Art + Audience Episode 15: Avoid This Costly Mistake: Insights from Mabel Tan’s Art Business Journey
Release Date: November 26, 2024
Host: Stacie Bloomfield
Guest: Mabel Tan
Introduction
In Episode 15 of the Art + Audience podcast, host Stacie Bloomfield welcomes Mabel Tan, a seasoned surface designer based in Melbourne, Australia. This episode delves into Mabel’s entrepreneurial journey, focusing on the significant challenges she faced in her art business, particularly a costly mistake related to tax management, and the invaluable lessons she learned from it.
Guest Background
Mabel Tan shares her diverse background, highlighting her transition from a writer to a photographer, and ultimately to a surface designer. Originally from Malaysia, Mabel relocated to Australia nearly two decades ago. Her foray into selling art began with selling prints on Etsy, a venture inspired by her husband’s suggestion during extensive travels.
Notable Quote:
"I was a writer and I became a photographer, and now I am a surface designer. It was born out of necessity because I was traveling a lot with my husband and we went to a lot of places."
— Mabel Tan (03:25)
Career Journey and Early Success
Mabel recounts her initial success on Etsy, where she managed to sustain her business for about five to six years. However, after taking an eight-month hiatus to focus on her family, she faced a decline in sales due to changes in Etsy’s algorithm. This setback propelled her to pivot her business model towards surface design, a field that aligned with her passion for fabrics and stationery.
Notable Quote:
"I loved fabric even though I couldn't sew. And I just went down that rabbit hole and decided to teach myself surface design."
— Mabel Tan (04:32)
Introduction to Art Licensing
During her transition, Mabel explored art licensing, leveraging platforms like Redbubble and Society6 to expand her reach. Her collaboration with Danny Designs (now part of Society6) allowed her to secure deals with major retailers such as Target and Nordstrom, marking her entry into the art licensing arena.
Notable Quote:
"When finally the day came for me to actually collaborate with Target, it was such a dream come true."
— Mabel Tan (07:44)
The Costly Mistake: Tax Mismanagement
A pivotal moment in Mabel’s journey was her encounter with severe tax issues. Despite handling her own bookkeeping initially, the complexity of her growing business necessitated hiring an accountant. Unfortunately, during the pandemic lockdowns, Mabel was forced to select an accountant hastily due to limited options. This decision led to a substantial tax bill of $80,000, as the accountant failed to accurately manage her finances.
Notable Quote:
"When it came to tax, I got slapped with this huge, huge bill because he didn't take me seriously, he didn't take my business seriously."
— Mabel Tan (07:44)
Mabel describes the emotional toll, stating,
"I cried for a long time. It took some time to actually get over the sadness."
— Mabel Tan (09:25)
Recovery and Lessons Learned
Determined to rectify the situation, Mabel took decisive steps to recover. She terminated her contract with the negligent accountant and meticulously searched for a competent professional who understood the nuances of her art business. After thorough research and multiple interviews, she found a trustworthy accountant who provided the necessary support and structured her business finances appropriately.
Notable Quote:
"I found my current accountant. They took the time to sit down and structure my business and explain to me very carefully why they do what they do."
— Mabel Tan (10:10)
Mabel emphasizes the importance of treating one’s art business with the same seriousness as any other enterprise, highlighting that neglecting financial management can have dire consequences.
Notable Quote:
"At some point when your business is growing, it is really important to take the time and you are now a business owner. You have to take your business seriously."
— Mabel Tan (11:23)
Advice for Aspiring Artists and Entrepreneurs
Mabel offers practical advice to artists to prevent similar pitfalls:
-
Early Engagement with Professionals:
"Pull the bandaid a lot sooner than later and just talk to a few good accountants."
— Mabel Tan (15:32) -
Separate Personal and Business Finances:
"Keep your transactions separate from your personal transactions. Use only business transactions with that card."
— Mabel Tan (17:37) -
Consistency in Bookkeeping:
"Set a date with yourself and make accounting a non-negotiable part of your business routine."
— Stacie Bloomfield (18:00) -
Building a Strong Foundation:
"Lay the foundations properly at the very start and treat yourself as a business person."
— Mabel Tan (19:16) -
Scheduling and Time Management:
"Schedule even 10 minutes of art making. If it’s important enough to schedule, you will do it."
— Mabel Tan (20:12)
Mabel underscores the significance of mindset, encouraging artists to view themselves as serious entrepreneurs who must manage their business aspects diligently.
Conclusion
The conversation between Stacie Bloomfield and Mabel Tan serves as a crucial reminder for artists to prioritize financial management and seek professional assistance early in their careers. Mabel’s transparency about her mistakes and subsequent recovery offers valuable lessons for creative entrepreneurs aiming to build sustainable and thriving art businesses.
Final Thoughts:
"You have to have a really good working relationship if someone is going to help you manage your money."
— Mabel Tan (13:32)
Listeners are encouraged to follow Mabel on her social platforms to support her work and gain further insights into her journey:
- Instagram: @mabeltandesigns
- YouTube: mabel10designs
- TikTok: mabel10designs
Additional Resources
- Art Licensing Pitch Playbook: Mabel's recommended free email course for artists looking to venture into art licensing. Visit artlicensingplaybook.com to enroll.
Stay Tuned:
Don’t miss the next episode of Art + Audience, where Stacie Bloomfield continues to explore the intersection of art and business with inspiring creatives from around the globe. Leave a review and share the podcast with fellow artists to support the community.
This summary is intended for informational purposes and reflects the key discussions and insights shared by Stacie Bloomfield and Mabel Tan in Episode 15 of the Art + Audience podcast.