Module 22 : Starting
Your Own Events
Planning Business

The Pros and Cons of Running an Events Planning Business

What You Need to Know About Being a Self-Employed Events Planner Whether
you Should You Take a Hands on or Hands Off Approach
Whether You Need a Dedicated
Office

By the end of this chapter,
you will know:

The Pros and Cons of Running an Events Planning Business

What You Need to Know About Being a Self-Employed Events Planner

Whether you Should You Take a Hands on or Hands Off Approach?

Do You Need
a Dedicated Office?

22.1   
Introduction

Starting your own events planning business
is an exciting prospect.

The scope of the work involved and the equipment
you will need will depend on how big you want your business to be. For sole traders,
it is possible to start with a few supplies
and work for a handful
of clients.

In contrast, those wanting to offer a more in-depth
service should consider
purchasing a larger scope of products. They also may want to consider working alongside someone else. These have been outlined in Module 2.

22.2 : The Pros and Cons of Running
an Events Planning
Business

Like any other industry,
the events sector has been hit by the

recession.

However, that does not mean that there is a massive lack of work out there, it just means that events planners
need to work harder in order to manipulate their chosen market. Before entering
into the world of events, it is important to be aware of the pros and cons of beginning such a business.

The Pros of Starting an Events Planning
Business

1.    You get to determine your own schedule:
This doesn't mean that you can work four hours a week and still have enough money to live off, but you do have some freedom
in terms of which days you work, and whether you work mornings or evenings.

2.    The start up is easy. Although you need to learn some administrative skills, this really is an industry that most people can get into.

3.   
The investment cost is low. Even most franchises are around $5,000 to $17,000.
For those seeking something much lower, it is possible
to get yourself started on a much smaller budget.

It all depends on the events franchise you're buying into and where you live.

4.    It may take a while, but once you've garnered
a reputation for yourself you'll have a name in the industry and others will want to work with you. This then leads to consistent work, which makes the process of running a business
less stressful.

The Cons of Starting an Events Business

1.    It can be quite competitive. This is an industry that many are attracted to, mainly because it appears
glamorous. In addition,
you're going to have to generate connections, which can take a while.

2.    You need to arrange your own liability
insurance.

3.    You are in charge of your own taxes, sick pay, and maternity benefits.
In addition, unless you can work with someone you trust, simply taking time off isn't really an option.

In many cases, the pros of running a cleaning business
outweigh the cons.

22.3 : What You Need to Know About Being a Self-Employed Events
Planner

When working as a self-employed events planner, there are a few things you need to be aware of.

While this is a fun industry to start off in, you are largely in charge of your own administrative and marketing costs.

Here are some things you need to bear in mind before beginning an events business:

1.    You need to arrange your own taxes. Under the latest government
legislation, filing your self- employed
tax return late can incur fines in most countries. These fines are incremental and can gather interest. As such, you need to register as self-employed before beginning.

2.    You should arrange
your own liability
insurance. This is for your clients' safety,
as well as your own. In addition,
public liability insurance
is often necessary.

3.   
Most of your start-up
costs will go on marketing. This involves purchasing
a domain name, creating business
cards, forming leaflets, and similar costs.
This will be covered further
in the next chapter.

4.    The events industry is competitive in certain areas. As such, you need to do what you can to stand out. Identify gaps in your local market. For example,
is it lacking an eco-friendly events planning service?

22.4 : Should You Take a Hands on or Hands Off Approach?

Not everyone enters the events industry with the intention of doing any
hard work himself or herself.

This is particularly true of those who want to run a franchise,
which comes with the prospect of hiring
employees.

Here are some signs that a hands off approach
is for you:

You like the thought of running your own business, but the idea of running around trying to arrange finite details
like portaloos at the last minute drives you crazy.

You are shrewd when it comes to marketing
and planning, but you are not a fan of manual labor.

You intend to run a business
with several employees, rather than just going it alone.

You have a knack for accounts and taxes.

It is worth bearing in mind that the hands off approach
suits those who have high enough start-up
costs to justify hiring a few employees
from the beginning. However, as a hands off business
owner, you should expect to spend a lot of time managing
your employees, arranging
taxes, and handling
pay roll. Inevitably, there may be times when you need to get stuck in—especially if someone goes off sick.

If you would like to take a hands off approach eventually, but you do not have the money to do so right now, this is something
you can do later. Work hard and save money, or establish
a good clientele and if possible get a bank loan.

22.5 : Do You Need a Dedicated Office?

Many small time planners begin without a dedicated premises,
and many remain that way.