[Tango-L] The Business of Milongas

[Tom Stermitz]

You could easily do the numbers yourself to see whether it makes  
money or not.

Obviously it completely depends on income vs expenses. But the most  
important variable is attendance. Attendance will be the biggest  
determinant of whether you make money or not. The Catch 22 is that  
good attendance generates better attendance, low attendance generates  
lower attendance. The only factors you directly control are entry  
price and location choice.




Let's say that the bare minimum for a milonga (rather than practice)  
would be 60 people (30 couples).

3 hour milonga in a rented dance studio.
60 people
$5 per person
$300

$100 = Rental
$50 = DJ

$150 Net per milonga
$50/hour.


A more successful milonga would have each of the above items 50% larger:

4.5 hour milonga in a nicer dance hall.
100 People
$7.50
$750

$200 Rental
$100 DJ

$450
$100/hour


REAL EXAMPLES

Here in Colorado we have two milongas per week that meet or exceed  
the more successful model, one run by a Restaurant/Bar and the other  
by our Tango Club. We have one milonga each week (rotates between two  
organizers) that meets or exceeds the definition of the minimum milonga.

The individual organizers are successful, but doing two milongas per  
month does not add up to a livelihood. That has to come from group  
and private lessons, or other activities.

The nightclub makes money on drinks, but pays staff for service and  
cleanup. That model operates 4-5 days per week with other dance forms  
(Swing, etc.). In addition they have food, music & poetry in another  
part of the building. This is a successful model that provides the  
owner with a livelihood, but not wealth.

The Tango Club is part of a non-profit organization that runs dances  
4-5 nights per week in a large dance-hall. Each night has a different  
dance and different organization (Salsa, Swing, WCS). This is a  
successful model that manages a large dance-oriented building/non- 
profit, with each group being successful on their own.

If you could split either of the bigger Tango events off from the  
other activities or the underlying organization, you can see that a  
weekly milonga of 100 people would provide a modest income for one  
person, but...

The big question is how easily one organizer can build up 100 tango  
dancers. This has something to do with the size of the community,  
whether the milongas are siloed under separate organizers, whether  
the different teachers "allow" their students to discover other  
events, how good is the DJ, is the tango style accessible or  
difficult, etc.

A nightclub has some built-in benefits: food and drink income, cross- 
over from other dance forms.

A community-group also has some advantages: Neutrality and friendly  
relations with all the teachers.



On Apr 24, 2007, at 10:20 AM, Caroline Polack wrote:

> I'm wondering about the business of running a Milonga.
>
> Is it:
>
> A) Milongas is a money-making business. I can certainly make a  
> decent living
> at hosting milongas.
>
> B) I'm just breaking even, I neither profit nor lose money at running
> milongas.
>
> or is it
>
> C) Most of the time, milongas cost me money, I usually pay the  
> deficit out
> of my own pocket.