The cost of pursuing the task will be contingent in large part on your short and long-term objectives of the park. The first and most significant investment will be the land. When choosing where to locate be sure to research the area you’re thinking about. Pick a place that is well-populated and with a central location for quick customer access.
If your goal is to run a huge tourist attraction, you should choose one with an airport. Tourists arriving from different states, cities, or nations will be able to embark on their journey. If they need to take a long time to reach their destination, they could choose to change their plans. Expert waterpark operators recommend buying between 8 to 15 acres dependent on the kind of waterpark you want to construct.
- Indoor parks cover between 8 and 10 acres and an average structure size of nearly 250,000 square feet.
- Outdoor parks require 13-15 acres
- A facility that is indoor and outdoor would require 9-12 acres, which would mean the average dimensions of 23,000 square feet.
Once you’ve acquired the land, you should meet with knowledgeable consultants and contractors to begin the process of planning.
Costs for construction can vary based on the size of the building you’d like to construct and wherein the nation you’re building. However, the cost will be between $300 and $500 for every square foot. According to reports, an indoor park of 2720 square feet could cost around $690,000. These costs a reconstruction HVAC, pools, mechanical and electrical equipment, snack bar, other areas, theme parks, water slides, and recreational equipment. To provide the same services for a 9450 square-foot indoor park could cost around $2.5 million, which is averaging 273 square feet. The owners of parks that are exclusively outdoor are reporting that their initial costs are around $1.5 million.
Don’t allow these numbers to discourage you. To reduce expenses, many owners of parks acquire enough land to meet their dream However, they begin with the basic amenities that are within their budget. When business is growing and they begin investing a percentage of their earnings back into their company, and add attractions as time passes.
Along with saving money on your budget for the beginning it also aids in keeping customers. Families are excited to come back because they’re eager to discover what’s new. They begin to feel like they’re a part of the family and develop a bond that’s unbeatable.
What are the costs for the long-term for the waterpark?
It’s not easy to estimate the cost of running a park since there is a myriad of variables that directly impact the numbers. These are the items that you must be able to include in your monthly budget:
- Maintenance of attractions, facilities equipment and facilities Preventative and predictive maintenance plan can reduce the cost by the equivalent of tens of thousands.
- Chemicals and utilities together with maintenance averages between 8 and 12% of your operating costs.
- New attractions being constructed
- Operating supplies – 3 percentage of your budget
- Staff training on a continuous basis
- Personal costs – Payroll are expected to make up 50-80 percent of your operating budget depending on the size, hours of operation and the staffing levels needed to ensure a secure customer experience.
Who is the market that you want to target?
A lot of parks cater to the requirements of patrons from every age range. In some parks, tourists constitute most of their client base. Other times local families, teens, and young adults comprise the main focus of their marketing strategies.
How do waterparks make money?
Waterparks require admission fees for every person who enters. Some offer extra activities and services such as food or rentals of equipment that increase satisfaction and increase the potential for profit.
What are the costs you will be charging your customers?
Certain parks charge an admission fee that is flat regardless of the age (2 and under are free) and some have special rates based on age or height. If you own many rides that’s dimensions would not be able to accommodate the majority of visitors then you might want to consider the latter.
There are parks that offer a universal average of $43 per person. The price is based on height/age. approximately 47″ and taller – $35, under 48″ less than 48″ – $27, seniors and military $17. Costs include entry into the park as well as unlimited water slides. The park charges extra for extra services and attractions.
How much money can an amusement park make?
The industry has experienced substantial growth in the past decade, and it is expected to grow at around 3.5 percent annually. Although there isn’t any available data on the potential profits of a waterpark, However, research suggests that more than 375 million people go to these establishments across the United States each year. With a thorough operational strategy implemented, your water park could be able to share in the multi-billion-dollar industry’s profits.
How do you make your company more profitable?
Many parks extend their products and services to offer additional services than water slides and rides. To boost the profits of your business take a look at implementing one or more methods:
- You can make it a real vacation location by building a hotel that is one of the attractions in the lake.
- At a minimal cost for local businesses, you can place signs on the parking lot as well as all over the park.
- At the beginning, you should invest on energy conservation and recycling programs. The initial cost will be higher however, you’ll save a substantial amount in the long run.
- Offer group rates, state-resident discounts, as well as annual passes
- Add additional services for an additional cost such as lockers, cabanas, food, souvenirs and private room for parties.
- Offer additional entertainment options like mini-golf courses, go-carts, bumper boats, climbing walls and an arcade and redemption center.
- Rent out retail space to tenants to rent. This can help you to reduce your overhead costs in addition to helping other businesses in the community.
- Host special events during your “off” season. Many parks construct haunted houses for Halloween, attracting many guests every day.
Instead of building a concrete playground rather than constructing a concrete park, instead, make Mother Nature your park. Entrepreneurs have had success in opening parks such as Bob’s River Place, where people can go on rafts as well as rope swings, slides or jump into a platform log roll, water volleyball, grill, and even picnic. The initial and ongoing costs will be less than the cost as you make use of the natural resource to benefit.
What name will you give your company?
The choice of a name is crucial and a challenge. If you don’t have a name in your head check out the How to name a business guide or seek assistance in generating a name using Our Waterpark Name Generator.
If you run as a sole proprietorship or a sole proprietorship, you may be interested in operating under a different business name than your own. Go to the DBA tutorial for more information.
When creating a business name we suggest researching the business name you are considering by checking:
- The state’s business records
- Records of trademarks for state and federal trademarks
- Social media platforms
- Web domains are available.
It’s crucial to ensure your domain name is secure before anyone else does.