How event planner structure his fees to get profit
Are you getting full profit from your event planning production and it’s charging back you enough? Make s proper structure of your fees to ensure the profit and success of business. Many event planners don’t concentrate to get profitable fees from customer when they start their own business. They must establish a fair rate for planning event fee to get wanted money.
How to determine Event Planning Fee structure:
Number of factors is involved to know about fees of event planner. Like what type of event you are running, operation cost and transparency costs as well. It also depends where you have established your business. If you are working in urban areas than fee cost will be high but if you are planning an event in rural areas than fee cost will be very low.
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What is rate in local market is another issue but there are different conditions from which you can structure and plan tour fees. Some of these are given below
- Fee based on hourly work
- Event fee
- Total cost of expanses
- Percentage of total cost of expanses and hour based work
- Charge and profit rate
First of all just concentrate on hourly option. When you charge your customer on hourly base you will be fully compensated by it. Fees associated with hours are usually 30 $ to 150 & per hours. All of this depends up on your knowledge, education and experiences in event industry. Keep full record of your fees of hours so that you can show your customer about the extra bills as well. Give him estimation of hours that you need to complete the event.
If you don’t want to work on hourly base than ask the percentage from your client. In this way you will be able to get percentage depend upon event budget. Generally 15 to 40 % is taken by the event manager but again this depends upon your negotiation with client. In this type of fee structure there are both positive and negative points. It’s highly gainful if you don’t have much time to spend on event management. If you are an experienced event planner than you can get more fee by percentage method. You are basically selling yourself for your techniques and experiences.
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Getting fees by commission is also another option. In this you need to ask discount from different services companies. It’s not a good thing to do up.
You can also the total simple project fee as well. But this will give you some disadvantages as well. Will be difficult for you to manage budget. You will be responsible to handle any problem regarding to the budget plans. Simple fee charging is usually depend on the number of people coming, attending and paying for event.
Make one thing clear in your mind that while you ask about your fee don’t forget that it should not affect your fame and popularity and cover all profit and loss in return.
