Do you want to start a party planning business from home? If YES, here is a detailed guide on how to to start a party planning business with NO money and no experience plus a sample party planning business plan template.
Have you ever attended any party whether formal or informal? Were you satisfied with the organization of the party? If you were not satisfied, what would you have done differently that would have made the party a blast from start to finish?
If you can comfortably answer the questions posed above, then you might have one or more qualities or skills that will make you a good party organizer and trust me you could earn a living and live a comfortable lifestyle as a professional party planner.
One good thing about parties is that most often than not, they are done during weekends and if you are lucky not to be working during weekends and holiday periods, you can successfully test run a party planning business while still keeping your paid employment or even as a student.
The truth is that, most of the basic skills needed to effectively run a party planning business are some of the soft skills you already possess or skills you are likely going to acquire in your work place or as a volunteer.
What is a Party Planning Business?
Party planning just like event planning is all about helping corporate organizations, government, groups and individual plan and execute their parties whether formal or informal from start to finish. A party planner ensures that they work with the stipulated budget of the organization or individual they are to work for and ensure that they deliver a successful party as agreed.
In some cases, it is the responsibility of the party planner to draw – up a budget for the host of the party once they get a brief of the nature of the party; it could be wedding party, birthday party, end of year party or baby shower or end of year party et al.
People hire party planners simply because of their expertise and for them to concentrate on other stuffs. As a matter of fact, party planning requires that you take off the burden of planning a party from the shoulders of your clients. This is whether it is a corporate of informal party. Therefore, you would need an eye for details in addition to the eye you have got. Confused? Do not be, that was on a lighter note.
What Does It Take to Start a Party Planning Business?
Now, the truth is that you would need to be extremely detailed. You do not want to come across your clients as one who leaves some kills important details out. If you do not possess this skill now, you may consider building it up because as a party planner you must display professionalism of the highest order if you want your clients or potential clients to take you seriously.
The key to a successful party event is to ensure that all that is listed in your event planning checklists is ticked. As a matter of fact, if you undergo event / party planning training, you are going to be taught how to draft event planning checklists for various events and the key components that must be listed in your checklists couple with the feedback you will get from the host and the attendees of the party.
22 steps to Starting a Party Planning Business from Home
1. Understand the Industry
First and foremost, it is important to categorically state that party planning is a niche in the event planning industry hence most of the statistics, facts and figures quoted in the event planning industry applies to the party planning industry.
Interesting Statistics About the Industry
According to Inside Business, the event planning industry is expected to grow by 20 percent with the median income of an event planning company being put at $42,180 a year. It was also projected that by next year, 2016, the event planning industry is expected to grow and create well over 60,000 jobs for both full – time and part – time event / party planners.
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 with 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
No doubt the event planning / party planning industry cannot be said to be oversaturated despite the fact that the entry bar for starting an event or party planning business is pretty low. This is so because every weekend, there are countless numbers of parties such as:
- Wedding parties
- Birthday parties
- House warming / house opening parties
- Promotion parties
- Wedding anniversaries
- Bachelor eves
- Baby showers and graduation parties et al taking place in the United States.
In essence, as a party planner, if you are creative and hardworking, you can successfully create your own steady market. It is safe to say that the industry is still growing especially with the advent of new social media platforms.
Some of the factors that encourages entrepreneurs to start their own party planning business could be that the business is easy to set up, the start – capital is indeed affordable and the running cost can be put at the minimum level; you can actually start your own party planning business from the comfort of your home. All you need to do is to create an office somewhere in your house.
2. Conduct Market Research and Feasibility Studies
- Demographics and Psychographics
The demographic and psychographics composition of those who need the services of party planners cuts across people from all works of life and organizations et al; there is no clear cut distinction on those that would naturally need the services of event planners especially when they can afford it.
Over and above, if you are looking towards starting a party planning business, then you should direct your marketing efforts to those who can afford your services. Of course corporate organizations, government agencies, business owners, religious organizations, schools and individuals falls within the demographic composition for a party planning company.
3. Decide Which Niche to Concentrate On
On the average, it is the practice for most standard party planning companies to handle all aspect of parties that ranges from wedding parties, birthday parties, house warming / house opening parties, promotion parties, wedding anniversaries, bachelor eves, baby showers, graduation parties to end of year parties et al. This is so because there are little or no big difference with the planning and execution of parties.
