Starting Your Architecture Studio? Here's A Reality Check.

Sit in on a creative business consultation as I work through Page's ideas for her new architecture practice and watch as we turn her aspirational concepts into reality. I walk her through the basic calculations every new business owner must know, we talk options and opportunities, clients, fees, and how to position her business in the middle of the value exchange.
This is a typical conversation I have with design professionals of every skill level each Friday. These are students enrolled in my Architect + Entrepreneur Course and range from new graduates and young professionals just starting out, to established architects all seeking to design a business for the new economy and feed their creative intellect. Our conversation brought up many of the issues we face as design professionals in daily practice; topics they don't teach in school.
If you're interested in learning more about the strategies + tactics we discussed and for the worksheets and access to the entire conversation with Page, please check out the Architect + Entrepreneur Course.
JOIN The Architect + Entrepreneur Course:
**thirtybyforty.com/a-e-course
TIMESTAMPS
00:00 Meet Page
00:46 (My Front Yard)
01:49 The initial plan
02:19 I'm an investor, pitch me.
02:49 Precedent 1: Mass Design Group
04:30 Why non-profits are tricky
05:55 Precedent 2: Epicenter
06:43 You're actually the investor, so...
07:36 Plan B
08:45 Alone vs. partners? Pros/cons
12:10 Plan C - safer, but not ideal
13:30 Who's serving your ideal client now?
13:47 Leveraging free
14:10 Running the numbers (take 1)
16:33 A Reality Check
17:06 Treat your business like a design problem
17:38 "Speaking from experience"
18:22 Other possible solutions
20:51 My "Day 1" Activity
22:33 Where do your potential clients see value?
24:22 Walmart + scale issues
25:09 How about a Plan Book?
26:00 Running the numbers (take 2)
26:30 Licensing your plans
27:50 B to B vs. B to C
28:48 Equity exchange?
30:31 How to own the room
31:26 Sharing my formulas
34:09 Does that excite you?
35:26 Thinking holistically
37:03 Capturing margin during construction
39:22 Remodel projects?
42:50 Your Day 0 vs. My Year 7
44:00 The value of a story
45:40 Clients base decisions on this
ARCHITECT'S TOOLKIT:
Architect + Entrepreneur Startup Toolkit (* *UPDATED for 2021 ** ): thirtybyforty.com/spl
DIGITAL DRAWING TEMPLATES:
* AutoCAD: thirtybyforty.com/autocad-temp...
* REVIT: thirtybyforty.com/revit-template
MUSIC I USE (free 30-day trial):
thirtybyforty.com/epidemic
ALL MY GEAR:
*thirtybyforty.com/kit
#architectentrepreneur #architectbusiness #architectcourse

[@30by40]

Join my course here: courses.thirtybyforty.com/ and, see what building a business has made possible for me on my other YT channel: kzbin.info/www/bejne/jX7dqpRjfbprqrc

[@lambchops808]

Very nice of this woman to let you record and share this. Super helpful video

[@robthewaywardwoodworker9956]

The practical nature of actually doing business is something that designers, and this ilk, tend to either avoid or fail at. Being an amazing practitioner does not make an amazing business person. Well thought out, Eric. I love the balance you strike between the ethereal and the practical. Keeping it real.

[@30by40]

Appreciate that Rob...cheers...

[@profitecturebydesign3646]

Well said, Rob!

[@fivewattworld]

I am in a completely different segment/business and I still found this to be very helpful. Thanks for doing this.

[@yootoob7048]

Well said, Eric. Run the numbers. Own the numbers. I learned decades ago that a business lives and dies on percentages. Sadly many business owners don't realize how important it is to understand Business 101. Even non-profit or not for profit companies are a business and the same rules apply.

[@Silent--Noise]

Thank you for this upload. Your motivation for initially starting out really resonated with me! My goal is also to create a platform for both myself and the people around me. However as you also said, first I need to focus on becoming capable of putting food on my own table. Appreciate it!

[@rociomeshirer7158]

Very interesting! The term starving artist can apply to architects/designers as well. She may have the starving artist ideal but no business skills to sell her craft whether it be for profit or not. I believe many have this. The idea of being your own boss has been over glorified but in reality it is a skill in of its own. The lack of understanding how valuable business skills really are to the success of running a successful practice that will withstand time will kill your desire to do you art in the long run. Its interesting that I can relate with this gal, i remember wanting to make a difference but I quickly realized that I cant make a difference when my goal wasnt specific or even measurable. Everyone has the desire to be of service and make a difference in their respective fields but the reality of it is that we design based on ideas and make it a reality through proper plans yet their is a real struggle to make that same connection to our business goals. Great video and food for aspiring architects/designer. Minor in business yall! I strongly recommend it.

