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Posts Tagged ‘business’

Scrooge city! Employers hotly defend poverty-level wages

In business, life, Money, news, politics, urban life, US, work on December 17, 2013 at 3:22 pm

By Caitlin Kelly

‘Tis the season!

Check out the 300 comments — and climbing (including a long one from me) — at the Harvard Business Review blog where a Wharton professor, Peter Capelli, (gasp, competing B-school!) posted the following argument in favor of actually paying workers a living wage:

Jobs paying $15 per hour are not the concern, though. Those are routinely seen as good jobs now. The concern is those jobs paying at or around the minimum wage, $7.25 per hour or only $1160 per month for a
full-time job. About 1.6 million workers in the U.S. are paid at that level, and a surprising 2 million are actually paid less than that under various exemptions. If you are an employer paying the minimum wage or close to it, the Government has determined that your employees need help to pay for food, housing, and healthcare even if they have no family and no one to look after but themselves.  As we’ve been reminded this season, many of those workers also need help from families and coworkers to get by.

No doubt the reason low-wage companies continue to pay low wages is because there are plenty of workers willing to take jobs at those wages, and the need to pay more to avoid the risk of being unionized is
largely gone. But “can” and “ought” are not the same thing.  Nothing about the minimum wage implies that it is morally ok as long as you pay at least that much. It simply says that the government will prosecute you if try to pay less than that level.

A longstanding principle in all developed countries including the U.S. is that labor is not like a commodity where taking advantage of the market to squeeze down prices is a fact of life. Employees have human rights that do not disappear when they enter the workplace. Even in business law, principles like the “mechanic’s lien” say that employees should be paid before other creditors because they are more vulnerable than businesses and do not get profits to compensate them for risks.

We’re at an inflection point in the U.S., where some low-wage workers, unprecedented in decades, have actually begun to stage walk-outs, strikes and protests in recent weeks.

In Germany — where 9,000 workers are employed by Amazon — employees have just gone on strike.

Wage list

Wage list (Photo credit: Wikipedia)

I have — as we say here in sports-metaphor-obsessed-America — skin in this particular game.

I worked 2.5 years making $11/hour (the federal minimum is still $7.25/hour) selling costly outdoor clothing at an upscale mall, the subject of my book, “Malled: My Unintentional Career in Retail.”

No matter how insanely productive we were — one of us sold $16,000 worth of merch one holiday Saturday — we never got more hours or  serious raise (mine was 30 cents/hour) or a boost into a low-management position with a (barely) liveable salary.

The endless argument in favor paying crap is that low-wage workers are all teens, seniors and/or have no skills.

False! A recent survey of 436 New York City retail workers found that two-thirds of them are supporting another family member on their wages. Their average age? 24.

I also pay my assistants $15/hour, albeit part-time, about 10 hours a month. This year I paid out $1,5000 in wages to one worker, a significant amount for a one-person shop — me — and a healthy sum to a person new to my line of work, in effect, someone essentially entry-level I was training and paying.

I am appalled, disgusted and fed up with corporate greed, corporate welfare and the right-wing outrage that all low-wage jobs are low-skilled. They’re not.

Every single job adds profit to an employer’s bottom line or — in union-free America — it’s swiftly cut, with no severance or warning.

Walmart and MacDonalds workers suck up my tax dollars in Medicaid and food stamps because their greedhead CEOs think this is moral, equitable and justifiable way to treat workers.

I disagree.

How about you?

Why editors still matter

In books, business, culture, journalism, work on December 16, 2013 at 12:38 am

By Caitlin Kelly

Publishers Weekly

Publishers Weekly (Photo credit: Wikipedia)

Here’s a great essay from Publishers Weekly, (a must-read publication for any truly ambitious author), by a career editor:

A publisher once said to me, almost in passing, “We don’t pay you to edit.” The real message was: “Editing is not
crucial. If you’re an editor, what matters is acquiring.” After I’d left in-house editing and was being courted by an agency, the owner/agent said to me, “Remember, you can’t sit in your office and edit.” In other words, “If you’re an agent, what matters is selling.” One thing these comments imply is that editing is no longer the editor’s main function; editing is done on your own time. But that has been true since I went into the business 28 years ago.

As a freelance editor, these models no longer apply to my work. I no longer have to jump on every promising submission overnight. I no longer need to be looking over my shoulder, hoping for the approval of the marketing, publicity, and sales departments. I no longer have to determine the worth of any particular project a year before publication (and we know how often publishers get that right!). The burden on the freelance editor consists solely of helping the author write his or her best possible book.

The dirty secret of contemporary publishing — any author quickly learns — is that the verb “to edit” may not mean what you thought or hoped it would.

My first book, “Blown Away: American Women and Guns” was acquired by a very young and hungry editor who handed me back barely a page and half of notes on my final manuscript. I rocked! (Or did I?)

It quickly became clear to me that any editor was very short on time. There would be no long lunches (or even short ones) to discuss the world of letters. We maybe spoke to one another four or five times from acquisition to publication date — a span of more than two years.