However, you can decide to build your party planning company around an area of specialization in the industry and these are some of the basic niches ideas within the party planning industry that an entrepreneur who is looking towards starting an party planning company can specialize in;
- Wedding Party Planning
- Corporate Party Planning
- Outdoor Party Planning
- Children’s Party and Birthdays Party Planning
The Level of Competition in the Industry
The level of competition in the event planning industry of which party planning is a subset depends largely on the location of the business and of course the niche of your party planning company. If you can successfully create a unique brand identity for your party planning company or carve out a unique market, you are likely going to experience less competition.
For instance if you are one of the few party planning companies in your country or state that have the capacity to handle large children’s parties, you are going to experience less competitions
However, it is important to state that the event planning industry or party planning industry as the case may be is to a large extent a very competitive one and this is why one have got to stay abreast with happenings in this domain. Those who already walk this path success know that once one begins to relent at doing some fundamental things, then that there is the possibilities of your competitions to catch up with you and even overtake you.
So as a party planner, in order to stay afloat in the industry and continue to make profits despite the competition in the industry, you must ensure that you continue to come up with creative marketing ideas that will help you attract your target market and stay competitive.
4. Know Your Major Competitors in the Industry
These are some of the well – known event planning companies (please note that party planning is also part of the services they offer) in the United States of America and perhaps in most parts of the world;
- Bassett Events
- Berkeley City Club
- Bompass & Parr
- Colin Cowie
- David Beahm Design
- David Tutera
- Debi Lilly
- Event Fusion
- Events & Company
- Fun Events Group
- GBK Productions
- Kai’s Catering + Events
- LJF Events
- Love Luck And Angels
- Luxurious Wedding
If you are looking for a business that requires less stress to set – up, low operation and overhead cost and perhaps minimal start – up capital to start, then you can consider starting a party planning business. The cost of running a party planning business when compared to the turnover you get annually can be poles apart (this is applicable only when you have been able to establish your feet in the industry and secure retainer – ship with big corporations and even government agencies).
On the average, most people that start party planning business start the business from a small office space / shared office space or virtual office and still make headway in the business. One thing is certain when it comes to party planning business, most of your meetings prior to winning the contract and planning for the party will be in the office or home of your client; the host.
The truth is that, the cost of running a party planning business can be kept to the barest minimum because there are always ways you can cut operational and overhead cost. As a matter of fact, most people that runs party planning business choose to run the business alone or at most with a handful of full – time employees just for the sole aim of reducing overhead, and maximizing profits.
5. Decide Whether to Buy a Franchise or Start from Scratch
When it comes to making a choice whether to start a business from the scratch or to buy a franchise, there are loads of factors that should influence your choice. Generally, the reason why you want to start a business, your business goal, business mission and vision should help you make informed decision.
However, any entrepreneur that wants to start a party planning business may not have the option of buying a franchise simple because you can hardly find one to buy. So you should brace – up and be ready to start your party planning company from the very scratch.
One thing is certain, if you want to have full control of your business and you intend exploring every form of creativity within your capacity, then it will pay you to start your party planning business from the scratch. Starting your business from the scratch has loads of benefits despite the fact that you would have to work hard and smart to achieve your business goals and objectives.
6. Know the Possible Threats and Challenges You Will Face
If you decide to start your own party planning business today, one of the major challenges you are likely going to face is the presence of well – established event planning company / event planner or party planning companies within the same location where yours is located or the arrival of other event planning companies or party planning companies.
The only way to avoid this challenge is to create your own market; concentrate on specific – target market. It could be individual clients or corporate client et al.
Another threat and challenge that you are likely going to face when you start your own party planning company is economic downturn; if the economy is in bad shape it will automatically affect the purchasing / spending power of the general public and that can impact your business negatively.
So, also unfavorable government policies could as well affect the profitability and growth of the event planning industry / party planning industry. For example; if a government decides to ban all public events in a location due to security reasons, it will directly affect the organization of outdoor parties.
7. Choose the Most Suitable Legal Entity (LLC, C Corp, S Corp)
If you are considering opening a standard party planning company, a company that will work for government at all levels and big corporations, then you should take the selection of the legal entity for the business seriously.
