How to start an Event Management Business

Table of Contents

Share this article

Event management is seen as a rising industry in the service sector. Live entertainment shows, corporate events, MICE (Meetings, Incentives, Conferences, Exhibitions), and large-scale weddings have all resulted in a variety of employment descriptions and opportunities. Individuals, corporations, and society have acknowledged the importance of engaging professionals to handle events.

Event management requires business management and organisational abilities, as well as a great deal of creativity. As an Event Manager, you may be engaged with parties, ceremonies, awards and felicitations, exhibits, conferences, radio, television, or reality programmes, concerts, and, more recently, virtual events, as well as hybrid events, a newer, more sustainable style of event management.

Event Management Industry in India

During the fiscal year 2019-2020, this was a Rs.10,000 crore business that mostly featured corporate events, award celebrations, concerts, and so on. The industry was growing at a constant pace of 12% to 15% each year. However, the entire ecology has shifted since the epidemic.

Due to the pandemic, the event business has dropped to a measly 20% of its previous size in the last two years. We will be back to normal by 2022 or perhaps 2023 when the events sector is predicted to develop at a pace of 25-30% in an ideal situation.

The reality television craze, in the form of reality programs, dancing and singing competitions, has also greatly aided the expansion of the event sector.

Because of the flexibility and dynamic nature of the event and entertainment sector, transitioning to the online, virtual environment of event management was made possible. This simply goes to prove that the industry’s deep-rooted resilience and a never-say-die spirit are what characterise its success.

The Business Plan for your Event Management Business

Now that we’ve cleared the air around what makes an event management business, let’s start with drafting a proper business plan. This goes a long way into helping you form a proper mission and vision statement and stick to it over the long run as things start to scale.

Executive Summary

Your executive summary introduces your business plan, yet it is usually the final piece you create because it summarises each major component of your strategy.

The purpose of your Executive Summary is to instantly pique the reader’s interest. Specify the sort of event planning business you run and its current stage; for example, are you a startup, do you have an event planning firm that you want to expand, or do you run a chain of businesses?

Following that, offer an outline of each of your plan’s succeeding components. Give a quick outline of the event planning business industry, for example. Talk about the sort of business you run. Provide information about your immediate rivals. Provide an outline of your intended audience. Give an overview of your marketing strategy and plan. Determine who the essential members of your team are. Also, provide a summary of your financial plan.

Market Analysis

Now let us assume you’ve been working in corporate meetings for five years and are now ready to start your own company.

The first thing to notice is that your abilities lie in the business world. Many planners make the mistake of claiming that they can arrange every type of event, including corporate meetings, weddings, fundraising galas, and more.

While the desire to provide a wide range of services can exist, the reason you’re ready is based on your combined prior experiences. You may eventually be able to handle a wide range of events, but you must first grasp the differences between corporate, association, nonprofit, and social events. Identify your target market as a result.

Operations Plan

Your operations plan explains how you will achieve your goals, as stated in the previous sections of your business plan. Your operations strategy should be divided into two portions, as shown below.

All of the duties needed in running an event planning firm, such as interviewing clients, making preparations, keeping the store/studio clean, and so on, are included in daily short-term procedures.

Long-term objectives are the milestones you want to reach. These may be the dates when you plan to service your 100th customer or attain a total sales goal of $X. It might also be the day on which you plan to hire your Xth employee or enter a new market.

Event Planning Skills And Experience

The experience that the planner delivers to his or her clients will determine the long-term success of an event planning business. That is to say, if you want to establish an event planning firm, you should first understand what an event planner is and make sure you have the following skills:

  • Communication, both verbal and written
  • Time management and organisation
  • Budget management and negotiation
  • Marketing, public relations, and other areas of expertise

Professional accreditation in the sector, such as the CMP credential or membership in MPI, would also be beneficial.

Management and Employees

A competent management team is required to demonstrate your event planning company’s potential to flourish as a business. Highlight the histories of your key individuals, stressing the talents and experiences that demonstrate their aptitude to create a business.

