There is no doubt that trade shows prove profitable in so many ways however it is not only about the money you make but the list of expenditures should also be considered. The exhibitors should keep in mind that expenses should not be increased above a standard limit as otherwise, the profit graph can be decreased. So, the best way is to mark down those expenditures that cannot be avoided in any case.
- Booth Setup!
Trade shows obviously require booth set up at the event place which also requires you to spend a significant amount. You will have to pay exhibition stand builders in Birmingham for designing stands. The booth setup is not easy to manage and you will surely require the assistance of experts who can adjust the modular stands right according to your needs.
- Venue Charges!
Venue cost is one of the major expenses and it should be listed down in the list. The venue owners usually charge high rent to companies for organizing exhibitions at their place so when you decide to throw a trade show, it is necessary to do the homework first. Meanwhile, the estimated profit figure should also be calculated after deducting such expenses.
- Marketing Cost!
Marketing is indispensable for the success of trade show so the marketing cost should be allocated separately depending on the medium you choose. In most of the cases, companies spend around 20% of the total budget for the marketing of trade shows however it can be minimized to 15% if you choose the right strategy.
- Admin Expenses!
The administration expenses include the salaries of staff, electricity expense, maintenance expense, and other petty expenses. Well, if you get the accumulated figure, you’ll come to know that it actually plays a significant role in the overall profit and loss statement.
- Legal Fee!
Whenever it comes about organizing a trade show, there are some legalities that are crucial to follow. So, you will obviously have to pay a legal fee. The permission letter can be obtained after paying the fee.
- Insurance Charges!
The insurance charges should also be added into the list. Well, it is up to you whether you want to get the event insured or not. However, there is a risk in this case so the decision should be taken wisely. In short, these are major expenses that incur for almost all types of events.