Managing Risk For Event Planners

Legal rulings involving event planners and/or their companies should instill in those working in the industry that there is nothing they cannot be held accountable for when it comes to event planning. It is angering that people do not seem to want to take responsibility for their actions, personally or in business. Therefore, the onus in some instances has been moved to the event planner and his/her company. The law has not discriminated. It has targeted event planners who are sole-proprietors and entrepreneurs hoping to make it big to the large corporations that have been successful in the business for years.

It is imperative that event planners stay up to date on the laws of their business as well as the proceedings and outcome of any legal actions and rulings that may affect the industry. Clients may not be aware of rules and regulations that could influence the outcome of their event. Consequently, it is the responsibility of the event planner to advise their customers accordingly. These legalities need not deter a planner from doing a job. In fact, if knowledgeable about the rules and regulations, an event planner and their company can be more valuable through being prepared for any possible issues that may arise at the events they preside over.

The responsibility at an event usually rests on the shoulders of the person or company that has been hired to orchestrate the planning and bringing all of the areas together. Everyone from the stakeholder or host, the venue, the caterer and anyone else involved will go to the event planner for answers when something goes awry.

How do event planners protect themselves from the risks of the business? Due diligence on all aspects of an event will pay off in the long run. Every event is different and it is important to determine all of the risks possible. This should include everything from the thought that someone might jump into a pool from a second floor balcony right down to suppliers and even the weather. Utilize the 30/70 rule that is commonly used in the industry to determine the level of risk for possible problem areas.

Learn as much as you can about the stakeholders, the event itself and anyone else who may be involved. Hire other companies to look after specific areas. When hiring sub-contractors request and get a copy of their liability insurance. Reputable companies are more than willing to produce their insurance documents.

Consider having a sound and trustworthy law firm on retainer. Your reputation and business depends on it. There may never be a need to use a law firm for anything other than doing your corporate documents, but they are there to advise you in other matters as needed.

Make an appointment with your insurance broker to review your own business insurance policy. Take the time to make adjustments to cover any and all possibilities that might happen while planning and coordinating an event.

This all sounds scary and will make those thinking of going into the business of event planning think twice as to whether this is the career path to take. If this is the case, that is a good thing. The laws and legal rulings from court cases are in place to protect everyone and can be used to the advantage of a new company just by being aware of them.