The one time we did hang out — bizarre but true — was when I took her shooting in New Jersey and we spent the afternoon firing handguns at a local gun range. She wanted (which I really appreciated) to better understand the subject of my book. Our book.

My second book, “Malled” My Unintentional Career in Retail” came back to me with a suggestion that Chapters 1-10 more closely resemble the final two. Holy shit!I was terrified I wouldn’t be able to do it.

That editor, whose strong ideas about structure and tone were invaluable (if daunting) had previously worked for NASA — maybe great editing was rocket science!

I’m working on yet another book proposal right now and, if this one sells, (no guarantee, as ever), I sure hope I find a terrific editor. I owe Courtney, my editor for “Malled”, a deep debt of thanks for her willingness to push me as hard as she did, even making final edits as the book went into production in September 2010.

A great editor will save you. We all need them!

Yet it’s very odd when you find a publisher for a non-fiction book — essentially an intellectual blind date.

Whoever chooses to publish you assigns an editor you have likely never met and know nothing of. Yet you’re bound, (maybe more an arranged marriage?) for the next few years to one another’s taste, personality and schedules. It requires a great deal of mutual trust between strangers whose careers can be enhanced or seriously damaged if the book soars or tanks.

I’m dying to read this new book, “My Mistake”, by editor Daniel Menaker whose career included The New Yorker and Random House  — if only for its spectacular conflagration [ba-boom!] of an editorial bridge most New Yorkers still genuflect to — legendary power couple Tina Brown [ex-editor-in-chief of Vanity Fair, The New Yorker and the Daily Beast, among others] and her husband Harold Evans.

The review in the Times is by Meryl Gordon (who kindly blurbed my last book) and whose own next biography comes out next spring.

Journalism and publishing — certainly in New York City — is still a hothouse of interlocking egos, power and (artfully disguised) terror.

Scheherazade 2.0

In behavior, blogging, books, business, culture, entertainment, journalism, life, women on November 13, 2013 at 1:12 pm

By Caitlin Kelly

She’s the legendary woman who saved her own life, night after night, by telling a story to the king who would otherwise kill her:

The king lay awake and listened with awe as Scheherazade told her first story. The night passed by, and Scheherazade stopped in the middle of the story. The king asked her to finish, but Scheherazade said there was not time, as dawn was breaking. So, the king spared her life for one day to finish the story the next night. So the next night, Scheherazade finished the story and then began a second, even more exciting tale which she again stopped halfway through at dawn. So the king again spared her life for one day to finish the second story.

And so the King kept Scheherazade alive day by day, as he eagerly anticipated the finishing of last night’s story. At the end of 1,001 nights, and 1,000 stories, Scheherazade told the king that she had no more tales to tell him. During these 1,001 nights, the king had fallen in love with Scheherazade, and had three sons with her. So, having been made a wiser and kinder man by Scheherazade and her tales, he spared her life, and made her his queen.

Anyone who hopes to earn a living as a writer — whether of books, blogs, journalism, fiction, marcom, advertising — knows the sort of daily pressure she felt.

You gotta have a fresh story!

Here’s a recent New York Times piece about Contently, a new intermediary between people who want to tell their corporate stories and the writers who might have the skill to do so. The site offers access to 27,000 (!) writers — 8,000 of whom have been deemed “pros” because of their experience. (FYI, I ‘m not a Contently user or provider.):

Three young men — Joe Coleman, Dave Goldberg and Shane Snow — started the company in 2010 after the rise and crash of so-called content farms. They believed there was room for a company that enabled high-quality stories told on behalf of commercial clients, what is now known as branded content.

Over the years, this content has had an unsavory reputation — most have been infomercials masquerading as editorial content. But the bar has been raised by companies like Red Bull, whose incredibly popular extreme sports videos almost make it seem like a media company that sells beverages on the side.

Contently, which grew out of the TechStars incubator program in New York, developed a roster of writers and journalists for hire and a software application that helps companies tell their own stories as well. Three years later, the company has raised $2.3 million in financing, developed a roster of 27,000 writers, grown to 24 employees and has 40 Fortune 500 companies among its clients. Some of its customers include American Express, Anheuser-Busch and PepsiCo.

When you walk into the Contently office in SoHo, as I did on Tuesday, you can’t help noticing the large slogan on the wall: “Those who tell the stories rule the world.”

Let’s be accurate, if pedantic.

Those with the money to pay people to tell the stories rule the world.

The actual tellers — those “content providers”, even the elite 8,000 (is that possible?) — are contemporary Scheherazades, running faster than ever before to pay their bills, to stay alive financially another day.

It's all content, baby!

It’s all content, baby!

Contently pays its writers between 50 cents a word and $1/word.

Let’s put that into context:

If you’re hired to produce 1,000 words at 50 cents a word, you’ll earn $500. At $1/word, $1,000. Few content buyers want a 10,000 word opus, no matter who you are.

