Pricing, Planning & Profit Margins: A Day in Event Rentals - February 3, 2025

Picking Up Cocktail Tables

First stop: picking up 16 cocktail tables from a local business. Here’s the breakdown:

• Revenue: ~$480

• Job-Related Costs (ARA Calculator): $195

• Profit Contribution Margin: $285 (59%)

However, the real margin was lower because I was at the ARA show during this event. I had to pay a colleague $150 to handle the drop-off. I always make sure to overpay people who step in on an interim basis—it’s only fair for their time. A full-time employee setup would be different.

December Event Site Visit

I checked out a venue for a December event—just tables and chairs for this one. It’s always nice to have months to prepare. This order includes wood grain garden chairs, which I’m working on adding to our inventory.

Price Adjustment: Plastic Folding Tables

I increased the rental price of plastic folding tables from $10 to $12. I originally had them at $10 for two reasons:

1. Encouraging customers to book 6ft tables over 8ft tables by keeping a $5 price difference (since I don’t have as many 8ft tables).

2. Targeting small businesses that rent 20-30 tables at a time, which becomes profitable when adding setup and linens.

Wrapping Up the Day

I ended the day working on proposals, fielding calls, and following up on leads. The usual grind, but always necessary.

Final Thoughts

A solid day of logistics, strategy, and planning for future growth. The small tweaks—like pricing adjustments and inventory expansion—are what add up over time. On to the next!

- Until next time! 🚀