Damask chair covers look very stylish in a smallish venue, perhaps a wedding reception without many guests. As much table linen is white damask, a matched set of chair covers hired for the occasion looks very smart, but is possibly a little austere for a large venue. This can be counteracted by adding coloured bows or tassels, or going for a coloured damask chair cover, which would break up the white. It would be quite fun to have white table linen and mixed colour chairs; if you could have a different colour chair cover for each place at each table, it would certainly make it easier for guests to remember where they were sitting as the evening becomes more convivial. Matching the napkins to the seat would also be great fun and would suit a rather more informal reception or dinner.
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The main difference between damask and brocade is the way it drapes on the chair, with damask chair covers being rather more structured and brocade chair covers rather softer in their folds. This is echoed in the bows made from the same fabric, with the damask holding its shape in a rather elegant way and brocade being rather softer. This may make a difference when thinking of the final ambience, but either looks stunning.