Start a Podcast Production Business

Podcast Money Worksheet

Companion to "The Money, Honestly" and "When Money Arrives."

1. Startup stack (once)

ItemCost (verified)Your cost
Dynamic USB microphone (category's default beginner pick)~$70$
Boom arm, headphones you own, windscreen$
Complete first studiounder $200$
Recording software$0 (Audacity / GarageBand)$0

2. Monthly stack

ItemCostYour cost
Podcast hosting (stores files, publishes feed, includes distribution)starts around $15/mo on the major hosts$
Honest full stackabout $15 to $20/mo, zero in required software$

Year-one budget lines from the course: self-edited, about $400 total (gear plus twelve months of hosting). Outsourced editing on a weekly show, roughly $2,600 to $5,200 of editing added.

3. Edit-or-outsource break-even

Inputs (verified): freelance editing runs $50 to $100 per hour of finished audio, per-episode packages from about $50 (basic cleanup) to a few hundred (edit plus show notes plus clips). Self-editing costs no cash and roughly 2 to 3 hours per episode.
RowYour numbers
Your editing hours per episodehrs
What one hour of your time is worth in the business (booking guests, clients)$ /hr
Your time cost per episode (hours x rate)$
Editor's invoice per episode at your handoff level$
Decision: outsource the moment your editing hours are worth more than the editor's invoice somewhere else in the business, or the moment editing threatens the cadence

Middle path: edit your first ten episodes yourself to learn what you want cut, then hand a written edit policy to an editor. Editors charge for decisions; a show that sends a policy pays for execution, not taste.

4. CPM pricing table (run it on your own numbers)

Formula: ad price = (downloads per episode ÷ 1,000) × CPM rate. Host-read sixty-second mid-rolls average $18 to $25 per thousand (Rephonic); agency benchmark: mid-rolls near $25, pre-rolls near $20, post-rolls $1 to $5; niche B2B audiences price above the band. Worked example from the course: 2,000 downloads at a $22 CPM = $44 per mid-roll spot.
Your downloads / episodePre-roll @ $20Mid-roll @ $25Post-roll @ $53 mid-rolls per episode
2,000$40$50$10$132 (at $22)

Practical starting line for sponsorship at standard rates: about 15,000 downloads per episode measured in the weeks after release (operator guidance; publishers report few shows reach it). Below that line, sell direct or not at all: one-page rate card, verified download stats, price per episode and per placement, in writing, never pure percentage-of-sales as a first deal.

5. Lane projection, 12 months

MonthLane 1: affiliate (disclose out loud; only what you use)Lane 2: services pipeline (guests to clients over one to three quarters)Lane 3: sponsorshipLane 4: membership
1-3not yetnot yet
4-6
7-12

Honest shape: there is no podcast income in the first months for almost everyone. A single guest who becomes a client, or refers one, can out-earn a year of mid-roll ads on a small show. Run the stack, not a lane: the stack grows from the bottom upward (affiliate, then services, then one direct sponsor priced on niche audience quality, then membership), and the order rarely reverses.

6. Day-90 money checkpoint

Stable publish rhythm never broken
Downloads per episode trending up across the quarter
At least one lane-two conversation that exists because of the show