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Starting Rental Business

Why do not running an Indoor Party Facility Business? [2008-08-21]

Why do not running an Indoor Party Facility Business?
Indoor facility party businesses continue to grow strength across the world. Many people find that this type of business is more desirable than that of a traveling rental event company. There certainly are perks: less weather related issues, less labor to set up and operate the equipment, and less chance of damage to equipment from vandals and unruly patrons. Sounds great, right? Before you make the switch, however, there are some questions that you need to ask yourself.

Is this the business for you? Are you prepared for the unexpected?

 Indoor facilities are certainly very lucrative business ventures if you can deal with the day-to-day issues. The fact is that unexpected things will happen. Sadly, many new operators of indoor facilities are not prepared (emotionally or mentally) to run a business that invites the public into their facility. This article is not made to scare you away from taking the plunge into self employment. Rather, this information is intended to prepare you for every possibility that could affect the daily operation of your indoor facility.

CEC currently has done more with this industry that any other inflatable supplier in this country. We have seen many people get into this type of party business and be very successful. We have seen others get in and get out within the first 12 months.

What causes some to spend a bunch of time and money just to fail and bail?

Choosing a location can make or break this type of business. Simply finding a cheap, inexpensive building with large floor space and high ceilings will not bring the public to your door. You need to investigate the demographics for the area that you wish to operate. Are there lots of kids between the ages of 2 and 10? This is the age group that celebrates birthday parties and other celebrations that utilize these types of party facilities. Choosing a location near a school or large center that supports youth programs is a good choice. A location near shopping malls and restaurants is also beneficial.

Choosing the right inflatables for your new facility is also vital. Do not attempt to entertain all age groups. Why? The majority of your patrons will be children 10 years of age or younger. Of course, there may be an adult accompanying a child to a party or the occasional teenager that is dragged along by siblings that wants to try out a few inflatables, but you need to focus on the age groups that will frequent your facility. Focus on what will entertain them. We have categorized some of our popular inflatables a user-friendly group known as AIR SUPPLY (Advanced Indoor Recreation). These units have been specifically chosen to work with the age groups that frequent indoor facilities.

It is important to remember that toddlers are among those in this age group and they are too small to use the big slides and obstacle courses. You need to have a few inflatables that accommodate smaller children. We offer our special suggestion of products for these smaller party goers.

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Type of Rental Business [2008-08-21]

There are basically three types of rental companies who deal with inflatables, operating throughout the world. We have classified these types of event companies as follows:

A. Bouncer Rentals Companies. Usually small mom and pop operations that handle backyard birthday parties, etc. This type of small business is usually a second income to the owners.

B. Interactive Inflatable Rental Companies. These companies have broadened their exposure to the public by adding inflatables such as Obstacle Courses, slides, games, etc. Their customers are schools, churches, some corporate bookings and also some smaller backyard parties.

C. Pay for Play Event Companies. Generally these companies fall into more of a carnival type business. Their use of inflatables is generally large Themed Slides that entice the public to purchase tickets to experience.

All of these listed categories will make you money. But how much?

If you choose to play it safe and close to home, a small bouncer business is the way to go. Costs like insurance, repairs, and gasoline are more controlled and profits are small but pretty constant during the rental season. A lot of small bouncer rentals rely on the consumer (Home Owner) to operate the inflatable during these rentals. This cuts down on outside labor costs, and keeps the rental dollars in your pocket.

Taking that leap to handling events for schools, corporate America, church youth groups, etc, will definitely force you to have to grow your operation into more of a full time business. This means purchasing more and bigger equipment, hiring staff to set up and run the new equipment, vehicles to move this new heavier equipment around and all the headaches that go with owing your own business. But... there is more money, more independence, you will probably have to quit that day job and focus on all that needs to be done with a more sizable operation such as this.

Pay for Play is exactly what it sounds like. People want to ride your inflatable slide... they pay you to do so each time they go down it. Benefits, well a bunch of cash is pretty nice when the event is a known advertised event that brings the public to your feet. The down side, rain, cold weather, a poorly run event where little or no one shows up, and you eat the costs of paying your staff, to sit around all day while the unattended event goes on and on. This is a much tougher way to go. It does allow you to maintain a second income to support you, because most of these events take place on the weekend. We actually have quite a few customers, who just do these types of events, with a giant themed slide they may have purchased and paid for a long time ago. They want nothing to do with the rental type business. This works for them.

Created 6-1-2007
Author Bob Field
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