So if you were able to get $1,000 worth of work every single week, (no vacation, no sick days, no holidays), you could potentially earn $52,000, year before taxes.

I suspect that competing against 7,999 others, even in the cool kids’ labor pool, would likely mitigate against a steady five-figure income.

The other dirty secret of becoming a “content provider”, (which is what all journalists are, too, really), is that a wage of 50 cents to $1/word is what top journalists were paid in the 1970s, when I started writing for a living.

I think we all know that gas, groceries, health care and most other costs of living are not what they were in 1979 or 1985 or even 1998…

Before the crash of 2008, the top magazines were offering $3/word or more — so a 3,000-word story could net you a nice $9,000; I once snagged a $6,000 check from Glamour for a 2,000-word story at that rate.

These days? Most experienced writers I know are working twice as hard for half the income, many re-inventing ourselves in every possible direction to earn additional revenue.

I spoke this week to a friend who’s been working for four years as a staff editor — these days a good long run –  at a national magazine I subscribe to and had hoped to do some freelance work for. Their parent company, Hearst, is moving the entire operation from New York City, (where most employees have a partner or spouse working as well), to a regional Southern city to save money. My friend’s wife has a terrific staff media job, one not easily re-acquired in that other city, that’s for sure.

The editor in chief has already quit. I suspect most of the staff will as well. I’ll be very curious to see what the new staff produce, while crossing my fingers for those about to lose their jobs.

Disruption, change and flux are the order of the day.

So, sit back, relax.

Let me tell you a story…

PLEASE SIGN UP FOR MY NEXT WEBINAR — LEARN TO THINK LIKE A REPORTER — 4:00 p.m. SUNDAY NOV. 17 AT 4:00 P.M. EST.

DETAILS AND REGISTRATION HERE.

Want to start producing creatively? Lose the safety net

In art, behavior, blogging, books, business, culture, design, journalism, life, Media, Money, work on November 6, 2013 at 12:07 am

By Caitlin Kelly

“I was obliged to be industrious. Whoever is equally industrious will succeed equally well.”

– Johann Sebastian Bach (h/t Small Dog Syndrome)

English: Young Johann Sebastian Bach. 1715. Te...

English: Young Johann Sebastian Bach. 1715. Teri Noel Towe seems to demonstrate that the portrait is probably not of Bach http://www.npj.com/thefaceofbach/09w624.html. (Photo credit: Wikipedia)

How badly do you really want to be a writer/composer/dancer/artist?

How much are you willing to give up attain that goal?

Sometimes having the choice to not create — i.e. a regular, reliable, steady income — means endlessly postponing the frightening leap into the void, of actually producing work you try to bring to market, to finding an audience, discovering that people are eager for your work – or not.

I started writing for a living when I was at the end of my sophomore year in college, as a full-time undergraduate at the University of Toronto. My parents were off traveling the world, long before the Internet, cellphones or Skype made regular contact easy and affordable. Neither gave me a penny.

I was on my own, living in a small studio apartment in a not-great neighborhood, all I could afford on my monthly income of $350, money inherited from a grandmother.

That was all the money I had available. My rent was $160/month. Then there was food, phone, answering service, clothes…and oh, yeah, tuition and books; $4,200 a year isn’t much money to live on in a major city, even a few decades ago.

So I freelanced, a lot. I missed classes, (and my grades certainly showed it), to chase down paying assignments, both as a photographer and writer. I had a photograph published in Time at the age of 19.  I wrote for the country’s biggest magazines and, surprisingly perhaps, am still in touch with my very first editor who assigned me work when she was editor of Miss Chatelaine, now called Flare.

I had a weekly shopping column in The Globe and Mail, Canada’s national newspaper, in my junior year, paying me $125 a week, a fortune at the time.

But all this blazing ambition, fueled by real financial need, also carried costs, losses I will never be able to recoup.

I barely remember the people I attended college with as I spent much of my time in phone booths (remember those?) contacting editors to line up work or fight for (more) payment. I didn’t drink or party or pledge to a sorority or disappear on spring break to exotic locations. I was too busy working my ass off.

And so I went to the chair of the English department to suggest that, since I was already selling my writing to national publications, I receive class credit for it — given the choice between writing another paper on 16th century drama or paying my bills for another month or two, there was little choice for me.

The reaction was scathing and dismissive, one reason I’ve yet to darken the door of another university.

A highly effective way to make sure you’re actually producing — and not just talking about it all the time — is to actually rely on the income from your work.

I do realize this is impossible for many people — with children to support, and/or a partner; who, as Americans, simply cannot afford market-rate health insurance or have crushing amounts of student debt as well.

But if you never have to test the market, what will finally impel you?

DON’T FORGET TO SIGN UP FOR MY NEXT WEBINAR, BETTER BLOGGING, ON SUNDAY NOVEMBER 10 AT 4:00 P.M. EST.

DETAILS AND REGISTRATION HERE.

