How to Start a Mobile DJ Business

Part 1 - How to start a Mobile DJ business - Background

Go to any wedding or get-together and they’ll all have one thing in common – music. While some party planners hire a band to play, a DJ is the most practical musician, as they require less space and have a wider repertoire of music to choose from. The tunes played set the tone for the entire party.

Our guide is in 3 parts:

• Part 1 - How to start a Mobile Dj business - Background
• Part 2 - Our planner tool to see if this idea is the right fit for you
• Part 3 - Action plan to get started

What are the costs involved in opening a Mobile DJ Business?

Since this is a touring business, most DJ entrepreneurs operate from a home office. Foregoing the expense of an office space will help reduce start-up and ongoing expenses, allowing you to budget more for what matters most – your “party supplies.”

Below is a list of basics you’ll need to get started:

• Laptop with plenty of storage space

• Music

• PA Equipment

• Lights

• Microphone

• Uniforms – remember, you’ll be in the spotlight throughout the event, so it’s important to look clean and professional

• Marketing materials – website, brochures, and business cards

• Attorney and/or CPA to help ensure you have a solid business plan and that it’s carried out smoothly

• Vehicle large enough to transport all your equipment

• Insurance

Sound and light equipment alone can set you back between $20,000 – $40,000, so be sure to conduct thorough research and shop responsibly.

What are the ongoing expenses for a Mobile DJ Business?

As a DJ business owner, your overhead expenses will be minimal. Below are a few items you’ll want to budget for in your monthly expenses:

• Purchasing new music regularly

• Insurance

• Advertising and website maintenance

• Travel time and fuel costs

• Payroll expenses – you could combat this expense by hiring employees on a 1099 basis

• Maintenance of sound/lighting equipment and purchase of new equipment as needed

Who is the target market?

Your customer base will span a wide variety of individuals who all have one thing in common – they have a need for music at their special event. While each will have a different idea of what music they want to hear, they should each understand that the DJ is integral to the success of the party.

How does a Mobile DJ Business make money?

Your business will generate revenue through each event played. The number and types of gigs you’re booked for depends largely upon your music collection and “party personality.” Most DJs charge an hourly rate or a flat fee for a given event.

How much can you charge customers?

Your fees depend upon your professional experience, services offered, and length of time for each event. Since you’ll be charging per event, spend some time researching what other DJs in your general area are charging. Experienced DJs have reported charging anywhere from $950 to $2,000 for a five-hour package.

How much profit can a Mobile DJ Business make?

If you participate in three events a week and charge $2,000 per event, your company will earn approximately $288,000 annually before expenses. Hiring additional DJs will not only assist in covering overhead costs, it can more than double your business’ profit, depending upon the pay scale you and the employee agree upon.

How can you make your business more profitable?

The following are a few strategies other mobile DJ businesses have implemented to ensure a more profitable business:

• Consider partnering with musicians/live bands to offer a unique sound.

• Approach local nightclubs, bars, and restaurants. Many are now regularly providing live music for their patrons as they eat or socialize. Think outside the box. Obviously weddings will be high on your list as a profit generator, but what about birthday parties, grand openings, music festivals, and bat mitzvahs?

• Offer audio production for jingles, ads, and videos for radio, internet, and tv spots.

Day-to-Day and Growth

What happens during a typical day at a Mobile DJ Business?

As a DJ, you’ll spend your days split between music and interacting with people. While the activities of each day vary, most days you will:

• Conduct interviews with party hosts and/or planners to get a feel for what their vision is for the party and what types of music they love, as well as what music they would like to avoid

• Schedule and carry out walk-throughs of party venues. This will allow you to make the most of the space made available to you. Your walk-through also offers you a great opportunity to get a feel for the acoustics – not every space you play in will have good acoustics; it’s your job to adjust

• Increase your music catalog based on newest trends and current customer requests

• Map out a timeline for each of your upcoming events, based on the party’s schedule/needs

• Market your business and network

• Follow up with hosts after the event to get any feedback

Additionally, there will be administrative duties to attend to. As your business grows, it might be cost-effective to delegate these responsibilities to a trusted staff member, offering you more time to focus on the nuts and bolts of the company.

What are some skills and experiences that will help you build a successful Mobile DJ Business?

A successful mobile DJ needs to be a fairly empathic person, as your job consists of “reading” the crowd to determine what music is best suited at a particular time. This involves paying close attention to the mood of the event-goers and the overall atmosphere of the event. Interaction with the crowd is also critical, so it’s imperative that you have an outgoing personality. As the DJ, much of the focus will be on you throughout the event. It’s your job to ensure the crowd appreciates and reacts to you, without taking the spotlight away from the party hosts.

Since you’ll be playing a variety of tunes, it’s also important that you have an ear for music, so the transitions from one song to another are smooth.

What is the growth potential for a Mobile DJ Business?

Your company’s growth potential is directly tied to the needs of the area you serve, saturation of the market, and the amount of talent available for hire. There are currently no franchise opportunities available – once you’ve built a sound reputation, offering this opportunity to others could be a great way to expand your business.

What are some insider tips for jump starting a Mobile DJ Business?

The following are some insider tips from individuals who have found success in this growing industry:

• Get involved with organizations such as the American Disc Jockey Association and United States Disc Jockey Association. This instantly provides you with a support group of other DJs, ensuring you’re up on the latest news and trends of the industry. They can also provide a wealth of information and resources to ensure the startup process goes smoothly and that your business continues to grow.

• Consider signing up for a record pool – this is a great way to acquire new music at a reduced cost.

• Keep in mind that weddings are seasonal, which makes your business seasonal as well. Expand your talents and target customers to include more than just wedding events to ensure you’re busy year-round.

• Keep it professional at all times. Your clients are trusting you to provide this valued service, regardless of what is going on in your personal life. Your hours will often be long and there’s no calling in sick.

• Really think about your vision for the company before getting started. What can you offer that makes you stand out over the competition?

• Learn the business aspect first, before investing in equipment of your own. Consider seeking a position with a well-respected DJ company in your area to learn the ropes.

• Lay out your business plan on paper first. Conduct market research to see what areas are saturated and what is lacking.

• Music genres will vary from party to party, so be sure to have something for everyone in your music catalog.

How and when to build a team

Each event only needs one DJ, leading many to believe that it has to be a one-man operation. Think about how far your company could go, however, if you had multiple DJs available. Once you’ve built a name for your business, you’ll want to consider adding employees to your team. During the hiring process, pay close attention to each prospect’s personality and outward appearance. Remember, they’ll be the face of the company; your reputation depends upon it.

Part 2 - Is a Mobile DJ business the right fit for you?

Part 3 - Action plan to launch your Mobile DJ business in 90 days