Multi ops your equipment or theirs

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1cdj

New DJ
Mar 13, 2008
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Other MO's
Do you provide equipment or do you hire dj's with their own. We have a 70/30 mix. In some cases the djs are happier using our stuff we don't have any decks not made by pioneer. Very fortunate in that regard.

Our standard system is

2 CDJ 800s
Serato
Numark 5000fx

we have 2 pioneer cdj 1000 systems with DJM800's and serato

and my system is Rane TTM57SL (Serato built in) with CDJ-400s

kyle
 
In our business I own three systems (2 on the road and one spare or for rental) and one of the other guys has his own. Anyone we bring on from here on in will either have thier own gear of be given an option to finance through us

I personally don't care what brand names they use as long as it is pro gear and suitable for the work they do
 
Bear in mind that this is one of the big deciding factors the the IRS used to determine if you are an employee or sub-contractor.

Sub-contractors own their equipment, while employers usually supply it.

-Alan
 
I have one DJ that has his own gear... the other 9 DJs (me included) have gear owned by the company.

I am seeing a trend of my DJs wanting to use their laptops, with either Mixmaster or Virtual DJ (I use Virtual). So in addition to their gear, they are adding their laptops. I will not provide a computer for them, however I have allowed them to use theirs. One concern I have is I do not want them to be sitting as they use their computers.

Kyle, do you provide all of your DJs computers?
Another question... if you let your DJ use company gear, do they pick it up, and return it with each event?

My systems are with my DJs all of the time, they keep the gear at their home during the week.
 
I have just started a low budget dj service under my friend. When I advertise my prices, and a couple says I am out of their budget I will say something like......

"I have a brother DJ, and this guy works for me as well, he does a great job....he started a more budget friendly DJ service. You will get less of a light show, but you will still get a valued DJed service!"

Its not going to be that...but something like that. So instead of referring them over to other people, I can still cash in on the couple. They play the "cheaper dj game" I can play the more pocket in my cash game! Its fair right??

I have been working with bars on being the "ultimate" dj in their bars, also offering clients a cheaper..more affordable dj service for bdays and such! Therefore I am cleaning the market, and taking in all resources. Kinda of a poor situation for other djs, but at the same time I am creating a more affordable service for them. I am "cornering" the market.

Back to multi-op......I told my friend what I would pay for each event, he thought he would be buying equipment. I explained to him, I have over $30,000 invested, and there is no way I am taking partners on! I will just pay him well, and I will "always" own the equipment. Helping to establish he doesnt "stab my back" and one day take "his equipment" and bend me over.

I do pay very well, and this way he will have no risk in equipment! I will be responsible. I have been working on more and more ideas, and I am just now putting the icing on the cake!

Well off to another event..more work!
 
I have one DJ that has his own gear... the other 9 DJs (me included) have gear owned by the company.

I am seeing a trend of my DJs wanting to use their laptops, with either Mixmaster or Virtual DJ (I use Virtual). So in addition to their gear, they are adding their laptops. I will not provide a computer for them, however I have allowed them to use theirs. One concern I have is I do not want them to be sitting as they use their computers.

Kyle, do you provide all of your DJs computers?
Another question... if you let your DJ use company gear, do they pick it up, and return it with each event?

My systems are with my DJs all of the time, they keep the gear at their home during the week.

They use company laptops for gigs stripped down w/password protected internet.

They pick up equipment for their 1st job either fri/sat an return it preferably at the end of their 2nd job unless they are staying overnight.

All equipment must be in house Monday by 9am with their completed time-cards.

this way we can do inventory and equipment checks RELIGIOUSLY
 
Back to multi-op......I told my friend what I would pay for each event, he thought he would be buying equipment. I explained to him, I have over $30,000 invested, and there is no way I am taking partners on! I will just pay him well, and I will "always" own the equipment. Helping to establish he doesnt "stab my back" and one day take "his equipment" and bend me over.

Honestly Adam if you feel you have to worry about this you probably aren't ready to be multi-op or you picked the wrong person to go multi with.

The fact is DJ equipment is cheap these days and you pay very well you say what is stopping him from buying some in a year and waltzing out the door with a chunk of business?
 
I own all three systems as well as both (2 obviously) lighting systems. They pick up on Thursday night for Friday or Saturday morning and return by Sunday at noon. They all get a checklist of what they have - with retail prices listed (to show what they could be losing/damaging). After the event, they must check off and sign the equipment list stating that they saw each piece of gear and all other items given properly packed and brought back. If they sign and I check and something is missing... they pay replacement cost. They all understand this and I've had no problems and don't expect any with my great and reliable staff. Just a safety precaution for MY investment.
 
We also do checklists in and out.
Operations manager signs them out and in.

kyle
 
Honestly Adam if you feel you have to worry about this you probably aren't ready to be multi-op or you picked the wrong person to go multi with.

The fact is DJ equipment is cheap these days and you pay very well you say what is stopping him from buying some in a year and waltzing out the door with a chunk of business?