You and/or your team members should ideally have direct event planning or industry expertise. If this is the case, make a point of highlighting your knowledge and experience. However, you should emphasise any experience you have that you believe will aid in the success of your company.

Consider forming an advisory board if your team is inexperienced. An advisory board of two to eight people would serve as mentors for your company. They’d assist with queries and strategic advice. Look for members of the advisory board that have expertise arranging events and/or running small enterprises, if necessary.

Start marketing your company right away

A marketing strategy often incorporates the four Ps: product, price, location, and promotion. Your marketing strategy for an event management company plan should contain the following:

Product

You should reaffirm the sort of business that you recorded in your Company Analysis in the product section. Then, describe the precise products/services you will provide. Will you, for example, supply cuisine, decor, and entertainment in addition to creating the event, choosing the location, scheduling vendors, coordinating workers, and managing the event?

Price

Document your rates and how they compare to your rivals in this area. Essentially, the product and pricing sub-sections present the services you provide as well as their costs.

Place

The site of your event management company, conference centres, and/or venues with which you own and/or have a relationship is referred to as “place.” Document your location and explain how it will influence your success.

Promotion

The promotions section is the last piece of your event planning business marketing plan. Here you will describe how you will attract visitors to your website. One might also want to explore the following promotional methods:

  • Marketing on social media
  • Local newspaper and magazine advertisements
  • contacting local blogs and websites
  • Flyers
  • Collaborations with local groups (e.g., getting on the list of recommended vendors with local venues)
  • Local radio advertising
  • Local venues that display banner advertisements

A Supplier And Resource Network

It’s time to take a break from the business structure for a while. It’s now time to think about who you want to include in your supplier network. Caterers, florists, photographers, and other vendors are among the vendors that event planners work with.

And, even if you think you can manage everything, you’ll eventually need to build a resource infrastructure to support your events and overall operations. Staffing resources for administrative, sales, marketing, communications, legal, financial, and other operations are all part of this.

Strategizing your Plan

A business plan essentially lays out your company’s long-term objectives and tactics. It does more than just help you organise and map out your company’s success. It can also be an effective instrument for presenting your approach to the outside world, such as possible investors.

The following items should be included in your strategy:

  • An executive summary—what sets your organisation apart from the competition?
  • The company overview is a representation of how the firm will seem.
  • An examination of the event industry in our particular speciality.
  • Customer analysis—this is how our customers will appear.
  • This is what we’re up against: an analysis of your top competitors.
  • This is how we’ll make money, based on your marketing, operations, management, and financial objectives.
  • All of your supporting documents – lease agreements, contracts, trademarks, resumes, marketing materials, and so on – are an appendix.

You should clearly state what types of events you intend to focus on in your company overview. You don’t have to continue with that event type indefinitely, but it’s vital to get started. You can devote all of your resources and expertise to achieving that goal, and then gradually expand from there.

Concentrating on a single type of event will also help you figure out who your target audience will be. This can assist you in a number of areas of your business plan

Set Your Prices – And Stick To Them

Deciding on a cost structure is critical. Many small and independent event planning companies should be aware of the many options for covering their costs and making a decent return.

After all, this is going to help you stay in business for five years. The following are the most common fees charged by event planners:

  • One-time fee
  • Costs as a percentage
  • Hourly rate
  • Expense percentage plus an hourly rate
  • Rate of commission

Good Software improves Efficiency

There are so many different types of software that you can use for your business that it’s difficult to keep track of them all. Some of them will be useful straight away, while others will be useful later.

Here’s a rundown of the most common types of software and why you might choose them:

  • Event management or project management software can assist you to manage projects, activities, and workflow.
  • Customer relationship management, lead management, email marketing, social media marketing, and marketing automation software are all tools that can help you communicate with your current and potential consumers.
  • Email security, cloud security, network security, and/or SIEM software can all help keep your data safe.
  • Budgeting, billing & invoicing, and collaboration tools are all necessary to keep your workplace running properly.
  • Conferences (be sure to acquire one with registration capabilities), venue management, and mobile event apps are all ways to improve the attendee experience at your events.

