As a new venue owner, creating an event business plan is crucial to running a successful event venue. It allows you to have a clear outline of your expectations and use that to guide your decisions as you move forward. If you've recently begun your journey, writing an event venue business plan should be your first step. It doesn't have to be complicated; follow these steps, and you'll be on your way!
What Is A Business Plan?
Before you can write a business plan, you need to know what it is. A business plan is a road map that describes what you will do in your business, future development, and growth. It should be the absolute first step when looking to launch a venue business.
The average business plan is fifteen to twenty pages long, but generally, it stays closer to the lower end of that estimate for an event venue. You can use your business plan to:
- Set a guide for yourself
- Show ideas to potential investors
- Bring in employees
Each business plan typically contains three sections, making it easier to keep organized. These sections include:
- A description of your business - What you plan for it to become
- A description of the local market - Who are your potential customers?
- A financial write-up - A list of income, balance sheets, cash flow, etc.
Read what you need to know before starting a venue, to get you in the right mindset if you are dreaming about starting your own business, as there are some things you need to know regarding how to start a venue.
How To Write Your Event Venue Business Plan
Now that you know what a business plan is and what it contains, it's time to write it up. These are the basic steps you can use to ensure your plan is thorough and effective.
1. Research
Research is arguably the most important part of the process. You need to understand what you're offering, the place it has in the overall market, and who your competitors are.
2. Brainstorm Ideas
After thorough research, it's time for the fun part: brainstorming. Throw every idea you have out there; think out of the box! Make a list of products and services you would like your venue to offer. Ideas include:
- Who are the potential clients?
- How can it be optimized for renters?
- What events can it hold?
- What will set you apart from your competitors?
3. Clarify Your Event Business Plan's Purpose
Your event venue may have a clear purpose, but the purpose of your business plan may not be quite so obvious. Maybe you are looking to attract investors in order to grow your business. If this is the case, financial projections and future projections of the business may be vital to your success. However, you might also use this business plan for yourself and your business partners to devise your future plans.
4. Understand The Structure Of Your Business Plan
Business plans must be structured and laid out correctly. Too much information may lose the reader's interest. If you put too little information, they may not be able to make an informed decision about whether your business will work or not.
The most common type of plan is the "Business Model Canvas," which contains these points:
- Key activities
- Customer relationships
- Value Proposition
- Key resources
- Customer segments
- Key resources
- Channels
- Cost structure
You don't have to use every section in your business plan; you can customize it to fit your specific needs.
5. Put It All Together
Putting it all together gives you a clear view of your vision for your event venue. If you're struggling to create your business plan, you can hire a venue consultant/coach to help guide you through the process.
Owning an event venue is an exciting endeavor, so make sure you start right with a well-written business plan. It will give you the insight and direction you need to ensure your venue's success!