The other skills you need for successful self-employment

In behavior, blogging, books, business, journalism, Money, work on September 12, 2013 at 12:20 am

By Caitlin Kelly

People who choose self-employment often focus on the freedom — No office! No boss! No politics! No commute!

Freelancers Union Logo

Freelancers Union Logo (Photo credit: Wikipedia)

But successfully running your own show requires a wide range of skills beyond the specific product or service — dog-walking, gluten-free cupcakes, general contracting, writing — you’re hoping to sell.

Here’s a great post from one of my favorite blogs, Freelance Folder, on this topic, which lists 17 separate skills with a link to even more:

Communication skills. Freelancing is all about clear communication. As a freelancer, you must express your ideas and requirements to prospective clients, current clients, and other freelancers.

The first one can be a real toughie.

Once you’ve established a good working relationship, and a track record, with your clients, you’re usually good to go. You probably speak the same language, emotionally, so you click naturally in your communication style.

But to steadily earn a good living will also mean working with many people quite different in their style.

Would-be clients are busy with competing demands and may not communicate quickly, clearly — or at all! I see many emails from fellow freelancers asking when, if and how often to follow up with a pitched idea so we can close the sale (or not), find out the fee and budget our time for the work and the income for our expenses.

Follow up too often and you’re a stalker. Not often enough and you’ll starve because you can’t keep enough work coming in.

Whenever I start working with a new client, I ask a few questions about their communication style: do they prefer phone or email? Are specific days or hours in the day off-limits? How long, typically, does a pitch take to get approved?

When I work with The New York Times — which is almost weekly — I know from experience that my emails often end up in their spam filter due to my email address. So I know to call and leave a voicemail message to follow up.

Estimating skills. How long will a project take? Successful freelancers need to be able to answer this question so that they can schedule their time effectively and still earn a profit.

This is also a difficult one, no matter what you do for a living.

I recently blogged about knowing your CODB, your cost of doing business. So you know what you must make to cover your expenses — but what about short and long-term savings, retirement savings, attending a few conferences every year to upgrade your skills and meet new contacts?

Illustration from "Living Up to Your Empl...

Illustration from “Living Up to Your Employment System” (Photo credit: Wikipedia)

So when someone quotes you a price, or vice versa, never forget all those other costs, not just the short-term gain of that payment.

The challenge of estimating is that it’s one-sided! We know how long we might need to do the work…but what about your client?

Does the work require reviews/edits/approval from several other people? How long will that take? (Can you negotiate partial payment up front?) Are they known in the industry as challenging or difficult?

Ask around so your “estimate” isn’t naively and stupidly optimistic.

Interpersonal skills. The stereotype is that freelancers work alone and don’t need interpersonal skills, but that’s a myth. Freelancers interact with prospects, clients, and other freelancers.

Oddly enough, this might be the most essential skill of all. The (mis) perception of freelance or self-employed people is that we “don’t play well with others.” Which isn’t true at all — if we didn’t, we’d never find or retain satisfied clients!

From the very start of your freelance life, you’re going to need other people to help you: for advice, insight, feedback, moral support, sometimes a shoulder to cry on or to toast your latest coup. Almost every single day, by phone, email or social media, I’m asking for, or giving, advice to someone.

At this point in my career, 30 years into it, virtually all my work comes from established clients or personal referrals to new ones from people they know, like and trust.

So play nicely, ladies and gentlemen! Never steal ideas, backbite, gossip.

And don’t be nasty, even if you’re feeling really shaky and insecure.

Networking Freelancers

Networking Freelancers (Photo credit: solobasssteve)

So, go out often — at least once every month — to industry parties and events and panels and conferences. Bring a genuine smile, a well-designed business card and a generous spirit.

And look professional! At a recent NYC roof-top event I attended, a woman around my age was wearing chipped red nail polish. Seriously? You need a great/recent haircut (and/or color), polished shoes, fresh mani/pedi (do it yourself, but do it!)

We make snap decisions about people within seconds of meeting one another. Make sure they’re positive.

Do not — I beg you — use the phrase “I’d love to pick your brain”. Ever!

Of course you would.

You think it’s flattering. It’s not, really. Because our brains are already spoken for. Instead, be classy: offer to pay us a consulting fee, make a useful professional introduction or buy us a good meal. Don’t be cheap and assume it’s our job to mentor you because you’re needy. It’s not!

And don’t become the whiny/negative/raggedy/sloppy person whose calls we dodge and emails we delete.

If you’re self-employed, what skills do you find most essential to your success?

The dragonfly’s visit — and what it meant

In behavior, blogging, books, business, culture, journalism, life, Media, Money, work on August 30, 2013 at 12:02 am

By Caitlin Kelly

The other day, a dragonfly got trapped in our small dining room, where I work on my laptop. He buzzed and banged against the window but couldn’t get out. I opened the balcony door but he didn’t budge.

photo(19)

It was not a great day.

