In the recent past, we’ve seen how art has played a major role in promoting our well-being. It seems like the pandemic has shown us that we all have an insatiable hunger to witness or create any form of art. With that in mind, you’re probably wondering whether you can build a successful business involving arts.
While it’s probably quite difficult yet to gather audiences for plays, it’s already a good time to start building your theater company. After all, once this pandemic is over, people would be flocking stadiums and centers to witness art with their own eyes. This article will help you build a business and a theater company.
Steps in Building a Theater Company
Pretty much like any other type of business, theater and drama require a few things to be formed. You need to take care of a few legalities and concerns to ensure that your theater business abides by the law. Here’s how you can do that.
The very first step you need to take is to make a concise plan on how you aim to establish and develop your business. This includes determining the overall cost of a startup as well as the maintenance to keep it running. Your business plan should also include your target market, how you plan on earning money, and the theater company’s name. These are all essential in making sure that you’re headed towards the right path.
Gather and Develop Your Talent
Once you have a business plan, the next thing you need is people behind you to support your cause. While a team that handles the business side of the theater is helpful, you also need to make sure that your theater has a deep lineup of talent. Gathering interested performers and developing their skills is essential. You can provide acting and writing workshops to your team. Furthermore, having one or two of them learn how to play the piano will also benefit your performances and musicals.
After forming your team and coming up with a business plan, it’s time to form a legal entity. Generally, your business structure can either be a sole proprietorship, corporation, or partnership limited liability company. Understanding the differences between these three is essential because lots of your business funds will circulate depending on the structure you chose.
Any type of business needs to register for state and federal taxes, including your theater company. This is one of the main reasons why your business structure is important. Some small business taxes vary according to your business structure. Nonetheless, you need to apply for EIN to register your business.
Once you have registered your business, make sure that you also open a business bank account. You want to guarantee that your personal assets and liabilities are not affected by your business, and a business account will help with that. To ensure that you have personal asset protection and are separated from your company’s assets, visit different banks and inquire about setting up a business account, then choose one that best suits your and your company’s interests.
Permits and Licenses
Various government operations aim to ensure that public safety is not compromised. You’re going to need various permits and licenses to guarantee that the government can monitor your business and that you are not breaking any law. If your business does not have a permit, you might have to pay a fine, or it may even cause your business to shut down.
Aside from protecting your personal asset, you also want to make sure that the company’s financial well-being is safe. That’s why you need business insurance. This is also necessary to operate lawfully and safely. Different businesses are also offered different insurance policies with different types of risks. If you’re unfamiliar with this, the best way to go for your theater company is to acquire a general liability insurance policy.
Now that everything that involves legalities and paperwork is prepared, it’s time to establish your brand. Try to observe the market and identify what it is that your theater has and others don’t. This will serve as your leverage to beat the competition. Furthermore, knowing how to promote and market your theater company will help cement your brand in the business industry.
Art is an essential part of our lives, and that’s probably why we’ve practiced it for hundreds, if not thousands of years. It is a way of seeing reflections of ourselves, our lives, and the world in the microcosm of the stage. We wish to see your interpretation soon. Build your theater company now!