Estimates

Q:

So often art directors push for more images on the shoot day even after the final number of shots has been agreed upon and approved. It’s tough to navigate on set. They usually say something like, “we’d love to get a few options on this shot,” or “what if we do this?” How do we be stern (no pun intended) with these on-set requests with discussing money during the middle of a shoot?

A:

I tell every photographer I rep or temp rep to blame me. For example- “I’d love to do this for you, but Andrea had me agree that you’ll have to talk to her first.” If you aren’t working with a rep then you can say, “As much as I’d love to, it’s my self-producing policy to not surprise you or me later with costs and timing issues so I’ll get back to you in a few minutes with any cost or scheduling changes to make those happen.”

Q:

What questions should be asked when figuring out costs for projects?

A:

This could be the most important part of estimating a job. Get the info you need so you understand what they are looking for, otherwise you risk not being covered ($) for something they expected you to cover. The other risk is you will be either too high or too low and not get the job. Ask for their budget (I doubt you will get the answer), get the shot-list, a layout or mood-board creative deck, what is the usage they want to license, and are they handling any of the production. After you see their deck info- ask the specifics about the day count, remote or on set, location, talent, props, backgrounds, surfaces, live casting or not, and any part of the production they are handling. You then have a sense of your approach and their needs to get your estimate started.

Navigating the Unknown Episode 11 is now live on YouTube! This week we speak to Art/Content Producer Kay Gautraud, and Producer Michael Klein about how to navigate estimates for a project in today’s climate. 

Guests:

Kay Gautraud – Art/Content Producer https://www.kaygautraud.com/#/

Michael Klein – Producer, Circadian Pictures https://circadianpictures.com/

Navigating the Unknown is a Q&A series in collaboration with APA-LA where we speak to different members of the photo community about all aspects of the commercial photography business. https://la.apanational.org/

With Co-Host: Photographer Hugh Kretschmer https://www.hughkretschmer.net/

We are all curious about ESTIMATES.
My top 5 tips for every estimate:

1. Start it off with the amount of final images you have agreed on. 
2. No variations included. 
3. This bid is based on information provided, any changes may incur overages. 
4. 10-hour shoot day. 
5. No overtime is included.

What do we need to include to help a photographer secure a job based on the estimate? Today, I’m going to share my top five points for creating an effective estimate:

1. Job Description: Always include the number of shots at the top of the estimate. This is important because clients might want to add shots later, so clearly state how many shots are included and emphasize that there are no variations.
2. Information and Overages: Add a line stating, “This bid is based on information provided; any changes may incur overages.” This protects you if changes are made to the scope of work.
3. Hours: Specify the number of hours the shoot is based on. This helps set clear expectations.
4. Overtime: Indicate if there is no overtime included in your estimate. Mention this in the email as well so clients know up front if additional hours will incur extra charges. Typically, estimates are based on 10 hours.
5. Usage Rights: Note that usage rights are granted with full payment. Usage becomes legally theirs only once payment is received, so make this clear.

These are my top five points, plus one extra on usage rights. See you next week for the “Navigating the Unknown” webinar, where we’ll discuss this further.

*WARNING*

When you are asked to revise a specific cost on your submitted estimate, you can only change that cost. Do not be tempted to change other costs and assume they will read through it all again. You can get your client in trouble and it’s a sneaky move.

There’s one part of bidding we’ve noticed that you should be very careful about. When we’re asked to revise a bid, we need to only revise that specific line item that they’ve requested to change. It’s very tempting to change other line items because we might hear from their tone that our budget could have been higher or perhaps we’re a little low on craft services and should have put in more for meals. We cannot make those changes, because once we submit the bid, we have to assume when we give it back, they’re not going to read over the whole bid again. It can be really sneaky, even if we didn’t mean it in that way and we can get someone in trouble. Only change the revision that they asked for.

Q:

I have a question regarding fees during this pandemic. I have a client wanting me to do a shoot in Florida early August. Being that that is a high risk state right now do you see photographers increasing their feeds for the added risk of the situation? Like hazardous pay? Thanks much!

A:

This is a new situation for all of us, so there is no absolute answer to this. Since your question makes rational sense, it’s worth bringing up with a client you have food communication with. As you know, less jobs are happening so budgets are going down and photographers are extra eager to get work now. This high level of competition could prevent any extra financial coverage. Play it safe though and don’t cut corners on the precautions which affect the expenses and shot count. I’d suggest bringing up the expenses instead of trying to raise your fee, where clients can rationally see and understand what they’d be paying more for.

Q:

Is anyone talking about Covid cancellation language yet? I need help.

A:

At this point, the client cannot be held responsible for normal cancellation fees if it is COVID related. Protect yourself by adding this line in the Job Description on the top of your estimate, “Due to any cancellations for Covid-19, all previously incurred expenses and fees will be covered once this estimate has been officially approved.” Having this sentence on your signed estimate, your purchase order, or even in your email agreement with your client can help protect you.

Q:

Is an advance to cover hard costs for production or do you pay the photographer 50% of the fee in advance of the shoot?

A:

The amount of the advance depends on the policy of the client. Sometimes it’s 75% of the expenses or 50% of the total budget, but most often it is to cover the expenses of the shoot and not the photographer’s creative fee.

When you begin pricing out the requested optional usage prices on your estimate, pad them with the expectation that the client will respond by minimizing with less usage options and you will have to present cheaper rates.

Often on jobs, estimates, or bids, we’re asked about renewal or reuse terms. They might inquire about rates for one year, two years, or additional uses like print advertising. They may also ask about extending usage beyond the initial period—such as for an extra year or five years.

You should be prepared to include some flexibility in your pricing. Quote a bit higher than what you expect they’ll accept, knowing they might come back and request adjustments, such as a shorter term or reduced scope. This way, you’ll have room to negotiate and adjust the prices as needed.

Does that make sense? The idea is to leave some room in your bid so you can accommodate their requests for reductions and still meet their needs.

Q:

Do you suggest always requesting a 50% advance? If so, what’s the best way to ask for it?

A:

Yes. Always put a request for the advance on your estimate, so you have it in writing that they’ve agreed to those terms once the estimate is approved. I use simple language such as “50% of total due prior to beginning of shoot.” If they ask for a different amount that is fine with me. I just need to be legally guaranteed my photographers will be paid. I’d be scared to work without that reassurance.