Are you about starting a party supply company? If YES, here is a complete sample party supply business plan template & feasibility report you can use for FREE.
Okay, so we have considered all the requirements for starting a party supply business. We also took it further by analyzing and drafting a sample party supply business marketing plan template backed up by actionable guerrilla marketing ideas for party supply businesses. So let’s proceed to the business planning section.
Party rental business is one of the many business ideas that can possibly thrive not just in the united states of America, but also all across the globe.
The truth is that anyone who intends to organize a party would need to rent party supplies because it is not the norm for people to stock up large quantities of plates, spoons, tents and other stuffs used in parties. A party supply rental business requires reasonable startup capital, but it is indeed money – spinning business if it is well located and if you are able to purchase large quantities of party supplies.
If you are certain that starting a party supply business is what you truly want to do after you must have conducted your market research and feasibility studies, then the next step to follow is to write a good business plan; a detailed blueprint of how you intend raising your seed capital, setting up the business, managing the flow of the business, sorting out tax and marketing your product amongst others.
The truth is that it is one thing to have a fantastic idea cum business plan, it is another thing for the business plan to translate to profits, that is why it is important to assemble a team of experts to work with if you want to be successful with your party supply business.
Here is a sample party supply business plan template that will help you successfully write yours without stressing yourself.
A Sample Party Rental Business Plan Template
1. Industry Overview
Companies that operate in the party supply rental industry engage in renting out party supplies such as tables, chairs, flatware, linens, centerpieces, stages, tents, canopies, public address system, red carpet, drums, plates, glasses, cutleries and other items for public and private parties and events.
The overall revenue generated in the party supply rental industry shrank slightly in 2011 as businesses and consumers wary of the recent recession held off on event spending. On the other hand, renewed assurance in the economy in successive years has encouraged business and consumers to host events that require products from the Party Supply Rental industry.
Continued economic recoveries will likely aid growth through 2022. So also, with higher personal and corporate income, households and businesses are projected to expand their party budgets, which will allow them to spend more on rentals beyond basic necessities to full-service products et al.
Statistics has it that the Tent Rental cum Party Rental industry in the United States of America is worth about $5 billion, with an estimated growth rate of 2.3 percent between 2013 and 2018. There are about 9,645 registered and licensed party rental businesses in the United States and they are responsible for employing about 50,470 people.
In the United States, only Classic Party Rental Company can boast of having a lion market share in the industry. The industry is still very much open for competitions from aspiring investors who would want to launch their own business.
According to report recently published by IBISWORLD, in the United States, the regions that have the greatest concentration of party supply rental companies are the Southeast, the West, the Great Lakes and the Mid-Atlantic.
The distribution of companies is based mainly on the number of households and median income levels by region. Besides, party rental cum tent rental companies tend to locate their business near major metropolitan areas, which generate a steady stream of demand for corporate and social events.
The Southeast region has the greatest concentration of industry establishments, estimated at 31.9 percent of the total in 2015. The Southeast is the most populated region of the United States; therefore, given the high proportion of households, there is a greater demand for tent rental and rental supplies for social events and corporate events.
No doubt the party supply rental industry is indeed a profitable industry to venture in despite the fact that the entry bar for starting the business is not too difficult to scale through.
The truth is that if a party supply rental business is well – stocked with party rental items and also well positioned in an environment with the right demography, they will sure attract regular clients and their items will be booked all through the year.
2. Executive Summary
Ruston Branch® Party Supply Rental Services, Inc. is a business that is incorporated under the law of the United States of America and the business will be located in Atlantic Avenue, Delray Beach – Florida. This is a city that was once derisively known as Dull-Ray, but it has had a remarkable turnaround in the last 30 years. With literally hundreds of shops and restaurants, 20,000 people can visit in a day.
We are a well – organized and well – equipped party supply rental company that will be involved in renting out tables, chairs, flatware, linens, centerpieces, stages, tents, canopies, public address system, red carpet, drums, plates, glasses, cutleries and other items for public and private parties and events.
We will engage in business activities such as wedding rentals, birthday rentals, corporate event rentals, banquets and other event rentals.
Ruston Branch® Party Supply Rental Services, Inc. is a client-focused and result driven party supply rental outfit that provides standard and reliable party equipment/items at an affordable fee that won’t in any way put a hole in the pocket of our clients.
