(copied across from our fb page)
Hello everyone … what is this?!
As you’ll know if you look in from time-to-time, I do like to talk a little on this page. It has backfired spectacularly in the past, but I still maintain that it’s useful to be transparent and to offer an insight into the way this thing works.
I figured if I ‘branded’ these type of posts, people could ignore them if it’s not what they’re here for? Some of the rest of you might just like to know how things are ticking, or just how bad it is this week?
So, there’s usually a trigger for my need to share. What was it today? Well, the annual accounts were finalised by my accountant, ready to bundle off to HMRC, and that sparked a few observations that were then swiftly followed up with other financial annoyances imposed on me by Scottish Water/Business Stream (these things have a habit of ‘piling on’ when they’re least wanted).
Over the course of that year (Dec to Nov), this shop turned over £128k of models. That’s alongside the shop selling GW and other brand new hobby product, which will also have turned £100k+ of stock. It’s quite insane to think that a little concern like ours does that volume of sales, although I’m not blind to the fact that this is small change compared to the bigger fish out there, who likely turn that amount on a weekly basis. Still, it’s a major step-up from our position when we were just a small community gallery space with no commercial bolt-on.
With that little summary of finance also came the obligatory corporation tax notice, which - given the difficulties I’ve had paying myself - was as unwelcome as the stuffy weather we’ve been experiencing lately. I think it’s a sign that things are good, but often it doesn’t feel that way, as those accounts never reflect how much of the year is spent worrying about covering the cost of all this trade, and what is considered ‘profit’ is merely another plastic iceberg preventing one of the backrooms from being used for its intended purpose.
For example, funds from the Saturday sales - around £1800 - rolled in tonight. I’ve immediately paid it all straight back out and knocked some more trade-ins off the list. It’s better, but still not close enough to the mythic zero balance. That little ‘rinse & repeat’ cycle of buy & sell has been happening for so long now, without me being able to catch it up. I am always in debt to someone, no matter how much I sell or how hard I try to clear it. The most uncomfortable part is not being able contribute to the financial pot here at home: naturally the first thing to take a backseat is my wage. It’s a first world problem, I know, but still a difficult one to live with.
Anyhow: herewith my solution. You’ll notice no dates available in August for trade. I have to stop this stuff coming so that a) I can pay off the three or four of you awaiting funds; and b) can catch up on my own wage woes. Also, c) I could start to clear at least one of those backrooms? It’d be nice to explore; I never know what fun stuff I might find.
I think I’ll find the balance one day? But I wanted really to reiterate the fact that this will only happen if I am allowed to be in the driving seat. Lots of trades come in way, way above the parameters that I’ve set. I can only really budget if things come in close to those set amounts. When two £1500 trade piles land unexpectedly on that same day, it’s not hard to see why a problem arises? And it is never as simple as just sticking it in the shop, or putting more into the shop on Saturday. That work takes a great deal of time, and I feel - just like my gallery work - needs to be curated for maximum benefit to the shop.
I think I needed to just explain why I’d stalled things, and why I might be a little more focused on getting funds in than is ordinarily the case? A little more work, and a stricter adherence to that trade rule, and the shop will get there and find its correct balance. I know you’ll all understand if if you’ve read this far … now can someone clever get along and invent a psychic hood, so that I can convey all that in a moment to the next person who trots up the stairs and round the corner with the first of six boxes from their car full of grey plastic? Please …
There, that’s better. The cage has stopped rattling so much, now that’s off my chest!