MY MONEY SAMMY JACOB
The founder of xfm has puT his passion for music before financial gains, and iT’s paid off
WHEN he was a kid, Sammy Jacob, 57, admits the 20p in his pocket didn’t last further than the local sweet shop. Sammy began his career in 1983 as a presenter on London underground radio stations Solar and Horizon before going on to be the founder and creator of Xfm, where he introduced a pair of people who would go on to write comedy history (spoiler alert: see photo below). Sammy went on to spearhead a number of live events, including Great Xpectations at London’s Finsbury Park, and most recently worked with Camden Market to launch CDNX (Camden Xperience), a music-intensive radio service that reflects Camden’s music heritage and latest trends (camdenmarket.com/ journal/cdnx-radio).
Did you have much money as a child?
No, very little. I got 20p a day and had to choose between taking a bus to school or using the fare to buy a bar of chocolate – I bought the chocolate and walked to school. Although I came from a poor background I don’t feel I suffered in any way – my friends and I were all in the same boat so you just got on with it. If anything, coming from a tight background taught me how to financially survive.
Did you think music and radio would be financially rewarding or did you do it for the love of it?
Music was always a labour of love. I’d no, or very little, commercial consideration – being able to survive as a result of doing what I loved was good enough. I think that went for the vast majority of people involved in the music and media industry at the time.
When did you make the switch to being more of a businessman?
Commercial considerations became more important a year after I founded Xfm in 1993 when the station was conducting a number of trial broadcasts to ascertain if the format worked. There was a requirement for additional investment and the issuing of further shares. It wasn’t a position I was particularly comfortable or familiar with although I learnt to appreciate the importance pretty rapidly.
When did you become more financially secure?
I really achieved a level when Xfm was finally granted a permanent FM London license in February 1997, with the station fully launching six months later on September 1, just one day after Princess Diana had died – not exactly the best day to launch a radio station. I was prepared for anything, but not that.
What was the first extravagant thing you went out and bought?
A brand new top of the range Jeep Grand Cherokee 5.9 – there were only a handful in the country. It was an amazing vehicle especially in 1998 when there were very few 4x4 vehicles on the road. It was the best of its kind at the time.
What do you regret buying?
The Jeep Grand Cherokee 5.9! It only did 12 miles to the gallon in town and devalued more than most vehicles. On top of that, living in London and being parked on the street, the car suffered from weekly dents and scratches. I learnt then to never buy a new vehicle while living in a major city.
What should you have bought more of?
Property. Due to my early background I never had the money to own property and didn’t purchase one until I was 42. That was a major mistake, taking into account the increase in property value. I wish I had purchased one sooner and perhaps invested in more houses.
What advice would you give on how to succeed in business?
To always do what you love – don’t necessarily be driven by the money. Doing something that you’re passionate about will provide the motivation you need to succeed commercially, assuming there is a commercial opportunity. An existing personal example is CDNX – a dedicated radio service I currently operate on behalf of Camden Market. The station is very much a labour of love in support of the traders and Camden music venues. It hasn’t been marketed or commercialised in any way since launching in February this year, but it now attracts a monthly audience of over 60,000 and as a result is starting to gain commercial interest.
You’ve organised big live music events – these must feel risky at times?
Live music events are always risky due to the very tight margins. The promoters that succeed are those with the most experience. I’ve been fortunate enough to work with some of the best in the business and as a result never really suffered. The biggest event I produced was an event for 30,000 people at London’s Finsbury Park called Great Xpectations. We just about broke even as I and the performing artists insisted we keep the ticket price as low as possible. It worked. The festival was voted into the top ten festivals polls of that year.
What is the future for live music with Covid?
Right now there is no future to make money, especially for smaller operators. If the current climate continues past next summer there are going to be major casualties with some of our most established festivals disappearing – it simply won’t be financially possible to continue. Frankly, I can’t see any economy being able to survive the current climate. The idea of going into lockdown every few months is nonsense.
You introduced the guys behind The Office – should people avoid a dead-end office job?
I employed Ricky Gervais as head of speech and Stephen Merchant as Ricky’s assistant on Xfm – that’s how they first met. They were two brilliant characters who made up the job as they went. I just left them to it. They got on so well and were so funny that it wasn’t long before I put them on air, giving them their own Sunday afternoon show, and, as they say, the rest is history. I wouldn’t therefore say doing a dead-end office job is to be avoided as you never know what it can lead to. The key to a lot of success is meeting the right people at the right time – being active is important even if it is being in an office all day.
What has been your best investment?
Taking time out in 1998 to study the digital landscape and learn about digital distribution. It was clear the music and media industries were rapidly changing and I had to understand where the whole thing was heading if I was going to have a future. Without investing the time, I doubt I would still be in the industry.