Do you want to start a party planning company and need to write a plan? If YES, here is a sample party planning business plan template & feasibility report.
Party planning is a business that anyone with the necessary organizational skills can venture into. Party planning, just like event planning is all about helping corporate organizations, government, groups and individuals plan and execute their parties whether formal or informal.
A party planner ensures that they work within the stipulated budget of the organization or individual they are to work for and ensure that they deliver a successful party. Below is a sample party planning company business plan template that will help you write yours with little or no stress.
A Sample Party Planning Company Business Plan Template
1. Industry Overview
Party planning companies are under the Party and Event Planners industry and players in this industry are composed of independent companies and individuals that organize parties, weddings, corporate dinners and other social gatherings on behalf of households, businesses and nonprofits.
This industry does not include companies that organize conventions, trade shows and sporting events, nor does it include the internal event planning departments of hotels, conference centers and recreational facilities. A close study of happenings in the Party and Event Planners industry in the united states shows that the industry has experienced remarkable growth due to stronger economic conditions.
It is normal that with increase in disposable income, there will be encouragement for people and organizations to organize parties, and to spend more on party planning or services related to their parties or events. So also, increased internet usage has made party planners more accessible to clients, decreasing the industry’s marketing costs and boosting profit margins.
These trends will offset the impact on the industry of changing social norms that have led people and organizations to organize their parties themselves. As the economy continues to strengthen, the growth in the party and event planners industry is expected to accelerate.
Statistics has it that in the United States of America alone, there are about 142,097 registered and licensed party and event planners responsible for employing about 132,042 people and the industry rakes in a whooping sum of $5 billion annually.
The industry is projected to grow at 2.9 percent annually within 2014 and 2019. It is important to state that there are no establishments in this industry that has a lion market share.
A recent report published by IBISWORLD shows that the Party and Event Planners industry depends on the willingness of households and businesses to spend money on social gatherings. In general, businesses hire event planners to coordinate holiday dinners, fundraisers and client appreciation events.
Since companies with strong earnings over the course of the previous year have more money to allocate toward special events, demand for industry services from this market is primarily driven by corporate profit levels and overall business sentiment.
Likewise, households work with professional event planners to organize and promote weddings, anniversaries, birthdays and other milestone celebrations. Consequently, per capita disposable income and consumer confidence levels are the key drivers of demand.
Recently released statistics has it that the top 5 highest paying location in the United States for event/party planners and their average annual earnings are; Virginia – $54,770, New York – $57,300, New Jersey – $57,730, Massachusetts – $58,860, Washington DC – $67,120.
So also, the top 5 states in the United States with the highest numbers of employment for event or party planners are; California- 7,730 event or party planners are employed, New York – 7, 250 event or party planners are employed, Texas – 6,320 event or party planners are employed, Florida – 3,560 event or party planners are employed, Virginia – 3,500 event or party planners are employed.
One thing is certain about starting a party planning company, if you are able to conduct your market research and feasibility studies, you are more likely not going to struggle to secure clients because there are always individuals, families and organizations who would want to hire your services when they are about getting organizing a party or event. Just ensure that the business is properly located and you have the right business network.
2. Executive Summary
Shavonne Jakes® Party Planners, Inc. is a licensed professional party planning company that will be based in Panama City – Florida. We have been able to secure a standard office facility in a business district in the heart of the city.
Shavonne Jakes® Party Planners, Inc. will handle various parties such as weddings, birthdays, house warming/house opening parties, promotion parties, wedding anniversaries, baby showers, graduation parties et al. We are aware that to run a standard party planner company can be demanding which is why we are well trained, licensed and equipped to perform excellently.
Shavonne Jakes® Party Planners, Inc. is a client-focused and result driven party planning company that provides broad-based services at an affordable fee that won’t in any way put a hole in the pocket of our clients.
We will ensure that we work hard to meet and surpass our clients’ expectations whenever they contract their party planning to us. Our client’s best interest would always come first, and everything we do will be guided by our values and professional ethics.
Shavonne Jakes® Party Planners, Inc. will at all times demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible.
