indoor playground business plan canada

Indoor Playground Business Plan Template

Written by Dave Lavinsky

Indoor Playground Business Plan

You’ve come to the right place to create your Indoor Playground business plan.

We have helped over 10,000 entrepreneurs and business owners create business plans and many have used them to start or grow their indoor playground businesses.

Below is a template to help you create each section of your Indoor Playground business plan.

Executive Summary

Business overview.

Fun Space is a startup indoor playground business located in Kansas City, Missouri. The company is founded by Christine Gregory, an indoor playground manager with over ten years of managerial experience working at KC Indoor Play. Christine has garnered a reputation for being a positive role model for her employees and a dedicated leader. She is confident that her ability to effectively manage a team of employees, build rapport with customers, and maintain a fun, safe, and profitable operation will help her to quickly attract customers and employees to her new indoor playground. Christine plans on recruiting a team of highly qualified professionals to help manage the day to day complexities of running an indoor playground – marketing and sales, child supervision, party and event hosting, playground maintenance, and financial management.

Fun Space will provide a unique indoor play environment for children ages 4-12 and a quiet room for parents to enjoy some downtime. The Fun Space indoor playground will be the ultimate choice in Kansas City for parents looking for a clean, safe, and educational option for their kids.

Product Offering

The following are the products and services that Fun Space will provide:

• Open Play Sessions
• Children’s Parties
• Classes/Guided Activities
• Drop-In Daycare
• Quiet Room for Parents
• Retail: Toys and Games
• Snacks and Beverages

Customer Focus

Fun Space will target parents and caregivers of children ages 4-12 in Kansas City. The company will target parents who are looking for a fun way for their children to develop physical fitness and social skills while participating in educational activities. The company will also target parents looking for a hassle-free party venue to host their childrens’ birthday parties or other events. No matter the customer, Fun Space will deliver the best service, pricing, and peace of mind that their children will have fun in a clean, safe, and welcoming environment.

Management Team

Fun Space indoor playground will be owned and operated by Christine Gregory. She has recruited her former assistant manager, Eric Nichols, to help manage the indoor playground and operations.

Christine Gregory is a graduate of the University of Missouri with a Bachelor’s degree in Business Management. She has been working at a local indoor playground company for over a decade. Christine has garnered a reputation for being a positive role model for her employees and a dedicated leader. She is confident that her ability to effectively manage a team of employees, build rapport with customers, and maintain a fun, safe, and profitable operation will help her to quickly attract customers and employees to her new indoor playground.

Eric Nichols has been Christine Gregory’s loyal assistant manager for over five years at a local indoor playground. Christine relies strongly on Eric’s reliability, organizational skills, and commitment to excellence in customer service that will be essential for the new indoor playground to run smoothly.

Success Factors

Fun Space will be able to achieve success by offering the following competitive advantages:

• Friendly and highly qualified staff of professionals trained in childcare, safety, early childhood education, and physical fitness who will supervise children and lead group activities.
• Wide range of activities and services available to exceed the expectations of both parents and children.
• Fun Space indoor playground offers the best pricing in Kansas City. The pricing structure provides the most options for parents and is more cost effective than the competition.

Financial Highlights

Fun Space indoor playground is seeking $250,000 in debt financing to launch its indoor playground. The funding will be dedicated towards securing the indoor playground space and purchasing equipment and supplies. Funding will also be dedicated towards three months of overhead costs to include payroll of the staff, rent, and marketing costs. The breakout of the funding is below:

• Indoor playground build-out: $50,000
• Equipment, supplies, and materials: $30,000
• Three months of overhead expenses (payroll, rent, utilities): $150,000
• Marketing costs: $10,000
• Working capital: $10,000

The following graph below outlines the pro forma financial projections for Fun Space indoor playground.

Company Overview

Who is fun space.

Fun Space is a newly established indoor playground in Kansas City, Missouri. Fun Space will provide the best indoor play options for children ages 4-12. The indoor playground will focus on fun, educational activities for kids that will support their physical fitness and social development. Fun Space will also offer services for parents including a quiet room that they can retreat to for a little downtime, to get some work done, or to watch their kids play. There will be guided activities for parents to do with their kids and educational classes for each age group. In addition to its daily activities, Fun Space will also host birthday parties and other events on the weekends.

The indoor playground will be staffed with professionals highly qualified and experienced in childcare, safety, education, and fitness. Fun Space staff remove all concerns of parents by providing a welcoming environment that is safe, clean, and educational. Fun Space indoor playground will be the ultimate fun choice for children and value for parents.

Fun Space indoor playground History

Fun Space is owned and operated by Christine Gregory, an indoor playground manager with over ten years of managerial experience working at KC Indoor Play. Christine is a dedicated leader with an ability to effectively manage a team of employees, build rapport with customers, and maintain a fun, safe, and profitable operation. These skills will help her to quickly attract customers and employees to her new indoor playground.

Since incorporation, Fun Space indoor playground has achieved the following milestones:

• Registered Fun Space, LLC to transact business in the state of Missouri.
• Has been approved for all required licenses and permits to run an indoor playground.
• Has a contract in place to lease a 10,000 square foot facility.
• Reached out to multiple playground equipment companies to get quotes and begin the design process.
• Began recruiting a staff of accountants, marketers, childcare providers, and other indoor playground personnel to work at Fun Space.

Fun Space indoor playground Services

• Daily Open Play Sessions

Industry Analysis

The indoor playground industry in the United States is valued at $658M with an estimated 667 establishments in operation across the nation. Major market segments include families with children ages 0-9, families with children ages 10-12, and families with children ages 13-18.

The main sources of revenue for industry operators are the entry fees and ticket sales, followed by food and beverage sales, and lastly merchandise sales. Market drivers include an increase in disposable income and fitness awareness. Indoor playground industry operators can maintain a competitive advantage by providing competitive pricing, extended hours, or activity options the competition does not offer.

Customer Analysis

Demographic profile of target market.

Fun Space will target parents and caregivers of children ages 4-12 in Kansas City. The company will target parents who are looking for a fun way for their children to develop physical fitness and social skills while participating in educational activities. The indoor playground will also target parents looking for a hassle-free party venue to host their childrens’ birthday parties or other events. No matter the customer, Fun Space will deliver the best service, pricing, and peace of mind that their children will have fun in a clean, safe, and welcoming environment.

The precise demographics for Kansas City, Missouri  are:

Customer Segmentation

Fun Space will primarily target the following customer profiles:

• Parents/caregivers of children ages 4-12
• Parents/caregivers looking for a party/event venue
• Parents/caregivers looking for a safe, clean, educational, fun place for their children to play

Competitive Analysis

Direct and indirect competitors.

Fun Space indoor playground will face competition from other companies with similar business profiles. A description of each competitor company is below.

KC Indoor Play

KC Indoor Play is a fun indoor playground for children ages 2-10. The indoor playground is conveniently located in a busy retail district in Kansas City, close to a childrens’ clothing shop and a toy store. KC Indoor Play is able to provide a wide variety of services for parents and children. The company’s offerings include educational classes for different age groups, free play, daycare, and an arcade. KC Indoor Play also hosts birthday parties and other events. KC Indoor Play’s promise is to deliver quality service that will keep both children and parents wanting to come back. KC Indoor Play’s team of experienced childcare professionals assures children are supervised by highly trained playground monitors to ensure safety and fun.

Kidz Play Place

Kidz Play Place is a Kansas City-based indoor playground conveniently located within a five- mile radius of three elementary schools. Kidz Play Place provides a unique indoor playground environment for children ages 4-13 that includes a small water park, arcade games, and trampolines. The owners of Kidz Play Place are former childcare professionals so they know what appeals to kids and parents alike. Parents can purchase open play time for their children in 2-hour time slots. Season passes are also available and will save customers 20% off their purchase.

Kary’s Kids Indoor Playground

Kary’s Kids Indoor Playground is a Kansas City indoor playground that provides educational games, classes, and events for children ages 0-10. The company is run by party-planning experts who have years of experience planning and hosting childrens’ parties. Parents can rest assured their children are well-supervised and the playground is safe and clean. Children can enjoy free-play sessions, an arcade, and educational games. Parents can also drop their children off for full-day and half-day supervision at Kary’s Kids daycare.

Competitive Advantage

Fun Space indoor playground will be able to offer the following advantages over their competition:

• Friendly, knowledgeable, and highly qualified staff to include professionals trained in childcare, safety, early childhood education, and physical fitness who will supervise children and lead group activities.
• Wide range of offerings available to exceed the expectations of both parents and children.

Marketing Plan

Brand & value proposition.

Fun Space indoor playground will offer the unique value proposition to its customers:

• Highly-qualified team of skilled employees to supervise open play sessions, lead educational activities, and host fun parties, all while ensuring the safety, security, and wellbeing of the children at all times.
• Unbeatable pricing – Fun Space indoor playground has multiple pricing options to give parents flexibility when choosing which services they want to purchase. Parents can pay per session, per week, or per season for open play sessions, daycare,  and educational programs. There is also an a la carte option for parents who want to purchase one specific activity or play area.

Promotions Strategy

The promotions strategy for Fun Space indoor playground is as follows:

Word of Mouth/Referrals

Christine Gregory has built up an extensive list of contacts over the years by providing exceptional service to her customers. Many of these contacts have communicated to Christine that they kept bringing their kids back to her previous place of employment because they were happy with the service she was providing. Once Christine advised them she was leaving to open her own indoor playground, many have expressed interest in coming to Fun Space and help spread the word of the new location to their friends and families.

Professional Associations and Networking

Fun Space indoor playground will become a member of professional associations such as the National Indoor Playground and Cafe Association and the Association of Play Industries. The company will focus networking efforts on expanding its customer base.

Print Advertising

Fun Space indoor playground will invest in professionally designed print ads to display in programs or flyers at industry networking events, and to put in magazines, newspapers, and direct mailers.

Website/SEO Marketing

Fun Space indoor playground will employ an in-house marketing director to design and maintain the company website. The website will be well organized, informative, and list all the services the indoor playground will offer. The marketing director will also manage Fun Space’s website presence with SEO marketing tactics so that when someone types in the Google or Bing search engine “Kansas City indoor playground” or “indoor playground near me”, Fun Space indoor playground will be listed at the top of the search results.

