A%20Meeting%20Planner

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A Meeting Planners Guide to Catered Events

• Chapter Ten
• Contracts and Negotiations

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• Caterers typically require meeting planners to
  sign formal catering contracts before events are
  scheduled to take place.
• Sometimes a caterer will forgo the use of formal
  contracts and instead rely on signed banquet
  event orders (BEOs) or signed letters of
  agreement.
• These documents may be every bit as legally
  enforceable as formal contracts however, they do
  not use the typical boilerplate legalese

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• More caterers are using letters of agreement as
  opposed to contracts.
• They serve the same purpose.
• Signing an agreement is less threatening to most
  people than signing a contract.
• The word agreement is friendlier, not quite as
  cold.

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• Never book and confirm a catered event without a
  signed agreement.
• Usually an unwritten contract cannot be legally
  enforced in a court of law unless you are dealing
  with an agreement worth 500 or less.
• Even with small parties, it is good business
  practice to detail in writing both your and the
  caterers responsibilities and obligations.

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Banquet Event Order

• The banquet event order (BEO), also called the
  function sheet, is the basis of the property's
  internal communication system between
  departments.
• It is the basic building block upon which the
  caterer's accounting and record-keeping systems
  are constructed.
• A BEO is prepared for each meal and beverage
  function, and copies are sent to the departments
  that will be directly or indirectly involved with
  the events.

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BEO

• Usually all departments receive a copy of each
  BEO a week or more before the catered function is
  held.
• This ensures that all department heads have
  enough time to schedule and complete the
  activities that support the events.

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The typical BEO contains

• BEO number
• Function day(s) and date(s)
• Type of function
• Client name with signature line
• Client address
• Client contact person, or person in charge
• Person who booked the event and authorized
  signature(s)
• Name of function room

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BEO Contents (cont)

• Beginning time of function
• Expected ending time of function
• Number of attendees expected
• Number of attendees to prepare for
• Menus
• Style of service
• Function room setup

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BEO Contents (cont)

• Reference to other BEOs or other relevant records
• Date BEO was completed
• Signature of person preparing (or approving) the
  BEO
• List of departments receiving a copy of the BEO

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BEO Contents (cont)

• Special instructions (such as centerpieces,
  set-by times, parking details, miscellaneous
  labor charges, sleeping-room blocks, napery,
  tablescapes, bar arrangements, props,
  entertainment, electrical/engineering needs,
  unique underliners, VIPs, and other special
  amenities)
• Prices charged
• Master billing account number
• Billing instructions

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Resume

• A resume (also called a convention resume or
  meeting resume) is a summary of function room
  uses for a particular convention or meeting.
• Normally it is used whenever a meeting planner
  books two or more catered events to be held
  consecutively.
• The resume usually includes all BEOs.

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Resume

• The resume may more appropriately be referred to
  as the function room resume as this report
  details function room use for a particular
  client.
• It focuses on the major highlights while
  deferring to the pertinent BEOs for specific
  details.

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Resume

• If you book a one-week convention, and there are
  15 meal, beverage, and business-meeting
  functions, the resume will highlight each
  function, when the function rooms will be booked,
  and when they will be dark.

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Resumes Include

• Function day(s) and date(s)
• Types of functions
• Client name
• Client contact information (address, e-mail
  address, and cell phone number)
• Client contact person, or person in charge
• Person who booked the events along with
  authorized signature(s)

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Resumes Include (cont)

• Beginning times of functions
• Expected ending times of functions
• Number of attendees expected
• Furniture and equipment needs
• Function room names
• Room setups
• Special instructions

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Resumes Include (cont)

• Date resume was completed
• Signature of person preparing (or approving) the
  resume
• List of departments receiving a copy of the resume

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Resumes Include (cont)

• Room charges
• Labor charges
• Equipment charges
• Master billing account number
• Billing instructions
• Reference to other relevant records

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Contract

• Contract date
• Function day(s) and dates
• Function time(s)
• Appropriate client and facility signatures
• Function room(s) tentatively assigned
• Menus
• Style(s) of service
• Function room setup(s)

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Contract

• Other client service(s)
• Deposit(s)
• Breakage
• Head-count guarantee(s)
• Overset
• Attrition
• Refunds, returns, and allowances
• Outside food and beverage

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Contract

• Taxes
• Gratuities
• Tips
• Service charge(s)
• Cancellation penalty
• Room setup charge(s)
• Room rental rate(s)
• Setup service charge(s)

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Contract

• Display restriction(s)
• Responsibility for loss and/or damage
• Underage or visibly intoxicated guests
• Indemnification
• Security
• License(s) and permit(s)
• Price quotation(s)
• Uncontrollable acts

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Contract

• Substitutions
• Change order(s)
• Service ratios
• Other extra charge(s)
• Billing procedures
• Collection procedures

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Guarantee

• You will have to provide a head-count guarantee
  and/or dollar amount guarantee.
• At the time specified by the agreement, the
  meeting planner must finalize the count of
  attendees.
• A guarantee deposit is normally paid at this
  time.

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Guarantee

• A guarantee provides the information that will
  drive food production, staffing, and sales
  revenue.
• With a guarantee, the caterer is assured of
  receiving payment based on either the guarantee
  or the number of attendees served (whichever is
  larger).
• Without a guarantee, the caterer doesnt know how
  much food and beverage to order and how much
  labor to call in.

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Guarantee

• Guarantees are generally required 48 hours in
  advance of the event.
• Sometimes a 72-hour advance notice is required if
  the event is held over a weekend or in a location
  that doesnt receive daily deliveries.
• Sometimes a caterer will take a minimum guarantee
  48 hours in advance, and the meeting planner can
  add to that number up until 24 hours prior to the
  event.

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Guarantee

• Caterers must charge for the guaranteed number of
  attendees regardless of how many attendees show
  up.
• They still have labor, food, and beverage costs,
  but no compensation for them if the number falls
  below the guaranteed count and they did not
  charge for the guaranteed number.