Essentials Of An Event Management Business Plan
Man is a social animal which makes social gatherings an inevitable part of our life. The event management industry is flourishing owing to the tremendous demand in society. The host prefers enjoying the event and handing over the herculean task of management to the experts. The beauty of event planning can almost be an art, where a considerable amount of effort and time is dedicated to organizing and coordinating a memorable occasion. To commence your own event planning business, you will be expected to not only be proficient with the skill of event management but also have a knack for entrepreneurship.
How were great business ventures started? The answer is ‘Business Plan’. Meticulous planning is the only way out. Jot down the tiniest details of your business will eventually provide you with the guidelines for future use. Whether you’ve already embarked on your journey towards opening your own business or still wondering on how to start an event management business, writing a business plan is one of the most important steps of the process. This article will guide you through the aspects of writing a business plan.
Event Management Business Plan
The first step towards making an event management business plan is an executive business summary. Consider the making of an Executive summary as an entrance test. This is the first impression you will be making on the investors/lenders. The summary must be included in the plan to explain the entire idea and concept. Lenders and investors will probably make their mind whether to invest money in your plan or not based on this executive summary.
An executive summary would generally include:
- Company description
- Market Analysis
- Organization description
- Product Line
- Marketing plan
- Marketing team
- Funding request and use
- Financial projections
In a modern summary, you should pay specific attention to the problem you have to solve and your solution so far. Once you’ve written a business plan make sure you get expert advice and feedback before submitting it.
‘Event Management’ might come across as a small word but there are many things which need to be taken care of. It’s important that you think about what type of services you are going to offer your clients. For example, are you going to offer full event planning services including event registration, venue hire, catering services, event promotion, etc or are you going to specialize in one or two areas? It’s vital that you think about the costs involved. The administrative costs and time constraints of paper-based event registration, for example, it can be a burden on a start-up as an event marketing and promotion which requires special expertise. You have four fields of events to choose from and a number of specific events:
- Celebrational: fairs, parades, weddings, reunions, birthdays, anniversaries
- Educational: Conferences, meetings, graduations
- Promotional: Product launches, political rallies, fashion shows, fundraisers and galas.
- Commemorative: memorial services and public ceremonies, commemorative dinner
With so many diverse options, initially, you might want to narrow things down to a couple of events until the time you gather a strong team which can cover up all sorts of events mentioned above.
Broadly speaking, there are two markets for event planning services: corporate and social. The term “corporate” includes not only companies but also charities and nonprofit organizations. Charities and nonprofit organizations host gala fundraisers, receptions and athletic competitions, among other events, to expand their public support base and raise funds. Thousands of these events occur each year, and although the large ones require specialized event planning experience, you may find smaller local events to start out with.
For social events, the list is unending. There are weddings, reunions, engagements, birthdays and what not! What one has to consider is the change in decoration, menu and themes of such events.
It is not just about management. There are many technical aspects you should be thorough with before stepping into the Event management business. Before you start your business, consider getting a degree, diploma or a certificate from your local university in event planning or management. Many universities provide different courses for event management. There are courses from diploma to degree to post-graduation. Majorly there are three types of event management courses you can take: Diploma in event management (DEM), postgraduate diploma in Event Management (PGDEM) and a post-graduate diploma in Advertising, Media and Event management (PGDAME).
Experience and education should be balanced. Education will add to the glory of your experience. To take on the events business seriously you might want to take up a course. Many corporations and members of the general public look for these designations before hiring event planners. A degree or a course will obviously add to your skills and knowledge but will also render trust in your clients. It is important to show your clients and investors that you are qualified for the job.
Manpower & Equipment
This is definitely not a one man’s job. You need a full-fledged team to make a successful event management company. Apart from the core management team, event planners work with a variety of suppliers, including caterers, florists, photographers and more. Even if you don’t employ people directly it is important to have good connections with the people who will be providing the basics for your event. You will need:
- Destination Management Company
- Communications Consultant
- Stationery Designer
- Promotional Products Distributor
- Private Caterer
- Wine Shop Owner
- Party Rental Supplier
Make sure to mention who your contacts will be and how you will manage each aspect of an event that you will plan.
You must create a budget before you start pitching it to your investors. How much money will you need to start your event planning business? That will depend on the cost of living in the area your business serves, whether you work from home or rent office space, what services you will provide as well as if you plan on hiring employees right away or after a while. The budget will allow you to understand how much money you will need for your business. It is also a crucial part of your event management business plan.
For an event management company, you will have a sea of clients, you just need the right fishing skills. Marketing your business will allow you to formulate and grow your customer clientele. When directing your event planning services to community members, seek out for any online community forums and social media pages as a platform to advertise your business. Networking is also a great way to gain exposure for your business especially when connecting with a corporate customer base. Use professional networking websites such as LinkedIn to promote your event planning business as well as to attain advice and tips to run a business successfully. Appraisals also play a large part in marketing. Following a successful event, ensure to ask the event host to leave a review on your social media pages and perhaps even provide a positive testimony for your website.
Regardless of your experience in party planning business, it’s not too late to start preparing yourself to start your new business. Writing an event management business plan is the way to make your dream a reality. If you need more help with your business plan, you can take the help of business plan services, such as deAsra.