We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.
Our plan is to position the business to become the leading brand in the professional party planning business in the whole of Panama City – Florida, and also to be amongst the top 20 professional party planning companies in the United States of America within the first 10 years of launching the business.
Shavonne Jakes® Party Planners, Inc. is a private registered business that is owned by Mrs. Shavonne Jakes. Mrs. Jakes has over 10 years’ experience working at various capacities within the party planners cum Event Planners industry in the United States of America.
She will work with a team of other core professionals to help build Shavonne Jakes® Party Planners, Inc. to become a top brand in the industry.
3. Our Products and Services
Shavonne Jakes® Party Planners, Inc. is going to offer varieties of services within the scope of the Party and Event Planners industry in the United States of America. Our intention of starting our company is to favorably compete with leading players in the industry in the United States of America.
Our business offerings are listed below;
- Organizing corporate holiday parties
- Organizing wedding parties
- Organizing birthday parties
- Party and event planning consulting and advisory services
4. Our Mission and Vision Statement
- Our vision is to build a professional party planner company brand that will become one of the preferred choices in the whole of Panama City – Florida and every other city where our services will be advertised.
- Our mission is to provide professional party planning services that will assist our clients in their parties.
- We are going to position the business to become one of the leading brands in the party planning line of business in the whole of Panama City – Florida, and also to be amongst the top 20 professional party planning companies in the United States of America within the first 10 years of launching the business.
Our Business Structure
Normally we would have settled for two or three full – time staff, but as part of our plan to build a standard party planner company in Panama City – Florida, we have perfected plans to get it right from the beginning which is why we are going to ensure that we have competent, honest and hardworking employees to occupy all the available positions in our organization.
We will ensure that we only hire people that are qualified, honest, hardworking, customer centric and are ready to work to help us build a prosperous business that will benefit all the stakeholders.
As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more depending how fast we meet our set target. In view of that, we have decided to hire qualified and competent hands to occupy the following positions;
- Chief Executive Officer/Principal Partner
- Party/Event Planning Consultant
- Admin and HR Manager
- Business Developer/Marketing and Sales Executive
- Customer Care Executives
5. Job Roles and Responsibilities
Chief Executive Office/Principal Partner:
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results
- Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for fixing prices and signing business deals
- Responsible for providing direction for the business
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
Party/Event Planning Consultant
- Organizing parties and other events from start to finish
- Responsible for interviewing and hiring vendors, selecting and ordering materials, negotiating rates, coordinating the sequence of events, following up with guests and vendors and producing full-scale events.
- Liaise with clients to identify their needs and to ensure customer satisfaction
- Conduct market research, gather information and negotiate contracts prior to closing any deals
- Provide feedback and periodic reports to stakeholders
- Propose ideas to improve provided services and wedding event quality
- Organize facilities and manage all parties and event’s details such as decor, catering, entertainment, transportation, location, invitee list, special guests, equipment, promotional material etc.
- Ensure compliance with insurance, legal, health and safety obligations
- Specify staff requirements and coordinate their activities
- Proactively handle any arising issues and troubleshoot any emerging problems on the parties and event day
- Conduct pre- and post – party and event evaluations and report on outcomes
Admin and HR Manager
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Defining job positions for recruitment and managing interviewing process
- Carrying out induction for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Oversee the smooth running of the daily office activities.
Marketing Executive/Business Developers
- Identify, prioritize, and reach out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts
- Writing winning proposal documents, negotiate fees and rates in line with company policy
- Responsible for handling business research, marker surveys and feasibility studies for clients
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Document all customer contact and information
- Represent the company in strategic meetings
- Help increase sales and growth for the company
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- create reports from the information concerning the financial transactions recorded by the bookkeeper
- Prepare the income statement and balance sheet using the trial balance and ledgers prepared by the bookkeeper.
- Provides managements with financial analyses, development budgets, and accounting reports
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting for one or more properties.
