more advanced portraiture techniques like bounce flash and small depth of field.
- Buying better computer equipment will make the post-processing part of your job more efficient, saving time and frustration.
- Investing in photography education, through books, online classes, webinars, in-person workshops, professional memberships, magazines, and other training will greatly improve your art, which gives you a much more valuable product. The better your art, the easier it is to get clients, and to get clients to pay what you want.
- An investment in good marketing is the easiest way to multiply your volume of business, such as through Google AdSense, a more professional web site, graphic design for a new logo and visual identity, or local advertising via print, radio, television, direct mail, mall displays, etc.
I will get into all these aspects of growing your photography business with time. For now, I want to brief you in summary as to how you're going to make money as a part time portrait photographer.
How to make money as a part time portrait photographer
First, we're going to keep costs low - in fact, if you're reading this, odds are you already have everything you'll need - a camera, computer, Internet access. We're going to pull a Dave Ramsey and only buy what we can afford - we're only going to spend money when we make money to spend. We're going to use the equipment you have, open source software, and free online tools to shoot, process, sell, and market.
Second, we're going to make it nigh impossible for people to turn you down: no session fees, no minimum orders, buy what you love. That is basically the tagline of my own photography business, and it works just as well during the startup phase as it does 10 years down the road.
Third, we're going to sell exactly five products: hi-res digital files, 4x6's, 5x7's, 8x10's, and sheets of wallets (8) - nothing over $20. We will expand our product line as money is made and you're able and desirous to invest in better equipment.
We're also going to practice three principles of good art and good business:
- Occam's Razor - To paraphrase, to do with more what can be done with less is vanity. Simplicity in learning and simplicity in practice is how I will help you grow from enthusiast to paid part time professional photographer.
- Kaizen - The Japanese philosophy that small improvements over time create huge advantages. We're going to start where you are, wherever that may be, and improve from there. There is no disadvantage or ignorance in your life that we cannot overcome on our path to you making money with your photography.
- Patton's Law - A good plan violently executed today is far and away better than a perfect plan tomorrow. You're never going to take the first step on this journey if you don't accept that you're not perfect. You won't say the perfect things to a client, you won't have the perfect marketing materials, you won't take the perfect set of pictures. Start today with what you have and what you know and we will find ways to improve in some small way every single day.
One of the best parts of the model you will follow with this plan is that it's guilt-free and no-risk, for you and your clients. They don't pay a dime until they see their photos, they only buy and spend what they want, and you make money when your clients walk away with photos they are happy with. There is immense wiggle room to screw up and learn from your mistakes, so there's no pressure.
Use what you have, in equipment and knowledge, and make small improvements every day. With time, you will have a shooting calendar filled with ecstatic clients and your only limit on income will be in choosing how much and when you wish to work.
Been there, done that - now let's you and I do it together.
Tomorrow in our Startup Series, Part 2, I'll go over what equipment you'll need to get started with your photography business.
Next Steps
- Visit the low-fi portraiture gallery on Flickr.
- Brainstorm session: From the above gallery, write down all the ways you see photographers making good portraits with inexpensive, low-tech gear. Add to your Brainstorms folder.
- Read PartTimePhoto.com daily for all the delicious details of how to make good money through part time photography. To make it easy, scroll to the top of any page on this site and click on the "Subscribe" link.
- What have friends and family told you about your photographs? Have they said you should take up professional photography? Leave a comment below, e-mail me, or call or text me at 830-688-1564.
Your source for making money as a part time photographer
So who am I to give you advice on how to make money as a part time photographer?
My name is James Taylor.
I own Outlaw Photography of Bandera, Texas.
I shoot almost entirely portraits; seniors, children, brides, couples, families. My wife shoots maternity and baby photos.
I fell bass ackwards into professional photography over 12 years ago. I landed a job as a photojournalist with my hometown newspaper, and as people saw my photos in the paper, they began asking if I also did family portraits. One good paid photo shoot led to the next, and I continued to do off-and-on professional work until I launched Outlaw Photography 'officially' in 2005. Since then, I've worked hard to improve my art and my business acumen while learning to balance a full time day job, part time photography job, and life.
