My Money Story: Andrew Malmo

Andrew Malmo is a producer, production manager, lighting designer and photographer and is managing director of Strata Creative Limited. Andrew was a participant in the 2008/09 ART Venture acceleration program for creative entrepreneurs.

We asked Andrew to share his money story because he has always chosen to create sustainability and earning power through his love of theatre and photography.  His journey has been one fuelled by the question of ‘how do I stay true to my creative integrity and earn enough money to follow my dreams and support my family’.  

Andrew explores his beliefs growing up ‘Money was a taboo subject’ his first paid job ‘I bought branded clothing for the first time in my life’ what has made him feel bad about money ‘throwing money down the drain on cars’ what makes him feel good ‘I love giving gifts’ his relationship with money as an ‘occasional lover’ and whether he has repeated a family pattern.

"Yes I think I have some leftovers – how could you not? Plus a whole new set of issues all of my own!  I am much more open about money with the children than my parents were with us though, however I am stuck with the mentality that to earn more you must work more, which is frustrating to say the least, not to mention exhausting!"

Andrew also talks about how he moved beyond this. 

“The main thing for me has been education – seeking out people, opportunities and books to learn more about economics and personal money discipline.”

What was your family’s money situation, when you were young?

Working class family, never very much money about, however mum and dad owned their own home in an ordinary suburb. Things were bought on special. Dad was born in the depression and was very frugal his whole life.

How did you learn about money?  What did you learn?

Patriarchal family structure, father worked, mum stay-home then part time worker. Mum had an allowance which covered the family running costs. No formal lessons on money. I learned that if you work hard you’ll get enough to get by…

Was money talked about in your family when you were growing up?  

Money was a taboo subject – old fashioned family ethics. Certainly the children were not included in any conversations about money.

Did you get pocket money as a child? 

I remember receiving fifty cents a week pocket money when I was about 12

Were you trusted with money as you were growing up? 

Not really

Can you remember your first purchase with money of your own?  What was it?  How old were you?  How did it feel?

Not sure about my first – an early memory is the Beach Boys, Kiss and Solid Gold record with birthday money. When 12 I saved and bought my first camera, a Kodak instamatic which cost $12 at the second hand shop.

Can you remember the first time you got paid in an employment situation?  How much did you get?  What did you do with it?  How did you feel?

When I was about 16 I worked for my brother’s plumbing firm in the holidays and got what seemed like a massive pay packet – bought branded clothing for the first time in my life! (Levi’s jeans, Levi’s shirt…)

Have you ever achieved something big with money?  If so, what was it and how did it make you feel?

My first real camera purchase at 17 was a big deal, felt like I was a grown-up at last and had something I was really proud of achieving. Pretty much every camera purchase since has felt the same way!

What have you done with money that makes you feel bad?

Threw so much money down the drain on cars when I was young – is hard watching my 16yr old doing the same thing now… For some reason I resent spending a lot of money on food – if my grocery bill is ‘too high’ I’m cross and see it as a waste of money.

What have you done with money that makes you feel good?

Gifts – I love giving gifts, especially to my wife and children;  I love sharing my photography with people (expensive hobby) I like being generous when I can be. 

What is your attitude towards people who have a lot of money?

Well done. Everything is temporary. I hope they do some good with it. I’m most thrilled to see people with money who actively seek to improve society or the situation of those less fortunate than themselves. The wealthy who are blatantly smug and brandish their wealth I have little time for. Wealth is such a relative thing – compared to most of the population of the world most of us in NZ are so unbelievably wealthy.

What is your attitude towards people with very little money?

I make (un)helpful suggestions of budgeting! I’ve learned that sometimes the issue is inherent and throwing money at the problem does not solve it. Education is the way forward.

If money were a person, how would you describe your relationship with them?

Occasional lover

Have you ever given money away?  How did you feel about it?

Yes I often give money away. I’m pleased that I can when I can.

Has anyone ever given you money?  How did you feel about that?

Yes, grateful. 

Do you have any money secrets?  What are they?

Budget. Have goals. Know that how you’ve always been with money is how you will always be with money unless you actively make big (hard) changes. Know where your money is going: Look at your expenditure over the past three months – this is how you will spend your money the next three months – what do you want/need to change to make the situation better. More income does not equal better off. It’s how you spend not what you earn that must change first.  You’ll be amazed with a budget, some goals, a good look at your recent history and some solid changes that you stick to how much extra money you can get for yourself without changing your income at all.

What position do you want to be in with money in ten years time?

More freedom over my money choices.

What do you tell yourself about money?  Do you feel guilt or regrets when you spend?

Money is a necessary evil. My wife loves the idea that if we all stop believing in money it ceases to exist which is very philosophical…  I feel guilt if I spend on unplanned/unbudgeted/unaffordable things!

How do you imagine others describe your relationship to money?

Confused.

How do you feel when you are paying bills?

I feel like this is a part of life that is inescapable at this point in time. Cest la vie. .

What is the most amazing thing you have done with money?

Every family holiday I’m thrilled to have contributed to. I love seeing the kids faces light up at Christmas and birthdays. My wife and I have had some amazing holidays – best I’ve ever had. These memories are worth every cent.

Do you share the same attitudes to money as others close to you?

It’s hard to say – it’s never a conversation I have with friends – that’s the NZ way – keep to your self, private business et al.

* * * The Next Step * * *

After answering these questions, do you believe you have repeated your original family patterns around money?

Yes I think I have some left-overs – how could you not? Plus a whole new set of issues all of my own! I am much more open about money with the children than my parents were with us though, however I am stuck with the mentality that to earn more you must work more, which is frustrating to say the least, not to mention exhausting!

If you have gone beyond your original family pattern, what have been the turning points and challenges to create a new attitude towards money?

The main thing for me has been education – seeking out people / opportunities / books to learn more about economics and personal money discipline. I’m still a bit casual with my money but do have some systems in place such as a budget, dedicated accounts for various expense management / goals for lifestyle, mortgage and future (retirement) savings.

How hard or easy has it been as a creative entrepreneur to develop a good relationship with money?

It’s very hard being a small business in this industry – “cash is king” and “there’s no money in the arts” are almost irreconcilable financial models. Cash flow is the main issue – and there’s a attitude in many parts of the industry that “no money” is part of the deal – accepted and expected.  Some of the larger arts orgs are becoming an exception to this rule.

What is your number one tip for creating money flow as a creative entrepreneur?

Seize opportunities with both hands!