How to Start an Event Planning Business in Ontario

Table of Contents

Introduction
Getting Started
Regulations
Taxation
Financing
Managing Your Operation
Associations
Next Steps

Introduction

An event planning business organizes events such as conventions, meetings, seminars and trade shows. Event planners may also plan social events such as weddings and parties. Some event planning businesses specialize in one type of event, and others offer a wide range of services.

As an event planner, your duties may include:

• Meeting with sponsors and organizing committees to plan the event
• Co-ordinating services, such as accommodation, transportation, catering and special needs requirements
• Organizing registration, preparing programs and promotional material
• Planning entertainment

(Source: The National Occupational Classification, developed by Human Resources and Skills Development Canada)

Event planners are usually responsible for handling the details of an event. You may need to work evenings, weekends and holidays to meet your client’s needs. If you specialize in a type of event, like holiday parties, you will also be busier at certain times of the year.

Getting Started

When you start a business there are several things to consider before you can sell your product or service. Most businesses in Ontario need to complete a minimum of three basic steps:

• Find out what licences and regulations apply to your type of business
• Choose a business structure and register or incorporate
• Determine if you will need to collect and remit HST

Our business start-up guide will give you more information on these steps and other basic requirements for starting a business in Ontario.

Read online:
Business Start-Up Guide

Regulations

Your business may need licences and permits from the federal, provincial and municipal levels of government.

In addition to the information you will find in this guide, you can use BizPaL—an online search tool—to find licences and regulations that may affect your business. You can also contact the Business Info Line to speak to someone about starting your business.

Use online:
Permits and Licences Wizard

Contact the Business Info Line:
1-888-745-8888

Licences, permits and regulations that may apply to your event planning business include:

Selling and Serving Alcohol

If you plan on selling or serving alcoholic beverages, you will need one or all of the following:

Liquor Liability

When you serve alcohol at events, your business is legally liable for guests and participants. Visit the Insurance Bureau of Canada’s website to read about the responsibilities that may apply to your business.

Read online:
Liquor Liability

Music Licence

When your business uses recorded music, you are responsible for obtaining the right licence(s) for that use. The Copyright Board of Canada works with individual copyright collective societies who provide music licensing. Contact the following two organizations for more information.

Attendees with Special Needs

When planning an event, make sure you know how to make your business and events accessible to guests with special needs. The following websites provide information to help you ensure your event is accessible.

Legal Questions

If you have legal questions, contact a lawyer who deals with business regulations. The Law Society of Upper Canada's Lawyer Referral Service may be able to assist you in finding a lawyer, based on your needs.

Contact the Law Society of Upper Canada:
1-800-268-8326
Law Society of Upper Canada's Lawyer Referral Service

Taxation

Depending on your location and the type of products or services being offered, federal, provincial and/or municipal business taxes may apply.

Read online:
Taxation Guide

If you sell goods and services in Ontario, you may need a business number to collect and remit the Harmonized Sales Tax (HST). Most businesses that make less than $30,000 in any 12 month period are not required to charge HST; however, you can register voluntarily and claim input tax credits. Speak with the Canada Revenue Agency (CRA) for more information.

Contact CRA:
1-800-959-5525
Canada Revenue Agency – Business

Financing

Canada Business can help you find government financing options for your business. There are programs that apply to businesses across Canada, and others that apply only to businesses in Ontario. Use the Canada Business financing search tool or browse by type of financing.

You can also access Canada Business information through the ONe-Source online financing wizard. The wizard guides you through 3 easy steps to create a personalized list of results for Ontario business financing programs.

Search online:
Canada Business: Government Grants and Financing
ONe-Source Ontario Business Financing Guide

Contact the Business Info Line:
1-888-745-8888

The Ontario Business Program Guide (OBPG)

You can find Ontario-specific assistance for your business including advice, financing options, tax incentive programs and more using the Ontario government’s free online directory of support programs for business.

The OBPG provides:

• An at-a-glance directory designed for quick and easy scanning
• Programs and services for Ontario businesses
• Basic information on programs as well as links you can follow for more detailed information

Search Online:
Ontario Business Program Guide

Managing Your Operation

The success of any business starts by setting goals and managing the ups and downs of daily operations. Here are some key factors to consider when starting an event planning business.

Certification

As an event planner, recognized certification may help set you apart from your competition. Certification shows clients that you have the skills to meet the standards set by the industry.

