How to Start an Event Planning Business in Ontario

This How-To guide provides information on license, permit or registration requirements when considering starting an Event Planning Business in Ontario.

TABLE OF CONTENTS

1. Basics to Getting Started 
2. Industry Overview
3. Regulations
4. Financing
5. Managing Your Operation
6. Associations
7. Other Resources

1. Basics To Getting Started

Starting a business can be a rewarding undertaking, but it comes with its challenges. Before starting a business in Ontario, it is wise to do your research. There are several issues to consider such as regulations, financing, and taxation, managing your business, advertising and much more.

For further information:
see the documents:

• Business Start-Up Info-Guide
• Financing for Starting a Business Info-Guide
• Taxation Info-Guide
• Employment Regulations Info-Guide 
• Business Regulations Info-Guide 

2. Industry Overview

What does an event planner do?   

Conference and event planners plan, organize and co-ordinate conferences, conventions, meetings, seminars, exhibitions, trade shows, festivals and other events. They are employed by tourism associations, trade and professional associations, convention and conference centres, governments and by conference and event planning companies. *

* National Occupational Classification, Human Resources and Skills Development Canada

The event planner's job is to organize and carry out social events for clients. Companies and individuals prefer to hire experts to plan many different types of events, including baby or bridal showers, conferences, bar or bat mitzvahs, product launches, children's parties or retirement parties. Some planners prefer to specialize in a specific type of event, such as weddings, while others offer a wide range of services. Whatever you choose, you should expect a varied schedule, depending on the kinds of events you plan, and you may have to work evenings, weekends and holidays. You may be busier at certain times. For example, if you specialize in weddings, the summer will be the busiest time of the year.

What does event planning involve?  

The National Occupational Classification also defines the main duties of conference and event planners; 

• Meet with trade and professional associations and other groups to promote and discuss conference, convention and trade show services
• Meet with sponsors and organizing committees to plan scope and format of events, to establish and monitor budgets and to review administrative procedures and progress of events
• Co-ordinate services for events, such as accommodation and transportation for participants, conference and other facilities, catering, signage, displays, translation, special needs requirements, audio-visual equipment, printing and security
• Organize registration of participants, prepare programs and promotional material, and publicize events
• Plan entertainment and social gatherings for participants
• Hire, train and supervise support staff required for events
• Ensure compliance with required by-laws
• Negotiate contracts for services, approve suppliers' invoices, maintain financial records, review final billing submitted to clients for events and prepare reports.

As you might have guessed, event planning is more complicated than just throwing a party. A planner must carefully go over all the details of each step. The most important thing is to have a good understanding of the client's expectations and budget. You need to do research, come up with an original concept, set a date, find a location for the event, and make arrangements for the menu, the invitations, the required staff, suppliers, etc. In short, there are many details you need to look after. You can look at how your competitors work and contact them to see if they are willing to share their methods, offer advice or assess your processes. In addition, suppliers, such as caterers, can share their experiences. It is recommended that you ask for feedback from your clients after the event so that you can improve your services.

Education and Certification

There are several ways to gain the knowledge and experience you will need to operate your own successful event planning business. Many colleges and universities have courses specific to event management, in addition to degree or diploma programs in business, public relations, tourism or hospitality administration. If you decide you would like to operate your own event planning business after gaining work experience in the industry, a recognized certification program can help set you apart from your competition. The Canadian Special Events Society (CSES) sponsors a national professional certification program. This demonstrates to prospective clients that you have the necessary skills and experience to meet the standards set by the society.

For further information:
visit the web site: Canadian Special Events Society (CSES) - Certification Program

Planning and suppliers

Attendees with special needs

In order to manage a successful event planning business, you will need to be prepared for entertaining guests who may have special needs or accommodation requirements. Understanding how to accommodate these guests will require research on your part. The following web sites can be useful as a source of information and inspiration.

For further information:
visit these web sites:
Greater Toronto Hotel Association - EnAbling Change Program's Checklist
Ontario Human Rights Commission - Restaurant Audit Instrument of Select Accessibility Indicators
Ontario Human Rights Commission - Policy and Guidelines on Disability and the Duty to Accommodate  

Accessibility for Ontarians with Disabilities Act

Find out how accessibility standards, under the Accessibility for Ontarians with Disabilities Act, will affect business in Ontario. Businesses and organizations who provide goods and sevices to people in Ontario will have to meet certain accessibility standards in five important areas of our lives.  Customer service, transportation, information and communications, built environment and employment.

