In this series, we’re interviewing and shining a spotlight on some of the other businesses in and around the escape room industry. In this article - accountancy!

Hear me out- Things like “VAT return” and “cash flow forecast” probably aren’t high up in the list of things creative business owners would like to think about regularly. But this is exactly why Sam Wai, the founder of Immersif, is worth knowing about.

Immersif is a specialist accounting, performance insight and practical business development practice built for freelancers and businesses in the immersive entertainment industry. We spoke to Sam Wai to find out a little bit more about accountancy in the escape room industry, and what his business does to help.

How Immersif Was Founded

Immersif doesn’t have a typical origin story, at least not for your regular accountancy businesses. Before setting up Immersif, Sam first worked as an escape room owner for 7 years, the company was very successful after which it was sold and Sam moved on to working hands-on at a large escape room company in London, UK. Here, he wasn’t just a bookkeeper, he worked as the Head of Projects, managing the entire lifecycle of builds, from designing, to managing contractors, to physically putting up walls and wiring, and decorating the rooms himself. The day to day involved both the creative ambition of designing and building escape rooms, with the operational reality of running a company, which involved a lot of accountancy and bookkeeping.

When his daughter arrived in July 2024, Sam found himself asking questions many creative folks eventually face: How can I stay connected to this world I love and am good at, but build it around my family life so I can support them?

The answer came through the Japanese concept of Ikigai, which is a venn diagram of:

• What you’re good at
• What you love doing
• What the world needs
• What you can be paid for

Sam explained, “The idea is that when you figure out and put those four things together, the little diamond in the middle is your calling. With Immersif, I’ve definitely found mine.”

Sam Wai of Immersif

The “What If” of Immersif

With a smile, Sam explains one of his favourite things, that the name of Immersif is a portmanteau of “immersive” and “what if”.

“What I set out to do with this business was help my clients achieve their immersive “what ifs” - a financial scaffolding that makes your cool, creative vision actually possible.”

So what does Immersif actually do? Sam describes Immersif’s core work as “A&A” - Accounting and Advisory.

On the accounting side, Immersif handles all the things creative business owners and freelancers need to do but would probably rather not think about. For example, bookkeeping, VAT returns, tax filings, accounts preparations - although that list is by no means exhaustive. As Sam puts it,

“All the things that are a legal requirement and that you really, really don’t want to mess up, but maybe you don’t yet know about as a new business”

On the advisory side, Immersif offers much more of a dynamic relationship. Some clients come for more informal one-on-one mentoring sessions, where they bring challenges, problems, visions and goals and Immersif can support them in a whole host of different ways- And if something falls outside of Sam’s expertise, he knows people all over the world who can probably step in and help. Other clients come for more analytical guidance, for example, a deep dive of their business to find out what the weakest parts are and where the opportunities are.

“I find that the truth of running a business is in the numbers,” Sam explained in our interview. “Of course your creative vision is so important, but if it’s not also financially viable and sustainable, that’s an issue.”

Sam Wai of Immersif

Common Mistakes Escape Rooms Keep Making

We asked Sam what some of the most common financial mistakes he sees escape room owners make, several come to mind - and he’s seen them all more than once! As he works in bookkeeping for UK-based businesses, these mistakes largely affect this region, but the insights are useful for all business owners.

VAT (Value Added Tax) is a big one it’s easy to make a mistake on, as there’s a 30 day window to register for VAT once you hit the threshold. If you miss the deadline, you might be liable for fines. Sam explained he’d seen this happen many times, but is fairly straightforward to clean up and avoid with a little professional help.

“Then there’s an issue with Stripe. So, Stripe pays out after fees, which means your actual income might be higher and you’ve basically underreported your sales” Sam went on further, explaining how a common pitfall is that many owners pull their income figures directly from their Stripe payouts.

“This then makes you look worse if you’re seeking funding, or loans. And if you’re doing your tax planning and trying to earn from dividends, you’re under-earning because you’ve under-reported.”

For venues that have expanded into merchandise, food and drink, or have on-site gift shops, things get a little more complicated still. Another thing Immersif helps with often, and can be quite unique to this industry is that,

“Different products have different VAT rates from standard, reduced, and zero. Getting them wrong means either overpaying or underpaying on tax, and both are big problems.”

For these topics and more, Sam plans dedicated webinars throughout the year on them. One of the upcoming ones is on Voucher VAT.

“Pretty much every escape room has overpaid tax on vouchers” he says. “Voucher law is its own thing, and most people don’t know about it.”

Another thing he’d tell any new owner is to watch their cash flow. Not just whether you’re making more money than you spend, but also the timing of when money goes out.

“The number one reason businesses fail is cash flow. Large bills come out once a quarter, once a year. If you haven’t planned for them, you’ll suddenly have a hole you can’t fill.”

The reassuring side to all this is that almost every single client who comes to Immersif has been getting some part of their taxes wrong, and in almost all of those cases it means they’ve been overpaying. Sam puts it simply,

 “So there’s usually money to be found.”

When should you hire an accountant like Immersif?

Sam’s answer is pretty straightforward:

“Probably earlier than you think!”

Immersif works with clients at every stage and every size, whether solo immersive creators who need a hand understanding taxes, to startups who who want to give themselves the best chance from day one, to growing businesses who don’t have time to handle the finances, to established operators whose current bookkeepers have made a mess of things because they might not understand this specific industry we work in.

On that last point, Sam explained that escape room finances aren’t like typical business finances. For example, there are multiple revenue streams, ticketing platforms, gift card income, and a whole range of transaction types that a generalist bookkeeper could easily mishandle.

“I tend to get customers when they’re in a difficult time, and that’s also when I shine best.”

Immersif at RECON

How to get in touch with Immersif

Immersif offers accounting services for UK-based businesses, and advisory support for businesses globally. If you’re outside the UK and want a second opinion on your financial statements, Immersif can look at what the numbers say and offer advice.

The best way to reach out is via their website at immersif.co, or by email at hello@immersif.co. Sam Wai himself is also on LinkedIn, and regularly attends industry events - so keep an eye out at the next immersive or escape room event you’re attending!

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This article is part of an ongoing series of spotlights on businesses and people making the escape room industry great. We at Buzzshot have known Immersif for many years, and are featuring them because we genuinely believe in what they do.