Social Media Marketing/Influencer Marketing

The company will create social media accounts on multiple platforms including Facebook, Instagram, TikTok, and YouTube. The marketing director will manage the accounts and maintain an active presence to promote the playground. Fun Space will recruit social media influencers such as busy parents who have a loyal following on social media  to help promote the indoor playground.

The pricing of Fun Space indoor playground will be moderate and on par with competitors. However, the company will offer a wider variety of pricing packages and options to give customers flexibility so they feel they receive value when purchasing the company’s services.

Operations Plan

The following will be the operations plan for Fun Space indoor playground.

Operation Functions:

• Christine Gregory will be the Owner and Manager of the company. She will oversee all staff and customer relations. Christine has spent the past year recruiting the following staff:
• Eric Nichols – Assistant Manager who will co-manage the staff and oversee the day to day operations of the playground.
• Brandon Scott – Bookkeeper/Accountant who will provide all budgeting, accounting, tax payments, and financial reporting.
• Debra Alexander – Marketing Director who will provide all sales, marketing, and PR campaigns.
• Brian Baker – Event Coordinator who will plan and oversee all parties and events hosted by Fun Space.

Milestones:

Fun Space indoor playground will have the following milestones complete in the next six months.

9/1/2022 – Finalize contract to lease indoor playground space.

9/15/2022 – Finalize personnel and staff employment contracts for the management team.

10/1/2022 – Finalize contracts with playground equipment suppliers.

10/15/2022 – Begin build-out of the indoor playground.

11/22/2022 – Begin networking at industry events and implementing the marketing campaign.

12/1/2022 – Fun Space indoor playground opens for business.

Christine Gregory is a graduate of the University of Missouri with a Bachelor’s degree in Business Management. She has been working at a local indoor playground for over a decade. Christine has garnered a reputation for being a positive role model for her employees and a dedicated leader. Christine is confident that her ability to effectively manage a team of employees, build rapport with customers, and maintain a fun, safe, and profitable operation will help her to quickly attract customers and employees to her new indoor playground.

Eric Nichols has been Christine Gregory’s loyal assistant manager for over five years at the former indoor playground. Christine relies strongly on Eric’s reliability, organizational skills, and commitment to excellence in customer service that will be essential for the new indoor playground to run smoothly.

Financial Plan

Key revenue & costs.

The revenue drivers for Fun Space indoor playground are the indoor playground fees that will be charged for open play sessions, classes, toys, snacks, and parties. Customers will be able to choose from a variety of pricing options including tiered packages, a la carte, and season passes.

The cost drivers will be the overhead costs required in order to staff an indoor playground. The expenses will be the payroll cost, rent, utilities, supplies, and marketing materials.

Funding Requirements and Use of Funds

Key assumptions.

The following outlines the key assumptions required to achieve the revenue and cost numbers in the financials and pay off the startup business loan.

• Number of 30-minute sessions per month: 6,500
• Average fees per month: $60,000
• Office lease per year: $100,000

Financial Projections

Income statement, balance sheet, cash flow statement, indoor playground business plan faqs, what is an indoor playground business plan.

An indoor playground business plan is a plan to start and/or grow your indoor playground business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

You can  easily complete your indoor playground business plan using our Indoor Playground Business Plan Template here .

What are the Main Types of Indoor Playgrounds?

There are a number of different kinds of indoor playgrounds, some examples include: Bouncy Structures, Trampoline Park, and Variety Entertainment.

How Do You Get Funding for Your Indoor Playground Business Plan?

Indoor playgrounds are often funded through small business loans. Personal savings, credit card financing and angel investors are also popular forms of funding. This is true for a business for an indoor playground or a play cafe business plan.

What are the Steps To Start an Indoor Playground Business?

Starting an indoor playground business can be an exciting endeavor. Having a clear roadmap of the steps to start a business will help you stay focused on your goals and get started faster.

1. Develop An Indoor Playground Business Plan - The first step in starting a business is to create a detailed indoor playground business plan that outlines all aspects of the venture. This should include potential market size and target customers, the services or products you will offer, pricing strategies and a detailed financial forecast.  

2. Choose Your Legal Structure - It's important to select an appropriate legal entity for your indoor playground business. This could be a limited liability company (LLC), corporation, partnership, or sole proprietorship. Each type has its own benefits and drawbacks so it’s important to do research and choose wisely so that your indoor playground business is in compliance with local laws.

3. Register Your Indoor Playground Business - Once you have chosen a legal structure, the next step is to register your indoor playground business with the government or state where you’re operating from. This includes obtaining licenses and permits as required by federal, state, and local laws.

4. Identify Financing Options - It’s likely that you’ll need some capital to start your indoor playground business, so take some time to identify what financing options are available such as bank loans, investor funding, grants, or crowdfunding platforms. 

5. Choose a Location - Whether you plan on operating out of a physical location or not, you should always have an idea of where you’ll be based should it become necessary in the future as well as what kind of space would be suitable for your operations. 

6. Hire Employees - There are several ways to find qualified employees including job boards like LinkedIn or Indeed as well as hiring agencies if needed – depending on what type of employees you need it might also be more effective to reach out directly through networking events. 

7. Acquire Necessary Indoor Playground Equipment & Supplies - In order to start your indoor playground business, you'll need to purchase all of the necessary equipment and supplies to run a successful operation. 

8. Market & Promote Your Business - Once you have all the necessary pieces in place, it’s time to start promoting and marketing your indoor playground business. This includes creating a website, utilizing social media platforms like Facebook or Twitter, and having an effective Search Engine Optimization (SEO) strategy. You should also consider traditional marketing techniques such as radio or print advertising.

• Beginners Guide , Indoors Playground

How To Start An Indoor Playground Business In 11 Steps

Written by ownplayground team.

Since the mid-1990s, indoor playgrounds have continued to grow in popularity. Over time, indoor play areas have quietly developed into a legitimate industry, with a variety of options for children and their parents. While some indoor playgrounds cater to the youngest visitors , namely preschool-aged and under, others include activities for children of all ages and in some cases, adults as well.

So, how viable is the Indoor Playground Business? With increasing concerns about childhood obesity, many parents are looking for a fun, safe, and controlled environment for their kids, where they can be physically active; run, jump, and climb without the worry of serious injury , and where they can play hard, without parents having to worry about their security and safety. The indoor playground market fits that niche perfectly and has only continued to grow in recent years. 

If starting an indoor playground business seems like a viable option, we will explain, step by step, the best way to move forward!

Find Your Niche

There are different versions of indoor playgrounds .  

Many cater to the youngest children, from toddlers to preschool, while others focus more on preteens through adults. Although some indoor playgrounds focus solely on physical activities, like: 

Others include additional attractions, such as: 

• Video games 
• Skee ball 
• Other competitive features

Before moving forward, it is important to find a niche, or a focus.  

Perhaps you’re interested in opening an indoor playground with a focus on rock climbing or zip lining ; or maybe a sports-oriented indoor playground, with some organized games, such as indoor soccer or dodgeball is closer to what you’re considering. 

Still, other indoor playgrounds focus more on gymnastic activities, such as trampolines and tumbling.

To truly create a viable business, it is important to pick one area of specialty, and be the best at it. 

By offering something with a unique area of focus, that’s a little bit different than other indoor playgrounds , you can target a specific customer base. You can also focus on the community at large, and provide something that other, similar businesses, do not.

Investigate the Competition

Indoor playgrounds are plentiful, but each one seems to offer something slightly different. 

While some focus on gymnastic style play, others focus on different amenities, such as virtual reality video gaming, or go-carts, or a carnival style playground model where kids can earn tickets for prizes.  

When considering a new business, it is important to understand the local competition.

Whatever the niche of the business, it is important to also provide something better, and different than direct competitors. 

It’s important to understand who the competitors are, and how to outperform them, whether you provide: 

• Longer hours
• Lower entrance fees 
• A better variety of activities and gaming options. 

Planning, Planning… You’ll Want to Have a Plan

Before starting any business, it is important to create a workable plan that outlines every aspect of the business. You need to make decisions that address:

• What is the main revenue stream? 
• Aside from admissions, are there other viable ways to create revenue for the playground? 
• What services can be included?  
• Will there be food served? If so, will there be hot food to order or vending services? 
• Will the facility have the capacity to host children’s parties?

Exploring the different amenities within the playground design and creating a business plan that outlines the various revenue streams, can help a small business owner: 

• Secure funding 
• Estimate overall costs 
• Determine what type of supplies and staffing will be necessary once the business is up and running.

You’ve Heard it Said, “Location, Location, Location”

When trying to create a commercial business, whether it’s an indoor playground, a deli, or a dry cleaner, it is important to find the right location.  

First, you will want to consider the demographics in the surrounding area. For an indoor playground, it’s important to find a location that is easily accessible for families, perhaps: 

• In a commercial area 
• Close to schools
• Well established neighborhoods.

The right location can make a business, and conversely, the wrong location can break a business. 

Take the time to research an area thoroughly, find out why previous businesses have failed, and make sure the location makes sense for the type of business envisioned. It is important to find a location that is: 

• Convenient for families 
• Perhaps accessible by public transportation 
• In a location deemed safe for children and families.

Create Hype

Once a location is selected, it is time to start advertising.  

While, it may seem too soon, it is truly never too early to start advertising an upcoming business venture.  

Simple steps, like: 

• Placing a sign at the chosen location alerting those passing by of the upcoming business 
• Creating a Facebook and Instagram page to track the progress of the playground, from start to finish
• Creating a dedicated website to alert people that an indoor playground is “Coming Soon”.

Any kind of upfront, pre-opening advertising will help create excitement and anticipation surrounding this business venture. In addition to the passive advertising techniques listed above, consider some direct marketing as well, things such as: 

• Mail pieces to the community 
• Including discount coupons for admission 
• Perhaps a free drink, for all guests who arrive on opening day.

Select the Right Equipment

With the growing popularity of indoor playgrounds , there are many manufacturers of playground equipment to choose from. Quality and durability are important, as is safety. Before committing to any particular choice of equipment, it is important to thoroughly research each manufacturer.

In addition to cost, there are other considerations when selecting a manufacturer: 

• Which companies offer comprehensive warranties on equipment? 
• Which manufacturers include equipment assembly in their pricing package? 
• Do any of the manufacturers have local representation, such as a sales or service personnel, who can assist with questions and simple repairs and replacements?

