How to Write a Party Planning Business Plan

Party planners create memories.

Party planning is an exciting and creative job that allows you to create memorable experiences for other people. It can be quite lucrative, especially if you own a party planning business. But before you send away for business cards, realize that despite the glamour of the finished product, party planning itself involves a lot of hard work, more so when you are also managing employees, vendors and payroll. If you are looking to start your own party planning business, your first step is a well-written, well-thought out business plan.

Difficulty:

Moderate

Instructions

Things You'll Need

• Microsoft Word or a compatible word-processing software application

Go to the SBA Business Plan Template Online

1. Access the U.S. Small Business Administration business plan template online (see References).

2. Ignore the first section, "Executive Summary." This section will be written last.

3. Define your business in the next section, "Business Description and Vision," in terms of the mission statement, vision, goals and objectives, history, and principles.

4. Next describe the market in the "Definition of the Market" section. Review your competitors and the local environment---any applicable social, economic or regulatory issues for party planners. Consider how your party planning services differ in comparison and who is the right target market for your business.
   If you plan to specialize in quinceañeras, for example, your target market would be the parents of 14-year-old girls of Latin American descent. Who are your competitors and what share of the market do they hold? How does your business stand apart from the others, and how will you attract more parents than your competition?

5. Explain your products and services in the following section. Avoid taking on all types of parties, especially if you either have relatively little experience compared with your competition and/or are a sole proprietor with few full-time employees. Develop expertise in throwing certain types of parties, which will burnish your reputation and refine your marketing. Branch out when you have sufficient revenue from regular clientele.

6. Next describe the way in which your business will be structured. Key to this section is identifying your supplier network. Party planners live or die by their ability to get supplies delivered on time. If your venue is sparkling, but the caterer is not returning your calls five minutes before dinner, you have a serious problem.
   Make a list of vendors in your local area that you know, that are inexpensive and that have solid reputations. You'll need audio/visual people, lighting firms, flower shops, graphic designers, printers and, of course, caterers among other potential suppliers. Make sure you build strong relationships not just with your primary suppliers, but also with your secondary suppliers, as they can save your event when your primary suppliers fail.

7. Determine your marketing and sales strategy. How will you advertise your superior parties? Word of mouth? YouTube? Also, here you will consider how much you will charge and what your promotional packages, if any, will be.

8. Tabulate startup costs and project expenses in the "Financial Management" section. Be realistic, especially when using the document to apply for a loan. Review your competitors' rates and account for any economic trends (national trends like recessions or local trends like local firm layoffs) that might impact your cash flow projections. Lenders and funders want assurances that you have thought out and developed strategies for every possibility.

9. Return to the "Executive Summary" section and recap your business plan. Include only the most salient points as instructed on the page.

10. Select "Generate Business Plan." You now have a working draft of your party planning business plan.

References

• U.S. SBA Business Plan Template

Resources

• Read this Article in Spanish
• U.S. SBA Small Business Planner