4 Common Event Contract Mistakes
Signing off on event contracts is a process that many event producers would avoid if they could. It’s no wonder why when many event producers aren’t armed with the knowledge of the standard components they should expect to find in the contract.
The good news is that entering into an event contract isn’t nearly as challenging once you learn about what to expect and the common mistakes to avoid. To help make the process much easier the next time you need to draw one up, be sure to refer our guide below of the most crucial mistakes to steer clear of.
Mistake #1: Not Understanding What’s In the Contract
When you’re busy making arrangements for your event, going through your event contract with a fine tooth comb is probably the last thing on your mind. Consequently, you may be tempted to skip over the parts you don’t really understand. This is one of the most important mistakes to steer clear of as doing so will lead to costly mistakes.
It is quite common, in fact, for event producers to be unsure about what the key terms and provisions in a standard event contract entail. For example, if the contract states that you may only hire vendors who are on the service provider’s pre-approved vendors list, make sure you understand the implications of this. Likewise, if the contract states that you must pay for the services by a certain date, make sure you have the capacity to do so.
The bottom line is that you need to grasp what the key terms found in the contract mean, as well as the implications they hold for your event and for your company.
Pro Tip: If you need some insight about what to expect, take a look at some sample event contracts. A quick search on Google will turn up a range of event services agreement docs.
Mistake #2: Failing to Appreciate Each Event Provider’s Unique Policies
Another common contract mistake event producers make is that they fail to appreciate that every service provider has their own standard policies. Oftentimes, this is because they bring their own assumptions to the contract based on past contracts they have signed. Consequently, they may be surprised to find that some of the terms in the contract are slightly or completely different from that of the last contract they signed.
For example, the insurance requirements may differ between service providers. Likewise, the payment terms may vary from contract to contract. Why does this even happen? Well, just like your business’ services differ from your competitors, so do those of service providers. To avoid this mistake, try to keep in mind that every service provider is unique, so their policies will be too.
Mistake #3: Not Reviewing the Contract One Final Time
You may have heard the advice, “never sign a contract without reading it carefully.” There’s good reason why this is sage advice: the act of signing your name to a contract represents your agreement to uphold the contract’s terms. As such, it’s vital to properly comprehend what you are signing off on.
If you do have any questions or concerns, simply communicate them with your service provider. If you’ve chosen your service provider carefully (which we discuss further in the next point below), you’ll find that they will try their best willing to put your concerns at ease. While the service provider is not obligated to change the contract’s terms, you may be able to come to some sort of compromise.
Mistake #4: Entering Into it With the Wrong Service Provider
If you’ve managed to avoid all of the mistakes we’ve showcased above, congratulations! You will now have the know-how to establish a solid event contract. But before you crack open the champagne, there’s a final mistake you should make sure to avoid: entering into the contract with the wrong service provider. As we discussed in our event budget basics guide, it is crucial to select a provider that is not only professional and trustworthy, but also has the capacity to provide you with the level of service you need.
This is all the more important given that event contracts are legally-binding agreements. Entering into a contract with the wrong service provider could cost you both undue time and money. It therefore pays to do your research and select an event service provider you can rely on. Selecting the right provider make the total process—from executing the contract to putting together the event—quicker, simpler, and more cost-effective.
Author Bio
Monica Mizzi is a digital marketer hailing from Sydney who has worked with a diverse range of clients including airline magazines, national newspapers, lifestyle and tech publications, marketing agency, as well as blockchain companies. Her experience with leading on-page SEO fixes, link building, and content creation has helped successive clients to rank on the first page of Google. Monica believes that SEO is an undervalued, but powerful component of any successful marketing strategy that all industries and niches should leverage.