[@amyhowle761]

You gave her some really good advice! Not only did it help her im sure but also those of us in the same position just starting stepping out into owning our own studios. Thank you. :)

[@johnferraz6417]

A reality check...is the perfect description of the conversation you both shared. Thank you. Often one has to decide where one want to position oneself in order to serve a particular interest. An architect's contribution within a specific statutory body may be the best way to serve the middle income group. The rash reality of the construction world is that it is driven by one's ability to survive the expenses....make a decent profit...and meet the responsibility of taking care of one's family. Architecture is already quite a complex undertaking...one needs focus on what exactly you hope to achieve within a specific timeframe. Still learning! John Ferraz Architect.

[@tomioka.6703]

Ah finally! Love your vids, waiting for soo long!

[@Earth_Systems]

Cudos to you Page, for putting it out there with Eric. Such an honorable and important niche focus for your practice. Best of success for you !!

[@richardsprow3418]

Eric, you gave a great consult here. She seems like a nice person with no real link to the idea that architects sell knowledge and creative ideas for money; as you try to explain a business plan is identifying a market for those skills and running the numbers to make it work. Every architect has the idea of designing houses, but there is a much larger market of non-residential clients who really need this service, and usually building permits for things beyond a single family home need a professional architect, not just a builder. She might consider doing commercial and public projects, then using that to support some pro-bono work of the type she wants. Architectural schools really need to teach a Business 101 course built around numbers, and the reality that billing rates are a multiple of what employees earn.

[@emily8878]

This is exactly right. It's hard to make the kind of business that she's envisioning work. I'm glad that Eric is helping her so that her dreams can have a shot at becoming reality. She should look into the option of making a non-profit with other architects where that group donates their time to charitable projects. Perhaps more expensive projects can fund those architects' living expenses plus give them some freedom to devote time to underserved communities.

[@emily8878]

Agreed. So yeah, one has to think about where the money is. If the regulations let a person build without an architect, well the money probably isn't in that since the clients can go elsewhere for the build. The money would probably be in designing buildings for corporations or maybe even public work projects. That kind of extra wiggle room in the income can take care of living expenses by doing those higher-end projects part-time and leave the rest of the time available to do non-profit work.

[@HereInTheMiddleWithYou]

Excellent piece of mentoring! Thanks both of you for sharing this here.

[@philipcrosscup3497]

I enjoyed this! I also spent some time at the rural studio. And Eric practices a couple hours North of me and I am a fan.

[@KeithLomonico]

Sign me up!! Going through this exact thing right now. Thank you for always providing great content. I will be enrolling.

[@matthewgriffin8869]

Another phenomenal video as always Eric. Have you ever thought about being a guest critic for an architecture program at a university? I think you'd be great for it.

[@kemarmurray6671]

Great conversation Eric’s..I love this it’s all about business not gonna be good at first but while continue doing it ...the more better it gets yeah...so we all should understand and there’s nothing bad in that...amma freelancer and right now am designing one of my sister ‘s house and yeah I price her😂..but nothing wrong with that..just family price I give...so I understand and I love this video chat...I hope she successful in this just like anybody else yeah..God bless you Eric keep the good job going 🤜🏻

[@tonypriest1545]

Nice job getting to the crux of the reality of running a design operation!! kudos!

[@robthewaywardwoodworker9956]

Great interview. So much info to dig into!

[@nelutshindwifhatuwani7010]

I love your channel. From South Africa. #Two_Side_of_Fire is also great

[@steved1191]

Well....KZbin is amazing. Very interesting video.

[@DagoDeLaRosa]

Very interesting. Please do more similar videos.

[@HenryGao]

Love video like is, a lot of value in it! Reminds me of a Futur series.

[@profitecturebydesign3646]

THIS is "the Futur" of education right here... fan of both Eric and Chris Do myself for years now...

[@christophermoody1448]

Another great video!

[@aliceedinburgh9203]

This was really interesting--I hope you post more of these. I am saying this to be helpful--this woman really needs to work on her speaking skills. If you can't get across your value proposition and inspire confidence you'll never get a business off the ground. She came across as really immature and almost like she was dumbing herself down. I realize she may have been nervous making the video but that's a major problem. I'm glad she's taking the course with 30x40, I'm sure that will help!

[@ARCHStudioIndia]

Amazing 👍👍

[@alfredocordobaalzaga2533]

What a beautiful smile that young woman has !!

[@theroarkstudio]

How can I contact Page? I also live in Birmingham and have thoughts!

