Funding for Culture
Main language of instruction: English
Other languages of instruction: Spanish
Head instructor
Office hours
Apart from class hours, enquiries can be addressed by email to melrazzaz@uic.es
This course introduces the students to the basics of finance and equips them with practical financial analytical tools that they can apply to cultural projects, events or companies.
Pre-course requirements
A basic understanding of the cultural and creative industries and the peculiarity of cultural products.
Those of the Master's Degree.
- To understand the pros and cons of the basic financial statements;
- To understand the significance of different financial rations;
- To understand the potential and diversity of fundraising tools available for them;
- To understand the pros and cons of different financial models;
- To understand the opportunity costs of their investment decisions.
Basic competencies
- To know how to apply the knowledge acquired in sophisticated, multidisciplinary contexts relating to the field of study;
- To deal with complexity in the company and the market, as well as uncertainty in decision-making process.
General competencies
- To properly manage economic resources in the cultural and creative field;
- To attract funds by tailoring campaigns to different audiences.
Cross-disciplinary competencies
- To build strong donor relationships through fundraising campaigns.
- Prepare and interpret different financial statements;
- Apply ratio analysis tools in order to evaluate different dimensions of a company’s performance;
- Take informed investment decisions guided by an understanding of the time-value of money and the risk-return trade-off;
- Use capital and debt financing while mitigating for the risks associated with them;
- Design, direct and evaluate sponsorship plans for cultural projects and/or companies;
- Untap the full potential of self-generated income and public financing.
First Block: Financial Instruments
- Balance Sheet
Breakdown of Assets, Liabilities and Equity; Depreciation
- Income Statement
Breakdown of Revenues and Expenses; making profit and absorbing loss
- Cash Flow
Cash flow cycle and working capital
- Ratio Analysis
Liquidity, Debt Management, Asset Management and Profitability
- Investment Analysis
Time-Value of Money, Cost-Benefit Analysis
Second Block: Financing Systems
- Equity Financing
Using owners’ own funds / equity
- Debt Financing
Using short-term and long-term debt
- Comparative Analysis
Pros and Cons of equity and debt financing
Third Block: Fundraising
- Sponsorship
Developing a sponsorship plan
- Public Finance
Grants and Subsidies
- Crowdfunding
Grassroots funding and online campaigns
- Business Angles
Angels and other innovative ways of raising funds
- Fundraising Plan
Developing a comprehensive and balances fundraising plan
- Budgeting
Building a budget
Chapter MATERIAL GRUPO ESPAÑOL
Material
Caso Producing producing.cascultura.doc
Guia para la elaboración del plan de financiación guiontrabajofinalfinanciacion.doc
The course will apply two methodologies:
1. Lectures: Theoretical concepts will be presented and discussed.
2. Practical exercises: students will have to solve practical exercises (usually related to the case studies presented during the lectures).
Group Assignments: 50%
Individual Assignments: 30%
Attendance and Class Participation: 20%
Operational Finance
Public Funding
Private Funding