Subcontract Equipment or Services? Then You Need Contracts For Event Planning

Contracts for Event Planning may very well save your day if the worst happens. Imagine you have an event at a local hotel. It is a corporate event for a local company and this contract will not only pay you very well, but also bring you lots of work in the future. This could be the one you have been waiting for.

It is a large affair with over 1000 guests coming, mostly VIP's and other top management and they will be having a sit down dinner and lots of great entertainment and you will be providing lights, sound and the catering!

It all sound absolutely great. Everything is going nicely and the guests start arriving. VIP after VIP taking their seats and waiting excitedly for the event to begin.

Suddenly, there is a massive crash as one of the speaker stands falls onto the table and lands right into the sitting VIP's. An ambulance is called and two of the guests are injured and taken away to the hospital. It looks like this could be a disaster for you.

Later you find out that the guests are ok, but they want to seek damages for their hospital bills and they are probably justified in wanting that.

But who is responsible?

Well there are at least 2 questions to ask:

Who supplied the equipment?
And
If it was subcontracted, do you have a contract with them?

If the equipment is your equipment, then you are liable and your insurance company will probably have to pay up the costs.

If the equipment is subcontracted you may still be liable. How so as the equipment is not yours? Surely the owner will be liable?

If you have a back-to-back contract with the owner of the equipment that states that as the owner, they will assume responsibility for all damages or claims against that specific equipment, then they will be liable. However, if you have no contract that states that they are liable, sadly to say you are, even though the equipment is not yours.

Contracts for event planning are essential, not just with the venue and the caterers, but with everyone involved in the event. You are not qualified to draft contracts (probably) so make sure that you seek professional advice about your contracts.

Did you know for example, that you may be in breach of copyright if you just download a contract from the internet and use it for your event? It is essential that your lawyer draws up your contracts for event planning.

Lawn Care Business Contracts - Get Professional

Customers are important and you want to make sure you keep them. Finding new ones can be costly and time consuming.

For a professional approach and to increase your chances of keeping them, put your services in a contract. Yes, a written agreement. Many companies, you probably wouldn't expect, use contracts. So get on the bandwagon.

You may be unable to do this with some customers, but many will be open to it. It show's professionalism. A contract doesn't have to be looked upon negatively. It can actually comfort a customer. It shows them you are serious about the business and you will do what you say you will.

Some key points to include in a contract are

* Services

* Address(es)

* Payment Terms

* Termination

* Renewal

* Hold Harmless

Services

Make sure to list what will be provided. Be extremely specific. For example, when cutting a lawn list whether it will be bagged. For leaf removal, tell how many times a year it will be done. Don't just put leaf removal. The customer may think it is 1 time a month during the season.

If doing a lawn spray service, list how many times, when, and what applications will consist of.

Always include how many times and when with a clause in the contract to compensate for weather conditions. Make it easy to understand.

Address(es)

Some business may have multiple locations and branches such as convenient stores and gas stations. Make sure you list the address and name of each business you are servicing. Different locations for the same company may have different services.

For example, some gas stations may require more mulching or leaf removal than the others. Make sure you are specific in what you will do for each of the locations. Try not generalize. It could burn you majorly.

Payment Terms

List how and when you expect to be paid. Most payments are expected upon invoice, but some big companies expect to pay 30 days after receiving the invoice.

If you want immediate payment for certain jobs stated in the contract include it. Give them an incentive and offer a discount for paying within 7 days of the invoice and penalize them when they do not pay within a certain time. Consult a lawyer and find a percentage that is fair.

Some contracts consist of one easy payment once a month. They add all the services' payments over the course of 1 year and divide by 12. For example, if all the income for 1 client totals 50,000 for a year, divide 50,000 by 12 months = $4,166 per month.

Termination

Have a clause in the contract so you or the customer can terminate the contract. You never know what will arise. You could become ill or unable to continue. A 30 day written notice from either party is fair. Don't burn your bridges and be professional.

Renewal

If you and the customer are pleased, having an easy way to continue service after the contract is up is a MUST. This avoids having to write a new one. That's why a clause should be included.

You can say the contract automatically renews or that the customer should notify you 30 days prior to the end of the contract to discontinue service. There are many other ways to accomplish to do this. This is just one.

Hold Harmless

An agreement that states your company agrees not to hold the customer liable if you or one of your employees gets hurt while on their property. Liability and workers compensation insurance is important for this type of agreement. Some customers may require this, but most bigger businesses require that all service
professionals show proof of this business insurance even if it is not required by law.

A contract is a good thing. It helps in business planning. How many employees will be needed at certain times of year, how much inventory needed, types of fertilizers and chemicals and what quantity. Also, will let you know if you are able to afford new equipment or vehicles. Plus, it shows professionalism.

I spoke about the words contract and signature(sign), but please use these instead when dealing with customers- Agreement and OK.

I need you to sign right here OR

I need your OK right here.