3 Game-Changing Financial Secrets for PYOP Studios Revealed

🎨 Why This Matters for Studio Owners

This isn’t just a talk about numbers—it’s a mindset shift. The transcript emphasizes that Paint-Your-Own-Pottery (PYOP) studios are unique, creative businesses. They don’t fit into the mold of traditional retail or service-based models, which means standard accounting tools and methods fall short. To make your studio truly profitable and scalable, your finances need to reflect the complexity—and opportunity—within your business.

Now, let’s break down the 3 financial secrets:

💡 Secret #1: Customized Revenue Tracking

What it means:

Most studio owners rely on general reports from their point-of-sale (POS) systems, which might lump all income together. But PYOP studios have diverse revenue streams that perform differently.

What to do:

Break down your revenue into specific categories, such as:

• Walk-in painting sessions
• Private parties
• Memberships & recurring revenue
• Retail product sales
• Specialized workshops & events
• Off-site events

Why it matters:

This level of detail helps you:

• See where your real money-makers are
• Spot underperforming areas
• Invest marketing dollars strategically

You might find out that your retail shelf is more profitable than your Saturday night events—or that your off-site birthday parties are quietly becoming your most lucrative segment.

💡 Secret #2: Unique Cost of Goods Sold (COGS) Calculations

What it means:

PYOP studios have very specific supply and equipment costs—and traditional accounting doesn’t capture the full picture.

What to do:

Go beyond just materials and factor in:

• Canvases, ceramics, glazes, and other materials
• Paintbrushes, palettes, consumables
• Kiln firing costs
• Equipment depreciation (yep—your kiln ages too!)

Target a COGS of around 18% of revenue as a healthy benchmark.

Why it matters:

When you understand your exact COGS:

• You know your real margins on every product or experience
• You can price accordingly
• You can prevent profit leaks from “invisible” costs

This helps you bake profitability into everything you offer—from a drop-in painting session to a 20-kid birthday party.

💡 Secret #3: Performance KPIs Tailored to Studios

What it means:

Key Performance Indicators (KPIs) used in other businesses (like general retail or accounting firms) just don’t work for creative, event-driven, community-based businesses like PYOP studios.

What to track:

• Cost of Goods Sold
• Payroll as a percentage of revenue
• Customer acquisition cost
• Average spend per customer
• Repeat visitor rate
• Seasonal revenue variation
• Marketing performance by event type

Why it matters:

These custom KPIs show you:

• Whether your events are actually profitable
• If your customer loyalty is increasing
• When you need to scale staff or cut back
• What marketing is working (and what’s wasting money)

And when you have clear data, you can make confident decisions about pricing, staffing, scheduling, and growth.

🎁 Bonus Insight: Your Studio Isn’t Generic—Your Accounting Shouldn’t Be Either

Here’s the cherry on top: most studios are using the out-of-the-box chart of accounts from QuickBooks or similar software. It’s generic. It’s not designed for your creative business. And it’s holding you back.

What to do:

Work with a team like PYOP Accounting to customize your chart of accounts, reporting categories, and dashboard metrics. Treat your financial system like a strategic asset—just like your kiln or your best instructor.

🔮 Final Message: This Is About More Than Numbers

This isn’t just about boosting revenue or cutting costs—it’s about turning your studio into a financially secure, income-generating business that:

• Pays you consistently
• Can be sold in the future
• Supports your life goals (like time freedom or retirement)

Want to see how your studio stacks up or get help implementing these systems?

👉 PYOP Accounting can help you break it all down—and build it back stronger, clearer, and way more profitable.

Connect with us!

Please follow us on Facebook and Instagram. Please make sure to check out our blog and our website link below. Subscribe to our YouTube channel and hit the bell to be notified when we post. You can email me at donna@pyopaccounting.com.

Donna Bordeaux, CPA with PYOPAccounting.com

Creativity and CPAs don’t generally go together. Most people think of CPAs as nerdy accountants who can’t talk with people. Well, it’s time to break that stereotype. Lively, friendly, and knowledgeable can be a part of your relationship with your CPA, as demonstrated by Donna and Chad Bordeaux. They have over 50 years of combined experience as entrepreneurial CPAs. They’ve owned businesses and helped business owners exceed their wildest dreams. They have been able to help businesses earn many times more profit than the average business in the same industry and are passionate about helping industries that help families build great memories.