KEN Mode drummer Shane Matthewson is a Chartered Accountant from Winnipeg, or the person you'd want to ask about how to be in a band and not go broke. Gear Gods got in touch with Matthewson and asked him what to do when you're out on the road and coming home broke every single time. The answers might surprise you!
For one, Matthewson says to figure out the operating costs of your band.
Everything from the gas mileage of their van, to amounts spent on food, all the way down to drum sticks; every dollar spent on the band, whether it’s “band money” or personal funds from the members themselves, should be recorded. Keeping receipts for expenses is important, especially for tax purposes, but particularly in order to have an accurate record of how much was spent and on what.
One of the biggest and most immediate benefits of tracking what money is spent on is that it forces you to take a critical look at where all of the bands’ money is going. If you find that you’re coming home after every tour completely broke, but notice that you’re spending 500 bucks a week on hotels, you’ll probably be trying a little harder to find people to stay with on the next tour, or at least should be.
He also says that keeping track of how much each individual puts into the band helps because then you know who's pulling their weight and who isn't.
Having all contributions recorded can help to avoid future headaches when no one can remember who paid for the van repairs last time, or who put the last hotel on their credit card.
If you don’t already have one, I always recommend that bands at the very least open a band bank account, and try to have as much of the band related activity going through the account as possible. This of course means someone is going to have to reconcile all of the ins and outs of the account every month. I recommend picking whichever band member did the best in 12th grade math.
As far as selling merch, Matthewson says to keep track of what you sell, where you sell it, what it was (format of music or what t-shirt it was with what design, etc.) and when the sale occurred. Matthewson said despite the fact that he is an accountant and you are not, keeping track isn't a difficult thing to do! Just open up an Excel sheet and start writing everything down. This way you can plan better touring routes to make the most money you can and know how much to bring with you on tour. This includes merchandise sales and door revenue, so you'll have all the information.
Don't go broke! I need to buy your band's stuff. Read the full column at Gear Gods.
