Water parks are enjoyable holiday hot spots for people of all ages and socioeconomic backgrounds all around the globe. This specific setting is often full of adventure and will always be popular, so any entrepreneur who believes they want to start such a business could be onto something very successful indeed. So what is it that you need to know so you can build your own water park business? Read on to find out.
Should You Start From Scratch?
One of the first considerations you will have to make is whether you want to build a new park from scratch or purchase a franchise from an existing waterpark firm. Both solutions offer advantages and disadvantages, and none is always superior to the other.
When beginning a company from scratch, it’s critical to have a detailed business plan in place before you do anything else. This will help you stay on track to meet your business objectives. It’s also recommended that you get into this enterprise with a partner and a mentor, particularly if this is your first business venture.
Many choices, including advertising, branding, and vendor agreements, are made for you when you franchise, relieving you of some of the burdens. You also have the backing and supervision of a huge organisation. However, when considering a franchise, be sure that your parent company’s aims, vision, and values coincide with your own.
Choose Good Partners
When establishing your waterpark business, you will have to make several vendors and relationship decisions-everything from the waterslide maker and designer to the food and drink suppliers. Before making a selection, carefully analyse each of the suppliers you are considering. You may also need to look at water suppliers who will be providing most of the water for your park. Comparing several providers in such cases can be helpful, as you can keep a note of them and if the need ever arises, switch from one provider to another. Sometimes, one supplier may offer better tariffs and quality of service over another, so you may want to see how you can switch here if the one you choose ends up not suiting your requirements. Request current customer references from any possible partners, and ensure that you understand their contract conditions.
Choose The Right Location
One of the most crucial business choices you will make is where to locate your waterpark business. You must choose a place with a sufficient amount of land to develop on, where your park will not conflict with any current noise restrictions but is still conveniently accessible to the general public.
It’s a good idea to strategically locate your park on a major roadway on the outskirts of a large city. You should also think about public transport near your park, particularly if your city or county is largely reliant on it.
Starting your own waterpark company requires a significant investment, regardless of which path you take. Few individuals can pay the initial expenditures out of their own pockets, necessitating the use of outside financing. Waterpark owners commonly rely on the following financing options:
- Applying for a commercial bank business loan
- Obtaining funds from relatives
- Collaboration with a venture capital company or angel investors
- Selling high-value assets and directing the proceeds to the venture
There is no right or wrong option for funding, just as there is no right or wrong answer for establishing your own waterpark business or choosing to franchise. Before making any choices, consider your own particular financial situation and speak with a financial mentor.