It is also important to select equipment from manufacturers who prioritize the safety of their apparatus.  

When running a business that includes playground equipment, amusement park rides, or sports related apparatus, safety must be of the highest concern. 

Any reputable manufacturer should be able to produce paperwork certifying the safety of their equipment.  This is a vital piece of the puzzle when putting together an indoor playground.

Understand the True Cost

It is impossible to create admission fees, invest in marketing, or price food items until the true cost of creating and running an indoor playground is established.  

Many things need to be considered when determining the cost of the business . Renting a space and buying the equipment is only one small factor. 

Not only are there licensing requirements and insurance guidelines ; there are also plenty of other administrative and operational costs: 

• Utilities, such as electric and water
• Free-Wi-Fi for customers 
• Salaries for staff
• Cost for consumable materials 
• Cleaning supplies 
• Basic upkeep.  

It can actually seem slightly overwhelming. By creating a list of estimated expenses, business owners can better manage and understand what drives cost.

Understand Safety Guidelines and Licensing

It is important for business owners to understand the safety concerns, as well as any local regulations regarding this type of business. Since indoor playgrounds can carry some inherent risks based on the physical nature of activities, it is critical to learn all there is to know about keeping customers safe . 

Learn the requirements in terms of safety precautions, and any restrictions on the type, size, or height of the play equipment to ensure all regulatory guidelines are being met.

This is also a great time to start: 

• Pricing insurance
• Obtaining any necessary licenses or permits
• Maintaining appropriate paperwork
• Meeting all regulatory guidelines 
• Maintaining licensing information.

Invest in Strategic Marketing

This is where understanding the competition really comes in handy. While it is important to understand what your competitors offer that customers absolutely love; it is equally important to understand what customers aren’t getting, or don’t like, from the competition! 

It is vital to find the customer’s “pain point”. A pain point is a defined weakness that prevents a customer from getting exactly what they want. 

Find that , and marketing is a cinch!

A pain point can be anything. Perhaps competitive indoor playgrounds are charging a high per person rate. This can be an easy pain point to solve, even without lowering prices. Solid ways to address high prices from competitive businesses could be:

• Offering a buy two, get one free rate
• Offering customers a ½ price ticket for a return trip within 60 days
• Offering a separate child’s ticket price vs. adult ticket price 

Another big parental complaint about indoor playgrounds is the noise! 

They are loud, with plenty of screaming, wild kids. 

Creating an indoor playground that includes a quiet space for Mom and Dad could potentially be a huge selling point! 

Next, the level of cleanliness. 

Everyone has heard stories about how dirty ball pits really are! 

Focusing on cleanliness and disinfecting the equipment could easily turn an indoor playground into a parental favor over the competition.

The important thing is to find out what matters most to the parents, and direct marketing to meet their needs and address their pain points! This is an easy way to differentiate a business from the competition.

Hire Talented People

It’s important to pick the right employees. For an indoor playground, ideally, employees should:

• Love working with children
• Be outgoing

It is important to select a few employees that are experienced with basic first aid, in the event of minor scrapes and scuffles.

Think about every area of the business that requires staffing: 

• Staff to handle admissions
• Answer customer inquiries 
• Take phone calls. 

Additional staff to: 

• Help run events and parties 
• Supervise games and equipment
• Oversee the snack bar. 

While some employees can fill more than one role, it is really important to have the right fit.

Turnover in employment is a huge business expense that can, with the right staff in place, be reduced dramatically. 

The cost to advertise jobs, interview and train new people, pay salaries, buy uniforms, etc. It all adds up. By picking talented and dependable people, and treating them well, retaining employees is much easier. 

The right employees will be equally invested in making the business a success.

Use Social Media for Promotion

Social media is an incredible tool. 

Studies indicate that nearly 80% of Americans use some type of social media app. (Source: Social Media use in America ) 

Using social media to create excitement prior to opening is only the beginning! 

Creating regular updates, focusing on different aspects of the business, and offering small benefits, such as a reduced price one day a week, free beverage refills, or other little perks through social media keeps followers interested in the organization.

Plus, customer reviews are a great way to get free, positive advertising! 

Creating regular social media posts and encouraging customers to leave comments about their experiences is the best free advertising in the world!

How Much Does It Cost to Build an Indoor Playground from the Ground Up?

This question is a bit hard to answer, as prices can vary tremendously depending on what the business offers.   

However, there are certain factors that can create fluctuation in a pricing model. Let’s take a look at what they are and discuss each one in detail:

Age Range of Targeted Customers

• Type of Activities Offered 
• Liability rates by location

Obviously, opening an indoor playground in Los Angeles or New York City will cost a lot more money than opening one in Topeka, Kansas!  

For the most part, indoor playgrounds require a large space, so in midsize to large cities, large spaces come with a premium price. It is important for potential business owners to research rental and purchase rates based on square footage in the targeted location.  

Sometimes making a small change to a different zip code can save a good deal of money.

Taxes and rental rates vary widely depending on locations. 

Location is one of the most important factors when creating a business, however, what may be considered a great location for a supermarket, may not be the best location for an indoor playground. 

When considering costs, it is important to weigh the cost factor against the benefits of the selected location. For example, building an indoor playground off of a main thoroughfare, but close to well established family neighborhoods may cost less and work in favor of the business. 

It is more important that kids and their parents find the location convenient, rather than ensuring that it’s on the busiest road in town.

Size of the Total Space

The size of an indoor playground can vary dramatically. 

Playgrounds designed for toddlers and preschool-aged children can be considerably smaller than those that are designed with older kids, teens, and adults in mind.

For example, an indoor playground built for toddlers and preschoolers could be housed in a 2000 square foot space rather easily, including areas for parents to relax, a snack bar, and other amenities.   

Conversely, a large scale, family size indoor playground can require spaces larger than even 15,000 square feet. It all depends on: 

• The type of activities included in the playground
• The focal activities provided
• The demographic the business is designed to serve.

Age range will dramatically affect nearly every aspect of an indoor playground. From the overall size, to the types of services offered, to the number of customers serviced daily. 

Age range is probably the single biggest factor in determining what an indoor playground will look like. 

Oftentimes, playgrounds designed for younger children operate almost like a traditional ‘Mommy and Me” class where parents and kids can pay an hourly rate for activities that are group led. 

Since toddlers and preschoolers tire or need naps, this is a customer base that will not be spending all day inside, so creating 2 hours ‘appointment’ times can encourage a steady stream of patrons all day long and increase daily revenue over a more free form style of service. 

The operating hours can mimic a basic workday in many cases, thus cutting costs in terms of salaries and staffing.

Obviously, indoor playgrounds catering to older kids and adults will need to operate longer hours and provide a variety of activities designed to keep kids and adults engaged and having fun for several hours at a time.

Types of Services Offered

While the age range of the targeted customer base will dramatically affect the size of the area needed, the customer demographics affect costs in other ways also. 

The older the patron, the more extreme some of the activities need to be. For example, when attempting to appeal to older teens and adults, attractions such as indoor ziplines and indoor go-karts are much more expensive to design and run, but they bring in more revenue as well.

Admission prices can be based on general activities, with specialized services, such as ziplining, virtual reality play, and bowling , for example, charged separately from general admission. 

Using this kind of a pricing model, the business can cater to both wealthier families as well as the more frugal. Offering a la carte services is a great way to build value and create additional revenue streams.  

Additionally, indoor playgrounds can make money in other ways as well. Consider including an arcade. 

Arcade games are easy to maintain and are easy money-makers. 

Catering children’s birthday parties with a variety of package deals and services is also an easy extra revenue stream. 

Watch which activities pull in the money. Then you can rotate out the activities that don’t create a significant revenue stream and bring in new ones!

Liability Insurance Costs

This is another tricky area.  

Liability expenses to insure an indoor playground will vary widely based on location, along with the size and scope of the activities and services offered. 

While insurance rates and maintaining liability insurance for a large scale indoor playground may seem daunting, the type of services offered should drive up costs for customers at a similar rate. 

That is why it is important to keep an eye on popular activities, and quickly move out attractions that aren’t paying the bills.

Additionally, liability rates can vary dramatically between different insurers. It is very important to obtain at least 3 or more quotes when deciding on insurance. 

Also important to note, there are usually different factors that can affect rates as well, such as special consideration or discounts provided by insurers. For example, some insurers will offer discounted rates to minority or women-owned businesses. Additionally, just like car insurance can be affected by certain safety factors, so can liability insurance for an indoor playground. 

It is very important to take the time to review all quotes and discuss all options for providing liability for your business. 

What About an Indoor Playground Franchise?

Another option for starting an indoor playground business is owning a franchise. 

While at times, franchising can lower overall investment costs, it isn’t a guarantee. However, with a business model that is fairly complex, an indoor playground can be somewhat daunting for many small business owners. 

Franchise ownership provides business owners with all the perks of owning and operating their own business, but with the strength and backing of a well-known name.

Benefits of a Franchise

There are many benefits to investing in a franchise, especially with a business like an indoor playground. In reviewing franchise operations for a mid-range indoor playground that services children from about age 2 to age 12, they offer several benefits to their franchise owners, such as:

Market Research

Lease negotiations, professional installation, design and equipment, training and support.

• Discounts on Equipment and food/beverages

Territorial Protection

Advertising.

A well-established franchise already understands the market, and as such can provide new business owners with a wealth of information. For companies that have a long standing history, market research will consist of factors that as someone new to the industry, may not have even thought about!

A large scale indoor playground company understands the value in terms of rental space, and they know exactly what it should cost to rent a building for their franchises. 

Taking into account some of the market fluctuation in different areas of the country, franchise owners can rest assured that they will not be taken advantage of in terms of leasing prices. The franchise company should be true experts.

Oftentimes franchise companies partner with a specific group of builders around the country or region to handle all of the builds and installations for their franchise owners. This allows the owner to sit back and let someone familiar with the equipment complete all the necessary installations. 

There is no need to reach out to several installers, obtain quotes, customer feedback, etc. They can simply get the job done.

Again, franchise companies have the benefit of experience. They know what designs are most appealing to customers and they know which equipment and attractions are guest favorites. There is no guesswork here for the franchise owner. No worries about removing and replacing equipment that is not popular, as the business model has already been established.