Life for me includes my better half Jacklen and three young kiddos, McCayla (7), Canon (4), and the newest addition, Athena Corinna (celebrating one year in November 2011). Yes, Canon, as in my son is named after my preferred camera manufacturer. But that's a story for another day.
I have been blessed with a great deal of success as a part time professional photographer over the years, and after a decade, I've hit a stride which now allows me the chance to share this success with others. Success to me is happy clients, happy family, happy self. A big part of the latter for me is giving back, which is what I hope to do here at PartTimePhoto.com.
After years and years of studying the art, business, and industry of photography online and here in the real world, I've learned that the people making the transition from unpaid amateurs to part time professionals is a massive, confused, underserved, underappreciated community.
That's about to change. Drastically.
You generally have three levels of photographers:
- Amateurs and enthusiasts who shoot for fun and don't care about making money off their work (Hi Uncle Joe!)
- Amateurs interested in making money with their photography (that's you!)
- Professionals actively earning good pay for their time
Certainly there are, as the supermodels of ModelMayhem call them, "GWC's" or "Guys With Cameras"; you have insanely talented amateurs and students all over Flickr; and you have a wide range of professionals from starvings artists to the Vincent Laforets and Anne Geddeses of the world.
This entire web site is targeted squarely at that Middle Category: amateurs, enthusiasts, students, part-timers, stay at home dads, unfulfilled day job moms, teenagers looking for summer work, etc.
I'm living that dream right now, and have been for many years. It is fun, it is stress-free, it is a perfect creative outlet, it's a great way to meet interesting people, and it pays well. It took a lot of trial and a lot of error to learn how to achieve that sweet-spot balance between art, business, and life.
I hope that through sharing here on PartTimePhoto.com the whole of my experience in this journey, I will help others achieve the same success I have as a part time professional photographer.
Here's some boring background bio info for you, just to show you how small-town I am and that it's possible to be successful anywhere:
James Taylor's "If I can do it..." Profile:
Me: Outlaw Photographer James Taylor.
Born in Tarpley, Texas, population: 30.
Graduated from, got a job in, and started part time photography business in Bandera, Texas, population: 957.
Still working for the same newspaper over a decade down the road.
Still a happy part time photographer.
Won gobs of big fish, small pond journalism awards, for sports photography, feature photography, news writing, page layout and design, etc. Voted "Best Photographer in Bandera County (population < 20,000) in 2007, 2008." Most recently picked up my biggest contest win yet, a first-place sports photography award from the Texas Press Association.
Everything I know about being a successful part time photographer, I look forward to sharing here on PartTimePhoto.com. It will take time and plenty of writing, but I truly believe you have the capability to better your life and the lives of those around you through the art and business of part time photography.
It's benefited my life, and if you so desire, it can benefit yours.
Next Steps
- Surf over to Flickr and find three photographers whose portraiture work inspires you. Bookmark their photo streams. Contact each one: say by phone, e-mail, or picture comment, "I am an aspiring professional photographer and your work on Flickr is really inspirational. May I contact you once in a while to talk about photography?" You'll learn that the most successful photographers are often the most open to helping you.
- Brainstorm session: make a list of all the people - famous, celebrity, or otherwise - with whom you would love to do a portrait session. From the President to a favorite comedian to Grandma. Save in your Brainstorms folder.
- If you're down with the clown until you're dead in the ground and would like to continue benefiting from the articles posted to this blog, please feel free to click the "Subscribe" button at the top of any page of this site.
- Who inspired you to take up photography, and then take it to the next level by doing paid work? Leave a comment below, e-mail me, or call or text me at 830-688-1564.
Want to make money as a part time photographer?
If you're here, you know you're here, and that's good enough for me.
If you have a few hours a week, access to a camera, and a hint of gumption, it's my goal to help you make money as a part time photographer.
Perhaps:
- You have an unfulfilling day job and want to stretch your legs as a professional photographer
- You have a good day job that doesn't pay enough, and you want some extra money to pay down debts, save up, or play with as fun money
- You're a stay-at-home mom or dad and would like to earn some money working part-time with a set-your-own flexible schedule
Whatever drives your desire to explore the world of part-time professional or ProAm (professional-amateur) photography, it's my own desire to help you be successful.