After feeling triumphant over winning a Big Women’s Magazine as a new client and getting nice feedback on my work, I received their all-rights contract, the now-normal land-grab that means they own everything in a story.

Given that most of my stories only earn between $1,000 and $2,000 apiece, that’s a lot of territory to claim for very little money. There are a few ways to make good money in freelance journalism:

1) earn $5,000+ per story on every story, (tough to do)

2) re-sell your material, in various iterations, to as many places for as much money as often as you can.

3) crank out a ton of copy asfastasyoupossiblycan.

An all-rights contract, in my view, is restraint of trade and a PITA way to limit my income. The serious cash  comes from better-paid media — re-use by television or film options or rights and/or books; I earned $5,000 from CBS’ television option for a possible sitcom derived from “Malled”, my book about retail.

With little stomach for the email argument with my editor, (and their legal department) that followed, I requested a different contract, knowing that many publishers have them, but will only offer one if pushed to do so.

They agreed, noting the exception. (Which means more such arguments probably lie ahead.)

It is wearying, every day, year after year, to defend the value of your ideas, trying to win the highest possible market valuation for them.

Publishers are increasingly greedy and their legal departments strong-armed. Many editors won’t fight for you, but simply drop you for someone who never fights back in order to protect their intellectual property.

The publisher for “Malled” has also passed on my new book proposal, which was disappointing.

The whole week felt like one long, exhausting argument with the world, over money, over revisions, over what to do next, over how to do it better — or whether I should even be doing it at all.

My lovely husband came home to find me in tears, an extremely rare occurrence in our 13 years together.

He looked up this website, which explains the significance and symbolism of the dragonfly:

To the Japanese, it symbolizes summer and autumn, admired and respected all over, so much so that the Samurai use it as a symbol of power, agility and best of all, victory.

In China, people associate the dragonfly with prosperity, harmony and as a good luck charm. Amongst Native Americans, it is a sign of happiness, speed and purity

And then there’s this:

Maturity and a Depth of character The dragonfly, in almost every part of the world symbolizes change and change in the perspective of self realization; and the kind of change that has its source in mental and emotional maturity and the understanding of the deeper meaning of life.

  • Power and Poise
    The dragonfly’s agile flight and its ability to move in all six directions exude a sense of power and poise – something that comes only with age and maturity.
    The dragonfly can move at an amazing 45 miles an hour,  hover like a helicopter fly backwards like a hummingbird, fly straight up, down and on either side. The awe inspiring aspect is how the dragonfly accomplishes its objectives with utmost simplicity, effectiveness…with 20 times as much power in each of its wing strokes when compared to the other insects.
  • Defeat of Self Created Illusions
    The dragonfly exhibits iridescence both on its wings as well as on its body…the end of one’s self created illusions and a clear vision into the realities of life…self discovery and removal of inhibitions.
  • Focus on living ‘IN’ the moment The dragonfly normally lives most of its life as a nymph or an immature. It flies only for a fraction of its life and usually not more than a few months. By living in the moment you are aware of who you are, where you are, what you are doing, what you want, what you don’t and make informed choices on a moment-to-moment basis.

Gently, using a newspaper and a strainer, he captured the dragonfly and safely released him on the balcony.

photo(20)

Message delivered.

What’s your time worth? Is it enough?

In behavior, blogging, books, business, journalism, Media, Money, photography, work on August 9, 2013 at 12:53 am

By Caitlin Kelly

Self Employment Tax Form - Schedule SE

Self Employment Tax Form – Schedule SE (Photo credit: Philip Taylor PT)

Really interesting piece in The New York Times Magazine about the value of ideas, and our time:

Measuring productivity is central to economic policy — it’s especially crucial in the decisions made by the Federal Reserve — but we are increasingly flying blind. It’s relatively easy to figure out if steel companies can make a ton of steel more efficiently than in the past (they can, by a lot), but we have no idea how to measure the financial value of ideas and the people who come up with them. “Compared with the mid-1900s, goods production is not as important a part of our economy, but we continue to devote about 90 percent of our statistical resources to measuring it,” says Barry Bosworth, a Brookings Institution economist who is a leading thinker on productivity in the service sector.

This question is central to my work as an independent creative, a full-time freelancer, whether I’m selling my ideas/skills/time to a newspaper — The New York Times — or a magazine like Cosmopolitan — or a website — like bbc.co.uk, all recent clients.

Or to an individual who wants my guidance on their own material.

Like everyone who works hard for a living, I don’t intend to live hand-to-mouth scraping by. I’ve developed excellent skills and the ability to work on a wide range of projects. But ginning up the income I really want is challenging when I refuse to work more than a 40-hour week and rates are low.

I also — contrary to some beliefs — don’t work 40 hours doing nothing but writing!

Much of my time is spent coming up with ideas, developing them, pitching them, invoicing, filling out administrative paperwork, chasing late payments, delegating to and managing my assistant and working on book ideas and other long-term projects.

I also need to speak to my agent and various editors. I network, in person, on-line and on the phone, with other writers about new markets.