It is hard to overestimate the benefit of good training and support. 

Understanding an industry, the market, and demographic serviced by the business, not to mention what works and what doesn’t, is truly key to the overall success of a business. 

With a successful franchise, owners have the benefit of being trained on what works! Previous owners have already gone through the trial and error, so the hard work has been done. Good franchise companies will offer ongoing support, particularly in the first couple of years, as the business owner truly gets up to speed.

Whether it is equipment, rent, or food products, buying in large quantities usually means deep discounts. When working with a franchise business, the individual business owner gets the benefit of a large company’s buying power, even though they are only buying for their location. 

By using specific vendors already contracted with the franchise, owners will pay well below cost for items.

Again, plenty of research has taught franchise companies what a territory needs, and doesn’t need, to be successful. As a franchise owner, you can be guaranteed that you won’t be crowded by additional franchise owners, as each territory is already defined.

A well-recognized name and a good reputation are fantastic advertising. Franchise owners get the benefits of a familiar name, national advertising, as well as local support. 

While they choose to increase advertising through social media, or on local radio, having the national support of a network of established advertising is almost like money in the bank.

What Playground Business Will You Start?

Ultimately, it is up to each individual person or business owner to decide what works best for them. 

Many people prefer to have the support of a well-known company backing them as they start their own business endeavor. Other people want complete autonomy to create their own space, recognize their own vision, and have the freedom to do business however they choose. 

Each method has its own risks and rewards. Either way, the indoor playground industry has continued to grow and develop over the past 2 or 3 decades and shows no signs of stopping any time soon!

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Indoor Playground Business Plan [Sample Template]

By: Author Tony Martins Ajaero

Home » Business Plans » Entertainment Sector

Are you about starting an indoor playground business? If YES, here’s a complete sample indoor playground business plan template & feasibility report you can use for FREE to raise money .

This is one lucrative business that sure can guarantee good returns on investment. However, you will be required to do some underground work too. It becomes therefore really expedient that you do the needful to garner the right information that will be useful to your business as you launch out.

A Sample Indoor Playground Business Plan Template

1. industry overview.

The indoor playground which is also known as indoor play centers are playgrounds located in facility; shielded from direct impact of climatic conditions. These facilities are specifically designed for kids to play in, exercise and have incredible fun.

The soft-contained structure and play equipment are all wrapped in soft foam so as to absorb the impact when children fall or bounce around them. Players in this industry operate franchised fitness and recreational sports facilities for children aged 18 and younger.

The Children’s Fitness Center Franchises industry has indeed coped well over the last five years, as it recovered from the economic downturn that affected most businesses in the united states.

Rising per capita disposable income as well as growing awareness of the benefits of playing and exercising regularly, especially in response to the rising childhood obesity rate, have driven demand for this line of business in recent time. Going forward, rising per capita disposable income and lower unemployment levels will continue to drive up demand for franchises.

The Children’s Fitness Center Franchises industry of which indoor playground line of business is subset of is indeed a very large industry and pretty much thriving in all parts of the world especially in developed countries such as United States of America, Canada, United Kingdom, Germany, Australia and Italy et al.

Statistics has it that in the United States of America alone, there are about 1,050 licensed and registered children’s fitness cum indoor playground facilities including those who are into franchising responsible for employing about 10,723 employees and the industry rakes in a whooping sum of $550 million annually with an annual growth rate projected at 2.0 percent.

My Gym Children Fitness Center, Stretch –N- Grow International Inc. and The Little Gym are considered to have the giant market share in this industry. According to IBISWORLD, The revenue for the Children’s Fitness Center Franchises industry is expected to increase at an average annual rate of 2.0 percent to $550.3 million over the five years to 2016.

No doubt, The Children’s fitness center franchises have benefited from rising per capita disposable income, coupled with rapidly growing awareness of childhood obesity and the importance of daily physical activity. While the number of children aged nine and younger remained stagnant over the five-year period, it still grew in 2016, prompting industry revenue to also grow 1.4 percent that year.

IBISWORLD also projected that profit is expected to rise from 9.0 percent of the industry revenue in 2011 to 11.1 percent in 2016, driven by some children’s fitness center franchises expanding their high-priced service offering to activities such as interactive fitness

In recent time, the industry has experienced revenue growth, despite many families being time-strapped. While the industry contended with mounting competition from alternative leisure activities, such as bouncy castles and cinemas, many operators generated industry revenue growth on the basis of convenience.

In the coming years, the industry revenue is forecast to grow as the Children’s Fitness Center Franchises centers continue to enhance their product portfolios to attract children and families, despite their reduced leisure time

Over and above, starting an indoor playground facility business in the United States of America can be some worth stressful, it requires enough cash to acquire land large enough to accommodate the kind of indoor playground facility that can comfortably attract children cum families and also cash required to equip the indoor playground facility to meet the standard expected by potential users.

2. Executive Summary

Bellerose Indoor Playground ®, LLC is a standard and well equipped indoor playground cum children’s fitness center facility that will be located in a growing community in St Louis – Missouri.

Our basic aim of setting up the business is to contribute our quota in ensuring that children cum families who live in St. Louis and neighboring towns have an indoor playground facility for their children to catch fun to the maximum and also to open; a facility highly suitable for family recreation and bonding.

We are committed to nurturing the play, imagination and early learning in children while providing a clean safe environment for children to explore and have fun to the maximum. We have been able to secure a standard indoor playground facility in a central and easy to locate location in St. Louis – Missouri.

Aside from the fact that our aim of starting the business is to entertain children and keep the physically and mentally fit; we will still go ahead to make available, video game house, bowling alley, BBQ joint, food and drinks court, ice cream shop and enough parking space so as to get parents and guardians occupied when they bring their wards to our indoor playground facility.

We are well equipped to services the whole family cum community as well as visitors and travelers. Bellerose Indoor Playground ®, LLC is going to become the number one children cum family – focused recreation facility in the whole of St. Louis – Missouri and we will work hard to build our indoor playground facility to match the needs of the average child under the age of 18 in the community.

Before launching the business, we conducted a thorough market research and feasibility studies and we were able to come to the conclusion that St. Louis – Missouri community is the right place to open our indoor playground facility. As a matter of fact, our major aim of starting Bellerose Indoor Playground ®, LLC is to encourage families in the community to cultivate the habit of regularly taking their kids out to have fun.

Our indoor playground facility is specifically designed and built to take care of children as well as parents, we have active childcare services for toddlers and we have membership packages that are highly discounted for families that enrolled in our indoor playground facility or churches and schools who would want to regularly make use of indoor playground facility.

Bellerose Indoor Playground ®, LLC will at all times demonstrate her commitment to sustainability, both individually and as a business, by actively participating in our communities and integrating sustainable business practices wherever possible.

We will ensure that we hold ourselves accountable to the highest standards by meeting our client’s needs precisely and completely. We will cultivate a working environment that provides a human, sustainable approach to earning a living, and living in our world, for our partners, employees and for our clients.

Bellerose Indoor Playground ®, LLC is a business that is owned and managed by Stacy Jones and her immediate family. Mrs. Stacy Jones has robust experienced in the children entertainment and family recreation industry and she possess B.Ed. in Physical and Health Education.

3. Our Products and Services

Bellerose Indoor Playground ®, LLC is in the children’s fitness center franchise industry cum indoor playground line of business to provide children’s fitness center, entertainment and recreation facility for residence of St. Louis – Missouri which is why we have been able to put up an indoor playground facility that can help us achieve the goal.

We are optimistic that everyone who make use of our indoor playground facility will definitely derive maximum fun and of course good value for their money and time. These are the services and amenities that will be made available to our clients in our indoor playground facility;

• Varieties of ride on toys for children
• Child care services
• Amusement and recreational services
• Ceramic Paintings
• Spas for Children
• Game Dungeons
• Bouncy Castle
• Managing indoor playgrounds and gymnastics centers
• Providing gymnastics instruction
• Providing dance instruction
• Providing swimming instruction
• Providing additional children’s fitness activities instruction
• Other related indoor playground facility operations.

4. Our Mission and Vision Statement

• Our Vision is to build a world – class indoor playground cum children’s fitness facility and also to contribute our quota in encourage families and children in St. Louis – Missouri to actively engage in children fun – filled and recreational activities.
• Our mission for establishing Bellerose Indoor Playground®, LLC is to create a movement in the community that supports total engagement in children cum family in fun filled and recreational activities.
• We want to contribute our quota towards ensuring that St. Louis – Missouri community produces some of the happiest and healthy children free from obesity in the whole of the United States of America.

Our Business Structure

Bellerose Indoor Playground®, LlC is in business to become the leading indoor playground facility cum children’s fitness center in the whole of St. Louis – Missouri and we are fully aware that it will take the right indoor playground facility, management and organization – structure to achieve our goal.

We will ensure that we recruit only the best hands that can help us achieve all that we are set to accomplish. Our business will not be built only for the purpose of giving our members / customers value for their money and time, but also we will ensure that we make our work environment highly conducive for all our employees.

We will provide them with employee package that will help them stay motivated and deliver on their various tasks and goals et al. In view of that, we have made provisions for the following positions to be occupied by highly qualified and experienced staff;

• Chief Executive Office – CEO
• Indoor Playground Facility Manager
• Accountant / Cashier
• Marketing and Sales Officer
• Indoor Playground Safety Instructor / Assistant (5)
• Customer Care Executive / Front Desk Officer

5. Job Roles and Responsibilities

Chief Executive Officer – CEO:

• Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
• Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
• Responsible for fixing prices and signing business deals
• Responsible for providing direction for the business
• Responsible for signing checks and documents on behalf of the company
• Evaluates the success of the organization
• Carries out staff induction for new team members

Indoor Play Ground Facility Manager

• Responsible for operating and managing the indoor playground facility
• Ensures that the facility is in tip top position at all times
• Responsible for managing food and beverage services
• Manages membership and registration services
• Handles equipment rentals and sales services
• Handles other relevant indoor playground facility operations

Indoor Playground Safety Instructors / Assistant (5)

• Ensures that children follow lay down safety measures when they make use of our ride – on – toys, bouncy castles and other play facilities available in our indoor playground cum children’s fitness center
• Handles amusement and recreation services
• Handles registration for sports tournaments and matches
• Responsible for handling and giving instruction for services such as meals and beverages, coin-operated games and rides, amateur sports teams and club services, go-karting, batting cages, driving ranges , shooting ranges, kayaking, miniature golf courses, mountain climbing, snowmobiling, sports clubs, teams and leagues et al.