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensuring compliance with taxation legislation
- Handles all financial transactions for the company
- Serves as internal auditor for the organization
Client Service Executive
- Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
- Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
- Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Consistently stays abreast of any new information on the company’s promotional campaigns etc. to ensure accurate and helpful information is supplied to clients when they make enquiries
- Receives parcels/documents for the company
- Handles enquiries via e-mail and phone calls for the organization
- Distribute mails in the organization
6. SWOT Analysis
Going by our vision, our mission and the kind of business we want to set up, we don’t have any other option than to follow due process. Following due process involves hiring a business consultant to help us conduct SWOT analysis for our business.
Shavonne Jakes® Party Planners, Inc. hired the services of a seasoned business consultant with bias in startups in the United States to help us conduct a thorough SWOT analysis and to guide us in formulating other business strategies that will help us grow our business and favorably compete in the Party and Event Planners industry.
Here is a summary from the result of the SWOT analysis that was conducted on behalf of Shavonne Jakes® Party Planners, Inc.
Our core strength lies in the power of our team; our workforce. We have a team that are considered experts in the industry, a team with excellent qualifications and experience in the industry.
Aside from the synergy that exist in our carefully selected team members and our strong online presence, Shavonne Jakes® Party Planners, Inc. is well positioned in a city with the right demography and we know we will attract loads of corporate and individual clients from the first day we open our doors for business.
As a new professional party planner company in Panama City – Florida, it might take some time for our organization to break into the market and gain acceptance especially from top profile clients in the already saturated Party and Event Planners industry; that is perhaps our major weakness. So also, we may not have the required money to give the business the kind of publicity that we would love to give the business.
The opportunities available in the Party and Event Planners industry is massive because every weekend, there are countless number of parties taking place in the United States. As a standard and licensed professional party planning company, we are ready to take advantage of any opportunity that comes our way.
A large portion of the services provided by this industry is composed of wedding planning and managing services, which range from engagement parties to ceremonies and receptions. Accordingly, growth in the number of weddings and related receptions per year will likely increase demand for professional event planning services. The marriage rate is expected to continue declining through 2019, posing a potential threat to the industry.
7. MARKET ANALYSIS
- Market Trends
The Party and Event Planners industry is in a continuous state of evolution and as such, ground breaking strategies and ideas that are once highly successful are no longer as productive as they were in time past. Close observation of the trends in the industry reveal that the past few years has seen the proliferation of the social media and new tech tools.
The trend also extends to increased attention paid to engagement and new market segments, adopting eco-friendly measures and sustainability when planning parties and events, and of course increase in demands from party and event sponsors.
Although operators in the industry are increasingly investing in computers and software to engage members and market their organizations online, the industry remains highly labor intensive. The research further states that party planning companies rely heavily on labor than technology to conduct their operations.
Social media has now become one of the most important tools event planners leverage on to disseminate information about their parties and events, interact with attendees, solicit feedback, and create year-round engagement with their target audience. Furthermore, new software apps and emerging technology have made it easier for party planners to gather all the needed data and information that will help them plan and project for the future.
In recent time, mobile event apps are becoming more popular; event planners can now successfully market their services via social media platforms/online platforms. In the United States for example, there several vendors providing mobile apps with more event planners patronizing the apps.
Over and above, increased internet usage has made party planners more accessible to clients, decreasing the industry’s marketing costs and boosting profit margins. These trends will offset the impact on the industry. No doubt, as the economy continues to strengthen, the growth in the Party and Event Planners industry is expected to accelerate.
8. Our Target Market
Even though Shavonne Jakes® Party Planners, Inc. will initially serve clients within the location where our business is, but that does not in any way stop us from growing to compete with the leading professional party planners in the United States.
As standard party planners, Shavonne Jakes® Party Planners, Inc. offers a wide range of services as it relates to party planning hence we are well trained and equipped to service a wide clientele base. Below is a list of the people that we have specifically design our products and services for;
- About to wed couples
- Corporate organizations
- Religious organizations
- Celebrities and public figures who are always hosting parties
Our Competitive Advantage
The Party and Event planning industry is very prolific and highly competitive. We are quite aware that to be highly competitive in the industry means that you should be able to deliver consistent quality service, your clients should feel less stress or no stress at all and you should be able to meet the expectations of your clients at all times.
