There is an acute possibility in the US event planning market. Already, 98313 small businesses thrive in this sector. However, the market is very disintegrated. There are quite a few emerging names in the business. Let’s check out the event planning business registration procedure.
Such conditions make the market rife for new market entries.
But wishing is not enough. The first thing you need is a legal business entity.
The only way to legalize it is to register your business. However, none are big brands. But not an event-planning brand. Choosing the business type depends on your Event Planning Business Plan.
Many other businesses may do well with just an LLC or corporation license.
Event Planning Business Registration has many steps. One of them is undoubtedly your business registration. But you also need an event planning license to get going. You would need other permit requirements, too.
Let us study these registration and licensing requirements in detail.
Event Planning Business Registration
There are no event planner licenses. However, there are several other licensing obligations you need to follow. We will explore those in detail here.
In this business, there is something more important than licensing. That is event planning certification.
There are professional bodies that certify event planners. These may be federal, state, or local bodies.
Permit Requirements
Before planning an event, understand the licenses you may need.
You need a separate license if you are hosting your event at a business venue. But you won’t need that to host a party at a reception hall.
You need another license to host a party in a public place.
However, the license and permit requirements are different. Each city and county has a separate set of rules.
So, you must research the market well before you enter an event planning domain.
Wait. There’s more.
It would help if you were licensed to host any business activity in the respective territory.
But, the process could be more transparent.
Each license takes several weeks to process.
Doing Your Research Right
To register your business, search for business requirements that apply to your area.
Let’s take the example of NY, for instance. Firstly, you would need a State Tax ID. After that, you must decide the nature of the business you want to run.
It is best to start a small business as an LLC or a Corporation.
Similarly, you must file for registration with the NY State Department.
Then comes the professional licenses and permits for NY event planning, management, and hosting.
Licenses and Permits During Event Planning Business Registration
Some permits are needed all over the US for starting an event planning business. Let’s begin with permits without which your event planning business can’t exist:
Permit to serve alcohol during an event
You need a liquor license to operate a party that serves liquor in every state. Often, a county would have its own laws regarding serving liquor. Contact an Event Planning Specialist if you need help sourcing liquor licenses.
You may need both to host some parties.
Serving Food
If you prepare food for a party, you need a separate permit. For instance, you need the city’s Health Department’s clearance letter.
License for outdoor events
There are several outdoor events. It would help if you had a local clearance and permit to host an outdoor event. Firstly, you need clearance in the form of a no-objection letter from the municipal authority to book a public premise.
After that, you need a local council permit to host a specific party.
Secondly, multiple council bodies will supervise your site before the event. For example, the local fire marshall will review it. The state police authorities will review it then.
After their NOC letter comes, you can host the event.
Permits to build outdoor structures
You need a permit to put up any temporary structure in a public area. For example, you need a license for building tents, stages, platforms, bleachers, etc.
After the permit arrives, you can erect the structure and execute your Event Planning Business Plan.
But that’s not all. After it’s built, the local fire marshalls and official municipal surveyors would inspect the structure.
Then, you may host the event.
Entertaining Events
Often, an event has amplified sound or music. Most events include speeches or commentary. So, you must seek permission to run mikes in the concerned territory.
Permission for big gatherings
You need a special permit if there will be a crowd flocking at or around your event. A typical event hosting permit may allow 10 to 20 people. But, a gathering of more than 50 people would require a special license.
Decorations in a Public Space
There are many bars on public decorations. Considering the environmental and public safety of the site, such restrictions are imposed.
So, check the local authority’s manual before creating a public decoration. To remodel your public space, you need proper Handyman Business Planning.
Registrations to Start Your Business
Some standard licenses apply to any Event Planning Business Registration. Other than licenses, you need permits and tax registrations, too.
I have listed the most common requirements here:
License to Operate a Business
You will get a business license from your county or city council. You will get the details from the city or county council’s website.
You will get an application form in PDF format there. You will find the application guidelines there.
But don’t forget to renew your license on an annual basis.
Apply for a Federal Tax ID Number
The IRS issues the federal tax number. The tax ID is also called the EIN. Almost all businesses need it.
However, sole proprietary businesses do not have a separate tax number. Firstly, those companies are not exclusive entities. Secondly, the owners shoulder their tax liabilities.
Again, freelance businesses can do without an EIN.
State’s Tax Identification Number
Your state’s revenue or taxation department issues this number. After getting this number, you can technically operate anywhere in the state.
DBA or fictitious business registration
Some businesses may apply for a DBA number. It is more like a pseudonym.
The DBA notifies people that a company is running a specific entity under the DBA.
Land Use Rights
If you want to use a public commercial space, you may need a separate business permit.
First, you need a Certificate of Occupancy. After that, remodel or develop any commercial space.
Developing a space may refer to building temporary structures like a podium, dining area, or temporary arch gates.
Sales Tax Licenses or Resellers Permit
There are many names for licenses or permits. And the names differ as you enter another state. But you need it more when selling any product or service.
Insurance for Workers’ Insurance
Some US states have separate compensation coverage for workers. In those states, you must insure your employees under direct payroll.
It is a mandate. So, you must give insurance, even if you have only one employee.
Event Planning Business Registration for Joint Event Businesses
There are three common event-planning business types. Most of the events are recreational events. After that comes corporate events.
The number of permits and licenses needed to host corporate events is much more than those required for public entertainment events.
But Why?
The reason is that governing agencies sponsor most entertainment events. When they contract an event organizer, they already have most of the licenses.
But that’s not the scene with corporate events.
The corporate body wants the event organizer to handle everything from essential to pro event management nitty gritty.
At last comes the charitable events.
These events are a mix of corporate and entertainment events.
Qualifications Needed
Your event business licensing depends on your qualifications.
Eventually, there are no clinical prerequisites to start an event planning business.
Generally, event planners should have a relevant degree in business management. You can have a hospitality degree, too.
The Bottom Line
Event Planning Business Registration is a step-by-step process. It starts with registering your business name. Then, you qualify as a business entity. After that, you can begin applying for separate event planning licenses.
You may do without the permits at the start of your business. For example, you need a site permit only when you get an event booking at a commercial or public site.
But be careful about the licensing needs. Don’t skip licensing or avoid gathering permits. That may be harmful to your business.
That’s all about licensing your event business. If you need more advice, comment below.
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