You can also take courses on event management, public relations, tourism, business management or hospitality administration from many colleges, universities and private schools throughout Ontario.

Use online:
Find a School

Insurance

Having the correct business insurance can provide peace of mind. Contact an insurance agent to discuss your business insurance options, or to develop a plan that is right for your business.

You may also wish to contact your local chamber of commerce or industry association, as some organizations offer members lower rates on their business insurance.

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)

Read online:
Insurance for Your Small Business

Marketing and Advertising

Marketing can help you determine the value of your product or service and communicate that information to customers. Depending on your market and its size, you can consider using flyers, business cards, brochures, newspapers, radio, TV, the phone book or the Internet. Keep in mind, a satisfied customer or a positive referral is often the best form of advertising.

Read online:  
Developing a Marketing Plan 
Marketing and Sales

When preparing your marketing and/or advertising material, there are regulations to follow. When you promote a product or service, your customers need to have enough information to make informed choices. You can get more information on advertising requirements from the Competition Bureau.

Contact the Competition Bureau:
1-800-348-5358
Misleading Advertising and Labelling

Professional Services

The use of business support services can be essential to the success of a small business. Professionals can provide knowledge and expertise to ensure your business is operating efficiently.

As an entrepreneur, there are several types of professional business services you can consult:

• Lawyers
• Real estate agents
• Insurance brokers
• Bookkeepers
• Accountants

Hiring Support Services

As an event planner, you may be in charge of providing food, drinks, entertainment, security or cleaning services. Some venues or caterers will have their own staff for you to work with. Others will provide the facilities and require you to provide the support staff. You may have to hire:

• Caterers, waiters and bartenders
• Performers, musicians and disc jockeys
• Cleaners

Consult local phone directories, trade magazines, newspapers, the Internet and networking contacts to find the help you need.

Furnishings and Equipment

Your business will need equipment and furniture, and it is important to decide what you need and how much you want to spend.  Some common ways to save money on furnishings and equipment are:

• Buying used equipment - Consider buying used equipment as a cost-saving measure. Sources of used equipment could be businesses that are closing or second-hand equipment stores. Keep in mind the cost of maintenance and repair in the overall costs when buying used equipment.
• Leasing equipment - Another alternative is to lease equipment to help keep start-up costs down. If you choose to lease equipment remember to include interest in your overall cost.

Contracts

A contract is a legally enforceable agreement between two or more parties. Your contracts will vary based on the nature and the complexity of your projects. They can help you outline the terms of payment, ensure understanding of the project and protect you in case of disagreements. When dealing with legal documents like contracts, you may also want to speak with a qualified lawyer for advice.

Read online:
Contracts

Writing a Proposal

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. You may also consider getting help from professionals such as accountants or lawyers.

Read online:
How to prepare a bid

Setting the Right Price

Setting the right price is important in ensuring the success of your business. Here are a few questions you may want to consider:

• What is the current price for your range of services in the industry?
• What is your competition charging?
• What is the total cost of running your business?
• What is the minimum acceptable profit you need to generate from your business?

When determining your fees, make sure you include the cost of your labour, the overhead and the expenses that will be incurred.

In the end, the right price for the service is the price that the consumer is willing to pay. Correct pricing decisions are often key to successful business management.

Read online:
Pricing

Associations

There are many associations that may be of interest to you. It is not necessary to join an association, but some of the advantages include:

• Promoting and exchanging marketing and promotional ideas among members
• Establishing and encouraging high standards of quality and professionalism

Examples of associations for an event planning business include:

Next Steps

For other information that relates to starting your business, you can read the following guides:

• Business Planning
• Market Research and Statistics
• Starting Your Business
• Grants and Financing
• Taxation Guide
• Employment Regulations Guide: Hiring

Additional resources that may be of interest to you include:

• City of Toronto: Events Support Unit
• City of Toronto: Special Events Planning Guide
• Working in Canada: Conference and Event Planners

You can also find books, magazines and other relevant print material at business service organizations in your community. To locate a Canada Business Ontario (CBO) community partner, contact us through the Business Info Line at 1-888-745-8888.

Need more information?

Click: Canada Business
Call: The Business Info Line, a collaboration between ServiceOntario and Industry Canada, at 1-888-745-8888
Visit: Find a Community Partner Location near you

Disclaimers

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

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.