It might sound obvious, but one of the biggest traps new studios can fall into is overspending when the money by whatever means finally starts flowing in.
"Do not spend money you cannot afford to spend," Jacobson said during a Developer Dialogue session with Boss Alien's Jason Avent at Develop Brighton.
"Don't get an overdraft facility. Also, we didn't take bonuses out of the studio for 14 years we invested that money back in the studio."
Money, money, money
For studios lucky enough to secure financial backing early on from outside parties, the risks are just as big as if you win big with a runaway hit.
It's not something Sports Interactive engaged in Jacobson noting "royalties are where it's at" for the Sega-owned studio but plenty of developers that have amassed VC money have ended up slipping up, he suggested.
"Other people get VC money, which is fine," he continued.
"However, if you do get that VC money, spend it on staff rather than yourself. Put that money into the company in case it's not there later."
News
With a fine eye for detail, Keith Andrew is fuelled by strong coffee, Kylie Minogue and the shapely curve of a san serif font.
Related Articles
News
Jul 12th, 2012
Develop 2012: Gbanga's Robin Di Capua on the opportunities of location-based games
News
Jul 12th, 2012
Develop 2012: Infinity Blade designed to prove iOS could pack a punch, says Epic's Mark Rein
Top Stories
News
May 4th, 2024
PocketGamer.biz Podcast Week in Views E10 - Brawl Stars smashes 2023 revenue, Square Enix’s extraordinary losses, and Haaland signs for Clash of Clans
News
May 3rd, 2024
Week in Views - Apple back themselves bigstyle, Clash bags Haaland and dreams come true at King
News
May 3rd, 2024
Week in Views - Apple back themselves bigstyle, Clash bags Haaland and dreams come true at King
News
May 3rd, 2024
Mobile Movers: All the latest appointments and job moves from around the industry
Events
LA Games Conference 2024 | North America | May 6th |
Mobidictum Meetup Berlin May 2024 | Europe | May 7th |
Valencia Indie Summit 2024 | Europe | May 16th |
Mobidictum Meetup Tallinn May 2024 | Europe | May 21st |
Israel Mobile Summit 2024 | Middle East | Jun 6th |
WN Conference Istanbul 2024 | Jun 11th | |
DevGAMM Vilnius 2024 | Europe | Jun 14th |
Develop: Brighton 2024 | Europe | Jul 9th |