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Studio Owners
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I agree that what the music licensing companies are doing to us is unfair because they cross over each other so that you may need to pay more than one company.
I will say though that $100 a year for one studio should not be too burdensome of a fee unless your students population is so small that you aren't really teaching that much at each location in which case you may need to consider not using at least one of your studios and combining classes.
There are many costs to running any business and pole dance is no exception. It's not easy or cheap to start up a business which is why so many new businesses of all types fail. It involves a lot more than some people realize. Business licenses, liability insurance, music licensing, workman's comp and more.
Really we pay hundreds, sometimes over $1000 a year for auto insurance but many people do think about how the total of these fees for running a business usually comes to less or not much more than that.
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I think $300.00 a year is excessive
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paintilady, Pandora does have a paid option for business use that covers licensing. http://www.dmx.com/pandora/why-pandora-for-business/
It's $24.95 a month and you must also purchase the DMX media player for $99. For a smaller business it's more affordable than getting licensed with all the different licensing agencies.
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Nilla, if you read the terms of service for the Pandora account it specifically states no gyms, studios, aerobic classes and such.
Due to the terms of our music licenses, the consumer version of the Pandora service (including Pandora One) cannot legally be used to play music in a commercial setting, such as retail stores, restaurants or spas.
However, we have partnered with DMX to provide a legal, licensed way to use the Pandora service in the vast majority of businesses and commercial establishments.* However, this service is not for use for bowling, skating, choreographed or organized dancing (such as dancing in dance studios, ballrooms or discotheques), instructed health club classes, and aerobic or other similar forms of entertainment or physical activity or where an admission is charged.
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But it's not $300 a year…it's $100 a year…per studio. If you can operate 3 studio locations then you must be able to manage the same fee per location.
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I have owned my own drive through espresso stand for a year and a half and chose to become an LLC. All this means is that it I am no longer unable to pay my bills, an irate customer attempts to sue me, or I want to open a different business – they are completely different than my own personal credit and “reputation”. It’s for your own protection.
For example, if a student fell and hurt themselves, and for some reason didnt sign a waiver, they would sue the LLC not my personal self. So if I’m wrapped up in a expensive legal case they would be unable to take my car, house, etc. it’s for your own personal protection 🙂
Let me know if you need any help!
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paintilady – Why would any amount be considered excessive?
If you developed a curriculum that was used in both at home and studio locations would you not expect more for studio use? How much would you expect to earn off someone using your curriculum for studio usage as opposed to using it at home?
As a business owner myself I find it helps to put together a spreadsheet showing your expenses and amortizing them accross your expected audience. This will help you see how small an expense that money really is and also give you a firm grasp on your pricing model.
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I do have Pandora right now, we pay for the version where there are no commercials. But I understand we can not use it in the studio any more.
The $300.00 is what it would cost to pay all three licensing agencies. Actually more, And I only have one studio.
Webmaster, Why would any amount be considered excessive? There comes a point when the licensing fees from Cities, taxes, cost of insurance, all kinds of costs just keep going up and new costs coming in cut the profit to a point it gets difficult. Pole studios in cities like the one we live in or small businesses for that matter are closing at an alarming rate.
My water bill has more that doubled in one year, electric has skyrocketed with all kinds of fees on the bill, taxes and fees are just going up. The public only wants to pay so much for pole classes. Kind of at that point.
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paintilady- i hope you are able to work this out. Lots of great info here. I really wanted to comment so I can continue to follow this thread…
Businesses aside, but still remaining relevant to the subject of added fees, it seems as everything has doubled in the last year… My water bill went up 50$ a month for a new recycling fee when recycling was always covered years prior. WHICH IS A CRAZY PRICE IN MY OPINION. I hate how its just added to the bill and there was never a notice to let the public know there would be an added fee. -
Well shoot, how did I miss that.
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https://www.studioveena.com/img/smilies/icon_eek.gif This is really scary reading the comments about all you have to go through to start and keep your business. Does all the music license info you've all been talking about also apply to home-based studios?
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Anyone who is making money off the use of an artist's music owes them compensation for that. Whether it's in your home, at someone else's home for a party, at a theater for a competition, at a venue for a showcase or recital, etc.
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I believe SiriusXM satellite radio's business account lets you use it for studios – at least, when I went to Cardinal Fitness a few years ago, that's what they had playing. I haven't actually confirmed this yet.
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I believe they might though I can't find any details about what types of businesses are allowed to use Sirius under their business mode. However, Sirius for business starts at $29 a month…much more expensive than the license itself.
"SiriusXM offers both consumer and commercial subscription plans. Only Sirius XM Music for Business, our commercial service, includes the required payments of public performance royalties to rights organizations such as ASCAP, BMI, SESAC and SoundExchange, which represent the music copyright holders. These royalties are included in our commercial subscription plans. With SiriusXM you get a unique music service that helps create an engaging and entertaining environment for your business, and we pay the music royalties for businesses that subscribe to SiriusXM Music for Business."
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That is very similar to what Pandora says but then goes on in another part about no studio usage.
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