Being creative is one thing; running a business like a creator is a whole different story! So many folks think they are just playing around when they upload content online, but it takes more to handle money, so they do not get lost in the game. Creators usually have so much on their plate; they’re filming, editing, posting. They are dealing with brand endorsements and keeping up with algorithms. Numbers and spreadsheets are the last thing they think about! But can handling the money and financial matters not take a backseat if we want to avoid some serious stress?
Starting Financial Responsibility
Building a brand around yourself takes work, just as much work as it does money if you want to grow fast by buying followers and likes. It needs a clear vision of what the brand is, not only the product. Money has to go somewhere; it makes sense. If being an influencer online is paying the creator’s bills, turning it into an official business matters!
Imagine this real case scenario for an example. A creator needs to see if paying for ways to promote their songs using platforms such as Spotify promotion and Soundcloud Promotion actually makes some sense for their budget; it needs to be weighed into all those financial matters instead of just hoping it gives them some extra money in the short-term. A financial expert knows all the ins and outs of the tax laws around it; that’s very valuable for such an aspiring artist.
Tracking Income From Brand Deals
Most creators just want to do sponsorships. When it leads to negotiating and deciding the rate, these are considered skills that the creator does not have when they are just artists; this is the financial expert’s job! In the actual finance and tax situation, the advisor works with the rate to make sure that the sponsor and the creator both have a clear definition of how payments work when both sides agree on it.
That’s why it is important for influencers to have a financial professional as their business partner because that professional has skills in finance and the knowledge of what these sponsorship and brand endorsements actually entail; as such, it only makes sense. As they handle the books, creators are able to build meaningful sponsorships with the sponsors.
Why Financial Planning Beats Guessing
Doing things by gut feelings is something humans fall for, for example, gambling. Sometimes there is a lucky case when people make millions from guessing things right, but that’s a rare exception. It’s the same thing as doing a financial plan: either people guess what’s going to work, or there is an effective plan by the creator.
When creating a plan, imagine a kid thinking about which candy to eat first. The creator can feel a sense of responsibility as they approach finances, especially in taxes.
Knowing Taxes Saves Time
There are things humans cannot avoid, and a huge one that everyone encounters is tax, an almost guarantee given that everyone faces it one way or another. Taxes are no joke; imagine not knowing and not doing the accurate filings. The next thing they will know, the government will come knocking at the creator’s door.
Now, how can anyone avoid these circumstances? Hire a professional! Not many creators have that financial background! With a CFO, the finances can be taken care of and planned for, the records are exact, and the tax returns happen in real time! That’s another huge weight off the creator’s shoulder.
Conclusion
Trying to become a full-time creator is hard enough already, so creators who want to make it a long-term career can bring great results to their earnings and peace of mind by just getting the finances handled by a Certified Financial Officer. With a CFO, they can spend lots of time on things that can help grow the brand, like creating and networking.
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