Marketing and Sales Officer (2)

• Identifies, prioritizes, and reaches out to new clients, and business opportunities et al
• Identifies development opportunities; follows up on development leads and contacts; participates in the structuring and financing of projects; assures the completion of projects.
• Writes winning proposal documents, negotiate fees and rates in line with organizations’ policy
• Responsible for handling business research, market surveys and feasibility studies for clients
• Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
• Develops, executes and evaluates new plans for expanding increase sales
• Documents all customer contact and information
• Represents Bellerose Indoor Playground®, LLC in strategic meetings
• Helps to increase sales and growth for Bellerose Indoor Playground®, LLC.

Accountant / Cashier:

• Responsible for preparing financial reports, budgets, and financial statements for the organization
• Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
• Responsible for financial forecasting and risks analysis.
• Performs cash management, general ledger accounting, and financial reporting for the organization
• Responsible for developing and managing financial systems and policies
• Responsible for administering payrolls
• Ensures compliance with taxation legislation
• Handles all financial transactions for Bellerose Indoor Playground®, LLC
• Serves as internal auditor for Bellerose Indoor Playground®, LLC.

Client Service Executive

• Welcomes members and potential members / clients by greeting them in person or on the telephone; answering or directing inquiries.
• Ensures that all contacts with clients (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
• Through interaction with clients on the phone, uses every opportunity to build client’s interest in the organization’s products and services
• Manages administrative duties assigned by the management in an effective and timely manner
• Consistently stays abreast of any new information on the organizations’ products, promotional campaigns etc. to ensure accurate and helpful information is supplied to clients when they make enquiries

Cleaners (3):

• Responsible for cleaning in and around the indoor playground facility
• Cleans up after customers and clean work area.
• Washes glassware and utensils after each use.
• Maintains a clean working area by sweeping, vacuuming, dusting, cleaning of glass doors and windows, etc. if required.
• Ensures that toiletries and supplies don’t run out of stock
• Handles any other duty as assigned by the indoor playground facility center manager.

6. SWOT Analysis

Bellerose Indoor Playground®, LLC is in business to provide indoor playground cum children’s fitness facility for families in St. Louis – Missouri and also help our clients achieve their fitness cum fun – filled activities for their children and at the same time to make profits.

We are aware that there is competition in The Children’s Fitness Center Franchises industry which is why we took out time to conduct an effective SWOT Analysis before investing our hard earned money into the business.

We know that if we get things right before starting our indoor playground cum children’s fitness facility, we will not have to struggle before attract loyal clients and building our membership base to a level where we can easily breakeven in record time.

We hired the services of Dr. Emmanuel Bright, a HR and Business consultant with bias in business structuring to help us conduct SWOT analysis for our company and he did a pretty good job for us. Here is a of the result we got from the SWOT analysis that was conducted on behalf of Bellerose Indoor Playground®, LCC;

One of the apparent strengths that will definitely stand as a plus for Bellerose Indoor Playground®, LCC is the fact that our indoor playground cum children’s fitness center facility is centrally located in a densely populated – residential area in St. Louis – Missouri; our location is in fact one of our major strength.

We equally have a team of highly qualified and experienced professionals who will work with children cum all our clients to achieve their aims making use of our indoor playground facility and lastly our gate fee / membership package is going to be one of the best that anybody living in St. Louis – Missouri can get; it is cheap and affordable.

Before setting up this business, we critically looked into our Business model and we were able to identify two major weakness.

One is the fact that we are a new business and the second is the fact that we may not have the financial resources required to match up with existing indoor playground cum children’s fitness facilities and even government own entertainment and recreation facilities in St. Louis – Missouri when it comes to acquiring latest children entertainment and fitness equipment and also in generating the needed hypes that can drive traffic towards our indoor playground facility.

• Opportunities:

Part of the advantages we have is that, we are centrally located in one of the busiest area and densely populated area with the right demographic composition in St. Louis – Missouri and we are open to all the available opportunities that the city has to offer.

Just like any other business operating in The Children’s Fitness Center Franchises industry, some of the threats that are likely going to confront Bellerose Indoor Playground®, LLC are unfavorable government policies , demographic / social factors, downturn in the economy which is likely going to affect consumers spending and lastly, the emergence of new competitors within the same location where our indoor playground cum children’s fitness center facility is located.

7. MARKET ANALYSIS

• Market Trends

The Children’s Fitness Center Franchises industry is part of the industry that has benefited from recent marketing campaigns which is targeted towards encourage people (children inclusive) to participate in recreation activities and sports, as well as consumer trends toward healthy living.

Going forward, many people who are part of the baby boomers generation are expected to sign up their children for health and fitness club memberships or encourage their children to make use of available indoor playground facilities in their communities. However, patrons of indoor playground cum children’s fitness centers are anticipated to increasingly pick up membership from less expensive facilities as against expensive all-inclusive clubs.

The trend in The Children’s Fitness Center Franchises industry of which the indoor playground facility line of business is a subset of is such that if a facility is well – equipped and positioned in a residential area with the right demographic composition or a place where people can easily access without much stress, there is the likelihood that the indoor playground cum children’s fitness center facility will enjoy high patronage.

Just like in other business ventures, the owners of indoor playground cum children’s fitness center are always looking for ways to increase their market share; they go as far as signing deals with high schools and also religious organizations et al to make use of their facility.

It is a common trend that as indoor playground cum children’s fitness center facility grow, it becomes necessary for them to develop new service offerings or install new facilities that will help them attract more people.

Little wonder some indoor playground cum children’s fitness center facility now has other facilities targeted towards attracting adults / parents. In order words, it is very important for indoor playground and children’s fitness centers to continue to improvise if they want to grow their business and generate their target revenues.

8. Our Target Market

The target market for indoor playground cum children’s fitness center facilities cuts across children and family from different backgrounds. The fact that people visit or register in indoor playground cum children’s fitness center facility for various reasons makes marketing the business interesting.

The target market for indoor playground cum children’s fitness center facility can be categorized into three various groups. The first group are the families who are looking towards creating time for children cum family hangouts and bonding. The other group of people are schools who would want an ideal place to take their students / children to during excursions or playtime et al. The last group of people are religious organizations.

Bellerose Indoor Playground®, LLC will work towards providing services, facilities and environment that will help us reach out to our target market. These are the category of people that we intend marketing our family entertainment center to;

• Households and families with children under the age of 18 in an around St. Louis – Missouri
• Churches and Religious centers

Our Competitive Advantage

The Children’s Fitness Center Franchises industry is indeed a prolific and highly competitive industry. Clients will only make use of your indoor playground and children’s fitness center facility if they know that you can successfully help them achieve their goals or provide the enabling environment and facility for their children to catch maximum fun.

Bellerose Indoor Playground®, LLC is centrally located in a densely populated – residential area with the right demographic composition (that is high population of children under age 18) in St. Louis – Missouri; this is obviously going to give us an edge amongst our competitive.

We equally have a team of highly qualified professionals who will work with children cum all our clients to achieve their aims of making use of our indoor playground cum children’s fitness center facility and lastly our gate fee cum membership package is going to be one of the best that anybody living in St. Louis – Missouri can get; it is cheap and affordable.

Lastly, our employees will be well taken care of, and their welfare package will be among the best within our category ( startups indoor playground cum children’s fitness center facility businesses in the United States ) in the industry. It will enable them to be more than willing to build the business with us and help deliver our set goals and achieve all our business aims and objectives.

9. SALES AND MARKETING STRATEGY

• Sources of Income

Bellerose Indoor Playground®, LLC is established with the aim of maximizing profits in the indoor playground line of business cum The Children’s Fitness Center Franchises industry and we are going to go all the way to ensure that we do all it takes to attract both individual clients (families) and corporate clients on a regular basis.

Bellerose Indoor Playground®, LLC will generate income by offering the following services;

10. Sales Forecast

It is important to state that our sales forecast is based on the data gathered during our feasibility studies and also some of the assumptions readily available on the field.

It would be hard to create a sales forecast with a newly opened businesslike indoor playground and children’s fitness center facility. This is simply because the statistics that will be provided will be on a short term basis.

Experts said that usually a business should be in operation for at least one year before they can generate the statistics that will be need to help in accurate forecasting; statistics should be at least one year old in order to show the trends and pattern in consumer spending.

We expect to welcome a minimum of 12,000 children i.e. one thousand children per month within our first year of operations and then in subsequent year we will grow by 25 percent on more.

Below are the sales projection for Bellerose Indoor Playground®, LCC, it is based on the location of our indoor playground and children’s fitness center facility and the services and products that we will be offering to our clients (members);

• First Fiscal Year-: $200,000
• Second Fiscal Year-: $450,000
• Third Fiscal Year-: $750,000

N.B : This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major competitor offering same additional services as we do within 4.5 miles radius from our indoor playground and children’s fitness center facility.

• Marketing Strategy and Sales Strategy

We will leverage on improving on our services and indoor playground facility to ensure that we win new clients and retain old members. At Bellerose Indoor Playground®, LLC, our marketing strategies will be consistent throughout the marketing mix and we will take into consideration product improvement, promotion, and price.

As part of our sales and marketing strategies, we will pay attention to the promotion of our indoor playground and children’s fitness center facility so as to attract families and corporate organizations to enroll and become members of our indoor playground and children’s fitness center.

Our unique selling proposition is that we are well positioned and people can easily access our facility, our prices are affordable and we have a complete package for families, schools and religious organizations. Part of the marketing and sales strategies that we will adopt are;

• Open our indoor playground and children’s fitness center facility with a big party for children that resides in and around St. Louis – Missouri
• Advertise Bellerose Indoor Playground®, LLC on national dailies, local TV stations and local radio station
• Promote our indoor playground and children’s fitness center facility online via our official website and all available social media platforms
• Introduce our indoor playground and children’s fitness center facility by sending introductory letters alongside our brochure to religious organizations, schools, corporate organizations, households and key stake holders in St. Louis – Missouri
• Print out fliers and business cards and strategically drop them in offices, libraries, public facilities and train stations et al.
• Delivering consistent customer experiences to all our members; making our first impression count positively to those making use of our indoor playground and children’s fitness center facility for the first time
• Make use of attractive hand bills to create awareness and also to give direction to our indoor playground and children’s fitness center facility
• Adopt direct mailing coupon marketing approach
• Position our signage / flexi banners at strategic places in and around St. Louis – Missouri
• Create a loyalty plan that will enable us reward our consistent members especially those that registered as a family or groups
• Engage in road shows within our neighborhood to create awareness for our indoor playground and children’s fitness center facility.

