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Animation Business
     Basics
            or
Notes from The Freelance Life

                    © J Caswell all rights reserved
It’s not that hard
but it’s constant.


              © J Caswell all rights reserved
Business Structure
      Taxes
    Contracts
  Finding Work
   Rembrandt
             © J Caswell all rights reserved
It’s Show BUSINESS
         not
      Show ART

             © J Caswell all rights reserved
The Freelance Life © J Caswell 2011
The Freelance Life © J Caswell 2011
read/think
  about
 business
       © J Caswell all rights reserved
Think of yourself as a business person
         not just as an artist.


          PROFESSIONAL




                             © J Caswell all rights reserved
BUSINESS STRUCTURE

    Sole Proprietor

     Partnership

    Incorporation




                      © J Caswell all rights reserved
BUSINESS STRUCTURE

    Sole Proprietor




                      © J Caswell all rights reserved
BUSINESS STRUCTURE
     Partnership




                   © J Caswell all rights reserved
BUSINESS STRUCTURE
     Partnership




                   © J Caswell all rights reserved
BUSINESS STRUCTURE
    Incorporation




                    © J Caswell all rights reserved
BUSINESS STRUCTURE

   **DISCLAIMER**
    Sole Proprietor




                      © J Caswell all rights reserved
BUSINESS STRUCTURE

    Sole Proprietor

   Register a name
   Current Account
       HST #




                      © J Caswell all rights reserved
TAXES
   © J Caswell all rights reserved
TAXES
       Pre Pay
or save to pay at least
         15%

                © J Caswell all rights reserved
TAXES
CRA
Audit


        © J Caswell all rights reserved
TAXES
Paperwork
read tax prep articles

listen to the budgets

 get an accountant



                        © J Caswell all rights reserved
Paperwork




        © J Caswell all rights reserved
TAXES
 Deductions
or Write offs
self-employment expenses
   must be documented



                     © J Caswell all rights reserved
TAXES
        Deductions
       or Write offs
            Not Free Money

            You have spend it
to write a portion off of next year’s taxes
  Why I bought a PS3 on December 31
                                © J Caswell all rights reserved
Business Expenses
                100%
              Supplies
          Website creation
         Business stationary
         Computer software
   Convention expenses (2 per year)
           Travel for work

         Capital Assets CCA
            30% per year
(Hardware, monitors, Cintiqs, tablets,
    scanners, printers, cars, etc.)
                            © J Caswell all rights reserved
Home Based Business Expenses
             %
           Rent.
        Mortgage.
     Mortgage interest.
Home/Apartment Insurance
    -Power/Hydro Bills.
         Gas Bills.
 Property Tax Assessment.
    Water/Sewer Bills.




                     © J Caswell all rights reserved
loss
 against
income

           © J Caswell all rights reserved
CONTRACTS
         aka:
     Deal memo
 Purchase Order/PO
Production Agreement
         etc.

                  © J Caswell all rights reserved
The Going Rate:

20 bucks
an hour
benefits after 6 months.

                     © J Caswell all rights reserved
CONTRACTS
    For production companies,
     little negotiation in price.

Where did you pay last year’s taxes?


                            © J Caswell all rights reserved
CONTRACTS
   Uneducated clients

Your job to educate them
through your deal memo.



                    © J Caswell all rights reserved
CONTRACTS
           Know thy time

How long will it take to do the work?
      What’s their deadline?
           Is it enough?


                           © J Caswell all rights reserved
CONTRACTS
         Know thy time

Build in deadlines into a schedule.
 Link payments to these stages.



                          © J Caswell all rights reserved
CONTRACTS
         Know thy rights

  Where are they using the work?
Is there any use beyond your work?



                           © J Caswell all rights reserved
CONTRACTS
          Know thy rights

    Define this in your deal memo.
Further use should mean more money.



                            © J Caswell all rights reserved
CONTRACTS
You have to be able to walk away
  if you feel you’re being used.




                        © J Caswell all rights reserved
CONTRACTS
         Look at examples from
graphic design or illustration business sites
             and adapt them.




                               © J Caswell all rights reserved
CONTRACTS
       INVOICE
After you finish the job,
      invoice for it.




                     © J Caswell all rights reserved
Finding Work

CONNECTIONS
 Animation is a team sport




                       © J Caswell all rights reserved
Finding Work

Learn from
Your peers

          © J Caswell all rights reserved
Finding Work
 Don’t look for a JOB

Find Clients
                 © J Caswell all rights reserved
Finding Work
  Forget the blog
Build a website

                © J Caswell all rights reserved
Finding Work
Find your niche
then market the hell out of it




                         © J Caswell all rights reserved
© J Caswell all rights reserved
© J Caswell all rights reserved
“Luck affects everything. Let
your hook always be cast.
In the stream where you
least expect it,
there will be fish.”
                     Ovid



                     © J Caswell all rights reserved
GOOD work vs. good work




                © J Caswell all rights reserved
GOOD work vs. good work
    How to get a job at Pixar?




                           © J Caswell all rights reserved
GOOD work vs. good work
      Have them call you.




                            © J Caswell all rights reserved
Read Emerson’s
“Self Reliance”



            © J Caswell all rights reserved
“The reward of a thing well done,
       is to have done it.”

  “Skill to do comes of doing.”


                       © J Caswell all rights reserved
Faith will be rewarded

    perseverance

                © J Caswell all rights reserved
BLISS
 follow it




             © J Caswell all rights reserved
“Often, when you want to be understand
something, you have to take it apart or
apply another kind of language to it.
Drawing is another kind of language.”
                           Richard Serra




                              © J Caswell all rights reserved
Like any kind of language,
you have to practice it or you’ll lose it.




