There are 5 specific questions that you have to ask in order to forecast the expenditure:
- What, apart from the technical aspect, forms part of the budget?
The venue, staff hire, entertainment, catering, decor, printing charges, gifts, activities expenses and transportation charges. The technical equipment has to be discussed extensively, as it is an essential part of making the concept come to life.
- What is the realistic expectation of the client?
This has to be discussed in depth with the client because if they have a certain vision but cannot provide a substantial budget, then the outcome will be a disappointment. The best thing to do is to suggest alternatives with a reasonable expense so that the project can be successful.
- Does the choice of venue fit the budget?
It’s no good choosing a venue which exceeds budget and then later having to cut costs on catering or staff. This will ultimately compromise the event. First establish what the rental fee includes and whether there are any unseen costs. Most venues provide basic facilities such as parking or security, but it is imperative to check on the technical aspects, depending on the needs required for a particular event. Prioritise correctly and find the right balance!
- Is the budget strictly adhered to or is there leeway for adjustments?
The best case scenario is to have a contingency fund as part of the budget; even if you plan carefully, there could be costs that exceed the initial projected plans. Budgeting for hidden costs is wise, because if any emergencies arise, they will have been catered for.
- Are there other ways to boost the budget?
Again, this requires discussion with the client, as there are various opportunities to bring in revenue, e.g. ticket sales, sponsorship, advertising at the event, prizes or raffles that have been donated form sponsors. Managing this would be entirely the responsibility of the client.
“It is a vital consideration and highly recommended that your preferred technical service provider used for any event, both big and small, is invited to your brainstorming sessions, from inception. This small decision will ensure that no matter what ideas are suggested or tabled at the initial meeting, a proper understanding of any of these proposals allows for agreement of what is or isn’t realistic to create. This particular service provider is therefore in a position to advise of any prospective cost-saving options, that aren’t taken or made at the cost of detracting from the net result” says Bhans.