Ruston Branch® Party Supply Rental Services, Inc. will at all times demonstrate her commitment to sustainability, both individually and as a firm, by actively participating in our communities and integrating sustainable business practices wherever possible.
We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely.
The ultimate business goal of Ruston Branch® Party Supply Rental Services, Inc. is to adopt business strategies that will help us scale up our revenues on a quarterly basis and effectively service our clients. Ruston Branch® Party Supply Rental Services, Inc. is family business that is owned by Ruston Packer and her immediate family members.
Ruston Branch has a BSc. in Business Administration from the University of Texas and MBA in Finance from the University of Florida. Ruston who is a native of Jonesboro, Arkansas, began his career at Walmart as a summer associate at the company’s distribution center. He was also an assistant manager and a buyer trainee.
3. Our Products and Services
Ruston Branch® Party Supply Rental Services, Inc. is in the party supply rental industry to service a wide range of clients and of course to make profits, which is why we will make available a wide range of party supplies from top manufacturing brands in the United States.
Our services offerings are listed below;
- Party supply rental (tables, chairs, flatware, linens, centerpieces, stages, tents, canopies, public address system, red carpet, drums, plates, glasses, cutleries and other items for public and private parties and events)
- Corporate party and banquet equipment rental
- Wedding supply rental
- Birthday rentals
- Corporate event rentals
- BBQ party rentals
- Outdoors party rentals
- Other event rentals
4. Our Mission and Vision Statement
- Becoming a party supply rental business that other players in the industry look up to for direction is our ultimate vision.
- We are a company that is equipped to make available a wide range of party supply items to clients who wants to rent them for their parties.
Our Business Structure
Ruston Branch® Party Supply Rental Services, Inc. is a party supply rental company that plans to start small in Atlantic Avenue, Delray Beach – Florida, but looks to grow big in order to compete favorably with leading companies throughout the United States of America.
We are aware of the importance of building a solid business structure that can support the picture of the kind of world class party supply rental business we want to own. This is why we are committed to only hiring the best hands within our area of operations.
At Ruston Branch® Party Supply Rental Services, Inc., we will ensure that we hire people that are qualified, hardworking, creative, customer centric and are ready to work to help us build a prosperous business that will benefit all the stakeholders.
As a matter of fact, profit-sharing arrangement will be made available to all our senior management staff and it will be based on their performance for a period of five years or more as agreed by the board of trustees of the company. In view of the above, we have decided to hire qualified and competent hands to occupy the following positions in our organization;
- Chief Executive Officer (Owner)
- Party Supply Rental Manager
- Admin and HR Manager
- Marketing and Sales Executive
- Accountant
- Customer Services Executive
- Truck Driver
5. Job Roles and Responsibilities
Chief Executive Office:
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for fixing prices and signing business deals
- Responsible for providing direction for the business
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
Party Supply Rental Manager
- Manages the rental of tables, chairs, flatware, linens, centerpieces, stages, tents, canopies, public address system, red carpet, drums, plates, glasses, cutleries and other items for public and private parties.
- Achieves maximum profitability and over-all success by controlling costs and quality of service.
- Responsible for policies and completion of necessary forms.
- Follows proper purchasing and requisitioning procedures.
- Co-ordinates the general assembling and dismantling of tents, tables, chairs, stage and ensures that they are safely transported to and fro event venues.
Admin and HR Manager
- Responsible for overseeing the smooth running of HR and administrative tasks for the organization
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Defines job positions for recruitment and managing interviewing process
- Carries out induction for new team members
- Responsible for training, evaluation and assessment of employees
- Responsible for arranging travel, meetings and appointments
- Oversees the smooth running of the daily office activities.
Marketing and Sales Executive
- Identifies, prioritizes, and reaches out to new partners, and business opportunities et al
- Identifies development opportunities; follows up on development leads and contacts
- Writes winning proposal documents, negotiate fees and rates in line with company policy
- Responsible for handling business research, marker surveys and feasibility studies for clients
- Documents all customer contact and information
- Represents the company in strategic meetings
- Helps to increase sales and growth for the company
Accountant
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides managements with financial analyses, development budgets, and accounting reports
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting for one or more properties.
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensures compliance with taxation legislation
- Handles all financial transactions for the company
- Serves as internal auditor for the company
Client Service Executive
- Welcomes guests and clients by greeting them in person or on the telephone; answering or directing inquiries.
- Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
- Through interaction with clients on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Manages administrative duties assigned by the manager in an effective and timely manner
- Consistently stays abreast of any new information on the company’s products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients when they make enquiries
Truck Driver:
- Responsible for transporting tents, party rental items/equipment, supplies and workers to party venue
- Runs errand for the organization
- Handles any other duty as assigned by the party supply rental manager.
6. SWOT Analysis
Due to our knack for details and excellence, we were able to work with result driven business consultants in Atlantic Avenue, Delray Beach – Florida to look through our business concept and together we were able to examine the prospect of the business and to access ourselves to be sure we have what it takes to run a standard party supply rental business.
In view of that, we were able to take stock of our strengths, our weakness, our opportunities and also the threats that we are likely going to be exposed to in Atlantic Avenue, Delray Beach – Florida. Here is a of what we got from the critically conducted SWOT Analysis for Ruston Branch® Party Supply Rental Services, Inc.;
- Strength:
Some of our key strengths as a party supply rental business is that we have dozens of party supply items meaning that even if the request doubled overnight, we can still meet up. We offer free deliveries and pickups and we are centrally positioned in a city that is notable for parties on a regular basis.
- Weakness:
One obvious weakness is the fact that we are only operating from a location especially when compared to party supply rental businesses that run franchises or operate from different locations.
- Opportunities:
The opportunities in the party supply rental industry is massive considering the number of events that take place on a daily basis in the United States. As a standard party supply rental company, we are ready to take advantage of any opportunity that comes our way.
- Threat:
Some of the threats that we may likely face as a party supply rental company operating in the United States are unfavorable government policies, the arrival of a competitor within our location of operations and global economic downturn which usually affects the rate at which people organize parties.
7. MARKET ANALYSIS
- Market Trends
One thing is certain; it is difficult to find a business that is strictly into just party supply rentals because such a business will find it difficult to maintain its overhead and operational cost or generate enough income needed for business expansion.
In recent time, it is common to find party supply rental companies engage in other complimentary services such as event planning and the likes.
The party supply rental industry is in a continuous state of evolution and as such, ground breaking strategies and ideas that were once highly successful are no longer as productive as they were in time past. Close observation of the trend in the industry reveals that the past few years have seen the rise and proliferation of social media and new tech tools.
The trends also extend to increased attention paid to engagement and new market segments, adopting eco-friendly measures and sustainability when planning events, and of course increase in demands from event sponsors. Lastly, aside from excellent customer services, party supply rental companies ensure that they have some of the best items they can get even if it means importing them or customizing them.
8. Our Target Market
Although Ruston Branch® Party Supply Rental Services, Inc. will initially serve individual clients and small businesses, but that does not in any way stop us from growing to compete with the leading party supply rental companies in the United States. Below is a list of the people and organizations that we have specifically design our products and services for;
- Event Planners
- Party Planners
- Wedding Planners
- Corporate Organizations
- Religious Organizations
- Political Parties
- Households/Families
- The Government (Public Sector)
- Schools (High Schools, Colleges and Universities)
- Sport Organizations
Our competitive advantage
To be highly competitive in the party supply rental industry means that your tables, chairs, flatware, linens, centerpieces, stages, tents, canopies, public address system, red carpet, drums, plates, glasses, cutleries and other items for public and private parties and events must be of high standard, your business must be well – positioned and well – equipped, you should be able to deliver consistent quality service and you should be able to meet the expectations of your clients.
Ruston Branch® Party Supply Rental Services, Inc. might be a new entrant in the industry, but the management staff are highly qualified to run such business. Our rental items are of world – class standard and the business is well positioned and equipped to meet the 21st century demand of both high profile clients. These are part of what will count as a competitive advantage for us.
Last of all, our employees will be well taken care of, and their welfare package will be amongst the best within our category in the industry meaning that they will be more than willing to build the business with us and help deliver our set goals and achieve all our aims and objectives.
9. SALES AND MARKETING STRATEGY
- Sources of Income
Ruston Branch® Party Supply Rental Services, Inc. is established with the aim of maximizing profits in the party supply rental industry and we are going to go all the way to ensure that we do all it takes to attract clients on a regular basis.