                                © J Caswell all rights reserved
?

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Animat2011

  • 1. Animation Business Basics or Notes from The Freelance Life © J Caswell all rights reserved
  • 2. It’s not that hard but it’s constant. © J Caswell all rights reserved
  • 3. Business Structure Taxes Contracts Finding Work Rembrandt © J Caswell all rights reserved
  • 4. It’s Show BUSINESS not Show ART © J Caswell all rights reserved
  • 5. The Freelance Life © J Caswell 2011
  • 6. The Freelance Life © J Caswell 2011
  • 7. read/think about business © J Caswell all rights reserved
  • 8. Think of yourself as a business person not just as an artist. PROFESSIONAL © J Caswell all rights reserved
  • 9. BUSINESS STRUCTURE Sole Proprietor Partnership Incorporation © J Caswell all rights reserved
  • 10. BUSINESS STRUCTURE Sole Proprietor © J Caswell all rights reserved
  • 11. BUSINESS STRUCTURE Partnership © J Caswell all rights reserved
  • 12. BUSINESS STRUCTURE Partnership © J Caswell all rights reserved
  • 13. BUSINESS STRUCTURE Incorporation © J Caswell all rights reserved
  • 14. BUSINESS STRUCTURE **DISCLAIMER** Sole Proprietor © J Caswell all rights reserved
  • 15. BUSINESS STRUCTURE Sole Proprietor Register a name Current Account HST # © J Caswell all rights reserved
  • 16. TAXES © J Caswell all rights reserved
  • 17. TAXES Pre Pay or save to pay at least 15% © J Caswell all rights reserved
  • 18.
  • 19. TAXES CRA Audit © J Caswell all rights reserved
  • 20. TAXES Paperwork read tax prep articles listen to the budgets get an accountant © J Caswell all rights reserved
  • 21. Paperwork © J Caswell all rights reserved
  • 22. TAXES Deductions or Write offs self-employment expenses must be documented © J Caswell all rights reserved
  • 23. TAXES Deductions or Write offs Not Free Money You have spend it to write a portion off of next year’s taxes Why I bought a PS3 on December 31 © J Caswell all rights reserved
  • 24. Business Expenses 100% Supplies Website creation Business stationary Computer software Convention expenses (2 per year) Travel for work Capital Assets CCA 30% per year (Hardware, monitors, Cintiqs, tablets, scanners, printers, cars, etc.) © J Caswell all rights reserved
  • 25. Home Based Business Expenses % Rent. Mortgage. Mortgage interest. Home/Apartment Insurance -Power/Hydro Bills. Gas Bills. Property Tax Assessment. Water/Sewer Bills. © J Caswell all rights reserved
  • 26. loss against income © J Caswell all rights reserved
  • 27. CONTRACTS aka: Deal memo Purchase Order/PO Production Agreement etc. © J Caswell all rights reserved
  • 28. The Going Rate: 20 bucks an hour benefits after 6 months. © J Caswell all rights reserved
  • 29. CONTRACTS For production companies, little negotiation in price. Where did you pay last year’s taxes? © J Caswell all rights reserved
  • 30. CONTRACTS Uneducated clients Your job to educate them through your deal memo. © J Caswell all rights reserved
  • 31. CONTRACTS Know thy time How long will it take to do the work? What’s their deadline? Is it enough? © J Caswell all rights reserved
  • 32. CONTRACTS Know thy time Build in deadlines into a schedule. Link payments to these stages. © J Caswell all rights reserved
  • 33. CONTRACTS Know thy rights Where are they using the work? Is there any use beyond your work? © J Caswell all rights reserved
  • 34. CONTRACTS Know thy rights Define this in your deal memo. Further use should mean more money. © J Caswell all rights reserved
  • 35. CONTRACTS You have to be able to walk away if you feel you’re being used. © J Caswell all rights reserved
  • 36. CONTRACTS Look at examples from graphic design or illustration business sites and adapt them. © J Caswell all rights reserved
  • 37. CONTRACTS INVOICE After you finish the job, invoice for it. © J Caswell all rights reserved
  • 38. Finding Work CONNECTIONS Animation is a team sport © J Caswell all rights reserved
  • 39. Finding Work Learn from Your peers © J Caswell all rights reserved
  • 40. Finding Work Don’t look for a JOB Find Clients © J Caswell all rights reserved
  • 41. Finding Work Forget the blog Build a website © J Caswell all rights reserved
  • 42. Finding Work Find your niche then market the hell out of it © J Caswell all rights reserved
  • 43. © J Caswell all rights reserved
  • 44. © J Caswell all rights reserved
  • 45. “Luck affects everything. Let your hook always be cast. In the stream where you least expect it, there will be fish.” Ovid © J Caswell all rights reserved
  • 46. GOOD work vs. good work © J Caswell all rights reserved
  • 47. GOOD work vs. good work How to get a job at Pixar? © J Caswell all rights reserved
  • 48. GOOD work vs. good work Have them call you. © J Caswell all rights reserved
  • 49. Read Emerson’s “Self Reliance” © J Caswell all rights reserved
  • 50. “The reward of a thing well done, is to have done it.” “Skill to do comes of doing.” © J Caswell all rights reserved
  • 51. Faith will be rewarded perseverance © J Caswell all rights reserved
  • 52. BLISS follow it © J Caswell all rights reserved
  • 53. “Often, when you want to be understand something, you have to take it apart or apply another kind of language to it. Drawing is another kind of language.” Richard Serra © J Caswell all rights reserved
  • 54. Like any kind of language, you have to practice it or you’ll lose it. © J Caswell all rights reserved
  • 55. ?