Photo Courtesy José Faus
Two business terms came up in a conversation I had with a musician friend who is considering a different career path, and maybe even leaving the field altogether: Sunk Cost and Opportunity Cost. Sunk Costs are resources that were spent and can’t be recovered. They could be for items used in the production and distribution of art, money paid in tuition, or the human capital of thousands of hours spent honing your craft in practice rooms, art studios, or other creative spaces. An Opportunity Cost is the possible return on the spent capital had it been invested in other ways.