The first water parks in our country began to appear in the mid-90s of the last century. They quickly gained popularity among the population and became a permanent place for families on hot summer days. Due to the fact that such water attraction parks are in stable demand, their opening is a very profitable business. We suggest today to learn how to draw up a water park business plan and how much money will be required to start such a business.
What is a water park?
It is a public entertainment and health complex equipped with many devices for water entertainment. They include swimming and games pools, a variety of attractions for both children and adults, hot tubs, saunas, places for fitness, as well as cafes, bars and snack bars.
What determines the success of the water park?
The success of your enterprise will be directly dependent on its attendance. To ensure a stable flow of customers, drawing up a water park business plan is necessary taking into account factors such as safety, comfort, affordability and a variety of entertainment. In this regard, it is necessary to equip your water park with a wide variety of slides, attractions, places for recreation, cafes, bars, etc. In addition, you should hire a sufficient number of attendants, as well as rescue instructors with relevant work experience.
Ideally, your water park should be a comprehensive facility with a food court, a sports equipment store and everything you need to relax and, of course, an extensive entertainment area. In addition, a swimming school for children and adults can be organized at the center. Also, your visitors will appreciate the presence of a sauna, hot tubs and massage services on site.
Choosing a place for a water park
The location of the water amusement park does not play a decisive role in its success, as most of your customers will get to it in their own cars. However, you should not place the water park outside the transport accessibility for those who do not have personal vehicles. When equipping the territory, be sure to arrange a spacious parking lot.
Market analysis and research
The business plan of the water park must include this moment. Today in Russia there are more than a hundred large water amusement parks that cannot cope with the influx of visitors. In this regard, we can safely say that the demand for such entertainment is great enough and still not satisfied. According to analysts, this situation will continue for at least 5-7 years. In this regard, now is the time to take our place in this niche.
As for businessmen and investors, they, as a rule, try to enter the markets of small cities, where the cost of land is not as high as in megacities. In addition, residents of such towns are not spoiled for a variety of entertainment, which will guarantee a constant influx of customers in the water park. As already mentioned, the main thing is to provide a varied and interesting vacation to your visitors.
Marketing strategy
The business plan for the construction of the water park cannot do without a well-developed marketing strategy. Its main specificity should be attracting clients of various ages and income levels.
Also, the marketing plan will include the development of a corporate identity: logo, name, emblem, corporate color, design of admission tickets, slogan.In addition to this, it is necessary to create a branded form for service personnel and to consider a system of bonuses and discounts for regular customers.
An important point is the advertisement of the water park. It needs to be started a couple of months before the opening of your entertainment center. The opening day itself should be made a real holiday by inviting famous guests, musicians and making a good discount on attending this event for all clients.
Legal nuances: documents and permits
In addition to the mandatory registration of your business as a legal entity, you will also need to obtain permits for the functioning of the water park from the construction inspectorate, fire service and sanitary and epidemiological station. This stage is quite troublesome, and you can start it only when the object is ready for commissioning. No license is required for this type of activity.
According to Russian law, a water park is equated to a public pool, so before opening it you will need to pass a check for compliance with sanitary and epidemiological standards. Specialists from SES will inspect all filters, rooms, showers, etc.
Water Park Equipment
Unfortunately, in our country today it is impossible to purchase all the necessary equipment for a water amusement park, so you will have to purchase it from foreign manufacturers. So, in addition to the attractions themselves, pools, fountains, etc., you will also need to purchase equipment for air conditioning, air purification, heating, various pumps, pipes, etc.
In addition, food courts need appropriate equipment and furniture. Do not forget that the water park should have enough sun loungers, deck chairs and other places where vacationers can comfortably settle down. On average, about 250-300 thousand dollars will have to be spent on the purchase of the necessary equipment.
The cost of building a water park will consist of the costs of drawing up design estimates, the purchase of building materials and the remuneration of engineers and workers. Moreover, all the necessary raw materials can be purchased from domestic companies. The cost of this item will be about $ 1.5 million.
Financial calculation
The business plan of the water park cannot do without a clause describing the costs of its opening and maintenance, as well as the planned revenues and the projected payback period of investments. So, on average, in order to open a large park of water attractions, it will take three to four million dollars.
This amount includes the purchase price of the land, payment for construction, installation and finishing work, equipment, hiring personnel, developing a corporate identity and conducting an advertising campaign during the first months of the water park. Due to the fact that the costs are quite rather big, it makes sense to find an investor. As for the bank loan, it will be quite difficult to get it under such an entertainment complex.
If we talk about the profitability of this business, then it ranges from 50 to 70%, which makes this company very attractive. Payback period the same initial investment can vary from 3 to 5 years.
The opening of the inflatable water park
Since the construction of a large park of water attractions requires very significant investments, which only large companies have, it is worth considering the possibility of doing business, which will be based on an inflatable water park. What he really is? Water park equipment of this type includes several inflatable elements that are placed on the surface of the water in any order.
Where to place such an attraction?
There are several requirements for the placement of an inflatable water park.
- An ideal place to deploy such an attraction is the city beach, where in the summer there are many vacationers.
- The inflatable water park should be located in a not too deep pond so that its visit is safe for children.By the way, children under 14 years old should be allowed on the ride only accompanied by their parents.
- The place where you plan to place the water park should have access to electricity, which will ensure the connection of electric pumps.
- In order to make it easier for customers to get to the attraction, it should be located closer to the shore.
- Do not forget to conclude a lease with the beach.
Due to the fact that this business is seasonal, all organizational issues must be resolved in advance, before the start of the swimming season.
Inflatable Water Park Staff
For the successful operation of such an attraction you will need six employees: a cashier, an administrator (if desired, these functions can be combined) and four lifeguards (two on the shore, and two directly in the water park).
Equipment
You can buy an inflatable water park from one of the foreign companies involved in the production of such attractions. Its average cost is about 50 thousand dollars. Such a water park will include 20 connectable inflatable elements. Its assembled size will be about 40 by 35 meters with a weight of two tons.
The opening of the inflatable water park: the financial side of the issue
The average cost of opening and maintaining a water park will be:
- equipment purchase - $ 50,000;
- salaries of employees - $ 4,000 per month;
- renting a place under the water park - $ 1,500 per month;
- advertising - $ 2,000;
- the services of an incoming accountant - $ 300 per month;
- other expenses - 500 dollars.
Total for the opening of an inflatable water park will have to spend about $ 58,000.
With regard to profit, then with attendance of 200 people a day and a ticket price of $ 6 per month, you can earn about $ 36,000. Thus, the initial investment will pay off after a couple of months of work.
Sincerely, Alexander.