When it comes to choosing a legal entity for a business, the nature of the business, the industry the business falls into and your business goals should inform your decision. When it comes to choosing a legal entity for a party planning company, you have the option of choosing from a sole proprietorship, general partnership, a limited partnership, an LLC, a “C” corporation, or even a “S” corporation.
It is important to clearly state that these different forms of legal structure for business has its own advantages and disadvantages; which is why you must weigh your options properly before making your choice. These are some of the factors you should consider before choosing a legal entity for your party planning business; limitation of personal liability, ease of transferability, admission of new owners and investors’ expectation and of course taxes.
If you take your time to critically study the various legal entities to use for your event planning business, you will agree that Limited Liability Company; an LLC is most suitable. One good thing about LLC is that, you can start your party planning business as limited liability company (LLC) and in future convert it to a ‘C’ corporation or even a ‘S’ corporations especially when you have the plans of going public or selling franchise.
Upgrading to a ‘C’ corporation or ‘S’ corporation will give you the opportunity to grow your party planning company so as to compete with major players in the industry; you will be able to generate capital from venture capital firms, you will enjoy separate tax structure, and you can easily transfer ownership of the company; you will enjoy flexibility in ownership and in your management structures amongst other benefits.
8. Choose a Catchy Business Name
When it comes to choosing a name for your business, you should be creative because whatever name you choose for your business will go a long way to create a perception of what the business represent. Usually it is the norm for people to follow the trend in the industry they intend operating when naming their business.
If you are considering starting your own party planning company, here are some catchy names that you can choose from;
- Open House Party, LLC
- Chrystal – Bell Wedding Planners, LLC
- TNT™ Party Planning Company
- Tony & Tammy House of Events, LLC
- The Party People, LLC
- Pearson Group, LLC
- The RoofTop® Party Planners, LLC
9. Discuss with an Agent to Know the Best Insurance Policies for You
In the United States and of course in most countries of the world, you can’t operate a business without having some of the basic insurance policy cover in place that is required by the industry you want to operate from. So it is important to create a budget for insurance and perhaps consult an insurance broker to guide you when it comes to choosing the best insurance policies for your party planning business.
Here are some of the basic insurance covers that you should consider purchasing if you want to start your own party planning business in the United States of America;
- General insurance
- Health insurance
- Risk Insurance
- Credit insurance
- Deposit insurance
- Payment protection insurance
- Liability insurance
- Workers Compensation
- Overhead expense disability insurance
- Business owner’s policy group insurance
10. Protect your Intellectual Property With Trademark, Copyrights, Patents
If you are considering beginning your own party planning business, usually you may not have any need to file for intellectual property protection / trademark. This is so because the nature of the business makes it possible for you to successful run the business without having any cause to challenge anybody in court for illegally making use of your company’s intellectual properties or trademark.
However, if you just want to protect your company’s logo and other documents or software that are unique to you. Then you can go ahead to file for intellectual property protection. If you want to register your trademark, you are expected to begin the process by filing an application with the USPTO. Please note that the final approval of your trademark is subjected to the review of attorneys as required by USPTO
11. Get the Necessary Professional Certification
If you are considering starting a party planning business, you do not necessarily need any professional certification to kick start or manage the business. However, you can go ahead to source for any professional certification course that can help you perform effectively as a party planner with a broad service offering.
There are several professional certifications that you can acquire as an aspiring party planner who intends to handle other corporate events and here are some of them;
- Certified Trade Show Marketer (CTSM)
- Certified Manager of Exhibits (CME)
- Certified in Exhibition Management (CEM)
- Global Certification in Meeting Management (CMM)
- Certified Meeting Professional (CMP)
- Global Certificate in Event Design (EDC)
- The Certified Special Event Professional (CSEP)
12. Get the Necessary Legal Documents You Need to Operate
These are some of the basic legal document that you are expected to have in place if you want to run your own party planning business in the United States of America;
- Certificate of Incorporation
- Business License
- Business Plan
- Non – disclosure Agreement
- Employment Agreement (offer letters)
- Operating Agreement for LLCs
- Insurance Policy
- Apostille (for those who intend operating beyond the United States of America)
- Contract Document
13. Write a Business Plan
When it comes to starting a business, one of the first steps that you are expected to take is to consult experts to help you draft a good and workable business plan or you can make use of business plan template to prepare your business plan. The truth is that, in order to successfully run a party planning business, you would need to have a good business plan in place.