11. Publicity and Advertising Strategy

We have been able to work with our branding and publicity consultants to help us map out publicity and advertising strategies that will help us walk our way into the heart of our target market. We are set to become the number one choice for both corporate clients and individual clients in the whole of St. Louis – Missouri; which is why we have made provisions for effective publicity and advertisement of our indoor playground and children’s fitness center facility.

Below are the platforms we intend to leverage on to promote and advertise Bellerose Indoor Playground®, LCC;

• Place adverts on both print (community based newspapers and magazines) and electronic media platforms
• Sponsor relevant community based sport events and competitions
• Leverage on the internet and social media platforms like; Instagram, Facebook , twitter, YouTube, Google + et al to promote our brand
• Install our Bill Boards on strategic locations all around St. Louis – Missouri
• Engage in road show from time to time in targeted neighborhoods
• Distribute our fliers and handbills in target areas
• Contact Families, corporate organizations and schools by calling them up and informing them of Bellerose Indoor Playground®, LLC and the services we offer
• List Bellerose Indoor Playground®, LLC on local directories / yellow pages
• Advertise our indoor playground and children’s fitness center facility in our official website and employ strategies that will help us pull traffic to the site.
• Ensure that all our staff members wear our branded shirts and all our official vehicles are well branded with our corporate logo et al.

12. Our Pricing Strategy

Our pricing system is going to be based on what is obtainable in the industry, we don’t intend to charge more (except for premium and customized services) and we don’t intend to charge less than what our competitors are charging as gate fees or membership fee in St. Louis – Missouri.

Be that as it may, we have put plans in place to offer discount services once in a while and also to reward our loyal customers especially when they refer clients to us or when they register as a family or a religious organization and schools. The prices of our services will be same as what is obtainable in the United States’ open market.

• Payment Options

At Bellerose Indoor Playground®, LLC our payment policy will be all inclusive because we are quite aware that different clients would prefer different payment options as it suits them. Here are the payment options that we will make available to our clients;

• Payment by via bank transfer
• Payment via online bank transfer
• Payment via check
• Payment via bank draft
• Payment via mobile money
• Payment with cash

In view of the above, we have chosen banking platforms that will enable our clients pay us without any difficulty. Our bank account numbers will be made available on our website and promotional materials so that it will be easier for members to pay their membership fees (renew their membership).

13. Startup Expenditure (Budget)

When it comes to setting up any business, the amount or cost will depend on the approach and scale you want to undertake. If you intend to go big by renting a place, then you would need a good amount of capital as you would need to ensure that your employees are well taken care of, and that your facility is conducive enough for workers to be creative and productive.

This means that the start-up can either be low or high depending on your goals, vision and aspirations for your business. The tools and equipment that will be used are nearly the same cost everywhere, and any difference in prices would be minimal and can be overlooked.

As for the detailed cost analysis for starting an indoor playground and children’s fitness center facility; it might differ in other countries due to the value of their money. However, this is what it would cost us to set up Bellerose Indoor Playground®, LLC in the United of America; This is the key areas where we will spend our start – up capital on;

• The Total Fee for Registering the Business in the United States of America – $750.
• Legal expenses for obtaining licenses and permits – $1,500.
• Marketing promotion expenses (8,000 flyers at $0.04 per copy) for the total amount of $10,000.
• Cost for hiring Business Consultant – $5,000.
• Insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $30,800.
• Cost of accounting software, CRM software and Payroll Software – $3,000
• Cost for leasing facility for the indoor playground and children’s fitness center facility – $250,000.
• Cost for facility remodeling and equipping the facility – $150,000.
• Other start-up expenses including stationery – $1000
• Phone and utility deposits – $3,500
• Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $100,000
• The cost for Start-up inventory – $15,000
• Cost for acquiring various shapes of bouncy castles, games and children entertainment equipment – $150,000
• The cost for the purchase of furniture and gadgets – $10,000.
• The cost of Launching a Website – $600
• The cost for our grand opening party – $15,000
• Miscellaneous – $15,000

We would need an estimate of $750,000 to successfully launch a standard and well – equipped indoor playground and children’s fitness center facility in St. Louis – Missouri.

It is important to state that the testing and evaluating expenses would be high because of the large amount of equipment needed to start up a bounce house and recreations facility and also the sophistication of the technology used in bouncy castles.

Generating Funding / Startup Capital for Bellerose Indoor Playground®, LLC

Bellerose Indoor Playground®, LLC is a business that will be owned and managed by Mrs. Stacey Jones and her immediate family. They are the sole financial of the business which is why they decided to restrict the sourcing of the start – up capital for the business to just three major sources.

These are the areas we intend generating our start – up capital;

• Generate part of the start – up capital from personal savings and sale of his stocks
• Generate part of the start – up capital from friends and other extended family members
• Generate a larger chunk of the startup capital from the bank (loan facility).

N.B: We have been able to generate about $250,000 (Personal savings $200,000 and soft loan from family members $50,000 ) and we are at the final stages of obtaining a loan facility of $500,000 from our bank. All the papers and document has been duly signed and submitted, the loan has been approved and any moment from now our account will be credited.

14. Sustainability and Expansion Strategy

The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If all of these factors are missing from a business (company), then it won’t be too long before the business close shop.

One of our major goals of starting Bellerose Indoor Playground®, LLC is to build a business that will survive off its own cash flow without the need for injecting finance from external sources once the business is officially running.

We know that one of the ways of gaining approval and winning customers over is to pick up membership in our indoor playground and children’s fitness center facility is to equip our facility with state of the art children fitness and entertainment equipment et al and make our services affordable.

Bellerose Indoor Playground®, LLC will make sure that the right foundation, structures and processes are put in place to ensure that our staff welfare are well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner.

As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of ten years or more. We know that if that is put in place, we will be able to successfully hire and retain the best hands we can get in the industry; they will be more committed to help us build the business of our dreams.

Check List / Milestone

• Business Name Availability Check:>Completed
• Business Registration: Completed
• Opening of Corporate Bank Accounts: Completed
• Securing Point of Sales (POS) Machines: Completed
• Opening Mobile Money Accounts: Completed
• Opening Online Payment Platforms: Completed
• Application and Obtaining Tax Payer’s ID: In Progress
• Application for business license and permit: Completed
• Purchase of Insurance for the Business: Completed
• Acquiring indoor facility and remodeling the facility: In Progress
• Conducting Feasibility Studies: Completed
• Generating capital from family members: Completed
• Applications for Loan from the bank: In Progress
• Writing of Business Plan: Completed
• Drafting of Employee’s Handbook: Completed
• Drafting of Contract Documents and other relevant Legal Documents: In Progress
• Design of The Company’s Logo: Completed
• Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
• Recruitment of employees: In Progress
• Purchase of the Needed family entertainment, gym and fitness equipment, electronic appliances, office appliances and suppliers: In Progress
• Creating Official Website for the Company: Completed
• Creating Awareness for the business both online and in the neighborhood: In Progress
• Health and Safety and Fire Safety Arrangement (License): Secured
• Opening party / launching party planning: In Progress

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Indoor Playground Business Plan

Free Business Plan Template

Download our free business plan template now and pave the way to success. Let’s turn your vision into an actionable strategy!

• Fill in the blanks – Outline
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How to Write an Indoor Playground Business Plan?

Writing an indoor playground business plan is a crucial step toward the success of your business. Here are the key steps to consider when writing a business plan:

1. Executive Summary

An executive summary is the first section of the business plan intended to provide an overview of the whole business plan. Generally, it is written after the entire business plan is ready. Here are some components to add to your summary:

Start with a brief introduction:

Market opportunity:, mention your services:, management team:, financial highlights:, call to action:.

Ensure you keep your executive summary concise and clear, use simple language, and avoid jargon.

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2. Business Overview

Depending on what details of your business is important, you’ll need different elements in your business overview. Still, there are some foundational elements like business name, legal structure, location, history, and mission statement that every business overview should include:

About the business:

Provide all the basic information about your business in this section like:

• The name of the indoor playground and the concept behind it like – children’s indoor playground, kids play center, themed playground, fitness playground, adventure playground, or children’s play area.
• Company structure of your indoor playground business whether it is a sole proprietorship, LLC, partnership firm, or others.
• Location of your indoor playground and the reason why you selected that place.

Mission statement:

Business history:, future goals:.

This section should provide an in-depth understanding of your indoor playground business. Also, the business overview section should be engaging and precise.

3. Market Analysis

Market analysis provides a clear understanding of the market in which your indoor playground business will run along with the target market, competitors, and growth opportunities. Your market analysis should contain the following essential components:

Target market:

Market size and growth potential:, competitive analysis:, market trends:, regulatory environment:.

Some additional tips for writing the market analysis section of your business plan:

• Use a variety of sources to gather data, including industry reports, market research studies, and surveys.
• Be specific and provide detailed information wherever possible.
• Include charts and graphs to help illustrate your key points.
• Keep your target audience in mind while writing the business plan

4. Products And Services

The product and services section of an indoor playground business plan should describe the specific services and products that will be offered to customers. To write this section should include the following:

List the equipment and facilities:

• Explain the amenities and play structures you intend to include in your indoor playground, such as trampolines, climbing walls, ball pits, slides, and so on. Provide information about your equipment’s safety features as well as your regular maintenance and cleaning schedule.
• Additional services: Think of providing extra services like food and drink, retail sales, or child care. By offering these added services, you can attract more customers and turn your indoor playground into a one-stop shop for families.

Overall, a business plan’s product and services section should be detailed, informative, and customer-focused. By providing a clear and compelling description of your offerings, you can help potential investors and readers understand the value of your business.

5. Sales And Marketing Strategies

Writing the sales and marketing strategies section means a list of strategies you will use to attract and retain your clients. Here are some key elements to include in your sales & marketing plan:

Develop your unique selling proposition (USP):

Determine your pricing strategy:, marketing strategies:, sales strategies:, customer retention:.

