|
HOW TO BUDGET AND WORK OUT ACCEPTABLE INCOME / EXPENDITURE RATIOS FOR YOUR FUND-RAISING EVENT PRINCIPLES ASSOCIATED WITH FINANCIALLY SUCCESSFUL FUND-RAISING EVENTS: 1. Always pre-sell tickets. 2. Always try to get a forecast on people participating in events such as -thons, markets, bike rides, etc. History can provide these guesstimates - either your organisation's history or some other organisation who has run a similar event. Note: If you have to guess completely, take the lowest number of people you feel may participate and work out your budget on that number. Be VERY conservative. As a matter of principle, we always do the budget three times, taking the lowest possible number of participants, then the medium number, and then the most optimistic number.
When there is no event history, always do the budget on the lowest number. When the actual figures become available after the event, reconcile the budget comparing the actual figures with the original budget forecast so that others can see the difference. Invariably, creating a budget on the most conservative numbers means that: (a) you will make more money that you expected; (b) you won't over cater; and (c) you will break even or even make a profit with a conservative turn-out of people. 3. Giving final numbers of guest to venues: Any venue used will require accurate numbers between three and five days before an event. Give numbers for the amount of tickets you have received money for, plus any free tickets you are giving out. Add on further numbers as tickets are paid for, and inform the venue immediately. Venues can always add on numbers (depending on space) and order more food. However, if you give the venue the HIGHEST number, and hope that the tickets will be paid for, you will be charged for this number, and therefore could loose money. 4 Drinks / Wine: Some venues will allow you to provide your own drinks and wine. Donated wine can be given a "Thank you" credit on the program or Invitation, or mentioned in any speeches. Venues may charge corkage and will include waiters to serve drinks in food charge (or maybe as an extra). Note: Bear in mind that the drinks and wines are usually the most profitable aspect of an event. Many venues won't let you use your own drinks, but want to include it in the charge for catering. WORKSHEET: BUDGET OUTLINE FOR FUNCTION COST ESTIMATE WORKSHEET: FUNDRAISING EVENT / FUNCTION BALANCE SHEET OUTLINE Previous Page: Considerations When Planning Fund-raising Activities Next Page: Sample Costing/Budget |
|||||