Adam- if they're enforceable in your state you could do a pretty standard non-compete which covers going in business for themselves, however the thing that rubbed me in your post was the whole low budget avenue, don't go into multi-op to be low budget, you want your company's reputation based on performance not price, not oh we hired Adams company because he was the cheapest. you want "We hired adams company because they were the most professional or they rocked the party etc"

Dont always go for lowest price, low budget with your multi op because prices will probably keep going down and KILL your margins.
 
I dont care what you say...people look for the lowest price dj! And I will take whatever piece of the pie I need to take! Call me dumb...thats ok....

Clients will book my service because they know my services....however the people on a budget will still think they are getting a deal. Some of you guys have a high cost of doing business.....I however dont!

Granted I do understand what you are saying, I however find it in my interest. I dont have to nickel and dime all my customers and clients to make a decent living, and thats what I am shooting for. If I "corner" the market, and my competition dwindles on its own, I will have no problem with that. I feed my family, and not to date no other Dj has tried to help feed my family. I've got my business plan figured out, I plan to make it work.

If clients call and say my prices are high...they might call the other low budget dj services (4 others) and book with them....BASED ON THEIR PRICE! You wouls like to hope that all customers care about you and your services, but in our area....THIS DOESNT HOLD TRUE! Honest to god.....just because you may be great..doesnt mean you fit in everyones budget. I wish I could charge $1500 per wedding, and book 30 times a year. The problem is...by charging $1500 I only get maybe 20% of the clients...because I am "overpriced!" Even though I may be the best DJ in the midwest.

I however charge $1000...which is high to the middle income families in our area. Only 25% (educated guess) can afford a $1000 + wedding. So the people who look to higher that higher end dj will get what they pay for....such as the people who hire my low budget dj service!

Trust me...this is the way to go! Yes it does seem rather silly, and unethical.....but unfortunately people play the "cheap DJ game!" They know they might be missing out on the best DJ service....but some people feel as long as they get a good dj service is just as good, when paying half the price! Clients do take this into consideration. Heck when I was looking for DJs....I wasnt looking to spend the big money on the "overpriced" djs, I was looking for someone cheap who will do a good job! Your results may be different, but this is my reality.

I am going to play the game, and if I get burned........I will be the first to admit I was wrong. And its not that I am egotistical, but my services is also giving my clients a cheaper service, ensuring a steady income for me and my family! And personally I am comfortable with that. That fits what I want to do. Some of you other DJs may want to take as much as you can from all your clients. I want to make money, and a steady income....but I dont need to make that extra nickel and dime off of them to make it work.

Just like selling goods......if you have competition....you sell your goods for a reasonable price, you move more product, and keep more customers. As soon as you inflate your prices....you clients will look elsewhere.

So let me bring this up............

So cereal companies like Kellogs....they sell their good for higher than other cereal products. However you can buy a general product for $1.00 cheaper and get just as good of a meal..right...well some people may be content on having Kellogs......most of the people might say...hey I can get the same fruit loops in a bigger and cheaper bag! Clients are price shoppers....as I am too! When I buy equipment, I look for the best gear, with the cheapest price. Much less people looking for the best dj for the cheapest price!

How is it...I get calls from "price checkers" on my service! So these clients call me, and say..oh you charge $700...well xxxx DJ only charges $425 can you beat or match that?? As a DJ who believes in my services, I say something like......I guarantee I will do more than xxxx DJ, and I feel that I am good enough to justify my prices. If you feel this is your best deal, and they will give you the services you desire, I wouldnt hesitate and book them right away! I already know how clients wheel and deal! I come from a family where my dad will wheel and deal over a 65 cents overcharged cup of coffee. I hate that! He will argue for 15 minutes just to get his lousy .65 back. The fundamentals are yes...it is his money, but .65 and worth wasting 15 minutes over. Dang it...now I am rambling! Sorry.....:sqembarrassed:

But back to subject at hand...this will help my Party Revolution focus on the bigger paying parties, and benefits and such. And my other service can handle....schools....cheaper weddings......bars and whatnot!

My business has established itself, and people will still book my services. However for the people on a budget...this other Dj service is there saving grace! They get in their budget, and I stilll make income off of them. It may not be as much, but if I am still making money....it doesnt bother me one bit. This system works for me, and its right for me!

And if he messes up on that service....oh well...makes Party Revolution look that much better, and at the same time it doesnt go against me! Its a win win win situation for me! Oh and sorry about rubbing harsh on first two paragraphs.....it wasnt meant to come out that way. I was replying to explain my stance a little bit more, so you can better see where I am coming from~!

Thank you....
adam
 
You're putting way to much work into this really.


Remember you're talking to a multi op that does over 300 events a year.
When i was a single op i got $1200 per job. and did probably 30 events per year

Now with an average price of $650 and 300 events per year just do the math and focus on Growing your 1 business somewhere in the middle.