There are metric tons of information online about starting your own business and becoming a better photographer. Where I saw a need was while surfing photography forums and seeing so many men and women asking best-guess questions about how to get started. You don't know what you don't know, right?
In the same threads, I saw a lot of full time professional photographers give half-hearted advice and plenty of negative feedback.
"It's not as easy as it looks."
"Your photos are horrible; perhaps you should find another job."
"The market is saturated with amateurs like you killing the industry."
"If you're not doing it full time, and you don't have my expenses, and you don't charge what I do, you're not a real professional and you're taking food out of the mouths of my babies."
To which I indelicately respond, "BS."
Anyone who has studied business will tell you there are many, many markets and demographics for any given product range. Professional photography is no different from car sales or widget sales or interior decorating.
From "budget" to "luxury," there's a lengthy scale of customers seeking different levels of service at different prices.
Everybody has to start somewhere, every journey begins with the first step, and it's my goal through PartTimePhoto.com to help you transition and grow into the ProAm or Part Time Professional Photography business. I want to help you make money with photography.
I have no love for overcomplication, hidden agendas, withholding information, snobbery, and bait and switch games. I like simple instructions, "do this this way" clarity, and obvious next steps. Reading this blog and learning to make money with your photography shouldn't be an exercise in existential thinking.
On a daily basis, you'll find within these pixelated walls my best advice in developing your artistic and business skills to make good money for your time. I'll give you concrete examples, walkthroughs, visual examples, step-by-step tutorials, equipment buying advice, marketing pieces and projects, a hell of a lot of encouragement, and a holistic approach to doing good business that serves your own life as much as your customers.
Who am I to give such advice? Tune in tomorrow for my self-indulgent bio, but all you really need to know is that my name is James Taylor, I own Outlaw Photography in the rural town of Bandera, Texas, and I've enjoyed the life benefits of part time professional photography for over 10 years now.
Next Steps
You'll find that I am very big on clear, specific Next Steps. David Allen's system of Getting Things Done is a brilliant one, and one of the biggest things I got out of his book was the practice of establishing Next Steps.
I think the two biggest things missing from most instructional-type web sites are real world examples and well-defined Next Steps, so you'll find plenty of both here on PartTimePhoto.com. At the end of every article, I'll provide one or several Next Steps to give you an exact idea of what you can do at that point to better your part time photography business.
Here are today's Next Steps:
- Take a deep breath and let go of any preconceived fears or doubts you have about becoming a part time professional photographer. Shake them haters off.
- Get a sticky note or piece of paper and tape - write down the three biggest ways being a successful part time photographer would improve your life. Put this piece of paper on your monitor or somewhere you will look at it on a daily basis.
- Grab a piece of paper or open up your computer's note pad and brainstorm - this will be a Next Step for nearly every article I post to PartTimePhoto.com. I cannot overemphasize the value of a good brain dump, pouring your ideas out on paper or to a text file. Today's topic: Envision how your life would be different if you could earn some money through part time photography. No idea is too stupid or simple - write everything down. Spend several minutes on this. Try to build off every item you write down. Don't do it any specific order, just get it out on the page. Grab a folder for your paper or create folder on your desktop in which to place these brainstorm sessions.
- If this all sounds like a good thing for your life, please feel free to click on the "Subscribe" link at the top of any page on this site.
- What experiences have you had in your search for information and inspiration in becoming a part time photographer? Leave a comment below, e-mail me, or call or text me at 830-688-1564.
Congratulations - you have taken the first steps toward enjoying the lifestyle of a part time photographer!
Testing wordpress post
This is a test.
It is only a test.
It is the best test.
This is the rest of the test.
It's sort of a test fest.
Sometimes these tests are too much to digest.
Some tests testers truly detest.
And this is a test of getting it all off my chest.
It's hella better than getting a testes test.
Keep your hands off my untested love nest.
I don't make this caveat in jest.
That's some ish that won't come off with Crest.
It's time for me to get dressed and wordpressed.
So go out today and be love, be joy, be blessed.