There are many moving parts to running your own business, many of which suck up unpaid time — an opportunity cost in itself. So every hour has to bring in income, shortly or soon thereafter.

Vincent Laforet, a highly successful American freelance photographer, just wrote a really interesting blog post on this, called the C.O.D.B. — the cost of doing business.

If you’re working for yourself and don’t know the costs of every single day, and how much you’re earning in profit (or losing), you’re not running your business efficiently:

Basically it’s a number that represents what it costs you to operate your business for every day that you work. 

On a basic level, you add up all of your purchases and expenses to run your business, as well as your salary (I suggest you add your salary, but some people don’t)  and divide that by the total number of days you expect to work each year.    That will give you a number that is the MINIMUM you must make each day to BREAK EVEN.    If you make more per day on average than your C.O.D.B., you are profitable.   If you match your C.O.D.B but work fewer days than what your expected, your business is in the red, and your on a path to being out of business…

What has amazed me time after time is how few of my colleagues know what their number is, and how that in turn makes it very difficult for them to grow their business over time – let alone what to charge their clients.

You should know this number by heart as it should help you determine the minimum rates you need to charge your clients on a job per WORKING day, to stay solvent as a business.   Keep in mind that if you get paid per SHOOT day – and don’t get paid for treatments, conference calls, research, prep and post – you need to cover ALL of those days in your SHOOT DAY FEE of course.    In other words, if you get paid 3 shooting day rates, but you actually worked a total of 12 days between pitch, prep, shoot, and post – you need to QUADRUPLE your DAY RATE (or daily C.O.D.B. day rate) to break even for those 3 shooting days you are actually being paid for.

When people dream of self-employment, they rarely factor in all the additional attendant costs — whether out of pocket dental bills, maintaining their website, attending conferences or upgrading their equipment.

Let alone vacation days, sick days and days-from-hell when you simply can’t get the work in, or done.

A new client has asked me to do some work for him, and he estimated that the $1,000 he’s offered per story buys three days of my time.

Which wrongly assumes he knows my CODB.

Let’s do the math: three typical work days = 21 hours’ total, tops. That’s about $50/hour if I do nothing but his story. Sounds like a lot, right?

Not in my book.

Every hour I devote exclusively to a lower-paying project, (although it might be someone with a steadier appetite for my services or someone more pleasant to deal with) is lost to finding and/or completing something else paying more, possibly a lot more.

It’s a constant juggling act giving everyone good service, (albeit some in fewer hours).

Do you price your own time?

Do you have a formula?

Is it working?

In your first post-grad job? Read this!

In behavior, business, journalism, life, Money, work on July 26, 2013 at 12:02 am

By Caitlin Kelly

Here’s a powerful, no-bullshit list written by Jason Nazar, founder and CEO of Docstoc, who is 34. In his blog post for Forbes, an American business magazine, he offers 20 tips for people in their 20s, like:

Congratulations, you may be the most capable, creative, knowledgeable
& multi-tasking generation yet.  As my father says, “I’ll Give You a
Sh-t Medal.”  Unrefined raw materials (no matter how valuable) are
simply wasted potential.  There’s no prize for talent, just results.
Even the most seemingly gifted folks methodically and painfully worked
their way to success.

I like a lot of what he says.

When you’re looking for your first, or second or third, job, it’s easy to forget or not even realize how utterly different the world of work is from school, which is why internships can be a useful glimpse into the “real world.”

In school, you have very clearly defined parameters of success and failure.Whoever else is attending your college or university appear to be your primary or exclusive competition, for grades, for profs’ attention, for campus resources.

But if your classmates are not economically or racially or politically or religiously diverse, you’re in for one hell of a shock if you relocate to a different place, or several, to earn your living.

Who are these people and why do I have to do what they tell me?

In school, if you attain a fantastic GPA and some awards, you’re the bomb.

In school, yes you are.

But in school, short of wasting tuition money and/or flunking out, there are no terrible consequences to failing or missing deadlines or getting wasted or showing up to class late and/or hungover or high.

The real world is much less forgiving of stupidity and a lack of preparation.

In school, most students hang out with their peers, i.e. people within their age group. Adults end up being annoying things to please (profs) or placate (parents) but not people you may spend much time trying to understand, cooperate with or relate to as a fellow professional.

If you’ve never worked with (or managed) someone 10, 20 or 30 years your senior, how’s that going to feel?

All these new adults — not your parents or their friends or professors or people who are inherently interested in (or deeply invested in) seeing that you succeed — don’t care. And they expect a lot. All the time. OMG!

As Nazar also writes:

You Should Be Getting Your Butt Kicked – Meryl Streep in “The Devil Wears Prada” would be the most valuable boss you could possibly have.  This is the most impressionable, malleable and formative stage of your professional career.  Working for someone that demands excellence and pushes your limits every day will build the most solid foundation for your ongoing professional success.

The Devil Wears Prada is one of my favorite films ever.