For further information:
visit the web site:  Accessibility for Ontarians with Disabilities

Staffing the event

Staffing an event can be complicated. You will need to consider all the traditional requirements: caterers, waiters, masters of ceremony, bartenders, music, entertainment, cleaners, etc. Next, consider your options; some caterers, and some venues, will provide their own waiters, cleaners and bartenders. If you are also in charge of the entertainment for the event, you will need to connect with the entertainment world (performers, musicians, disc jockeys). Consult local directories, trade magazines, newspapers and the Internet. When you are networking, develop business contacts and establish relationships with individuals and agencies.  Do your research, get references, and ask for referrals from other event planners or management organizations.

Smart Serve Ontario

Smart Serve Ontario is a non-profit organization dedicated to developing and delivering a responsible service training program to all individuals who serve alcohol beverages or work where alcoholic beverages are served in the Province of Ontario.

For further information:
visit the web site: Smart Serve Ontario

Food and Beverages

Similar to staffing considerations, you will need to develop relationships with food and beverages suppliers if you are not subcontracting those services to a caterer.

Planning Tips from the LCBO

For more advice on from the LCBO on how to be a responsible host, how much alcohol you will need and how to calculate it.

For further information:
visit the web site:  LCBO - Planning Tips

Furnishings and Equipment

Before you open your event planning business, you will need to consider whether you should buy or lease the furnishings or equipment you will need, like tables, chairs, tents, audio-visual equipment, lighting and decorative items. You might also need kitchen equipment, a bar and dinnerware. The menu, the type of event and kind of service will determine the type of equipment you will require. For assistance in this area, you might want to try to get the advice of sales representative or consult trade publications and manufacturers' web sites. An important factor to consider when choosing equipment is the after-sales service and repair and their affordability.

Financing your Equipment

Sources of Financing

Sources of Financingis an Internet resource for locating traditional and alternative sources of small business financing. This site provides interactive access to objective information on appropriate forms of public and private sector sources of debt and equity financing:

For further information:
visit the web site:  Sources of Financing
see these documents:
Sources of Micro-credit Financing 
Lending - The Basic Criteria
Dealing With Your Banker & Other Lenders 

Used Equipment

Consider buying used equipment as a cost-saving measure. Sources of used equipment could be a restaurant that is closing or dealers in second-hand equipment. The drawback to this approach is that, often, there are no guarantees with the purchase.

Franchise

As a potential business owner, you may be considering buying a new or existing franchised business, as an alternative to establishing a new business on your own. Franchisees enjoy the name and reputation of the franchise, and may also receive support from the parent company in the way of marketing, accounting, pooled advertising, etc. There are also costs associated with franchising and you most likely will have to adhere to operational standards set by the franchisor.

For further information:
see the document  Checklists for Franchisees

Planning Your Business

What is a Business Plan?

A business plan is a recognized management tool used by successful and/or prospective businesses of all sizes to document business objectives and to propose how these objectives will be attained within a specific period of time. It is a written document, which describes who you are, what you plan to achieve, where your business will be located, when you expect to get under way, and how you will overcome the risks involved and provide the returns anticipated.

Why Do I Need One?

A business plan will provide information of your proposed venture to lenders, investors, and suppliers to demonstrate how you plan to use their money, and to establish a basis for credibility of your project. This plan will serve as a guide to the various areas that you as a manager will be concerned with. As you work through this plan, adapt it to your own particular needs.

For further information:
see the document  Business Plan Guide

Interactive Business Planner (IBP)

The IBP is a computer software program that uses the capabilities of the Internet to assist you in preparing a 3-year business plan for a new or existing business. The IBP will help you write your business plan, provide a format for writing your business plan, and take the information you enter and prepare financial projections for you.

For further information:
see the document Interactive Business Planner  

3. Regulations

Knowing the rules and the regulations that apply to your area of expertise is necessary. The amount of regulations that you need to know depends, as might be expected, on your field of activity. Also, keep in mind that some projects may require you to learn about rules and regulations you do not already know something about. Stay up to date with amendments to legislations that affect your business.

Business Regulations Info-Guide

This document will assist you in navigating federal, provincial and municipal regulations that apply to a number of industries and businesses in Ontario.

For further information:
see the document  Business Regulations Info-Guide

Alcohol and Permits

Alcohol and Gaming Commission of Ontario

The Alcohol and Gaming Commission of Ontario is a regulatory agency that reports to the Ministry of Government and Consumer Services. Its mandate is to regulate the sale, service and consumption of alcohol beverages. It manages alcohol licences in Ontario.

