2014/2015 Annual Report. Zihuatanejo International Guitar Festival

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1 2014/2015 Annual Report Zihuatanejo International Guitar Festival

2 The Zihuatanejo International Guitar Festival is an international world class musical event that brings musicians and music lovers to beautiful Ixtapa- Zihuatanejo, Mexico. Founded in 2004, the festival has grown every year in prestige and size. To generate tourism during the festival as well as year-round by elevating Zihuatanejo s profile To raise cultural awareness within the community while raising money for further cultural endeavors To put on an amazing, out-of-your-seat-dancing, inspiring show with world class music

3 WHO WE ARE --Passionate, dedicated, accomplished, fun-- The Zihuatanejo International Guitar Festival is a community run festival comprised of a pro-bono advisory BOARD of DIRECTORS, a small EXECUTIVE TEAM who donate hundreds of hours of work year-round, an ORGANIZING COMMITTEE who work several months a year, and a tireless group of event VOLUNTEERS, who assist with all aspects of the festival production. We are a diverse and international crew of Zihuatanejo locals and expats from all over the world. Catherine Krantz, President Debbie Mione, Vice-President Lee Kraft, Vice-President Gabriela Pasquel, Treasurer David Connell, Secretary

4 ZIGF Team Catherine Krantz, Founder & Executive Director Catherine Krantz is originally from Texas. She moved to Zihuatanejo in 1998, where she published an Art & Culture magazine about Mexico for 12 years called, Another Day in Paradise. She founded the Zihuatanejo International Guitar Festival in 2004 with a small group of music loving friends. She has a passion for the arts and a sincere belief that the future of the music industry will involve artist driven initiatives. Heidi Nygård, Operations Director Heidi Nygard, is originally from the north of Norway, she is the owner of Bungalows Casa Heidi in Zihuatanejo since She has been involved with Guitar Fest since Isahrai Azaria, Creative Director Isahrai has been a longtime supporter of ZIGF as in-house graphic designer and as a contributing musician on several ZIGF projects. This year she has stepped up to contribute her full range of design talents and media expertise as she spearheaded the re-branding of the festival s image, website and merchandise. Isahrai now lives Oaxaca de Juarez, Oaxaca. Gabriela Pasquel, Master of Ceremonies Gabriela was born in the misty and cultured city of Xalapa, Veracruz. She lived in Mexico City and moved to Zihuatanejo 20 years ago, where she has been actively involved in the community as an enthusiastic promoter of cultural events, is a member of the Board of Directors of the ZIGF, and is a member of various educational boards. Phil Philbillie Milner, Sound Engineer Philbillie is originally from Hawaii, based in San Francisco. A musician, producer, sound engineer and guitar tech, he has been a performer at ZIGF in 7 out of 12 years. He has worked for Tracy Chapman, Bonnie Raitt, Primus, Graham Nash, among others. He recorded ZIGF 2014 s CD, and was in charge of production and re-mastering for the 2014 ZIGF Angel benefit project. Stew Denny, Strategic Planning Director Stew Denny is originally from South West England. He grew up next door to Glastonbury Festival, which he began attending as a child and has worked since He made the switch to the U.S. in 2012, taking a position with the San Antonio Spurs to help develop their new rock festival. He has worked with the brains behind festivals such as Bonnaroo, Outside Lands, and TomorrowWorld and he couldn t be more excited to join the Zihuatanejo team. Edilma Fernandez, Box Office Manager Federico Velderrain & Rodrigo Espejo, Production Directors José Luis Cobo, Artist Ambassador Kirk Wagner, Stage Manager Margaret Reid, Photography

5 Community Engagement & Economic Impact Every year the Zihuatanejo International Guitar Festival along with Children s Concert Sponsor, Por Los Niños AC, put on a Free Children s Concert for 1,000 Ixtapa- Zihuatanejo School Children, and a Free to the Public Concert on the town square for 3,000 Ixtapa-Zihuatanejo residents. Over 12 years, sharing international music with an entire generation of Zih kids and offering free concerts for 20,000 residents. Children s Concert 2015, above, Town Square Concert 2015, below. The Zihuatanejo International Guitar Festival makes a direct investment into the community of around $50,000 dollars ($700,000 pesos) each year by exclusively hiring local vendors and service providers, and sends out over $300,000 dollars ($4,000,000 pesos) a year in direct economic impact into the community through tourism and related services. *International airline tickets are the only non-local expense. Over 12 years, the ZIGF has raised and spent, almost $500,000 dollars ($7,000,000 pesos) in Ixtapa-Zihuatanejo, and contributed to a direct economic impact into the community of over $2 million dollars ($28 million pesos).