[@stevecooper3010]

First question excellent

[@TheEddiez06]

Great!

[@subsyt]

Great conversation, Eric’s reality check is on point. Seems like she needs to keep working for other firms to build self confidence first before serving nonprofit, she sounds unsure.

[@AASWORLD]

Nice one

[@meseretadenew3253]

love your videos

[@JosiahDuenes]

Man it is crazy hearing how different regions of the US operate. So here in South Texas, there are few architects. Really they just work on commercial projects. Custom residential designs are done by "designers" or technically draftsmen. The plan then gets handed off to an engineer for the foundation and windstorm and it gets built. So full construction documents are never a deliverable. This was a great video!

[@elizabethparker7182]

This is the same over here in southeast Texas. Contractors are building houses based off of ideas and just sketches from homeowners. We have no restrictions and little to no permits are required in my surrounding counties. I was a draftsman, then went back for a bachelor's in Design & Development. I'm trying to get on my feet here, but I believe they all assume I would be too expensive or that there is no need for what I can offer.

[@JosiahDuenes]

@@elizabethparker7182 Yeah the smaller the areas the harder it is. Here is Corpus the codes and restrictions are actually pretty high. But people still somehow get around some things. There is all kinds of permits and codes to abide by when submitting a residential project to be built. Further south, it is really hard to regulate and that is where I have heard some horror stories 😳

[@anthonygriffin6868]

Eric, thoughts on a self building community. A nonprofit either homeless Vet or womans community where a simple to more complex floor plan was built by those that live there. Work with trades/trade unions to train members to provide construction services for new residents all while providing them skills to go get a job. This could with with excon or other communities. This idea this could also work for a decentralized community too.

[@alexanderclaylavin]

Real talk express

[@sarahm.m_art]

Very nice 🇮🇶

[@robthewaywardwoodworker9956]

I'm curious as to where you see the licensed architect coming in to the picture, from a cost perspective. Is there a point where it is simply untenable for the homeowner to use the services of an architect and that is where the designers, like myself, fit in or do you not see value in the services of "non-professional" designers, especially in the middle market. Are there constraints in most locals that forbid the use of plans anyone other than a licensed architect? I would love to hear your take on that. Thanks.

[@30by40]

Hi, Rob - I think there's a good fit for every client out there and there's room for practitioners of all flavors all of us in this profession. Architecture school does not make the professional in my opinion. In fact, the knowledge gained after leaving architecture school far outweighs my academic training. I was asking Page about being a licensed architect as that's the threshold from a professional point of view where students can earn experience hours for internship.

[@profitecturebydesign3646]

There ARE certain states in the US that require a licensed architect for EVERY project, Rob. Most do not for single-family residences, but it's a state-by-state verification...

[@01biboy]

Paige is LEGIT!

[@AllexKreuz]

Hallo, Hr. Reinhold! I really like Your videos! And I would like to ask, which educational institution did You graduate from? Also, could you advise me an architectural university. And it would be great if You could recommend a video processing program. Thanks!

[@AleksPirok]

You'll find which uni he went to in FAQ on his website

[@fahimalizai6442]

I am engineer i can to design the unique skyscarper,city&hotel in all the world but i don't know how can i work in and how i start my work and realy i want to work in lues city, neom city and netcity but how i start my work?

[@scientist100]

When you're a foreigner it is usually more difficult than US born counter parts, it is the reality but you need good connections to get the word out for you and a good portfolio of course.

[@zaidalbostani2499]

Yoooo please what’s the different between architect and architecture

[@manuelsalinas364]

Subtitulos en español porfavor!

[@lukasgiefing1102]

She's gonna need someone to raise capital for her full time while she builds this arch business

[@lukasgiefing1102]

she needs to seriously explore her network of people and see if someone would partner with her on this level

[@tonypriest1545]

it seems difficult to understand just why she wants to be in the industry, when so many others are in the same boat?

[@tonypriest1545]

i just don't 'HEAR' the passion in her voice. My guess is this comes with experience??

[@grahamrafferty5969]

I think the nerves are getting to her, it was said she’s an auburn grad, I’m at auburn now, as an architecture major. I assure you, she’s at the bare minimum passionate abt architecture. She wouldn’t make it through if she wasn’t, I think it’s more she’s just started the idea, and was more looking for advice. Auburn’s Architecture program, and possibly others (but idk, don’t quote me) don’t really go over things from a business perspective, especially with something like starting a firm, we’re sorta, (trial by fire) taught how to sell a building via reviews, not how to make a profit off a building. Much less how to start a regular firm, let alone how to make something like this work