I’ve seen it so many times I can recite dialogue from it, like Priestly’s hissed dismissal: “That’s all.”

It’s about an ambitious young journalist in New York, (so I can identify with that bit) but is also about the price of being ambitious and what it means to sacrifice your friendships (or not) or your sweetie (or not) or your ethics (or not.)

Miranda Priestly (Meryl Streep) and Andrea Sac...

Miranda Priestly (Meryl Streep) and Andrea Sachs (Anne Hathaway): pre-release still photograph from the film The Devil Wears Prada; this also is the novel’s redesigned cover. (Photo credit: Wikipedia)

The boss in the film, Miranda Priestly, is insanely and insatiably demanding, but I get it and know why. And having a boss like that is basically boot camp for the rest of your career.

If you freak out and cry and think you can’t do it — whatever it is — you’re pretty much useless. Find someone to help you. Read a book. Watch a video. Take a class, or three. Find a mentor.

Resourcefulness will probably be your most valuable skill, no matter what sort of work you do.

The truly useful/valuable employee memorizes a two-word phrase — “On it!”

I also really like this tip:

Your Reputation is Priceless, Don’t Damage It – Over time, your reputation is the most valuable currency you have in business.  It’s the invisible key that either opens or closes doors of
professional opportunity.  Especially in an age where everything is forever recorded and accessible, your reputation has to be guarded like the most sacred treasure.  It’s the one item that, once lost, you can never get back.

It’s temptingly easy to think: “I’m young. It doesn’t matter. No one will notice or care or remember.”

Not true!

Take every opportunity to leave an impression as a chance to make it lasting and positive. That doesn’t mean sucking up or being a phony.

My current part-time assistant, C., has been stellar for the six months or so we’ve been working together. She never whines or complains, gets on with things and I routinely throw her into all sorts of situations for which she has zero training or experience. I know she can do it well — and she does.

Sweet!

In return, she knows she can count on me for a kickass reference to anyone she needs.

One of the things I most enjoy about this relationship is that, on some levels, we’re very different — different religions, 30 years apart in age. But she’s fun, funny, worldly. That goes a long way in my book.

My husband and I both started working freelance — while full-time undergrads — for national media, he as a photographer for the Associated Press, I as a writer for magazines and newspapers. Paid.

We put ourselves in harm’s way by competing, as very young people, with those who had decades of experience and awards and real jobs. But that’s how you learn to compete and cooperate effectively at the highest levels.

If you’re just starting out, or have been working for a while, what advice would you offer to someone just joined the work world?

The price of cheap clothing — 377 die in Bangladesh factory collapse

In behavior, business, Crime, Fashion, news, politics, urban life, women, work on April 30, 2013 at 12:17 am

By Caitlin Kelly

As many of you know by now, more than 377 men and women making clothing for companies like Primark, JC Penney, Benetton and others, were killed two days ago in the collapse of a factory in Dhaka, Bangladesh.

JC Penney is one of the three department store...

JC Penney is one of the three department stores at the mall. (Photo credit: Wikipedia)

Here’s part of the story from The New York Times:

Thousands of people surrounded the site on Sunday, watching the huge rescue operation, even as hopes faded that many more victims would be found alive. For nearly 12 hours, rescuers tried to save a trapped woman, lowering dry food and juice to her as they carefully cut through the wreckage trying to reach her. But then a fire broke out, apparently killing the woman, leaving many firefighters in tears.

With national outrage boiling over, Bangladeshi paramilitary officers tracked down and arrested Sohel Rana, the owner of the building, who was hiding near the Indian border, and returned him by helicopter to Dhaka. When loudspeakers at the rescue site announced his capture earlier in
the day, local news reports said, the crowd broke out in cheers.

The collapse of the building, the Rana Plaza, is considered the deadliest accident in the history of the garment industry. It is known to have claimed at least 377 lives, and hundreds more workers are
thought to be missing still, buried in the rubble.

The Rana Plaza building contained five garment factories, employing more than 3,000 workers, who were making clothing for European and American consumers.

It is worth reading the story because the accompanying photo is so heartbreaking, and one is horribly familiar to  any New Yorker — it is a wall with posters and photos of missing workers, posted by their loved ones, seeking them. After the collapse of the Twin Towers on 9/11, struck down by two jet airliners, there was an equally feverish, often insane, hope that the thousands of workers trapped in those buildings might have escaped alive.

Some did. Many did not.

But their posters were plastered all over the city. They were truly “Wanted” posters, but too often in vain. You could not look at them, even if you knew no one affected, and not want to weep.

Karwan Bazar, one of the most important busine...

Karwan Bazar, one of the most important business centres in Dhaka (Photo credit: Wikipedia)

It is hard to know what, if anything, one can usefully say about this Dhaka disaster, the largest (so far) such industry accident in history:

— That the workers were very far away from the people who buy and wear the clothes they make

— That they earn, on average, $37 a month

— That they are completely without political and economic power since this industry is essential to the nation’s economy

— That many of the owners of these factories are also politicians, further weakening any oversight or regulation of the workers so endangered

— That we, as people who buy the cheap clothes they make, are all complicit

Three very powerful recent books are well worth reading, if this topic also disturbs and interests you:

Where Am I Wearing, by a young American freelance journalist who traveled to these countries and factories to meet and speak to the workers there.

