Navigation
Miscellaneous Great Stuff
Behind the Race, Part 1: Budget Basics
By Brenda Barrera
January/February 2011
For the Washington Running Report
For the 2011 editorial year we are launching a special feature, "Behind the Race," which will appear in each issue of Washington Running Report. Just as it often takes a team to get a runner to the starting line, it takes a dedicated team to put together a race, whether it has 500 or 15,000 participants.
In the spirit of our mission to educate, inform, and inspire we hope this special series will not only enlighten you to the myriad details and dedicated work that go into organizing a successful event, but also hope it will inspire you to give back to the sport and become involved in a non-running capacity.
In each of our six issues this year we will highlight a different aspect of what goes on "Behind the Race" from this issue's overview of race budget items to the many people such as volunteers who work tirelessly to make your race experience positive.
How often have you whipped out your credit card to register online and mused that race registration seemed a bit much? Oftentimes runners think their entry fee covers the whole race, not just a chance to run with some friends, get a new T-shirt, and enjoy a bagel, banana, and maybe some pizza afterward. Surprise! The entry fee might pay for some aspects, but the costs associated with putting on a race--as one can tell from the sample budget below--typically far exceed revenues generated from an entry fee.
Yes, revenue for road races is generated from registration fees, but in most cases, sponsorship is essential. Expo booth sales and merchandise sales are revenue sources, but those usually pertain to major sized events.
Expenses for putting on a local 5K or 10K race will vary per field size of the race. When asked to name one of the biggest misconceptions runners have about the cost of an event, Phil Stewart, Executive Director of Road Race Management, responded, "Municipal costs." Stewart, also the race director of the Credit Union Cherry Blossom Ten Mile, added, "People don't realize there are municipal expenses, like the cost of permits and the use of streets."
Municipal costs vary city to city. Factors also include whether the race is held on a Saturday or Sunday and the time of day. Other municipal charges would include course marshals (e.g., police), park district permits if the event is held on federal grounds or a county forest preserve.
Chris Tomlinson, Vice President of Marketing for Corrigan Sports Enterprises, said this applies to their bigger as well as smaller events. "We pay for every police officer--usually at an overtime rate--and every cone as well as the personnel to put them out and pick them up." In addition, for a marathon, 26 miles of streets on a city-based marathon course can add up to a lot of intersections, a lot of police, and thus, a big line item on the budget.
There are costs incurred if a race is point-to-point, as was the case with this year's Woodrow Wilson Bridge Half Marathon. "Being a point-to-point race, we had the added expense of $30,000 just for the buses," said Steve Nearman, Event Director of Endurance Enterprises, LLC, that put on the race.
An example of an expense for larger races is signage. By signage, we're talking banners, flyers, brochures, anything that has been printed that might need to be updated on a yearly basis due to a change in sponsorships or partnerships.
While sponsorships most certainly bring in revenue for major events due to race size, most events in our region have less than 1,000 entrants and are more dependent on entry fees to generate revenue.
Kathy Freedman, co-owner of Capital Running Company, a professional race management and promotion company [and owner of this publication], shares this advice for anyone who wants to organize a race. "You have to plan a budget expecting to spend on every line item; don't assume you will get items for free."
While nothing is free, we hope this might help you appreciate some of what goes on . . . behind the race.
Sample Race Budget For 10K Road Race
Expenditures
Goal: 500 Registrants
|
Description |
Amount |
|
Advertising & promotion |
$3,000 |
|
Ambulances |
$400 |
|
Announcer |
$varies |
|
Awards |
$1,000 |
|
Bags for Packet Pick-up |
$varies |
|
Balloon arch for finish line |
$400 |
|
Bank fees |
$varies |
|
Banners & signage |
$400 |
|
Barricades |
$varies |
|
Bibs & safety pins |
$300 |
|
Bottled water for finish line |
$1,000 |
|
Brochure & ad design & layout |
$varies |
|
Bulk brochure distribution |
$175 |
|
Courier & delivery fees |
$varies |
|
Course measurement & certification |
$750 |
|
Credit card processing |
$varies |
|
Cups |
$150 |
|
Entertainment |
$varies |
|
Finish line services |
$4,400 |
|
Food |
$1,000 |
|
Insurance |
$2,000 |
|
Kids medals |
$varies |
|
Mailing list |
$375 |
|
Mailing service - brochures |
$250 |
|
Packet pick-up location |
$? |
|
Permits (Municipal) |
$500 |
|
Photocopying |
$varies |
|
Photographer |
$300 |
|
Police support (Municipal) |
$600 |
|
Porta-johns |
$750 |
|
Postage for brochures |
$950 |
|
Printing |
$250 |
|
Public address system |
$varies |
|
Race management |
$varies |
|
Random prizes |
$500 |
|
Rental equipment (tents, stage, tables, etc.) |
$2,500 |
|
School bus for course marshals/water stop |
$400 |
|
Security overnight in park or at Plaza |
$varies |
|
Traffic cones |
$250 |
|
Trash removal |
$500 |
|
Truck rental |
$400 |
|
T-Shirt design |
$varies |
|
T-Shirt printing |
$2,700 |
|
USPS for post-race mailing of prizes |
$50 |
|
Volunteer appreciation |
$100 |
|
Volunteers |
$varies |
|
Web site hosting, etc. |
$600 |
|
|
|
|
TOTAL |
$26,950 |
* Sample budget courtesy of Capital Running Company
For a small race, the expense items to consider include supplies (bib numbers, safety pins, some basic medical supplies, cups, and awards), fees for municipal permits, and fees for the use of facilities like schools or recreation centers. If you will be contracting for the services of a running club or a commercial event management company, be sure to ascertain and include these costs.---from Running Industry Resource Directory
For additional information
* Road Race Management (www.rrm.com)
Road Race Management's Running Industry Resource Directory
A convenient, reference book of the entire running industry. It's loaded with contact information for more than 1,500 businesses, organizations, and running event directors.
* Road Runners Club of America www.rrca.org