This document discusses event budgeting and resources. It identifies key sources of income like client fees, sponsorships, donations, ticket and food sales. It also examines costs and compares them to projected income. Ticketing is discussed as a way to generate attendance counts and set a breakeven point. The basic premise of profit is to anticipate funds and expenses for both preliminary and actual budgets. Budgets should track estimated and actual expenses. The document also outlines sponsorship categories and provides examples of sponsorship packages for an awards ceremony.

1. Event resources and budgeting
Event Planning | Week 7

2. Learning outcomes
By the end of the session, you will be able to:
 Describe different sources of income for an event
 Identify key costs, and compare these to projected income
 Prepare a basic budget

3. Income
streams
Adapted from: From: Bowdin, G.
Allen, J. O'Toole, W. Harris, R. and
McDonnell, I. (2012) Events
Management. 3rd edn. Abingdon:
Routledge.
 Client purse
 Sponsorship
 Donations
 Ticket sales
 Food & drink sales
 Pitch/stall rental
 Merchandising
 Exhibitors
 Concessions

4. Value of
ticketing
 Perceived value of an event
 ‘Guarantee’ of attendance
 Generates an attendance count
 Enables the setting of a breakeven point
 Provides data capture
 Income stream

5.  The basic premise behind making a profit
 Anticipate the funds – and actual funds
 Anticipate the expenses – and actual expenses
 Managing the cash flow
 Informs the quote
 Preliminary budget
 Actual budget

6.  A system to track expenses
 Should track live changes
 Estimated and actual expenses
 Unit costs and total costs
 Fixed costs and variable costs

7.  Budget – the business or overall plan of an organisation expressed in financial
terms
 Cash budget – an analysis of how the cash available to an organisation is
expected to change over a given period of time
 Continuation budgeting – budgets compiled on the basis of no change in
policies or priorities: ‘business as usual’
 Variance – the difference between actual performance and planned
performance
 Zero-based budgeting – a method of budgeting which starts with the priorities
of an organisation and allocates resources to those priorities according to their
order of importance
Source: Bladen, et al (2012) Event Management: An introduction. Abingdon: Routledge, pp.154.

8.  Management Fee – percentage of the budget
 Flat rate
 Hourly rate
 Minimum rate
 “Mark up”
 Commission from suppliers

9. Sponsorship
Exchange relationship in sponsorship
 Event seeks:
 Financial investment
 Media exposure
 In-kind services
 Sponsor seeks:
 Increased awareness
 Image enhancement
 Product trial
 Sales or hospitality opportunities

10. Sponsorship
categories
 Headline / Title sponsor
 Team sponsor
 Official partner
 Media partner
 Official supplier
 Trade sponsor

11. Examples of different packages – Award
ceremony
Basic package - £5,000
 Logo on all branding, posters, invites
 ¼ page advertisement
 1x table of 10 guests
Headline package - £25,000
 Brand identity with title of event
 Mentions in all media/press activity
 Logo on all printed materials and
venue branding
 Presentation of final award
 Full page advertisement
 3x tables of 10 guests per table

12. Any questions?