6 2015 Wrap Up 2015 was another great year of excellent music, wonderful shows and full capacity crowds. We again surpassed previous years in size, earnings, and expenses, too. We have much to be proud of, as a team and as a community, but given the amount of challenges we faced in 2015 and the size of the crowds we attracted, it is time for real evaluation. About the future of the event and if our small team can continue to offer high quality programming at our current bare bones budget, and what if anything we can do to get our earnings where they need to be to make this work in Ixtapa-Zihuatanejo.

7 Beach Concerts are a big part of the appeal Our opening concert filled Playa Madera like never before. We covered every bit of sand with over 1,200 people in seats and the entire beach and hillside were lined with overflow spectators. As much as we love our close-in beach location, Playa Madera comes with many challenges beyond its small size: distance from roads for daily loading/unloading, coordination among so many restaurants, hotels on the beach, as well the need for substantial upgrades and site improvements to accommodate our crowds that are beyond our small budget (electricity, lit pathways, bathrooms, accessibility, installations).

8 Thank you, Casa de la Cultura! For the first year ever we had to deal with weather issues. High tides and storms required us to move our concert site into downtown where Zihua s newly built Casa de la Cultura, cultural center rose to the occasion and graciously hosted us. Despite the wonderful new venue, we feel that the smaller crowds due to the rain and venue change significantly affected our revenues for the week. Weather will have to be taken into account from now on, as Zihuatanejo has no fully covered concert space.

9 A new Website with Online Reservations We launched an incredibly functional and beautiful new website with an online ticketing and reservation system this year (an over $15,000 dollar donation from our web designer). With this we were able to generate $8,000 dollars of pre-sales that allowed us to pay deposits and vendors. Online reservations helped us better organize our Gala dinner shows and keep ticket holders informed of changes during the event. *Our Gala dinner shows all sold out this year, some before the week had even started. This has given us fair warning to tweak the system even more to eliminate no-shows and get as many people in as possible. We have been very fortunate to have a talented design professional on board who has helped us create an online presence that rivals any other world-class event. It is the front door of our organization and has been invaluable for promotion of the event and the destination. We now have a site that can grow with us to any size.

10 I Profit & Loss Statement Financial Statements 2015 What our actual cash expenses were. Debt rolled over to 2016

11 II Real Costs Adjusted Statement The Value of what we got donated or discounted the real cost of our event. The Value of donations & discounts. The real cost of our event. Where we need to be

12 Needs going forward III. Proposed Upgrades for 2016 Beach site upgrades & improvements IV. Proposed Budget 2016

13 Summary Summary: The Festival earns around $50,000 dollars a year. Paid expenses are only a portion of real costs. Current earnings are $96,000 dollars ($1,339,221 pesos) short of self-sustaining. Most expenses are absorbed by unpaid individuals. Festival is not viable without significant annual donations of time and money. With no long term multi-year endowments, donations are at risk every year. An additional $23,500 dollars in site upgrades are warranted to meet demands of growth. A minimum annual investment of $100,000 dollars is recommended. Prognosis: Future is uncertain as principal donors' ability to donate significant time and money for 2016 is uncertain. Current growth is unsustainable without a large increase in income. Plan: Actively seeking grants and additional sponsorship confirmation TBA.

14 We welcome the input and ideas of our patrons and supporters, CONTACT US Catherine Krantz, Zihuatanejo International Guitar Festival, President, Zihuatanejo, Mexico / Emory, TX fest@zihuafest.info,

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