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Not that I'm planning to start one, but I'm curious about esports finances.
In Korea, they seem to have to pay for: rent, player/coach/manager salaries and a full-time maid/cook. I'm hoping maybe somebody with knowledge of these numbers might chip in here, but I'll hazard some rough guesses:
Rent: $3-5k/month depending on size
Maid/cook: $2-3k/month
Salary for coach/manager plus 8-10 in-house full-time players: $30k/month
Equipment, travel, misc: $5k/month
That'd put it in the ballpark of $500k/year. I could be way off on the salaries or travel costs, though. Maybe it's a reasonable guess to put the teams' operating budgets in the $500k-$1m a year? I don't know Korea at all, maybe you can do it for less.
That's for a team with a house. Without a house, your costs are mostly just salary and travel, so I'd imagine your operating budget would be lower.
EDIT: My guesses are probably too heavily influenced by costs in large American cities (Seoul is a big city, but Korea isn't the U.S. obviously).
So maybe halve everything above? That gets you to around $250k/year.
Does that get us to a plausible range of sponsorship support? Do the players chip in some of their prize or streaming money? If so, I wonder how much.
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Probably way off in the salary just because most koreans don't even get a salary right now.
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probably too much, im thinking much less. Remember living expenses are much cheaper in Korea compare to the US, and so is their salaries.
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$2-3k/month for the cook? Doubtful.
$5k/month rent? Doubtful. (Just look at the size of the korean places...)
Salary...? You could be close, If I had to guess I would put it at more like $15k/month.
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most sc2 players don't earn a salary.
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Players aren't paid and they share rooms.
All those numbers need to be heavily reduced, like crazy.
Maid and cook are not that expensive either. Monthly? You gotta be kidding me.
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i think you are way overestimating costs
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Your salary figures are WAY off and your maid/cook is a lot higher than it should be.
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You can rent a multi bedroom house for 1500-2k a month. That will meet any pro-gaming houses needs.
the cook...You could find an evening cook every week night for 1k a month I would guess. (or have grocery store deliver for a 20-25 fee) Then you only have to give the shopping list, and your players themselves could cook. (or bring on groupies who cook and clean for the players).
For 4k a month you could easily have a pro gaming house in the US...it wouldn't be the best but it would work. also replacing stuff...thats the players responsibilities... Salary, they keep there winnings or if you have a contract you honor that. Honestly the flights to send these guys all over is the real cost...
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From what I have seen in most of the tours that Artosis has done through different team houses it seems that most of the teams just take turns of who has to cook that night or whatever.
I imagine that the sponsors take care of the living costs and the players pay for the food and clothes etc.
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Players don't get Saliries (or at least not high ones) but they get paid for food and living conditions and stuff.
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I don't know if it's just a Korean thing, but I'm pretty sure you don't need a cook or maid. Just clean up after yourself and binge on Ramen like everyone else.
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It depends on the country you live in.
Not only the spendings on food and stuff since it will differe from country to country but which will differe even more are salarys.
If you want to run it as a business you should look up how much one person costs a company (including taxes, insurance).
@distribution: if players get salarys i guess they need to give the company running the house every winning and earning (done when at work).
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Calgary25980 Posts
If we're talking about Korea:
I'd guess rent is 3k, max. Likely closer to 2k.
Maid is likely 1k.
Salary is likely 0k - 5k.
Equipment/travel: 1k.
Food: 1k - 3k.
That puts my estimate at $5k - 13k / month, or $60k - $156k / year.
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Most players don't have salaries in Korea.I think your value for maid/cook is way too high.But I think the travel expenses/equipment value is way to small,however,sponsors can sometime cover these costs.
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shit my maid/cook/babysitter only makes 1200 a month
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thats way more than needed. you dont need a maid, or a damn cook. thats ridiculous. clean up and take care of your damn self. its not that hard and takes very little time in the overall scheme of things. player's do not practice SO much that they seriously need the time. if anything it's good to be forced to do something for yourself on a daily basis.
rent is ridiculously high, maybe dont move into a house thats beachfront property? or in LA. pick somewhere smart/cheap, location is not very important for a training house, since you work at home! paying for food and living conditions is the real expense. players can earn pocket money from coaching or streaming or something else online. or even a part time job if needed (again in the overall scheme of things, 2 four to six hour shifts a week wont stop you from going pro).
equipment you'd prefer to get froma sponsor obviously, not to mention the equipment players already have. you dont need the best stuff to be pro, thats for sure. so dont value that too highly either.
travel for events, very costly. you have choose wisely when sending players, often i see some ppl travel too often and always perform poorly. where as other players travel scarcely but perform very well. a mix of the both maybe ideal.
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Actually you are way off on everything.
Sounds to me like someone who still lives at home and has no idea what the real world costs.
User was warned for this post
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Most houses cost way less and are a lot smaller than you may think. I doubt the maid gets that much, and most koreans don't even get a salary atm (in fact puma didn't even had a contract with tsl, and I wouldn't be suprised if he wasn't the only korean without one).
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On January 14 2012 06:08 HulkHogan wrote:
Actually you are way off on everything.
Sounds to me like someone who still lives at home and has no idea what the real world costs.
If he lives somewhere like NYC or another big city, then costs are obviously going to be significantly higher. WHile I agree some of his figures seem large, there are some we just don't know about, like salary and equipment/food/travel costs.
You're just trying to be a jerk.
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EPT
