How to build an event business [without a big budget]

 Organizing an event for the first time or founding an event agency requires a lot of foresight, a certain flexibility and, above all, perseverance. But with the right planning, it doesn't even have to cost a lot of money!

When you're preparing to host your first event, this is the right time to start drawing up your budget. Because to understand your budget, you need to know which expenses are unavoidable and which you can avoid. It also means knowing how much potential revenue your event could generate if you execute your financial plan well.

With a little math and the right partners, you can run your business in the black right from the start. Here are the basic rules for starting your own event business without a lot of capital.

Resign yourself to inevitable costs

Your first step should be a detailed reality check. Nobody has ever built a business without money. For example, you need money to pay down event locations and book speakers or bands. Some agencies and event management companies work in such a way that they pay everything in advance and then invoice their customers.

The good news is that you don't have to show the money in person. There are sponsors and partners that you should bring in as a first step for co-financing. You can find out exactly how you do this and how you convince them of you in our relationship guide for you

 

Here's what you can do to do your reality check:

Write down all possible expenses and prioritize them. This will help you to streamline all nice to haves and remove them if necessary. But don't forget these ideas right away, instead park them in an extra parking space that you can fall back on if you still have budget left over later.

It is also important that you know that even small companies (with 1 to 2 people) have a lot of expenses that you as an event manager are not necessarily aware of. Just think about taxes, insurance, fees for permits, etc. Even if you are demotivated after your first reality check - stay tuned! With every job and event that you implement, you flush more money into the coffers, which in turn allows you to implement larger productions.

Make realistic sales forecasts

Defining the value of your event means converting it into actual numbers. Your sales forecasts are your proof that your event will generate revenue. Explain the ticket price and how many tickets you can expect to sell. If you are planning more than one ticket type, explain your pricing strategy.

Your event ticketing platform should give you easy access to your financial data. It's important to see how much ticket sales you are making with each individual event and ticket type.

Your budget plan should also include any other sources of revenue (such as rental of exhibition space, food and drink, and merchandise) to prove to potential investors or sponsors that your event will be profitable.

Allow a little more for the initial funding

Approach investors with solid budget data: potential sponsors, business partners or your wealthy aunt. Convince them with facts and figures that your first event has the potential to develop into a full-fledged event management company or a recurring growing event.

Crowdfunding is another way to fund your event. Many successful companies started with a crowdfunding campaign, and yours could be next. You don't necessarily have to share intimate financial plans with the public on the crowdfunding platform for this. However, disclosing these numbers in advance will help you find out how much money you will need to raise to make your dream event happen. Crowdfunding is a low-risk way to raise money and at the same time create a bit of buzz about your venture.

Invest your sales wisely

Getting paid feels great. Using this income wisely, however, feels even better. When your ticket sales start to generate profit, you should reinvest those sales in the growth of your event management company so that every penny can go even further.

Use your ticket sales to...

·         Paying supplier invoices on time: The suppliers you hire are an integral part of your participants' experience. It's important to keep your catering, security, photographer, and florist payments properly made.

·         Drive your ticket sales through marketing: Reach more people with your event marketing and thus sell more tickets. With more tickets sold, you have more money for marketing. It's a cycle of success.

·         Ensure your follow-up event:  The competition for special event locations is great. Use your earnings to make a down payment for your dream venue for next year so you can get this off your to-do list early on.

Serene Pro-Tip: Customers of the Professional and Premium packages can request planned payouts and receive their earnings twice a month or once a week, as desired. This is a great option for those who don't want to wait until after the event, but want to start reinvesting ticket income while planning

Courtesy:Event management company in Lahore