Overall, the sales and marketing strategies section of your business plan should outline your plans to attract and retain customers and generate revenue. Be specific, realistic, and data-driven in your approach, and be prepared to adjust your strategies based on feedback and results.

6. Operations Plan

When writing the operations plan section, it’s important to consider the various aspects of your business processes and procedures involved in operating a business. Here are the components to include in an operations plan:

Hiring plan:

Operational process:, technologies:.

By including these key elements in your operations plan section, you can create a comprehensive plan that outlines how you will run your indoor playground business.

7. Management Team

The management team section provides an overview of the individuals responsible for running the indoor playground. This section should provide a detailed description of the experience and qualifications of each manager, as well as their responsibilities and roles.

Key managers:

Organizational structure:, compensation plan:, board of advisors:.

Describe the key personnel of your company and highlight why your business has the fittest team.

8. Financial Plan

When writing the financial plan section of a business plan, it’s important to provide a comprehensive overview of your financial projections for the first few years of your business.

Profit & loss statement:

Cash flow statement:, balance sheet:, break-even point:, financing needs:.

Remember to be realistic with your financial projections, and to provide supporting evidence for all of your estimates.

9. Appendix

When writing the appendix section, you should include any additional information that supports the main content of your plan. This may include financial statements, market research data, legal documents, and other relevant information.

• Include a table of contents for the appendix section to make it easy for readers to find specific information.
• Include financial statements such as income statements, balance sheets, and cash flow statements. These should be up-to-date and show your financial projections for at least the first three years of your business.
• Provide market research data, such as statistics on the size of the child services industry, consumer demographics, and trends in the industry.
• Include any legal documents such as permits, licenses, and contracts.
• Provide any additional documentation related to your business plans, such as marketing materials, product brochures, and operational procedures.
• Use clear headings and labels for each section of the appendix so that readers can easily find the information they need.

Remember, the appendix section of your indoor playground business should only include relevant and important information that supports the main content of your plan.

The Quickest Way to turn a Business Idea into a Business Plan

Fill-in-the-blanks and automatic financials make it easy.

This indoor playground business plan sample will provide an idea for writing a successful plan, including all the essential components of your business.

After this, if you are still confused about how to write an investment-ready business plan to impress your audience, then download our indoor playground business plan pdf .

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Frequently asked questions, why do you need an indoor playground business plan.

A business plan is an essential tool for anyone looking to start or run a successful indoor playground business. It helps to get clarity in your business, secures funding, and identifies potential challenges while starting and growing your business.

Overall, a well-written plan can help you make informed decisions, which can contribute to the long-term success of your indoor playground business.

How to get funding for your indoor playground business?

There are several ways to get funding for your indoor playground business, but one of the most efficient and speedy funding options is self-funding. Other options for funding are:

• Bank loan – You may apply for a loan in government or private banks.
• Small Business Administration (SBA) loan – SBA loans and schemes are available at affordable interest rates, so check the eligibility criteria before applying for it.
• Crowdfunding – The process of supporting a project or business by getting a lot of people to invest in your indoor playground business, usually online.
• Angel investors – Getting funds from angel investors is one of the most sought options for startups.

Apart from all these options, there are small business grants available, check for the same in your location and you can apply for it.

Where to find business plan writers for your indoor playground business?

There are many business plan writers available, but no one knows your business and idea better than you, so we recommend you write your indoor playground business plan and outline your vision as you have in your mind.

What is the easiest way to write your indoor playground business plan?

A lot of research is necessary for writing a business plan, but you can write your plan most efficiently with the help of any indoor playground business plan example and edit it as per your need. You can also quickly finish your plan in just a few hours or less with the help of our business plan software.

About the Author

Upmetrics Team

Upmetrics is the #1 business planning software that helps entrepreneurs and business owners create investment-ready business plans using AI. We regularly share business planning insights on our blog. Check out the Upmetrics blog for such interesting reads. Read more

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Business plan: The ultimate guide for your indoor play park

• Articles , Economy , Aire de jeux intérieure , Conseils

But why the business plan is so fundamental? Why devote time and energy to crafting a business plan for your indoor play park? This article will shed light on the crucial importance of such a plan, detail its key components, and guide you step-by-step in creating an effective plan. Whether you’re a newcomer or an expert in the world of indoor play parks , understanding the value of a solid business plan is your first step towards success in opening your indoor play park.

Follow the advice and strategies we’re about to share, and you’ll be able to concoct a plan that not only highlights the viability and profit potential of your indoor play park project but also attracts investors , optimizes resource management, and most importantly, ensures a safe and fun experience for your customers. Ready for this adventure? Let’s get started!

Why a business plan is essential for opening your indoor play park ?

Defining key objectives and strategies – the heart of your project

Consider your business plan as the compass for your indoor play park project . It’s not just a document; it’s the backbone of your venture. It starts with a clear definition of your objectives – whether they’re financial, operational, or customer-focused . These objectives aren’t mere ambitions; they are the beacons guiding you throughout, influencing every decision you make. From selecting the perfect location to deciding on the type of equipment, and crafting clever marketing strategies, every choice is a step closer to achieving the objectives set in your business plan.

Attracting investors – your ticket into the business world

In the ambitious venture of creating an indoor play park , wooing investors is often crucial. A well-structured and thoughtful business plan is your best ally. It proves that your project is well-considered, and you have a solid understanding of the market, finances, and challenges ahead. Investors look for promising projects with growth and profitability potential, and a convincing business plan is tangible proof that your project is worth their investment and trust.

Risk management – navigating an ocean of uncertainties

Every business entails risks, and indoor playgrounds and trampoline parks are no exception. These risks might be related to equipment safety, market fluctuations, or even evolving trends in family entertainment. A key element of your business plan is identifying and proactively managing these risks. Anticipating potential problems and devising strategies to mitigate them shows you have a realistic and prepared vision for your project. This might involve insurance, emergency plans, or strict safety policies, but effective risk management in your business plan means sustainability and stability for your business.

The importance of flexibility and adaptability – ready to pivot

Your business plan should never be set in stone. It needs to be flexible and capable of adapting to market shifts and embracing new opportunities. In a sector as dynamic as leisure and games, this adaptability is crucial. Planning with a long-term vision while remaining open to adjustments ensures your indoor play park stays relevant, competitive, and prosperous, even in a constantly changing business environment.

Essential components of a business plan for opening your indoor play park

Each component of the business plan is crucial in building not just an attractive but also a prosperous and sustainable play park!

In this section, we’ll explore the fundamental pillars of your business plan, each being an essential ingredient for the success of your leisure complex. From the executive summary to insightful market analysis, from the operations plan to creative marketing strategy, and finally, to a robust financial plan, each part of this plan is a strategic step towards realizing your vision for opening your indoor play park!

Here are the details:

Executive summary: highlighting your project.

The executive summary is the showcase of your business plan, captivating from the first lines. Think of it as the trailer of your entrepreneurial adventure: it must be concise yet compelling enough for investors to say “yes!” Present your mission, vision, key market data, and a financial overview here. This summary is your chance to shine and entice investors to dive into the world of your indoor play park, demonstrating its relevance and viability.

Market analysis: understand and conquer

A thorough market analysis is the compass guiding your project. Dive into target demographics, current trends , competition, and unmet needs. This section is your map for navigating the competitive landscape, showing that you’ve not only understood the market but are also ready to make a remarkable entry.

Operations plan: the mechanics of your park

Here, detail the day-to-day operation of your park: location and building choice, layout, play areas, trampoline park , necessary equipment, and, of course, safety protocols! Addressing staff management, opening hours, and operational details shows that every aspect has been thoughtfully considered to ensure efficiency and safety, and you’re ready to open your indoor play park , promising an exceptional customer experience !

Marketing and sales strategy: attracting and retaining

Develop your plan to attract customers and keep them loyal . From social media advertising to pricing strategies, special offers, and partnerships, every element counts. Also discuss retention strategies, like loyalty programs or special events for Halloween or Easter, for example. A solid marketing strategy is the engine that drives your indoor play park into the hearts of your customers.

Financial plan: the numbers talk

The financial plan is the beating heart of your business plan for opening your indoor play park . Present realistic forecasts, initial costs, operating budgets, and profitability analyses. Show that you’ve planned for various scenarios, demonstrating your preparedness for any eventuality. Investors are looking here to understand the profitability prospects of your project, and this is your opportunity to convince them with well-founded figures and plans.

Ready to open your indoor play park?

Your business plan reflects your market understanding, operational management capability, marketing creativity, and financial acumen. It’s a living tool that should evolve with your business and the market. By crafting it carefully, you stack all the odds in your favor to create an indoor leisure space that’s not only entertaining and safe for your customers but also profitable and sustainable for you as an entrepreneur.

Don’t hesitate to contact Play In Business for assistance in this wonderful adventure!

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How to Open an Indoor Playground: A Comprehensive Guide

Main Sections In This Post Steps To Starting An Indoor Playground Business Points to Consider Knowledge Is Power Featured Video

In this post, you’ll find a step-by-step guide on how to start an indoor playground business.

In addition, we will give you an overview of what you can expect from operating an indoor playground business, helping you make better decisions and gain clarity.

You can access the latest resources in our “Knowledge Is Power” section. Which can be used during the startup phase and once your indoor playground business is fully operational.

There is an abundance of information available to explore. If you like this post, consider sharing it with others and bookmarking it for future reference.

Let’s get started with the steps.

The Steps to Take To Start Your Indoor Playground Business

Below are the steps to starting an indoor playground business.

Each step is linked to a specific section, allowing you to jump to your desired section or scroll to follow the steps in order.

• An Overview of What You’re Getting Into
• Indoor Playground Business Overview
• Researching Your Indoor Playground Business
• Looking at Financials
• Creating Your Mission Statement
• Creating A Unique Selling Proposition (USP)
• Choose an Indoor Playground Business Name
• Register Your Company
• Create Your Corporate Identity
• Writing a Business Plan
• Banking Considerations
• Getting the Funds for Your Operation
• Software Setup
• Business Insurance Considerations
• Supplier and Service Provider Considerations
• Setting Your Prices
• Physical Setup
• Creating a Website
• Create an External Support Team
• Hiring Employees
• Getting Customers Through the Door

1. An Overview of What You’re Getting Into

a. ) Owning and Operating Your Own Business

Entrepreneurship: More Than Just a Job

Transitioning from an employee to an entrepreneur brings significant responsibilities and work dynamics differences.

