I am at the point in my independent study where I am calculating what it would cost to start up and run Project Goldfish. I want to see if this is something that is feasible, economically. I have spent about two, three weeks now putting together a budget for the site, estimating rent, insurance and newspaper subscriptions. The cost to start Project Goldfish is roughly the same as a new Honda Accord. If I cut down on attorney’s fees, we’re basically looking at a Ford Focus.
As far as the cost to operate Project Goldfish, the greatest expense is my own salary. For the purposes of the budget, I’m choosing to pay myself more than I ever made as a reporter but, considering that I used to work for compliments and ulcers, that is not saying very much.
Still, I am combing through these numbers trying to find anything that can be cut. I am used to working for a lean operation. In my last job, all supply orders for the bureau had to be pre-approved. I understand. For all they knew, I was stockpiling reporters’ notebooks and selling them out of the trunk of my car for 25 cents a pop. Printer and fax cartridges? That’s big money. Then, there was the fateful day I accidently dumped an entire cup of coffee on my computer keyboard. For me, this was just another day, as I routinely spill coffee on myself, skirts, coats, desks, tote bags and the floor. The coffee short-circuited the keyboard. I figured this was a pretty essential piece of equipment for a breaking news organization, but the response from the home office was, can’t you just make due? Oh, sure. How about I make due by picking up the $14 tab for a new keyboard?
The point, though, is that I know how little it takes to produce good copy and get it out to an audience. I’ve already taken on the cost of domain registration and hosting services. I am designing the site myself, and hitting up friends and family for help when needed. With that in mind, I start playing the game of "Do I really need this?":
- Office furniture: A new desk and chair are needed if I hire a reporter and that person works out of the office. Do I expect my reporter to be sitting in my office or out in the field, conducting interviews and attending meetings? I’d be perfectly happy if my reporter made her office on the bar of The Redwood or tucked away in an anonymous Coffee Bean & Tea Leaf.
- An office for that furniture: There’s no reason why a home office wouldn’t work for Project Goldfish. I’m budgeting for the second bedroom of a two-bedroom apartment or bungalow. Ohh, how about a beach bungalow? As for a mailing address, there is the neighborhood UPS store where I can get a mailbox with a street address.
- Insurance: Honestly, this is where I could use some professional guidance because I have questions like this:
-- Do I need to change my auto insurance if I use Lola for work purposes?
-- Do I need to provide some sort of auto insurance if I have an employee use her own car for work purposes? (Also, I think I’m required to reimburse for gas. Yes?)
The next step is calculating how I make money at this thing. I assume, at the moment, that the site will partially be ad-supported. What I am struggling with is whether to make part of the website subscription-based. I have been playing with the idea of creating a “pro subscription.” For example, maybe articles are free but copies of reports and ordinances, video footage and interactive elements are behind a paywall. As I’ve previously mentioned, I do think readers should have some skin in the game. However, I received an email from a survey participant who identified a problem with a paywall for such materials:
"I would not be willing to pay for exclusive online topics because you then have a poorer populace who remain uneducated on the behind-the-scenes activities in the headlines."
I completely agree. The point of Project Goldfish is to inform the public. Why would I create something that falls short of that mission?
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