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In Reply to: What it may "gross" doesn't really matter all that much posted by Dave Pogue on March 9, 2007 at 05:13:19:
........ ..Especially given the gross figure is based on a subscription number of a long established audio mag.My point is $1.75m is not a lot of capital to start a brand new magazine. Maybe you think it is a sufficient sum to support the supposition put by the original poster?
It will be a rare scenario indeed in a brand new venture where revenue exceeds expenditure in its first year ( or maybe the first five).
If you believe expenditure has to be lower than revenue to keep a business afloat, or even successful, you must have no experience in starting and owning a business?
I can think of no example, in Australia at least, where a brand new magazine owned and operated by a new player in the magazine market has ever even projected a profit in its first year of operation .. though several have become successful after several years of initial losses. ( none in audio however)
Smile
Sox
Follow Ups:
Sorry, I thought that was implicit; it's simply not enough. But beyond that, I don't think the premise is supportable no matter how much money is available, although the more money poured into it, obviously the longer it would last. And a website would last even longer, if that matters. All this is IMHO, of course (although I did help run a successful business for a long time).
Gday,It seems we may have a similar view on what Rick is proposing (it is impractical and doomed to failure) but just looking at it from different angles.
Sorry, I did misunderstand your initial post.
Smile
Sox
I'm not "suggesting" anyone attempt it. It is in fact a mag I'd love to read, and I might be willing to pay $100 a year for what I described. But don't forget the end of my post. I too think it would take bigger bucks than my example, and would be very risky. Hence my conclusion.....the current model ain't gonna change. I do hope Colloms's venture somehow succeeds and lights the way for change, though their approach ain't the Full Monty I outlined.
... and just looking for the right recipients :-)
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