Cheap, by Boston University professor Ellen Ruppel Shell,  a scathing condemnation of what it really costs to produce some items we enjoy at low prices but hidden high costs, from frozen Thai shrimp to cultured pearls.

Overdressed: The Shockingly High Cost of Cheap Fashion, by Elizabeth Cline.

As I write this post, I’m wearing a cotton Gap dress and cashmere Ralph Lauren cardigan; the dress was made in Indonesia and the sweater in China.

So, I too, am complicit in the use of overseas, sub-contracted, poorly-supervised labor. I know it. I hate it. I am not at all clear what (else) to do.

My clothes, probably like many of yours as well, no matter where you live, are made cheaply by people we will never meet or know or feel, possibly, much responsibility to.

Bangladeshi woman

Bangladeshi woman (Photo credit: Wikipedia)

Until they are killed making it.

What are our choices?

— Make all our own shoes and clothing, (not practical for most of us)

— Wear only clothing made by American workers, (if you are American)

— Look for the ILGWU label, if so

– Find out which manufacturers, (if possible), were sub-contracting work to Rana, and Tazreen, site of another major Bangladeshi garment factory fire that killed 112 workers and boycott all their products

— And spread the word through social media

Here’s a story about Aminul Islam, who tried to organize Bangladeshi garment factory workers.

He was killed.

Ideas?

Solutions?

Outrage?

All foreplay, no sex

In behavior, books, business, journalism, life, Money, work on April 17, 2013 at 12:02 am

By Caitlin Kelly

Have you ever had a client who talked a lot about doing business with you — but never actually did it?

Like that.

In a time of rising costs and taxes, I understand why some people are reluctant to commit to laying out cash. I’m hardly a wild spender, but I keep writing checks — albeit small ones — to my assistant, even for ideas we’ve had that just didn’t work out as we’d hoped. If I only spent money on sure things (oooh, sign me up!), I’d be a lot richer.

We all want ROI — return on investment. But how many of us know exactly, beforehand, which business decision is a totally sure thing and which is not?

When someone decides they might want to work with me, there are hundreds of articles on-line they can read to see my product. (But how heavily were they edited?) Do some due diligence and ask around; we all have reputations, for good and ill. Some writers’ copy arrives clean and ready to edit, while others offer what I call Swiss cheese journalism — all holes, little substance. I recently met a writer who felt compelled to tell me how Very Successful he is. Then I had lunch this week with someone who previously worked closely with him and told me a very different tale.

When you work for yourself, cashflow is key, which includes deciding when someone’s just kicking your tires and is never actually going to hire you or pay you for your time and skills.

English: The lattice work on Saks & Co's store...

English: The lattice work on Saks & Co’s store on Fifth Avenue in New York City (Photo credit: Wikipedia)

Last year, I did an event for my book, “Malled: My Unintentional Career in Retail” at Saks, an upscale store on Fifth Avenue in Manhattan. A woman stopped by my table and bought a copy and I couldn’t believe my luck — she works in HR at another huge retailer. It was, I hoped, a golden opportunity for future consulting, or a speaking engagement or book sales.

And then began a months-long courtship that went exactly….nowhere. She’d read my book, seen my video, had plenty of time to assess my potential value to her company. She would email me to arrange a phone call, with no agenda or plan. Our one in-person meeting, when I was in her city far away from me, got cancelled after she took a horrible fall. The call arranged for 3pm on a Sunday afternoon, (she simply assigned me the time, horribly inconvenient for me), she completely blew off.

I finally emailed her a terse note suggesting that if or when she wished to do business with me, I’d be happy to hear from her.

Crickets!

Another Canadian recently decided they might want me to keynote a major conference, with barely a month’s notice — paying my own way to Toronto from New York for no fee. Really?

Then they simply stopped returning my assistant’s calls and emails. This sort of hand-wringing, passive-aggressive, risk-averse bullshit is crazy. Rude. Cowardly.

The ongoing challenge of working for yourself is determining which potential clients really are, eventually, going to open their wallets and get on with it — and those just dicking you around because:

1) they’re indecisive; 2) they’re cheap; 3) they don’t have the authority to hire or pay you; 4) they’re terrified of any risk; 5) they don’t have the funds 6) and/or don’t want you to know it; 7) it makes them feel powerful to know they can.

I hate wasting time. I hate wasting energy. I really try not to do it to others. It’s disrespectful. It’s a time-suck. And all the time you waste on foreplay, so to speak, you could be enjoying the real deal with someone who actually really does want to do business with you.

Have you run into this?

How do you suss these losers out (more) quickly so they don’t waste your time?

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