The Hidden Costs of Event Production & How to Avoid Them
Planning an event is exciting, but sticking to your budget can be challenging—especially when hidden costs start to pop up. These surprise expenses can make it hard to keep your event on budget, but with a little planning, you can anticipate and manage many of these costs.
Here’s a look at some common hidden costs in event production and tips on how to avoid them.
1. Setup and Teardown Time
Many people assume that setup and teardown are included in the main event cost, but that’s not always the case. In some contracts, you may be charged for the time it takes to set up the equipment before the event and take it down afterward.
Ask About Additional Labor Fees: Make sure to ask your AV provider or event production company if they charge for setup and teardown. Sometimes, these costs are calculated by the hour, especially if the setup is complex or time-consuming.
Plan for Efficient Setup: If possible, discuss ways to make setup and teardown quicker and more efficient. This can reduce time and help lower any hourly fees.
By clarifying setup and teardown costs in advance, you can avoid surprises and keep labor fees under control.
2. Extra Hours and Overtime Rates
Events don’t always end on schedule, and when things run longer than planned, you may face extra charges. Many AV and event production companies have overtime rates for any additional hours worked beyond what was originally agreed upon.
Check Overtime Rates: Before signing a contract, ask about overtime charges and when they start. Knowing these rates upfront helps you plan for a realistic end time.
Build in a Buffer: To avoid unplanned overtime, consider building a time buffer into your event schedule. This way, if your event runs a little late, you’ll have some extra time before overtime charges kick in.
Understanding overtime rates and planning accordingly can help prevent unexpected charges if your event runs longer than planned.
3. Travel and Transportation Costs
If your event is held at a location far from your AV provider or event production team, you may be responsible for covering travel and transportation costs. These costs can include mileage, parking, or even hotel stays for the crew if the event requires it.
Being aware of travel and transportation costs helps you choose the best provider for your location without any surprise fees.
4. Power and Electrical Needs
Events with a lot of audio-visual equipment often require a substantial amount of power, which isn’t always included in the venue rental. Venues may charge extra if you need access to additional power sources, or you may need to rent a generator if the power supply is limited.
Ask the venue about its power options and any additional costs for power access. Some venues offer power packages at different price points, so you can choose one that fits your needs and budget.
Understanding the power requirements and costs helps you prepare for any additional charges, keeping your event on budget.
5. Wi-Fi and Internet Costs
For events that involve live streaming, online presentations, or any digital interactivity, reliable internet access is essential. However, not all venues offer Wi-Fi for free, and setting up a dedicated line can come with extra fees.
Ask About Internet Access: Some venues charge extra for Wi-Fi or offer internet packages with different levels of speed and connectivity. Clarifying these costs early helps you avoid surprise charges.
Plan for Streaming Needs: If your event includes live streaming, make sure the venue’s internet speed can handle it, and ask your AV provider about the costs for setting up a dedicated line if needed.
Factoring in Wi-Fi and internet costs for your event helps prevent disruptions and keeps your event within budget.
6. Insurance and Permits
In some cases, venues or cities may require permits or insurance coverage for events with large equipment setups, outdoor spaces, or specific activities. These permits and insurance policies are usually the responsibility of the event organizer and may come with additional fees.
Check Venue Requirements: Some venues require event organizers to carry liability insurance to cover any damages or injuries that might occur. Make sure to clarify these requirements with the venue and your event production team.
Research Permit Needs: Depending on the location and event size, you may need permits for things like sound equipment or outdoor setups. Ask your event production company if they’re familiar with these requirements and what they typically cost.
Budgeting for insurance and permits in advance can help you meet any legal requirements without additional costs cropping up unexpectedly.
Final Thoughts: Avoiding Hidden Event Costs
Hidden costs in event production can add up quickly, but being proactive about understanding these potential charges helps keep your budget on track. By asking the right questions and planning for extra fees like setup time, travel, power, and insurance, you can anticipate many of these costs and reduce financial surprises on event day.
At Plato Media Co., we believe in transparent pricing and helping clients avoid hidden fees. Contact us today to learn more about our services and how we work with clients to stay within budget while creating a successful event experience.