Page 120 - DMGT304_EVENT_MANAGEMENT

Unit 5: Financial Management

Does the event have sponsors? Notes
Will Fringe Benefit Tax apply

Did u know? Events costs will depend on the scale and type of event.

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Caution The event budget should be set so that if sponsorship and/or government funding
is not forthcoming the event does not have to be cancelled.

5.2 Financial Analysis

From the development of realistic event budgets to the post-event financial analysis that measures
your success, event finances with a comprehensive suite of services include the following:
Creation of an appropriate event budget
Management of your finances
Accurate accounting for all income and expenditure

Provision of updated accounts whenever required
Fast, efficient processing of delegate and sponsor registration fees (cheque or credit/debit
card payments)

Timely payment of all event expenses
Payment of event profit to your nominated budget code
Other financial services – we can also advise on associated services such as the negotiation
of event insurance cover.

Priceless peace of mind
This all adds up to much more than just a collection of receipts and spreadsheets. As well as
helping you achieve the commercial results one want, good financial management gives an
individual, the priceless peace of mind that comes from knowing an event finances are always
under control. It also helps to build reputation as an event organiser who’s always in control.
5.3 Financing the Event

Some differences exist between organisations that run events for profit motives and those that
are not-for-profit oriented. Government grants are seldom achievable by for-profit enterprises.
Small scale events run by not-for-profit organisations are likely to be funded by participant fees.
Larger scale events, whether run by for profit or not for profit enterprises will likely need
substantial support through commercial sponsorship. In many cases, fees paid by people who
spectate can be a worthwhile source of income. The table 5.1 provides common sources of event
revenue.

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