The Risk Aware Creative Entrepreneur

Illustration by www.yellowtigerdesign.com

When I was a teenager there was a family-owned fish and chip shop near to where I lived, where they used to have people queuing down the street at lunch and teatime. The owner decided to open a restaurant in the town centre. Unfortunately, there are many risks involved in such ventures and he went bankrupt. As he had not set up the restaurant as a separate company his bankruptcy meant he lost his very successful fish and chip shop as well. If only he had talked this over with someone more experienced in these matters he could still have retained his original business.

As an artist, designer, or creative professional you might be thinking well what has this story got to do with me. Often you may get involved with others in joint projects, or much larger initiatives. Taking risks is all part and parcel of the entrepreneurial journey, its not always about getting things right, it is mainly about avoiding making mistakes in the first instance. I’ve found those who don’t seek or even listen to sage advice are more likely to fail.

I would rather not used Damien Hirst as any shining example of artistry, but in regard to business strategy he has usually been spot on. In his first Pharmacy restaurant venture (1998 to 2003) he leased his artworks to the company who owned the restaurant. So, when it did go bankrupt creditors could not seize these assets to sell. There then followed an auction in 2004 which famously raised over £11,000,000 from the sale of these artworks. He was the only one to make any money at all from the venture.

There are two types of risks, minimising the chances of things going wrong, and then taking risks, which requires a leap of faith, gut instincts, and a decision supported by risk assessments and a business plan. Being a visual artist or creator of any type requires an opportunity seeking mindset, inner resilience, and having to live with some degree of uncertainty.

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