A Business plan is the blueprint that is needed to successfully run a business; with a workable business plan in place, you will reduce the trial and error approach of doing business. You will be able to manage your business with purpose and perhaps with precision; you will know what to do per time and how to handle business challenges and business growth or expansion.
In essence, if you want to start your own party planning business, you are required to write a detailed business plan that can pass reality test when subjected to it; you should work with the facts, figures and other indices in the event planning industry / party planning industry as it applies to the locations or country you intend starting your party planning business.
The whole idea of writing a business plan is not just for the sake of having a business document in place; but a detail guide on how to effectively run your business from the scratch. Your business plan should outline and cover strategies on how you intend to manage and grow your party planning business.
The rule of thumb in writing a business plan is to try as much as possible to be realistic and never to over project when putting figures on income and profits et al. As a matter of fact, it is safer to underestimate when writing a business plan so that you won’t be so disappointed when reality sets in.
These are the key areas that should be covered in your business plan;
Executive summary and Company’s descriptions
You are expected to write about the concept of your business, descriptions of your company, your company’s vision statement, mission statement and where your company will be located and also if you intend partnering with other companies or opening offices in different cities in the United States of America and in other parts of the world.
Other key components that should not be missing out from your party planning business plan are product offering, SWOT analysis, competitive analysis, marketing and sales analysis / strategies, target market, market goals, pricing, costing and financial projection, publicity and advertising strategy, expansion and growth strategies, budget and start – up capital generation et al.
14. Prepare a Detailed Cost Analysis
Starting a party planning business can be cost effective; this is so because on the average, you are not expected to acquire expensive machines and equipment except you decided to combine complimentary services like rental services et al.
Basically 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 furniture and equip the office, the amount to purchase the required software applications, the amount needed to pay bills, promote the business and obtain the appropriate business license and certifications.
When it comes to starting a small scale party planning business, the following expenditure should guide you;
- The Total Fee for incorporating the Business – $750.
- The budget for basic insurance policy covers, permits and business license – $2,500
- The Amount needed to acquire a suitable Office facility in a business district 6 months (Re – Construction of the facility inclusive) – $40,000.
- The Cost for equipping the office (computers, software applications, printers, fax machines, furniture, telephones, filing cabins, safety gadgets and electronics et al) – $ 5,000
- The Cost of Launching your official Website – $600
- Budget for paying at least one employees for 3 months plus utility bills – $10,000
- Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,500
- Miscellaneous: $1,000
Going by the report from the market research and feasibility studies conducted, you will need about $70,000 or less to set up a small scale but standard party planning business in the United States of America
You will need over two hundred and fifty thousand (250,000) U.S. dollars to successfully set – up a medium scale but standard party planning business firm in the United States of America.
If you are considering starting a large scale party planning business with several professionals under your payroll and offices in key cities in the United States of America and perhaps other parts of the world, then you should look towards budgeting from 1 million United States dollars and above.
15. Raise the Needed Startup Capital
Starting a party planning business can be cost effective especially if you choose to run the business from your home, share office space with a friend or make use of virtual office. Securing a standard office is part of what will consume a large chunk of your start – up capital, but if you choose to start the business on a small scale with an office from your home, you may not have the need to go source for fund to finance the business because you can finance the business from your savings.
No doubt when it comes to financing a business, one of the first thing and perhaps the major factors that you should consider is to write a good business plan. If you have a good and workable business plan in place, you may not have to labor yourself too hard before convincing your bank, investors and your friends to invest in your business.
Here are some of the options you can explore when sourcing for start – up capital for your party planning business;
- Raising money from personal savings and sale of personal stocks and properties
- Raising money from investors and business partners
- Sell shares to interested investors
- Applying for Loan from your Bank / banks
- Pitching your business idea and applying for business grants and seed funding from donor organizations and angel investors
- Source for soft loans from your family members and your friends.
