Studying Nigerians and their diverse cultures is an effective way to know and understand what will drive demand for your services or products. Understanding what the majority of the populace desire is a perfect way to identify what business venture is lucrative and has gigantic market size. This strategy is employed by most Nigerian artists, who realized that Nigerians love dancehall music and beats. This kind of musics has won the best awards. Take for instance, “skelewu by Davido”. I love this track so much and never get tired of listening to it even when played over and over again. In reality I can’t actually figure out the meaning of this song, I haven’t read the lyrics too, and I don’t draw any meaning from this track, but I still love it and so many other good Nigerians do too. You can’t separate people from what they love. When you try that, the end result is partial success and a daunting failure.
Events are moments in people’s life which are cherished very much. How would you feel if your wedding ceremony was properly planned and managed? You will feel awesome and totally fulfilled, right? There are high numbers of events that take place in this country. The factors behind this growth can be attributed to the culture in this part of the world and flare that goes with making those moments very special.
Starting Up An Event Management Company
For the aspiring entrepreneur, event management is a very lucrative business venture you can start. People hire event managers to manage their events primarily because they feel they don’t have the time to execute the plan successfully. They also have this feeling that their event will hold according to the plan and run smoothly when managed by a professional. This is where the expertise and experience of a professional event manager comes in to play.
Target Market
The target market for event managers is very huge. This can be divided into two;
(i) Corporate events: this type of events include; conferences, seminars, workshops, etc. Corporate bodies use special occasions to bring clients together and build a closer relationship or to raise publicity for their product or service.
(ii) Social events: social events include birthday parties, wedding ceremonies, funerals, anniversaries etc. The number of social events have continued to grow at a very fast pace as more and more people feel celebrating their life experiences is totally worth it.
Start Up Cost
How much do I need to start up an event management service? This is the major question aspiring entrepreneurs who intend to start up an event management service and established entrepreneurs who feel to diversify ask with a lot of curiosity. The fact is; this question is a very daisy one with multiple edges. Most aspiring entrepreneurs become reluctant to pursue their ambitions as event managers, when they feel, I need to acquire all the equipment, like; cooling van, own a catering service, own chairs, rugs, canopies, own an event garden or center etc.
First, “who is an event manager” An event manager is someone who manages the proceedings of an event, ensuring a hitch-free execution of an event plan. With this in mind, you should know your role as an event manager. Let’s look at the low-end startup cost. We will look at the very basic requirements needed to start up an event management service.
(i) Office: You will need a contact address where your prospective clients can reach you. Starting out, you can use your residential address as your companys contact address. Office address/location does not in any way alter or deprive you of potential clients.
The rent for a low end office can go for N250,000 depending on location.
(ii) Registration: For legality and credibility purposes, your company should be registered with the necessary government bodies, the most important being the Cooperate Affairs Commission (CAC) and obtaining your Tax Identification Number (TIN) from Federal Inland Revenue Service (FIRS), this will cost almost nothing.
Low-end cost for registration at CAC should be N30,000.
(iii) Advertising: Your Company will need some form of advertising to get you potential clients. Most aspiring or established entrepreneurs who are moneybags spend so much to advertise on media platforms, but how effective can it be for your new company. This is where most entrepreneurs in this field make mistake. You have to understand what builds your client base. In the event industry, what drives you clients is “TRUST, and for people to trust you, they need to see what you can do and offer.
This point in one direction, which is “word of mouth advertising”. This is a very powerful and effective form of advertising. People trust their counterparts, colleagues, friends recommendations. All you need is one client to create a massive branch of clients. You should think of applying this powerful and winning strategy, “Offer Your Service Free of Charge to a Well Established Client”. The result will be totally amazing.
Introducing your business to Church or other organisation members is also a very effective way to attract potential clients to your business. Networking with already established counterparts is also good for creating exposure.
Low-end cost for advertising on social media and others should be N50,000
(iv) Payroll: You may want to employ the service of someone who should do the job of a receptionist and booking of appointments if your schedule is too tight.
Low-end cost for payroll should be N30,000.
You will notice that equipment have been clearly omitted from this startup cost list. Your job as an event manager is to outsource every requirement needed to execute a successful event. Having most of this equipment is only to increase your profit margin. Even successful entrepreneurs in this industry don’t have the total requirements needed for an event to take place. You can acquire equipment gradually as you explore this goldmine business venture.
A roundup of total cost will equal N350,000. This figure can still be trimmed father down.
Now you have a clearer picture and wider scope about what event management is, how to start and startup cost. Go ahead, start your event management service today!