Shavonne Jakes® Party Planners, Inc. might be a new professional party planning company, but the management team and the owner of the business are considered gurus in the industry. They are core professionals, licensed and highly qualified people that can successfully help their clients organize successful parties. These are part of what will count as a Competitive Advantage for us.
Aside from the robust experience and expertise of our teams, we have a very strong online presence that will enable us attract clients from any part of the world
Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and achieve all our objectives. We will also engage freelance marketing agents on a commission level to help us market our services.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Shavonne Jakes® Party Planners, Inc. is established with the aim of maximizing profits in the Party and Event Planners industry and we are going to ensure that we do all it takes to attract clients on a regular basis. Shavonne Jakes® Party Planners, Inc. will generate income by offering the following services to individual clients and for corporate organizations;
- Organizing corporate holiday parties
- Organizing wedding parties
- Organizing birthday parties
- Party and event planning consulting and advisory services
10. Sales Forecast
One thing is certain, there would always be families, individuals and corporate organizations who would always need our services.
We are well positioned to take on the available market in Panama City – Florida and of course throughout the United States of America and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six months of operation and grow the business and our clientele base beyond Panama City to other cities in Florida.
We have been able to, examine the professional party planner market space, we have analyzed our chances in the industry and we have been able to come up with our sales forecast. Below are the sales projections for Shavonne Jakes® Party Planners, Inc., it is based on the location of our business and the wide range of party planning services that we will be offering;
- First Fiscal Year (FY1): $150,000
- Second Fiscal Year (FY2): $350,000
- Third Fiscal Year (FY3): $750,000
N.B: This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and natural disasters within the period stated above. There won’t be any major competitor offering same services as we do within same location. Please note that the above projection might be lower and at the same time it might be higher.
- Marketing Strategy and Sales Strategy
We are mindful of the fact that there are stiff competitions amongst professional party planning companies in the United States of America, hence we have been able to hire some of the best business developers to handle our sales and marketing.
Our sales and marketing team will be recruited base on their vast experience in the industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of the organization. We will also ensure that our excellent job deliveries speak for us in the market place.
Our goal is to grow our professional party planner company to become one of the top 20 party planning companies in the United States of America which is why we have mapped out strategies that will help us take advantage of the available market and grow to become a major force to reckon with not only in the Panama City – Florida, but also in other cities in the United States of America.
Shavonne Jakes® Party Planners, Inc. is set to make use of the following marketing and sales strategies to attract clients;
- List our business on yellow pages ads (local directories)
- Attend relevant international and local expos, seminars, and business fairs et al
- Create different packages for different category of clients in order to work with their budgets and still deliver quality party planning services to them
- Leverage on the internet to promote our business
- Engage direct marketing approach
- Encourage word of mouth marketing from loyal and satisfied clients
- Join local chambers of commerce and industries with the aim of networking and marketing our services
11. Publicity and Advertising Strategy
We have been able to work with our brand and publicity consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market. We are set to take the Party and Event Planners industry by storm which is why we have made provisions for effective publicity and advertisement of our company.
Below are the platforms we intend to leverage on to promote and advertise Shavonne Jakes® Party Planners, Inc.;
- Place adverts on both print (community – based newspapers and events related magazines) and electronic media platforms
- Sponsor relevant community – based events/programs
- Leverage on the internet and social media platforms like; Instagram, Facebook, Twitter, YouTube, Google + et al to promote our brand
- Install our Billboards in strategic locations all around Panama City – Florida
- Distribute our fliers and handbills in target areas
- List our professional party planning firm in local directories/yellow pages
- Advertise our professional party planning company in our official website and employ strategies that will help us pull traffic to the site.
- Ensure that all our staff members wear our branded shirts and all our vehicles are well branded with our logo et al.
12. Our Pricing Strategy
Hourly billing for party planning/event management/training services is a long-time tradition in the industry. However, for some types of professional party planning services, flat fees make more sense because they allow clients to better predict the overall service charge.
