Budgeting

In this exercise, students define all costs associated with their arts entrepreneurship pursuit.

Learning Outcome:

In this exercise, students learn to create an itemized budget for their entrepreneurial concept. 

Exercise:

Define each and every think you can think of that is a cost associated with your entrepreneurial endeavor. What is it going to cost to create what you wish to create? Think of everything you can. Make an itemized list and total it.

Tips:

Don’t forget about things like insurance for your business, workers compensation insurance in states where applicable, unknown expenses (there are always some).

This is a great opportunity to educate students about bootstrapping. Bootstrapping is a process of spending only what cash you have in hand and have acquired from the business. It is typically a slower process than a cash-infusion through venture capitalists or angel investors, but is far less risky. Bootstrapping is an organic process of building one’s business and can lead to greater ownership potential and profitability in the long run.

 

If you would like to use these games in your own classroom, please do! If you do, let me know how how it goes and if you have suggestions for modifying a game. 

I can be reached at jdhart@smu.edu

Creative Commons License
Budgeting by James David Hart is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

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About James Hart

Jim Hart, currently serves as Director of Arts Entrepreneurship at Southern Methodist University, Meadows School of the Arts. Hart is also the founder of The International Theatre Academy Norway.
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