Thursday, 4 December 2014

Run A Homebased Party Planning Business

Event planning is an ideal home-based business.


Good food. Great music. Fun conversation. Everyone loves a good party. Although planning a party can often be as much fun as attending one, planning parties professionally can be very different from coordinating your own. Party or event planners carry much responsibility on their shoulders: coordinating a myriad of vendors, handling sizable budgets, and catering to discerning clients for what can be a once-in-a-lifetime event. But, if you're organized and communicative, with an eye for detail, party and event planning may be the right business for you. And, if you're just starting out, there's no better place than home to launch your business.


Instructions


1. Sharpen your basic business skills. According to the nonprofit My Own Business, an organization dedicated to helping people succeed in entrepreneurship, a venture based out of your home still requires basic business skills. Party planning, or event planning as it has come to be known, is on the My Own Business list of ventures requiring little or no money to start. However, don't forego basic entrepreneurship practices, like choosing a business entity; obtaining a business license, insurance, and company name; and opening a business bank account. Built on a firm foundation, your business has the ability to grow without complications. (See Reference 1)


2. Compartmentalize your home and work space. A home-based office lends itself to a meshing of your home and work life, a tendency which compromises both. Designate a particular area for work, preferably a separate room, and devote your attention to work while working and home and personal life when not. Your personal relationships, and your clients, will thank you.


3. Get some training in the events planning industry or shadow a successful party planner. Many colleges and universities offer programs on event planning on site or online. Check out the Sheffield School, The George Washington University Event Management Program or The International School of Hospitality. Reinventing the wheel is expensive and time consuming. Experienced party planners know the industry's best practices and worst pitfalls. Learn from them and avoid novice mistakes.


4. Set your prices. According to Dr. Joe Goldblatt, author of Entrepreneur Magazine's Event Planning Service startup guide and founder of the George Washington University Event Planning Program, the goal of pricing is to "mark up your labor and material costs sufficiently to cover overhead expenses and generate an acceptable profit." (See Reference 2, p. 5) Pricing depends on your area and market segment; however, typical fee structures involve a flat fee for party planning services plus a percentage, usually 10 to 20 percent, of all your vendor fees. These two revenue streams combined are usually enough to generate a profit. (See Reference 2, p. 5)


5. Research the party vendors and suppliers in your area. The information you collect encompasses the foundation on which clients will hire you as a party planner. The ability to assemble and refer quality caterers, photographers, venues, florists, musicians and myriad other party vendors will define your skills, abilities and your business. Make sure you know your industry and all the players in it so you can deliver professional service.


6. Place your advertising strategically. Home-based businesses do not have a storefront, so it is all the more important to promote your business effectively. Invest in a stellar website, but forego a large Yellow Pages ad. Because of the extensive budgets involved, people rely greatly on word of mouth to hire party planners. Do a few events at low or no cost to build referrals and, in time, your reputation will precede you. (See Reference 1, p. 6)


7. Conduct an evaluation after each event. Each event will bring its own set of successes and problems. Analyze each event once it's completed to understand better handle these circumstances the next time around. Interview clients, vendors and even guests to garner their impression of the event. Each party you plan is a calling card to future clients, many of whom will be in the room at the time of the party. Always carry your business card, be sure to collect testimonials and ask for referrals. Soon, clients will seek you out.

Tags: your business, clients will, your home, basic business, basic business skills, business skills