Ruston Branch® Party Supply Rental Services, Inc. will generate income by offering the following party supply rental services for individual clients and for corporate organizations;
- Party supply rental (tables, chairs, flatware, linens, centerpieces, stages, tents, canopies, public address system, red carpet, drums, plates, glasses, cutleries and other items for public and private parties and events)
- Corporate party and banquet equipment rental
- Wedding supply rental
- Birthday rentals
- Corporate event rentals
- BBQ party rentals
- Outdoors party rentals
- Other event rentals.
10. Sales Forecast
It is a fact that there would always be parties in the United States of America and as such the services of party supply rental companies will always be needed. This, we have at the back of our minds always.
We are well positioned to take on the available market in Atlantic Avenue, Delray Beach – Florida, scale all up our income on a regular basis and we are quite optimistic that we will meet our set target of generating enough income/profits from the first six months of operation and grow the business and our clientele base beyond Atlantic Avenue, Delray Beach – Florida to other cities in Florida and other states in the U.S.
We have been able to examine the party supply rental market, we have analyzed our chances in the industry and we have been able to come up with the following sales forecast. Below are the sales projection for Ruston Branch® Party Supply Rental Services, Inc., it is based on the location of our business and the wide range of party supply items that we will be offering;
- First Fiscal Year: $240,000
- Second Fiscal Year: $530,000
- Third Fiscal Year: $800,000
N.B: This projection was done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and natural disasters within the period stated above. There won’t be any major competitor offering same additional services as we do within same location.
- Marketing Strategy and Sales Strategy
We are mindful of the fact that there is stiff competition amongst party supply rental companies in the United States of America; hence we have been able to hire some of the best business developers to handle our sales and marketing concerns.
Our sales and marketing team will be recruited based on their vast experience in the party supply rental industry and they will be trained on a regular basis so as to be well equipped to meet their targets and the overall goal of the organization. We will also ensure that our excellent job deliveries speak for us in the market place.
Our goal is to grow our party supply rental company to become one of the top 10 party supply rental companies in the United States of America which is why we have mapped out strategies that will help us take advantage of the available market and grow to become a major force to reckon with not only in the Atlantic Avenue, Delray Beach – Florida.
Ruston Branch® Party Supply Rental Services, Inc. is set to make use of the following marketing and sales strategies to attract clients;
- Introduce our business by sending introductory letters alongside our brochure to event planners, corporate organizations, religious organizations, schools, households and key stake holders in Atlantic Avenue, Delray Beach and other cities in and around Florida
- Advertise our business in relevant event related magazines, newspapers, TV and radio stations
- List our business on yellow pages ads (local directories)
- Attend relevant international and local expos, seminars, and business fairs et al
- Create different packages for different category of clients in order to work with their budgets and still deliver quality supply and services to them
- Leverage on the internet to promote our business
- Engage direct marketing approach
- Encourage word of mouth marketing from loyal and satisfied clients
- Join local chambers of commerce and industry with the aim of marketing our business
- Make use of attractive hand bills to create awareness and also to give direction to our facility
- Adopt direct mailing coupon marketing approach
- Position our signage/flexi banners at strategic places in and around Los Angeles – California
- Create a loyalty plan that will enable us reward our consistent clients especially those that refer clients to us.
- Engage in roadshows within our neighborhood to create awareness for our party supply rental business.
11. Publicity and Advertising Strategy
In order to walk our way into the heart of our target market, we tasked our brand and publicity consultant to help us come up with workable and suitable strategies. We are set to take the event planning and party rental industry by storm which is why we have made provisions for effective publicity and advertisement of our party supply rental company.
Below are the platforms we intend to leverage on to promote and advertise Ruston Branch® Party Supply Rental Services, Inc.;
- We will place adverts on both print (community – based newspapers and magazines) and electronic media platforms
- We will leverage on the internet and social media platforms like; Instagram, Facebook, twitter, YouTube, Google + et al to promote our brand
- We will install our billboards in strategic locations all around Atlantic Avenue, Delray Beach – Florida
- We will distribute our fliers and handbills in target areas
- We will ensure that all our workers wear our branded shirts and all our vehicles and trucks are branded with our company’s logo.
12. Our Pricing Strategy
At Ruston Branch® Party Supply Rental Services, Inc. we will keep our rental prices below the average market rate by keeping our overhead low and by collecting payment in advance. In addition, we will also offer special discounted rates to startups, nonprofits, cooperatives, and small social enterprises.
