All the books on business teach that research and preparation are the keys to success. That is very true. As time consuming as it is, the more you know, the easier it will be to make crucial decisions. You can hire a company to prepare a feasibility study or knuckle down and do it yourself. If you can survive the research and business plan preparation without going crazy, it is a good sign you can handle self employment!

How did you learn about inflatable jump centers?

If it was by visiting one, you are not alone. Start your research here. Visit the center every day of the week. What days are busy? If you have only visited on a busy day, it’s easy to think every day is the same. This theory is very misleading. My busy days are Friday, Saturday, and Sunday. Monday through Thursday can be hit and miss. If you have been on a busy weekend, you may be surprised what the weekdays are like.

What competition exists in the area you plan to develop?

If you think none, consider the following: skating rinks, bowling alleys, arcades, fun centers, ceramic shops, etc. Any place that can host parties should be considered competition. Gather information from each center regarding their party packages. Get the prices, services included, how quickly do they book, the more you know, the easier to plan. This type of information let’s you know what your population is currently paying for parties, it will be a factor in determining your price range.

Find out State Regulations.

State regulations for inflatable devices vary greatly from state to state. It is important that you research you state and city codes for the inflatable industry. Many states may not have any regulations, but most are developing them. Check the link on site for State Regulation Contacts. States like New Jersey and Pennsylvania have some of the strictest guidelines. Some areas require each inflatable be monitored by an attendant at all times. This regulation may not allow a jump center to be very profitable. Your employment costs would be very high. If this is the case for your area, you may be able to request a variance for the indoor center. Most of these laws are in place to regulate outdoor rentals only.

There are also regulations regarding the flammability and lead content of inflatables. Most inflatable manufacturers build and certify their structures. The vinyl has never been flammable, and the lead content all but eliminated (red vinyl usually contains small amount of lead). Be cautious of purchasing inflatables made overseas, they may not be using vinyl that meet certification requirements.

Research your regional demographics.

You can usually locate this information online. Try the census bureau, city or county websites also are helpful. You’ll need population, age ranges, median income levels, and growth expectancy. This not only helps you understand your economy, it will also help set the focus of your center.

Look for general locations for the center.

Find several. Get the rent details. Contact a commercial real estate agent and learn the basics of leasing. Be careful to not divulge too much about your plans. If you find a couple of locations, ask the agent for traffic counts for the road in front of the center. How many people will drive by in an average day? Think about entering and exiting the parking lot. Is it easy? Will parents with young kids feel safe? What is the zoning of the buildings? Contact local government and verify they would allow children in this building. Some will not allow a children’s center in a light industrial building. What was in the building before? Does it have a negative stigma? How much work will be needed to use the building? The more changes needed, the more it will cost for start-up.

Licenses & Permits

Check with local offices for costs and time required for necessary licenses, permits and fees associated. If a building permit is needed for upgrades, find out how long the process takes and what is needed. Some areas have a waiting period of months for permits. Many will require blueprints from an architect (even for simple upgrades). It helps to know this ahead of time to plan your timeline. If you only need a business licenses, be sure to verify the occupancy rating for the building. This rating is not just based on building size, but also parking spaces.

Estimates.

Most landlords, and some states will require you to carry property and liability insurance. Get estimates. Keep in mind insurance premiums are based partially on gross profit, the remaining formula is unknown (even to most brokers). They will estimate for the first year and usually go up every year afterwards. You will find a list of insurance carriers on the website.

Construction costs.

Even simple changes can become a nightmare. If you find a building, get construction costs for your region. Get an estimate from a licensed commercial contractor. Most local governments will require the permits to be requested by a contractor. Also get estimates from architects, you may need different types to cover structural and mechanical changes needed. These costs can run very high, don’t get caught by surprise.

Gather equipment prices and estimates.

If after gathering all this research, everything looks good, start considering your start-up costs. Make a list of equipment you want and a list of equipment you need. Consider the following:

You will find sources for most of these items on this site!