For further information:
please call 416-326-8700 or 1-800-522-2876
visit the web site: Alcohol and Gaming Commission of Ontario
see the document  Application for a New Liquor Licence

Liquor Control Board of Ontario

The Liquor Control Board of Ontario (LCBO) is responsible for the administration of some alcohol retailing programs in Ontario.

For further information:
please call 416-365-5900 or 1-800-668-5226
visit the web site: Liquor Control Board of Ontario (LCBO)

Related legislation :
Alcohol and Gaming Regulation and Public Protection Act, 1996
Liquor Licence Act  

Special Occasion Permits - LCBO

An LCBO - Special Occasion Permits is required if you are planning to sell or serve beverage alcohol at special occasions such as weddings, charity fundraisers, receptions, etc. and are issued through select LCBO stores located throughout the Province of Ontario. In order to obtain a special occasion permit, you must submit an application for approval. Once you have completed the application form, you must take it to the designated permit-issuing LCBO store in the municipality where the event is to take place. You do not need a Special Occasion Permit if you are serving beverage alcohol in a private residence, including the attached property (e.g., front or back yard). The sale of beverage alcohol in a private residence is not permitted.

For further information:
please call 416-365-5900 or 1-800-668-5226
visit the web site: LCBO - Special Occasion Permits  

Music License

Performances of music in public, i.e. offices, stores, etc., require a licence. This licence is necessary whether the music is performed by live or recorded means.

For further information:
please call 416-445-8700 or 1-800-557-6226
visit the web site: Need a Music License?   

4. Financing

The Canada-Ontario Business Service Centre has created documents, which provide an overview of some of the main financing options for individuals starting and operating a business in Ontario, including programs offered or supported by the government.

For further information:
please call 1-800-567-2345 or 416-775-3456
see the documents
Financing for Starting a Business Info-Guide
Financing for Established Businesses Info-Guide

5. Managing Your Operation

Dealing with Business Taxes

Taxation Info-Guide

The Taxation Info-Guide is designed to help you navigate through the federal and provincial government programs, services and regulations related to taxation that may apply to individuals starting or operating a business in Ontario.

For further information:
see the document Taxation Info-Guide 

Insurance and Liabilities

Insurance needs for businesses vary greatly. It is best to choose an insurance agent or broker familiar with your size of business and, in particular, an agent familiar with your type of operation. If you don't have an insurance agent, consider asking other business owners in your area to recommend one. The following list is included to remind you not to overlook the complex areas of business insurance. It is best, however, to discuss your specific requirements with your insurance agent.

Basic insurance:

• fire insurance (extended coverage on buildings and contents);
• liability insurance;
• burglary protection (theft coverage);
• dishonesty insurance (covers thefts by employees).

Insurance needs naturally vary from one business to the other, depending on your field of activity. It is best to choose an insurance agent or broker that is familiar with your field of expertise. As an event planner, liability coverage will be vital.

Third Party Liability Insurance implies that at all times, Liability insurance will pay damages to a Third Party because the insured is legally obligated to do so. Accidents must be reported to the insurer.

For further information:
see the document  Third Party Liability Insurance Guide

Note: Your professional association may have information about insurance packages specifically tailored for your needs. It is best, however, to discuss your specific requirements with your insurance agent.

Market Research

Successful businesses have extensive knowledge about their customers and their competitors. Acquiring accurate and specific information about your customers and competitors is a critical first step in market investigation and development of a marketing plan.

In developing a marketing plan, your primary functions are to understand the needs and desires of your customer, select or develop a product or service that will meet customer needs, develop promotional material, and ensure that the product or service can be provided effectively at a profit.

This Market Research for Your Business describes the basics of market research and marketing for your business.

For further information:
see the documents
Market Research for Your Business 
Guide to Market Research and Analysis  

Marketing/Advertising

Word-of-mouth advertising and good public relations are often the best ways of promoting your business. Depending on your market and its size, also consider flyers, business cards, brochures, newspapers (especially for holiday promotions), radio, TV, the phone book and the Internet. Also bear in mind that a satisfied customer is good advertising. Referrals are also a valuable way of making customers aware of your products or services. Trade shows can be a great opportunity for networking and to advertise your services. Our document on trade shows, listed below, contains a number of links to popular trade show related web sites.

A web site is also a good marketing tool. It should have details to describe the location (your address, telephone and fax numbers, and directions on how to get to your establishment), hours of operation, services offered, credentials and anything else you think may be of interest to potential customers. However, once you launch a web site, you should update it on a regular basis.

