Money matters: a small studio and two independent designers share big tips on managing finances

In an ideal world, we would all be money magicians, effortlessly handling invoices, making payments on time, and keeping impeccable track of receipts! But we’re human, right? And life gives us plenty of plates to spin. This is especially true for smaller teams and freelancers who may not have the resources or the budget for a dedicated finance team. So, we wanted to chat with some creatives with a few years of experience navigating this side of admin, with or without help.

Design studio OKOK Services and independent designers Sthuthi Ramesh and Charlie Nash, provide valuable, relatable, and oh-so-honest insights into their approaches to managing finances. By delving into their unique perspectives, we gain a deeper understanding of the intricacies involved in financial management, learn how it can positively impact businesses and individuals alike, and rest easy knowing that it’s not just us who run away from the idea of starting our tax returns.

At the beginning of her journey as an independent creative, London-based designer Sthuthi Ramesh did not prioritise tasks like bookkeeping, which caused challenges at the end of each year. “Now,” she tells us, “I make a conscious effort to stay on top of my accounts and finances, aiming for a monthly check, or at least once every two months. I handle the bookkeeping for my limited company myself, which helps me track the areas of highest expenses each term.”

Operating globally, Faris Kassim and My Kim Bui – Co-founders of OKOK Services – must consider their respective country’s tax laws. Both of them work with accountants individually to ensure that payments get made and are received on time. At the end of each calendar year, Bui explains, “we usually sit down to discuss our financial ‘performance,’ see how we can improve our operations, and set certain financial targets for the next calendar year.”

For many creatives – no matter where they’re based or when their tax season is – tracking finances can be a subject that gets put on the back burner. Graphic designer and art director Charlie Nash recalls, “I bury my head in the sand when it comes to bureaucracy – when I first decided to go it alone, I wanted to hit a U-turn before I even got out the blocks.” Being based in Stockholm, Nash was dealing with paperwork in a language and system that he was unfamiliar with. To avoid any catastrophic blunders, he made the decision to reach out to a professional, and now – like Ramesh and OKOK Services – Nash prefers to have an accountant handle the paperwork and bureaucracy associated with taxes. He admits that he dedicates not much more than an hour at the end of each month to managing his finances. He collects receipts, organises invoices in a folder, and sends them off to his accountant.

All our interviewees unanimously agree that having a professional handle their finances allows them to focus on their work without added stress. Saying that, with the right resources and mindset, it doesn’t always have to be something you hand over to someone else. “If you’ve got the time and interest,” Nash notes, “I’d recommend delving into it yourself, as I imagine it’s quite empowering being able to crunch the numbers and gain a deeper understanding of what goes where and when and how. But at this stage of my life and career, I’d rather keep the process out of sight and out of mind.”

In terms of tools and resources, there’s plenty of apps and guides that provide some ease to bookkeeping and general financial admin. Kassim and Bui rely on Google Sheets for financial tracking, finding it effective for attaching invoices and keeping their finances organised. “As and when we pay off an invoice or receive payments from a client,” Kassim says, “we update the Sheet which we use to keep track of itemised expenses and revenue.” “It’s all still very manual over here at OKOK,” Bui adds.

Meanwhile, Ramesh uses business financial platform Tide for business banking and FreeAgent, an online software, for managing accounts. FreeAgent offers features like automated invoicing and payment reminders, which greatly simplify financial management.

While making notes of our learnings, we were also keen to know – while each of our contributors have now figured out a process to manage their finances that works for them, is there something about managing money they wish they’d learned or had been taught before they dove into the whole thing?

“I think money matters – including pricing and rates, for example – are something rarely discussed in art or design schools, and even when you eventually work in a studio (especially as a creative and not in a role where you’re managing projects),” Bui considers. And even in the industry, she believes that it’s not something that is discussed openly. “We’ve learnt it over the years through trial and error. But these days, we have a tight circle of collaborators that we work with consistently, and we usually openly discuss our rates amongst ourselves. This has also helped us to value our work appropriately,” she adds.

Since establishing her own practice three years ago, Ramesh has learned her own lessons in optimising finances. She particularly highlights the importance of striking a balance between cultural and corporate clients to sustain annual turnover. Additionally, she emphasises the necessity of investing in the business, including – “self-promotion, website development, studio branding, reaching out to the right clients, and training.” These are essential steps for a studio’s growth, which provides ample ROI in the long run.

“Besides learning how to balance your own books, I’d perhaps wish I learnt the importance of having a buffer,” Nash says. “You never know what’s around the corner, so saving up a good lump of money during the high times that can get you through rainy days is key. If, like me, you’re terrible at keeping on top of your finances, you can continually, throughout the year, put more money than needed aside in your tax account, so when it comes to the end of the tax year, you will find yourself with a nice Brucie bonus!”

“To keep things simple, I’ve got three bank accounts – a business account, a tax account and a savings account. My advice to anyone on the fence about managing their money alone is to not let the finances put you off; you can keep things uncomplicated like me,” Nash concludes.