We are aware that there are some clients especially event planning outfits that would need regular party supply rental items, we will offer flat rate for such services.
- Payment Options
The payment policy adopted by Ruston Branch® Party Supply Rental Services, Inc. is all inclusive because we are quite aware that different customers prefer different payment options as it suits them but at the same time, we will ensure that we abide by the financial rules and regulation of the United States of America.
Here are the payment options that Ruston Branch® Party Supply Rental Services, Inc. will make available to her clients;
- Payment via bank transfer
- Payment with cash
- Payment via credit cards
- Payment via online bank transfer
- Payment via check
In view of the above, we have chosen banking platforms that will enable our client make payment for renting our party supply items without any stress on their part. Our bank account numbers will be made available on our website and promotional materials.
13. Startup Expenditure (Budget)
From our market survey and feasibility studies, we have been able to come up with a detailed budget on achieving our aim of establishing a standard and highly competitive party supply rental business in Delray Beach – Florida and here are the key areas where we will spend our startup capital on;
- The total fee for incorporating the Business in the United States of America- $750.
- The budget for basic insurance policy covers, permits and business license – $2,500
- The Amount needed to acquire a suitable facility that will accommodate our dismantled tents, trucks and small office facility (Re – Construction of the facility inclusive) – $150,000.
- The cost for equipping the office (computers, software applications, printers, fax machines, furniture, telephones, filing cabins, safety gadgets and electronics et al) – $5,000
- The cost of launching an official Website – $600
- The cost for the construction of standard tents – $10,000
- The cost for the purchase of standard party supply items (tables, chairs, flatware, linens, centerpieces, stages, tents, canopies, public address system, red carpet, drums, plates, glasses, cutleries and other items for public and private parties and events) – $50,000
- The cost for the purchase of a truck – $10,000
- Budget for paying at least 4 employees for 2 months plus utility bills – $60,000
- Additional Expenditure (Business cards, Signage, Adverts and Promotions et al) – $2,500
- Miscellaneous: $5,000
Going by the report from the market research and feasibility studies conducted, we will need about three hundred and fifty thousand (350,000) U.S. dollars to successfully set up a medium scale but standard party supply rental business firm in the United States of America.
Generating Funds/Startup Capital for Ruston Branch® Party Supply Rental Services, Inc.
Ruston Branch® Party Supply Rental Services, Inc. is a family business that will be owned by Mrs. Ruston Packer and her immediate family members. They are the only financiers of the business, but may likely welcome partners later which is why they decided to restrict the sourcing of the startup capital for the business to just three major sources.
- Generate part of the startup capital from personal savings
- Source for soft loans from family members and friends
- Apply for loan from the bank
N.B: We have been able to generate about $150,000 (Personal savings $100,000 and soft loan from family members $50,000) and we are at the final stages of obtaining a loan facility of $200,000 from our bank. All the papers and documents have been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.
14. Sustainability and Expansion Strategy
The future of a business lies in the number of loyal customers that they have, the capacity and competence of their employees, their investment strategy and the business structure. If all of these factors are missing from a business, then it won’t be too long before the business closes shop.
One of our most important goals of starting Ruston Branch® Party Supply Rental Services, Inc. is to build a business that will survive off its own cash flow without injecting finance from external sources once the business is officially running.
We know that one of the ways of gaining approval and winning customers over is to rental out our party supply items/equipment a little bit lower than what is obtainable in the market and we are well prepared to survive on lower profit margin for a while.
Ruston Branch® Party Supply Rental Services, Inc. will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and retraining of our workforce is at the top burner.
We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.
Check List/Milestone
- Business Name Availability Check: Completed
- Business Incorporation: Completed
- Opening of Corporate Bank Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Securing a standard facility and reconstruction inclusive: In Progress
- Conducting Feasibility Studies: Completed
- Generating part of the startup capital from the founder: Completed
- Applications for Loan from our Bankers: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Packaging Marketing/Promotional Materials: Completed
- Recruitment of employees: In Progress
- Purchase of the needed furniture, office equipment, electronic appliances and facility facelift: In progress
- Purchase of various sizes of standard tents and other party rentals items: Completed
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business (Business PR): In Progress
- Health and Safety and Fire Safety Arrangement: In Progress
- Establishing business relationship with vendors, event planners, and key players in the industry: In Progress