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Wedding Etiquette Forum

Paying a family friend for use of her home for our ceremony and reception?

I don't know if this is really an etiquette question but I 've been wondering about this.

We're planning on having our ceremony and reception at a family friend's home, I'm not close to her but my grandparents are and they've known her for probably close to 30yrs.
 
Should we pay her? And if we do how much would you pay someone? We would do all the decorating, we would rent the chairs for the ceremony, rent tables for the party, etc. What do you think?
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