Taking care of the legalities

Investing the time and effort today to ensure that your event planning business is legal and protected can result in a lot less paperwork (and maybe lower legal bills) later on.

The first and most important step is to register your company with the state and federal agencies. The Indian Revenue Service (IRS) provides detailed instructions on how to do so.

You’ll also need to figure out which permits and licences you’ll require. Many of these will vary depending on the type of event planning you plan to perform, but Brand Name USA has a solid starting point.

Finally, ensure you’re insured in the event of an accident involving you, your company, or your staff. You’ll need to get a workers’ compensation policy as well as other types of insurance.

Financial Plan

It doesn’t take much to get your company up and running. And keep in mind that you won’t be profitable right away, you’ll have recurrent charges to account for in your budget.

There are a few options for securing the funds:

  • Self-finance
  • Banks (for example, lines of credit, small-business loans, or 401(k) financing)
  • Family and friends

Don’t worry if you can’t self-fund; your business plan will assist you. It will show exactly where your investors’ money is going and how you expect to get it back to them, whether you’re presenting it to a bank or using a crowdfunding platform like AngelList, CrowdFunder, or Fundable

Types of Event Management

As we mentioned at the start of this article, event management is a vast sector and has so many different branches under the same name. This makes it confusing as to what really can be classified as an event. Let’s solve that.

Personal Occasions

If you want to arrange an event for your own business, you’ll need more time, effort, and attention. You must choose several sorts of cuisines, hire a venue, create guest lists, and plan the décor as part of the catering arrangements. Personal management businesses used to just handle indoor events, but now they also handle outdoor events.

Recreational Activities

Leisure event management is a different but interesting concept. Management of sports grounds, parks, recreation centres, entertainment venues, festival or celebration management, sporting contest management, and other services are provided by a leisure event management firm.

Organising Events

The organisational event manager must be familiar with the logistical, technological, and artistic aspects of the event in order to make it enjoyable and successful. They will handle event planning, visual production, logistics, scriptwriting, budgeting, negotiating, and customer service, among other things.

Event management businesses should **recruit marketing, communications, and brand-building managers or solutions with experience**. Rather than a simple plan, the manager should be aware of everything.

Cultural Events

The cultural events are primarily held to enhance the city’s traditional culture. With the approval of local government officials, the cultural events team will create spectacular outdoor displays, extraordinary arts, games, unique festivals, entertainment, and so on. Every year, cultural activities will be held with creative programmes and events, entertainment, and advertising, among other things.

Event Management Training & Resources

From the Olympics to corporate breakfast meetings, the event sector encompasses a wide range of activities. The use of project management skills and tools to the effective planning, production, and administration of events such as conferences, conventions, exhibits, meetings, and trade displays is known as event management.

These training resources are appropriate for anybody who is responsible for managing events, large or small. Event managers, general managers, HR managers, trainers, consultants, leaders, PAs, and administrative assistants are all examples of this.

Books

Courses

Conclusion

If you have a creative side and want to work in a fashionable and exciting setting, event management could be the perfect profession for you. The most vibrant and fascinating job option accessible today appears to be event management.

We’ve seen a lot of event management agencies and startups spring up in India over the past few years, and as a result, a lot of job opportunities have just sprung up. You can always get your hands dirty by working for someone and getting a taste of the industry before actually deep diving into it yourself.

On some days, you might be planning a beach wedding, while on others you might be arranging a classic Christmas party. Variety is, without a doubt, the spice of life for event planners. A passion for planning and organising events, a strong social network, and the capacity to think creatively are all essential to succeed in this industry.

This post is also available in: English Hindi

Share:

Leave a comment

Your email address will not be published.

Subscribe to Newsletter

Start a business and design the life you want – all in one place

Copyright © 2022 Zocket