16. Choose a Suitable Location for your Business
Even though you can operate your party planning business from your home, it does not mean that a location has little influence on the success of this type of business. If you have taken your time to study the event planning cum party planning industry, you will realize that party planning companies are always located around busy business districts especially party planning companies that specializes in corporate parties and big time clients.
So, if you are looking for a location for your party planning company, ensure that it is a place that is located in the hub of business in your city, a place that is visible and easily accessible. Of course you would not want to locate this type of business in the outskirt of town. Your clients should be able to drive down and locate your office with little or no difficulty.
Having said that, these are some of the factors that you should consider before choosing a location for your party planning company;
- The demography of the location
- The nature of business activities in the location
- The purchasing / spending power of the residence of the location
- Accessibility of the location
- The numbers of event planning or party planning companies in the location
- The local laws and regulations in the community / state
- Traffic, parking and security et al
17. Hire Employees for your Technical and Manpower Needs
Aside from relevant event management software applications that will help you with registering for events, booking for seats or space and hotel reservation et al, and also the aid of social media tool for promoting and marketing events, there are no core technicality when it comes to starting a party planning business.
The business is easy and straightforward to run especially if you have the required soft skills; basically organizing skills and business management skills.
When it comes to choosing between renting and leasing an office space, the size of the party planning company you want to build, and your entire budget for the business should influence your choice. If you have enough capital to run a large party planning company, then you should consider the option of leasing a facility for your office; when you lease, you will be able to work with long – term planning.
As regards the numbers of employees that you are expected to kick start the business with, you would need to consider your finance before making the decision. Averagely, you would need a Chief Executive Officer or President (you can occupy this role), an Admin and Human Resource Manager, Business Development Executive / marketing Executive, and Customer Service Officer or Front Desk Officer.
Over and above, you would need a minimum of 10 key staff to effectively run a medium scale party planning company.
The Service Delivery Process of the Business
Making money as a party planner is all about ensuring that your clients are satisfied whenever they contract their parties to you to handle on their behalf. The truth is that once you are able to meet or surpass the expectations of your clients, you are likely going to get repeat businesses from them and in most cases you will also get referrals.
You will quite agree that word of mouth advertisement from satisfied clients will always go a long way in increasing your revenue and also promoting your brand. So, the bottom line is that whenever you secure any party planning contract, ensure that you clarify all that is needed to be clarified from your clients before going to work.
Anybody that asks loads of questions hardly derail in pursuit of a goal or in locating a destination. Hence, if your intention is to meet or surpass the expectations of your clients as a party planner, then one of the key things that you should do is to ask them loads of questions to clarify any grey area and to fully understand the brief. You can as well go ahead to work with your clients in setting goals for the party.
As a professional party planner, you would have been trained on how to engage your clients in such a way that they will be able to answer any question you ask them as regard the party or any related topic that will help you deliver a well – organized and successful party.
Over and above, the service delivery for a party planner covers budgeting, scheduling, venue selection, acquiring necessary permits, coordinating transportation and parking, arranging master of ceremony (MC), comedians and entertainers, arranging decor, event security, catering and emergency plans et al.
The hallmark of a party is when the success benchmarks are meet or even surpassed. So part of what you need to ask your client as a professional party planner is to know key measurable areas where they would want the party to be assessed. It could be the numbers of participants that attended the party, the feedbacks they got from the party and it could be any success indicator as agreed by you and the host of the party.
18. Write a Marketing Plan Packed with ideas & Strategies
People and organizations will hire your services as a party planner to help them handle all their parties if they know that they are going to get value for their money which is why you should have done your proper homework and be ready to deliver excellent party events when contracted.
So, when you are drafting your marketing plans and strategies for your party planning company, make sure that you create a compelling personal and company’s profile. Aside from your qualifications and experience, it is important to clearly state in practical terms what you have been able to achieve in time past as it relates to helping people and corporate organizations handle their parties from the planning stage through to the execution of the party.
This will help boost your chances in the market place when sourcing for contracts from corporate organizations and government agencies. Please note that you when you bid for contracts from corporate organizations, you will be called upon to defend your proposal, which is why you must add presentation skills as part of your marketing skills.
