artsderbyshire - Financial planning

Your budget is a critical management document and should include all likely costs at the ‘ going rate’ and reflect good practice with regard to remuneration for the arts practitioners involved. As budgeting is also fundamental to fundraising always resist the temptation to give a gloss to your projections – inflating income, deflating expenditure – to create a better picture.

Depending on the nature of the event, your budget headings may include:

Expenditure/Payments

artists' fees and expenses
organisers’ time and expenses
administration and related costs including telephone, stationery and postage
venue costs
insurance
license fees e.g. entertainment license; costs of copyright clearance
equipment purchase/hire
technical support including technicians’ fees, set-up or installation costs
invigilation and event management costs
publicity and marketing e.g. advertising, print and distribution costs, database management
professional fees e.g. auditors
staff training and development
evaluation – both during and after the event
contingency against unforeseen costs – often recommended at 5%

Income/Receipts

earned income e.g. ticket sales; fundraising activities; workshop fees
sponsorship either as support in-kind (for example, the use of someone’s equipment or professional time) or cash
in-kind support or cash from venue or event partner
grants from public funding bodies or charitable trusts/foundations
commission on sale of artworks

It is often difficult to secure enough funds to realise the ‘dream' budget. Be prepared to scale down the project if necessary and develop a realistic contingency plan.

The Dumfries and Galloway Council’s The Event Organisers Toolkit for sample financial planners is available to download from the Related Documents section of this page.