Participating in community events is another way of advertising your business. You may also hold events that will promote your business. No matter how you choose to market your business, it is wise to track how your clients became aware of your establishment - this may help determine your future advertising strategies.

For further information:
visit the web site: Preparing a Marketing Plan
see these documents:
Guidelines for Developing a Company Brochure
Signs and Your Business
Plan Your Advertising Budget
Advertising Do's and Don'ts
Ways to Promote Your Product or Service
Marketing Plan Outline
E-Business Info-Guide
Trade Shows

The Online Small Business Workshop

The Marketing Basics section covers the basics from developing your customer profile to promoting your business.

For further information:
visit the web site: Online Small Business Workshop

Competition Act - Misleading Advertising and Deceptive Marketing Practices

The federal Competition Act - Misleading Advertising and Deceptive Marketing Practices governs misleading advertising and deceptive marketing practices for most businesses in Canada. The Act defines which marketing practices are illegal and the process of complaint investigation.

For further information:
visit the web site: Competition Bureau
see the document  Competition Act - Misleading Advertising and Deceptive Marketing Practices

Contracts

Event planning contracts may vary widely in their format and their length, depending on the nature and the complexity of the project. There are standard articles to include in written contracts: the name and the location of the parties involved, the date the contract is signed, an offer, an acceptance of the offer, consideration (i.e. the benefit accruing to the parties), signatures of the parties, etc. A written contract helps to avoid misunderstandings, to outline the terms of payment and to protect you in case of disagreements with your client on the nature of the assignment. If you do not possess the legal expertise to draft legal contracts that include all mandatory provisions, you should seek advice from a lawyer.

For further information:
see the document  Selecting Professional Services

Clients and Proposals

Virtually all sectors of business call upon the expertise of event planners, so don't be too restrictive. Your clientele may consist of organizations from the public, the private and the non-profit sectors. To identify event planning opportunities, look for advertisements on web sites, in newspapers, magazines and trade journals.

Whether you are responding to a call for proposals from the public, the private or the non-profit sector, there will be selection procedures to follow. These procedures will vary from one organization to the next, so gather all the required information before submitting your proposal.

The following are a number of areas you should be aware of when pursuing a contract for service. The appropriate professional services, such as legal counsel should also be sought out and utilized.

Site: Where the work is to be done? What size of area? What type of work?	Insurance: General liability insurance coverage! Amount?
Contact: Ensure you have a contact to clarify and discuss services with.	Contract time: When do you start and when is the contract over?
Qualifications: What methods are used to determine your qualifications and/or your employees?	Subcontractors: Note - be sure you are aware of supplementary conditions or specifications relating to subcontractors.
Examination of contract documents and site: It is up to you to examine documents and visit the site.	Omissions: If you think some term or condition is missing or there is a discrepancy, bring it to the attention of the owner.
Federal, Provincial and Municipal laws: It is important that you understand and comply with them in the performance of the work.	Addenda: Before submitting your tender prior to the closing, check to see if any changes have been made to the tender.
Bond: What size ($) and type of bond is required?

Profit Watching 

Making a profit is the most important -- some might say the only objective of a business. Profit measures success. It can be defined simply: revenues - expenses = profit. So, to increase profits, you must raise revenues, lower expenses, or both. To make improvements, you must know what's really going on financially at all times.

For further information:
see the document  Checklist for Profit Watching

Employing people

What are the rules on working conditions in Ontario?

The Employment Standards Branch of the Ontario Ministry of Labour is responsible for the administration and enforcement of the Employment Standards Act, which provides for minimum terms and conditions of employment in most industries.

For further information:
please call 416-326-7160 or 1-800-531-5551
visit the web site  Ministry of Labour  

Employment Regulations Info-Guide 

This Info-Guide is designed to help you navigate through the federal and provincial government regulations on employment. Although many of your questions will be answered here, the list of regulations given in this document is not exhaustive.

For further information:
see the document:
Employment Regulations Info-Guide

Related Legislation:
Employment Standards Act  

Fees

Event planners work for a fee. Pricing of their services will influence consumers and consequently the total revenue of their event planning business. In the end, the right price for the services of an event planner is the price that the consumer is willing to pay. For this reason, correct pricing decisions are a key to success.