Here are some of the platforms you can utilize to market your party planning company;
- Introduce your business by sending introductory letters alongside your brochure to all the corporate organizations and businesses in the United States ( if you are just starting out as an independent event planning business, you may want to concentrate on individual clients)
- Promptness in bidding for party planning contracts
- Advertise your business in relevant entertainment magazines, local radio stations and TV stations (make yourself available for related talk shows and interactive sessions on TV and Radios)
- List your business on local directories / yellow pages (both online and offline)
- Attend relevant event planning expos, seminars, and business fairs et al
- Create different packages for different category of clients in order to work with their budgets
- Leverage on the internet to promote your business (when you blog regularly on key issues as it relates to party and event planning, people will consider you an expert in the field and would want to do business with you)
- Join local chambers of commerce around you with the main aim of networking and marketing your services; you are likely going to get referrals from such networks.
- Engage the services of marketing executives and business developers to carry out direct marketing for you especially if you can afford it.
19. Develop Iron-clad Competitive Strategies to Help You Win
The event planning industry of which party planning is a subset is indeed a competitive industry and you must come up with a unique strategy to be able to outsmart your competitors in the industry. Part of what you need to do in order to stay competitive is to continue to ensure that you go all length to make available top notch and affordable services to your clients and potential clients alike.
The truth is that people will always come to you when they know that they are likely going to get what they are looking for and good value for their money.
Another competitive strategy you should adopt is to maximize the internet when it comes to marketing your party planning business and also ensure that you provide a wide range of complimentary services as it relates to party planning. Services, such as consultancy services and rental services will cut it for you.
20. Brainstorm Possible Ways to Retain Clients & Customers
When it comes to business, no matter the industry that you choose to pitch your tent in, one of the easiest ways to increase customers’ retention and perhaps to attract new customers is to satisfy your customers always whenever they contract their parties to you to handle. If your customers are satisfied with your services delivery, they can hardly source for alternative service provider or products.
Statistics has it that one of the major reasons why clients source for alternative service provider or product is when there is a drop in quality or if when most often than not they tend not to get what they are looking for when they visit your shop or office as the case may be. Another reason is poor customer service.
If you can continue to improve on the quality of your customer service delivery and also give your customers options, then you won’t struggle to maintain loyal customers. When it comes to managing your customers and building loyal clientele base, you should purchase a customized CRM software.
With a customized CRM system you can easily stay in touch with your clients (you can carry out quick survey, you can introduce new products and prices to them without any hitch, you can felicitate with them on their birthdays and other anniversaries, you can send bulk sms and customized e – mails and above all you can easily receive compliant and feedback from them).
21. Develop Strategies to Boost Brand Awareness and Create a Corporate Identity
If you are in business and you are not deliberate about boosting you brand awareness and communicating your corporate identity to the public, then you should be ready to take on whatever the society portray your business to be.
One of the secret of larger corporations is that they are willing to spend fortunes year in and year out to boost their brand awareness and to continue to communicate their corporate identity the way they want people to perceive them to be. If your intention of starting a party planning company is to grow the business beyond the city where you are going to be operating from, then you must be ready to spend money on promoting and advertising your brand.
In promoting your brand and corporate identity, you should leverage on both print and electronic media. As a matter of fact, it is cost effective to use the internet and social media platforms to promote your brands, besides it is pretty much effective and far reaching.
Another strategy is to sponsor relevant TV and radio programs, advertise your business in relevant events magazines and newspapers and also ensure that your workers wear your customized shirts during working hours.
22. Tips for Running a Party Planning Business Successfully
The truth is that, irrespective of the kind of business you run, your ability to get all the members of your team on same page at all times is one of the keys you would need to successfully run the organization. As the chief executive officer or president of the party planning company, it is you responsibility to give direction to the business.
Part of what you need to do is to ensure that you create time for office meetings; a time where challenges, feedbacks, projections and relevant issues are discussed. The meetings could be daily, once in a week or once in a month – just ensure that it is consistent.
Carrying out appraisals on a regular basis and training your employees will help you run your organization effectively. Encourage your employees to pursue certifications in their various area of specializations as it relates to your business; it will help your organization’s profile and of course it will help the individuals. You can choose to sponsor some of the certifications or pay part of the fee.
Last of all, you should keep your doors open for suggestions from members of your team and you should be willing to reward excellent performance as at when due. It is a way of encouraging healthy competition in your organization.