Event planning can be a daunting task!
A lot of toil and dedication is required to make any event successful. No matter if it’s planning a wedding, organizing a corporate event setting up a massive sports event, or a live concert, professional aid has become cardinal.
And that is why more and more people are hiring event planners to coordinate events in and out. Since there is an upsurge in demand for event planners, event management agencies need to structure their fees effectively.
Know how to charge for the services offered and invoice your clients efficiently for a successful business.
Planning and execution for a wedding event will be different from a corporate event, hence fees will also differ. Event planners can charge varying amounts for different services.
Below are a few guidelines that will help you to invoice your clients proficiently:
Experience of the event planners:
The industrial experience of the event planners plays a vital role in setting up charges for the event planning services. As a startup you need to charge reasonably (that doesn’t mean too little) for your services. At least till you gain a good number of customers.
Of course, as an established event management business, you have the liberty as well as the capability to charge with a good profit margin. However, your fees will also depend upon the type of customers and how much they can spend. In short, the golden rule is to charge neither too high nor too less.
Charges depending on geographical location and season:
Event management company fees also depend a lot on the location. Typically services in metropolitan cities or primary locations are charged high rates as compared to small towns. You need to consider the cost of living before estimating the charges for the services.
Apart from geographical factors like location even season is considered while charging the fees especially, in the case of the wedding events. Usually, during wedding season, event planners charge more than their usual price.
Expenses included:
Before you prepare a bill, you need to estimate the cost of your services. As we mentioned before, each service for each event may differ, hence you need to prepare proper estimation. Expenses may include:
Venue rental – Whether it’s a beach-side venue or banquet hall, site rental fees are an essential factor to consider while estimating particular event expenses.
Vendor expenses – There are the number of vendors, that you would require for organizing an event. Usually includes catering, sound, video shooting, photography, florists, decoration, etc.
Transport and parking – Some event companies also provide guest pick-up and drop-off facilities, so transportation costs should be included. The event venue may also include parking charges.
Print media expenses – Either for promotional purposes or for signage, printing expenses are part of event planning. It may include banners, fliers, signage, invitation cards, and much more.
Security services – In the case of large corporate events or live concerts, security is on high priority and if you are hiring any security agency then definitely that cost will be included.
What should be included in the event planner invoice:
An event planning invoice should include all necessary information related to the services provided and the costs incurred. The detailed list outlines what should be included in an event planning invoice:
Event Planner’s Name and Contact Details: Include the name, phone number, address, and email of the event planner.
Company logo: Placed at the top for branding purposes.
Client’s Name and Contact Details: Include the client’s name, phone number, address, and email.
Invoice details: invoice issue date and number.
Event Details: a brief description of the event being planned with a specific date and location.
Tasks Performed: A detailed list of all tasks and services provided by the event planner.
List of materials: An itemized list of supplies purchased for the event, including quantities and costs.
Total Cost of Services Rendered: The sum of all costs including services, materials, and additional charges.
Applicable Discounts or Taxes: Any discounts offered or taxes applicable.
Payment Terms and methods: includes conditions or agreements related to payment and accepted payment methods such as cash, check, credit card, PayPal, etc.
Due Date of Payment: The final date by which the payment should be made.
Method of invoicing:
Payment style will also differ depending on the services, type of event, client type, and other such factors. Either you can charge on an hourly rate basis or apply flat fees. Most event planners prefer invoicing their clients with flat fees type as it gives a clear picture of the rates charged.
Generally, a 30% extra bill amount is charged from corporate clients rather than social event clients.
An automated invoicing process will lessen the burden of invoicing. You can create templates, set estimates and create flawless invoices on time. Billbooks is one such exceptional online invoicing software that will not only aid in creating customized invoices but also generate profit and loss statements, set recurring invoices, and create unlimited free estimates.
