Can you believe holiday season is just around the corner?!
I know we have Halloween to tackle first, however, I also know that many of you are starting to plan holiday parties and tackling an initial budget vision which includes setting clear budget goals before diving into the event planning process is essential to keeping things on track.
Working through this initial budget vision will help you make better decisions about your event as you plan and you can always come back to reference it. In addition, sharing the vision with your team ensures everyone is on the same page, especially when making spending decisions,
There are a couple of budget types I’ve outline for you that will help you determine your budget vision:
Break-Even: Your goal is to come out at the end of the event with a zero or close to zero balance; your event won’t make but also won’t lose money (i.e. an information session where the cost of the tickets will essentially cover event costs)
Profit: Your goal is for your event to make money; you will have made money after you pay your event expenses (i.e. a fundraiser or a conference)
Loss: You may not want to be in the red after the event, however, perhaps due to the specific event purpose or vision you have chosen you realize your event budget will be in the negative in the end. To explain this another way, you can see your event as a ‘marketing cost’ or ‘cost of business.’ One type of event where this can occur is if you are using the event for strictly marketing purposes or it is a sales function for you, for example, a workshop that you are teaching people and then trying to sell new business services or a membership. Another example would be an event that is free for attendees, perhaps an appreciation dinner or a party for your customers.
No matter which budget type you land on, setting it out from the beginning will set a clear path for event success!
Until next time,