As a result of this, Shavonne Jakes® Party Planners, Inc. will charge our clients both flat fee and hourly billing as long as it favors both parties. At Shavonne Jakes® Party Planners, Inc. we will keep our fees below the average market rate by keeping our overhead low and by collecting payment in advance.
In addition, we will also offer special discounted rates to our clients from time to time especially when they recommend clients to us. We are aware that there are some clients that would need regular party planning services and assistance, we will offer flat rate for such services.
- Payment Options
The payment policy adopted by Shavonne Jakes® Party Planners, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Shavonne Jakes® Party Planners, Inc. will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via online bank transfer
- Payment via mobile money
- Payment via Point of Sales Machines (POS Machines)
- Payment via check
In view of the above, we have chosen banking platforms that will enable our clients make payment for our professional party planning services without any stress on their part.
13. Startup Expenditure (Budget)
Starting a professional party planning business can be cost effective because on the average, you are not expected to acquire expensive machines and equipment.
What you should be concerned about is the amount needed to secure a standard office facility in a good and busy business district, the amount needed to equip the office, purchase the required software applications, pay bills, promote the business and obtain the appropriate business license and certifications.
This is what it would cost us to start our own standard party planning company in the United States of America;
- Business incorporating fees in the United States of America will cost – $750.
- The budget for liability insurance, permits and license will cost – $3,500
- Acquiring an office space that will accommodate the number of employees we intend employing for at least 6 months (Re – Construction of the facility inclusive) will cost – $35,000.
- Equipping the office (computers, printers, projectors, markers, pens and pencils, furniture, telephones, filing cabinets, and electronics) will cost – $10,000
- The cost for accounting software, event planning apps, CRM software and Payroll Software – $3,000
- Other start-up expenses including stationery – $1000
- Phone and Utilities (gas, sewer, water and electric) deposits – ($3,500).
- Launching an official website will cost – $500
- Amount need to pay bills and staff members for at least 2 to 3 months – $70,000
- Additional Expenditure such as Business cards, Signage, Adverts and Promotions will cost – $5,000
- Miscellaneous – $5,000
Going by the report from the market research and feasibility studies conducted, we will need about one hundred and fifty thousand (150,000) U.S. dollars to successfully set up a medium scale but standard professional party planner company in the United States of America.
Generating Funds/Startup Capital for Shavonne Jakes® Party Planners, Inc.
Shavonne Jakes® Party Planners, Inc. is owned by Mrs. Shavonne Jakes. She decided to restrict the sourcing of the startup capital for the business to just three major sources.
- Generate part of the startup capital from personal savings and sale of his stocks
- Generate part of the startup capital from friends and other extended family members
- Generate a larger chunk of the startup capital from the bank (loan facility).
N.B: We have been able to generate about $50,000 (Personal savings $35,000 and soft loan from family members $15,000) and we are at the final stages of obtaining a loan facility of $100,000 from our bank. All the papers and documents have been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.
14. Sustainability and Expansion Strategy
The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and business structure. If all of these factors are missing from a business, then it won’t be too long before the business close shop.
One of our major goals of starting Shavonne Jakes® Party Planners, Inc. is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running. We know that one of the ways of gaining approval and winning customers over is to offer our professional party planning services a little bit cheaper than what is obtainable in the market and we are prepared to survive on lower profit margin for a while.
Shavonne Jakes® Party Planners, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner of our business strategy.
We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
- Business Name Availability Check: Completed
- Business Incorporation: Completed
- Opening of Corporate Bank Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Leasing a standard office facility in a good location plus reconstruction: In progress
- Conducting Feasibility Studies: Completed
- Generating part of the startup capital from the founders: Completed
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents: In Progress
- Design of Logo for the school: Completed
- Printing of Promotional Materials: Completed
- Recruitment of employees: In Progress
- Purchase of the needed furniture, office equipment, software electronic appliances and facility facelift: In progress
- Creating Official Website for the business: In Progress
- Creating awareness for the business in Smethport – Pennsylvania: In Progress
- Health and Safety and Fire Safety Arrangement: In Progress
- Establishing business relationship with vendors and key players in various industries: In Progress