The other thing you need to consider is once someone blows your little scheme up and puts it out there on the internet you may get stuck with no one hiring either business..

think this through a little more and ask if you want to be a true multi op or a single op
and be happy with the answer and work it.

thats just my opinion
 
Adam

You know your market better than I do but from a distance here is what I see...

Clients will book my service because they know my services
If that is the case why start a lower priced service to compete with yourself? What happens when your budget service begins to get busier than you are? Are you going to work for your budget service or hire others?

If your prices are higher than average then obviously you are trying to market to that type of client so why worry about who you are losing

Best of luck but I think you will run in to issues
 
Our djs always used our gear. For consistency mainly. They picked up their van/system at their designated leave time and returned it to the shop following their event.

Yes it makes stocking replacement parts a breeze. Also even though its a lot more expensive one of the reasons all of our house systems have pioneer cd players is there is an authorized pioneer repair place maybe 5 minutes from our warehouse

kyle
 
You're putting way to much work into this really.


Remember you're talking to a multi op that does over 300 events a year.
When i was a single op i got $1200 per job. and did probably 30 events per year

Now with an average price of $650 and 300 events per year just do the math and focus on Growing your 1 business somewhere in the middle.

The other thing you need to consider is once someone blows your little scheme up and puts it out there on the internet you may get stuck with no one hiring either business..

think this through a little more and ask if you want to be a true multi op or a single op
and be happy with the answer and work it.

thats just my opinion


The other thing you need to consider is once someone blows your little scheme up and puts it out there on the internet you may get stuck with no one hiring either business

So if this a scheme, and people are getting the budgeted service, how can this be bad! If I charge $1200 for example....some people would feel like I am a highway robbery! You cant win either way. Not saying I need to get every event....but I'd settle for a good portion of them, getting rid of the less desireable dj companies. Yes I may be thinkin a little much...but I guess whatever. I am not worried about anything blowing up in my face! Its not like I am forcing people to hire me or my brother dj companies. Also instead of trying to pick out price packages, I can simplify my selling technique, instead of trying to explain the difference in light shows...etc etc. you know the upsells. I feel am simplifying what I am trying to do, and I am confident it will work. If I run out of business in two years...thats fine! I do not see this happening!

So what you are saying is this could hurt me if people found out, so instead the people would rather get "stuck" with those worse DJ companies?? I cant say I am worried at this point.

Adam
 
Adam

You know your market better than I do but from a distance here is what I see...


If that is the case why start a lower priced service to compete with yourself? What happens when your budget service begins to get busier than you are? Are you going to work for your budget service or hire others?

If your prices are higher than average then obviously you are trying to market to that type of client so why worry about who you are losing

Best of luck but I think you will run in to issues



I will hire others. I dont mind other workin for me and making me money. I am an entrepeneur, and I will do anything to feed my family and keep a roof on my head!

I have these projects currently in store.....

1) Videography business
2) Working with a professional wrestling circuit
3) Helping finance a repair shop


My life right now is based on investments. I can make money of my DJ business, and also create other avenues to help me in self employment. If this other company can do just fine, and get more bookings....so then it does! Its still my baby. I still feed my family....and thats what drives me.:sqbiggrin:
 
So lets sum this all up................................

I am doing whatever I got to do to help support my family financially. One day after saving money, I will be able to sit back, and enjoy my savings!


I am securing my future in this market. A Dj business can be a come and go business, and I am investing for a future.
 
I work alone but at the end of Summer a Dj will join me in my Company.Speakers and all other stuff(stands,amps...)is my part of the deal, music is His deuty(CDs,Laptop whatever).
 
A Dj business can be a come and go business, and I am investing for a future.


Maybe I should do that too... being that this is something ive been doing professionally (in radio and mobile) for 20 years?

Adam- scheme should not have been the word but lets go attack this in the way papa usually does

(customer in this scenario met adam at another customers event for Party Revolution NOT the budget company)

Adam: Oh Ma'am im sorry i totally understand youre on a tight budget, well before i let you go let me give you another number heres a great company that does just as good a job as me for a whole lot less..

Customer: OK (thinking what the hell you charging so much for then if this guy is just as good)

Customer calls the other company.

Adam answers the phone and disguises his voice?

Adam has a buddy get back to the lady and then the job gets booked.

Adam forgets about this lady because his calendar is so busy (which we all hope for you) and then event night comes and adam forgets he met this lady in person and goes and does the party.

now if i went to a used car lot and wanted a 2001 BMW Z3 and a salesman told me it'd be $22000.00 and then i come back later and the same sales guy tells me oh i'll let it go for $10,000 sure its "a great deal" but wouldnt you be wondering why the same car a few minutes ago was $12000 more


----------------------------------------------------------------------

When I converted to multi op the first year I would quote anywhere and everywhere on my cell phone but as the events started rolling in it got harder and harder to do i'd forget what i told one person and then i'd get a cal by another person for the exact same event leaving my pricing vulnerable...

this is all just feedback from people that do this full time as multi ops to "feed their families" and do more than just very well