For further information:
see the document  Profit Pricing for the Costing of a Service

As an event planner, there are many ways to set your fees: by the hour, by the day or by assignment. When you are quoting, make sure you include in your fee not only the cost of your labour, but also your daily overhead for the duration of the project, the indirect and direct expenses you will incur, as well as a profit margin. You want to build in your fee enough money to cover the operating costs of your business and the time you spent on marketing your services, maintaining your skills and administration. Do not bill clients exclusively on the basis of the time spent delivering your services. From your clients' perspective, you are an authority on a subject matter that is important to their operation; set your fees accordingly. However, when setting your fees, make sure you find the right balance between overcharging and undercharging: your business must be profitable, but your fees should not be scaring clients away. Research what your competition is charging to see if you are asking for too much or not enough.

Many factors influence the worth of your services. When setting your fees, take into consideration the following:

• rarity - knowing how rare knowledge is drives the value higher. Keep in mind though, that once your knowledge has been shared or sold to someone else, the value begins to dilute.
• accuracy and dependability - if the information/solutions that you are selling have consistently been accurate and measured to be of substantial value, you can charge more because the risk is less for buyers.
• market rate - in some cases the buying markets have already defined the going rate through supply and demand. For example, seasonable high demand may cause you to increase your rates; conversely, during low demand periods you may reduce rates to keep cash flow coming.
• initial rates - having already determined what your competition is charging, you may alter your rates to reflect your newness in the market. You are in essence trading rate for reputation. You need completed projects to gain credibility and presence in the marketplace. Being cost competitive may give you an edge in gaining those first few contacts.
• predetermined price - a defined project may have a fee or stipend already outlined.
• cost plus - determine what your costs are, including external expenses and overhead; multiply that amount by the percentage of profit you wish to make. That percentage may be used on the industry average.*

*This paragraph adapted from How to be a Consultant, Canada-Manitoba Business Service Centre, Western Regional Office, Manitoba Industry, Trade and Mines.

For further information:
see the document  Basic Proposal for Tender 

A number of Fact Sheets have been developed to assist you in the daily operations of your business:

• Bonding
• Developing New Accounts
• Selecting Professional Services
• Selecting Your Supplier
• Basic Bookkeeping
• Setting Up a Pay System 
• Professional Designations
• Preventing Theft
• Setting the Right Price
• List of Fact Sheets

6. Associations

Canadian Federation of Independent Business (CFIB)

The Canadian Federation of Independent Business represents more than 100,000 owners of small and medium-sized businesses, distributed across all industry sectors and all regions of Canada. CFIB's advocacy is based on the strong feedback it receives from its members, and it has a high profile in government, in business and among the general public.

For further information:
visit the web site: Canadian Federation of Independent Business (CFIB)
see the document  Canadian Federation of Independent Business

Canadian Special Events Society (CSES)

The CSES is a non-profit organization that represents the interests of the Special Events Industry in Canada.

For further information:
visit the web site: Canadian Special Events Society (CSES) - Certification Program

International Special Events Society (ISES)

The Mission of ISES is to educate, advance and promote the special events industry and its network of professionals along with related industries.

For further information:
visit the web site: International Special Events Society (ISES)

7. Other Resources

Canadian Event Perspective

Charity Village - Q & A

Charity Village Research Library - Special Events and Promotions

Strategis Business and Consumer Site

Labour Market Information

Statistics Canada

The University of Western Ontario - Business Library  

Entrepreneur.com - How to Start an Event Planning Service  

Emergency Medical Services (EMS) - Event Planning Brochure   

PowerHomeBiz.com - How to Start an Event and Meeting Planning Business

Meetings & Incentive Travel (M⁢) E-Newsletter   Only access to the archives of the newsletter is offered free to the public. A subscription to the current newsletter requires the completion of a survey to obtain a no cost subscription available only to Canadian residents.

Canadian Society For Industrial Security Inc. (CSIS)      

Canadian Security Association (CANASA)  

Ministry of Community Safety and Correctional Services - MCSCS

Insight+Foresight+Planning = Success

Need more information?

Click: Canada-Ontario Business Service Centre
Call: 1-800-567-2345
Visit:  our  Regional Access Program Locations page to locate an office near you

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Some of the organizations listed above are not subject to the federal Official Languages Act or the French Language Services Act of Ontario. Their services may not be available in both official languages.

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DISCLAIMER
Information contained in this document is of a general nature only and is not intended to constitute advice for any specific fact situation. Users concerned about the reliability of the information should consult directly with the source, or seek legal counsel.

Links Policy
Some of the hypertext links lead to non-federal government sites which are not subject to the Official Languages Act and the material is available in one language only.