Wedding Business Solutions

Handling Damages, should you take a security deposit?

• Alan Berg, CSP, Global Speaking Fellow

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What happens when something gets damaged at your venue or event space? Should you always ask for a security deposit, or only if you’ve had trouble before? How do you decide what kind of damage is “just wear and tear” versus something you should actually charge for? In this episode, I dig into the uncomfortable reality of damages, the importance of clear contracts, how to be fair with clients, and why security deposits might be good business—even if most guests never cause a problem.

Listen to this new 6-minute episode for practical advice on protecting your business from damages, being clear with customers, and making security deposits work to everyone’s benefit.

If you have any questions about anything in this, or any of my podcasts, or have a suggestion for a topic or guest, please reach out directly to me at Alan@WeddingBusinessSolutions.com or visit my website Podcast.AlanBerg.com 

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View the full transcript on Alan’s site: https://alanberg.com/blog/


Want to see about joining an upcoming mastermind (bring together some industry friends to have me spend a day with you all) - or arranging one of your own (yes, I'll come to you!)? Reach out to me at Alan@WeddingBusinessSolutions.com or text or call +1.732.422.6362

I'm Alan Berg. Thanks for listening. If you have any questions about this or if you'd like to suggest other topics for "The Wedding Business Solutions Podcast" please let me know. My email is Alan@WeddingBusinessSolutions.com. Look forward to seeing you on the next episode. Thanks.

Listen to this and all episodes on Apple Podcast, YouTube or your favorite app/site:

©2025 Wedding Business Solutions LLC & AlanBerg.com

Handling damages. Should you take a security deposit? Listen to this episode. Find out. Hey, it's Alan Berg. Welcome back to another episode of the Wedding Business Solutions podcast. This is another ask me anything suggestion. This one came in anonymously and the question is, there was some damage that happened, I believe, at a venue. Should you be taking a security deposit? Or I guess this could be for any type of business where people are coming to you.

Not just a venue, could be for a rehearsal dinner, shower, different kinds of things like that, hotels, even these days. So should you be taking a security deposit? And if you're a venue, the answer is yes, you should always take a security deposit. You want to have that because going back to someone for damages is, you know, always going to be uncomfortable. The thing is, you want to be fair with it. So I would say if you've never had any trouble, you've never had damage that you wanted to charge somebody back on, then you want to keep not taking a security deposit, that's fine. But let's face it, you're bringing in 1001-502003-00400 people into a place. Stuff can happen. Not on purpose.

We're not talking about people, you know, all of a sudden going crazy and smashing chairs and stuff like that. And we're not talking about the Greek weddings where you purposely smash the plates. That's figured into the cost, I'm sure on that. But, you know, the damage, that just happens, you know, and then what level is that? I think we have to accept that there's going to be certain wear and tear on building, no matter what. I mean, it's just, it's life. I've been to weddings. You've been to. To weddings and events.

Stuff happens, right? So there's going to be scuffs and scrapes and, you know, things are going to happen. But, you know, at what point would you charge someone back? I think you have to ask yourself that as well. How much did they pay you for that? And do you want to have that conversation that one of your guests did? X. Right. You certainly want to be able to document that as well. But I think it's just good business to say that, you know, we're going to take a security deposit and we're going to refund it at the end of the night or we're going to refund it a week later or whatever it is. Sure. It's some accounting on your part if you don't want to go through that.

The other side of that is just to let them Know that we will be charging for damage that exceeds X, you know, whatever that is. I think the clearer you can be about that in your contract, the better. Because again, stuff is going to happen. You know, a chair might break. It might break by accident. Are you going to charge them for that? Like, do you charge them for a broken glass or a plate? I don't think so. So, you know, what is the point? You're going to do that and then do you want to have that conversation after, or do you want to say, hey, great, there was no damage. Here you go, here's some money back, and that's goodwill at that point.

So I think you could look into specific situations. I think if we had more specific examples of what you may or may not charge someone for, that's what you'd have to think about. But again, if you're not taking one and you're going to someone after and asking for that, some people are going to be reasonable and say, oh, gee, we're really sorry, didn't know that happened. My guest, whatever. Or do you want to say, hey, you know, here is most of your security deposit back, but not all of it because we had this damage. And just like with anything else in life, don't nickel and dime people, right? There is a cost of doing business. There is damage that's going to happen. Wear and tear kind of damage that's going to happen.

Not on purpose. People are going to do things. At what point do you to charge. Certainly malicious. I think it's perfectly fine. This is where having security cameras in your place to document that stuff is also better. Reminds me of a time a client of mine had redone their. Their banquet hall, put in cameras.

And when this particular wedding came in and 20 more people came than they told them was going to come, and the couple didn't want to pay for it until they showed them that they had to roll out two more tables, 10 chairs each, filled both of those tables up with their guests. And then the couple's like, oh, yeah, okay, there you go. And then they paid for it. Those cameras paid for themselves that day. Right? So this is. It could get sticky, right? I would prefer you made it. You know, it's just like anything else. You should have an insurance certificate from every vendor that comes in there to protect yourself as well as the vendors as well as the guests.

I think having a secured deposit is a way to say, we don't think there's going to be a problem. But here you go. If you've been in business a long time and you've never had a point where you would have wanted to charge someone back. Or it's so rare that you're willing to eat that. If it's not that much, then don't. Then don't do it. But again, this was anonymous. Whoever suggested this, I think it's a topic worth having if you are not the venue and you're listening to this again, I tried to keep it short over here.

Make sure you have your insurance certificate. Whether they ask for it or not. You want to make sure because it is protecting you, it's protecting your team, it's protecting the guests there, and it's protecting the venues that you go to. So thanks for the suggestions. Keep them coming. Go to podcast Allenberg.com and click on the Ask me anything button. Put that in there. And of course, don't forget the ask Allan anything AI chatbot is live.

Go to Whatwood Allen say.com to sign yourself up. Use the coupon code podcast. Get 50% off. Only 10 bucks a month. Thanks.


I’m Alan Berg. Thanks for listening. If you have any questions about this or if you’d like to suggest other topics for “The Wedding Business Solutions Podcast” please let me know. My email is Alan@WeddingBusinessSolutions.com or you can  text, use the short form on this page, or call +1.732.422.6362, international 001 732 422 6362. I look forward to seeing you on the next episode. Thanks.

Listen to this and all episodes on Apple Podcast, YouTube or your favorite app/site:

©2025 Wedding Business Solutions LLC & AlanBerg.com


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Alan Berg, CSP, Global Speaking Fellow

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