The Secret of Art Investments

As the owner and curator of two art galleries, I have dealt with thousands of pieces of art and hundreds of artists. I focus on spotting emerging talent and the success of the gallery is a testament to having the most promising artists who are performing very well despite a depressed economy.
The goal is to find artwork that you can enjoy and see rise in value. If you buy a Rolex watch you don't expect it to be worth more in several years time. This is where buying art may surprise you. People who bought a Geoffrey Keys or Liam Spencer ten years ago for £400-£500 will have not only enjoyed it for several years but will be able to sell it on for £4000 - £5000 today. In anyone's eyes that is a great return on your money.
Spotting and buying the next big name isn't as difficult as you may think. If you want art as an investment as well as for pleasure there are relatively simple factors you need to look into to determine who is the next artist to make big gains in their artworks value.
1) Do you love it? - First and foremost, art is bought for personal enjoyment as well as being an investment. 2) Do your homework - What stage is the artist at in his/her career? Look at the history of past exhibitions. Make a judgment on these exhibitions, are they gaining in number and/or importance or does their career look like it has peaked already. Be aware though as fund managers state, "Past performance is no guarantee of future success". 3) What Galleries represent the artist? - Without gallery representation an artist is highly unlikely to become established and build a following. Are the galleries reputable and are they putting time and effort into their name. Look at publicity and google their name for associated articles. 4) Meet the artist - An exhibition preview will have the artist on hand to chat to customers. Do they have ambition and a desire to reach the top? How committed are they and can you see them painting in many years to come? 5) Consider a payment plan. Expensive pieces of work can be paid for over a year or sometimes 2 years. The easiest way to handle this would be to give the gallery a series of post dated cheques. Any good gallery would be willing to discuss more flexible payment terms. 6) Advance investments - Generally in an artists' collection there are 2 or 3 pieces that are highly sought after at the preview. Galleries may be reluctant to admit that they are willing to accept an advance to enable you to work up the pecking order but this is commonplace. Make sure you have any agreement in writing and obtain receipts.
The more you spend the more likely it is the work will hold or increase its value. You are buying into an artists name so much of it depends on whether the artist and the gallery are pushing for recognition and publicity.
In following these guidelines anyone can spot great emerging talent. If you are still undecided then simply ask a gallery who they think represents the best potential. If you haven't stated a preference of artist then you will get a straight forward reply which can help your decision.
Happy Investing.
Mike Smith is the owner and curator of Mooch art which has two art galleries in Manchester, England. Running the largest commercial gallery in the north west, Mike champions emerging talent and is at the forefront of young artist development in the region.Mike has 10 years experience in buying and merchandising and an MBA from Manchester metropolitan university. A keen photographer and a lifelong passion for art has led to the development of the fastest growing art gallery in the country.By Mike John Smith