Unlike a traditional job, owning and operating a business entails heightened accountability.

The conventional nine-to-five workday may no longer apply, and you may find yourself dedicating long hours to your venture.

As a business owner, you become the ultimate decision-maker, responsible for addressing challenges and making critical choices that can impact your success.

It’s crucial to recognize that entrepreneurship involves both rewards and complexities.

Before embarking on your journey in the indoor playground business, it’s essential to introspect and ensure that the unique demands and responsibilities of business ownership align with your goals and aspirations.

This self-awareness will help you navigate the entrepreneurial path with clarity and determination.

See Considerations Before You Start Your Business to identify points for a new business owner.

b.) Pros and Cons of Owning a Business

Balancing Pros and Cons in Business

Every business venture comes with its set of advantages and disadvantages.

While the benefits of owning and operating a business are appealing, it’s equally crucial to acknowledge and address the challenges.

Ignoring the potential pitfalls can lead to unexpected hurdles down the road.

You gain valuable insights by taking a proactive approach and thoroughly examining the possible issues. Understanding the challenges allows you to develop strategies and contingency plans to mitigate risks and navigate obstacles effectively.

Instead of being blindsided by unforeseen difficulties, you’ll be better prepared to tackle them head-on.

This preparedness reduces stress and enhances your ability to make informed decisions and adapt to changing circumstances.

In summary, a balanced perspective that considers both the pros and cons of entrepreneurship is essential.

It empowers you to embark on your business journey with greater confidence, resilience, and readiness to overcome any challenges.

For more, see Pros and Cons of Starting a Small Business.

c.) Passion a Key Ingredient For Success

Passion plays a pivotal role in the success of your indoor playground business.

It serves as the driving force behind your commitment and determination, especially when challenges arise.

Here’s why passion is essential:

Problem-Solving Mindset :

Passion fuels your problem-solving skills. When issues or obstacles arise in your indoor playground business, your passion motivates you to seek creative solutions rather than give up.

Resilience :

Passion is the foundation of resilience. It empowers you to persevere through tough times, setbacks, and uncertainties, keeping your entrepreneurial spirit alive.

Innovation :

Passion fosters innovation. Your enthusiasm for the business encourages you to continuously improve and adapt to changing market demands, ensuring your indoor playground remains attractive and competitive.

Customer Satisfaction :

Passion translates into exceptional customer service. When you genuinely love what you do, it reflects how you interact with your customers, creating a positive and memorable experience.

Staying Committed :

Passion keeps you committed to your vision. Even when financial rewards may not be immediate, your love for the business drives you to continue and work toward your long-term goals.

Assessing Your Passion :

To gauge your passion for the indoor playground business, ask yourself a fundamental question:

If you had all the wealth and freedom in the world, would you still choose to operate an indoor playground business for free?

A resounding “yes” indicates your genuine passion and commitment.

However, if your answer is “no” and you have a different calling, it may be worth exploring that path instead.

Starting and running an indoor playground business requires unwavering dedication, and passion is the compass that guides you toward a fulfilling and successful journey.

For More, See How Passion Affects Your Business .

2. Gaining an Overview of Owning an Indoor Playground Business

Next, let’s discuss critical issues to give you an overview of what to expect from owning and running an indoor playground business.

Note:  This section contains an abundance of information that you will want to review. It will give you an overview of what to expect, and it’s worth reading this section.

a.) A Quick Overview of Owning an Indoor Playground Business

Understanding the Indoor Playground Business

An indoor playground business is a recreational facility designed to provide a safe and enjoyable environment for children to play, socialize, and engage in physical activities.

These businesses cater to families seeking a controlled indoor space for their children to have fun, especially during adverse weather conditions or when outdoor play is not an option.

Day-to-Day Operations

Running and managing an indoor playground business involves a range of day-to-day tasks to ensure smooth operations and a positive customer experience:

• Facility Maintenance : Regularly inspecting and maintaining the indoor play equipment, ensuring it meets safety standards and promptly addressing any repairs or replacements.
• Staff Management : Hiring and training employees, including attendants, party hosts, and cleaning staff. Managing schedules, shifts, and payroll.
• Customer Service : Welcoming guests, addressing inquiries, and assisting when needed. Ensuring a welcoming and friendly atmosphere for both children and parents.
• Safety Oversight : Enforcing safety rules and guidelines to prevent accidents or injuries. Conducting safety checks and maintaining first-aid supplies.
• Party Bookings : Coordinating and hosting birthday parties and events, including setting up party areas, providing catering services, and ensuring a memorable experience for guests.
• Marketing and Promotion : Developing and implementing marketing strategies to attract customers, including online and offline advertising, social media management, and special promotions.
• Admission and Sales : Managing ticket sales, memberships, and concessions. Tracking and analyzing sales data to optimize pricing and services.
• Cleanliness and Sanitation : Maintaining a clean and hygienic environment by regularly sanitizing play areas, restrooms, and common spaces.
• Inventory Management : Keeping track of inventory for concessions, merchandise, and party supplies. Restocking items as needed.
• Financial Management : Overseeing financial aspects, including budgeting, accounting, and revenue tracking. Paying bills, handling expenses, and ensuring financial stability.
• Customer Engagement : Organizing special events, workshops, or classes to engage with customers and provide added value.
• Regulatory Compliance : Staying informed about local and state regulations related to indoor playgrounds, ensuring compliance with safety standards, permits, and inspections.
• Continuous Improvement : Regularly assessing customer feedback, monitoring industry trends, and making necessary adjustments to improve customer experience.

Running an indoor playground business requires management, customer service, safety, and entertainment skills.

Successful operators prioritize safety, cleanliness, and a welcoming space where families can enjoy quality time together.

b.) Indoor Playground Business Models

Types of Indoor Playground Business Setups and Their Business Models

When planning to start an indoor playground business, it’s essential to understand the various business setups and their corresponding models.

Choosing the right one for your venture can significantly impact your business’s success.

Here are some common types of indoor playground business setups and their associated business models:

• Traditional Indoor Playground : This model typically involves a standalone indoor playground facility designed for open play sessions. Revenue is generated through admission fees and party bookings. Additional income sources may include concessions and merchandise sales.
• Themed Indoor Playground : Themed playgrounds focus on creating immersive and unique experiences for children. The business model combines admission fees with themed party packages, often charging premium prices for the specialized experience.
• Franchise Indoor Playground : Operating a franchise indoor playground business involves partnering with an established brand. Franchisees benefit from brand recognition, standardized operations, and marketing support. The business model usually includes franchise fees and ongoing royalties.
• Trampoline Park : Trampoline parks offer a mix of indoor playground activities, including trampolines, obstacle courses, and foam pits. Revenue comes from jump time fees, party bookings, and concessions. This model targets a broader age range, including teens and adults.
• Educational Indoor Playground : This model combines playtime with educational components. Revenue may come from classes, workshops, and educational programs in addition to admission fees. The business caters to parents seeking both entertainment and learning opportunities for their children.
• Café and Indoor Playground Combo : Combining an indoor playground with a café or snack bar can provide an additional revenue stream. Parents can enjoy refreshments while their children play. Revenue includes both admission fees and food and beverage sales.
• Mobile or Pop-Up Indoor Playground : This flexible model involves setting up temporary indoor playgrounds at events, parties, or rented spaces. Revenue is generated based on event bookings and attendance fees. It offers versatility but requires a streamlined setup and marketing strategy.
• Subscription-Based Indoor Playground : Some indoor playgrounds offer monthly or annual memberships that provide unlimited access to the facility. This recurring revenue model can help maintain a steady cash flow and foster customer loyalty.

Choosing a suitable business model from the beginning is crucial, as switching your model later can be more challenging.

Focusing on a niche allows you to be more targeted, tailor your services to a specific group, and become a specialist instead of catering to everyone.

Identifying a business model that aligns with your vision and goals for your indoor playground business is essential for a smoother and more planned startup phase.

c.) Challenges You Could Face When Starting and Operating an Indoor Playground Business

Starting an indoor playground business can be exciting, but it comes with its fair share of challenges, particularly during the startup phase.

Being aware of these obstacles and having strategies to overcome them is crucial for success.

Here are some of the challenges you might encounter:

High Initial Investment :

One of the most significant challenges is the substantial upfront investment required.

This includes leasing or purchasing a suitable space, buying equipment, obtaining permits, and setting up the playground area. Securing financing or investment is often necessary.

Market Research and Demand :

Assessing the market demand accurately can be tricky. Overestimating or underestimating the demand for indoor playground services can lead to financial difficulties.

Comprehensive market research is essential to gauge customer interest accurately.

Competition :

Depending on your location, you may face competition from existing indoor playgrounds.

Standing out and offering something unique to attract customers can be challenging.

Regulatory Compliance :

Navigating the regulatory landscape, including safety and health regulations, can be complex.

Ensuring your business complies with all the necessary permits and standards is crucial to avoid legal issues.

Marketing and Promotion :

Creating awareness and attracting customers can be challenging, especially when entering a competitive market.

Effective marketing strategies are essential to get the word out about your new business.

Financial Management :

Managing finances effectively is vital. Keeping track of expenses, budgeting, and ensuring a financial cushion to cover initial losses is a common challenge.

Staffing and Training :

Hiring and training employees, mainly those responsible for supervising children, is critical.

Ensuring they are well-qualified and understand safety protocols is essential.

Operational Logistics :

Efficiently managing day-to-day operations, scheduling playtimes, maintaining equipment, and handling bookings can be logistically challenging.

Challenges During Operation of an Indoor Playground Business

Once your indoor playground business is up and running, new challenges may arise. Managing these challenges effectively is crucial for long-term success:

Sustainability :

Maintaining consistent customer interest and retaining regular customers can be challenging. Keeping your indoor playground relevant and exciting is essential.

Safety and Sanitation :

Ensuring the safety and cleanliness of the facility at all times is a top priority. Regular inspections, maintenance, and adherence to safety standards are essential.

Continuous competition with other indoor playgrounds and entertainment options can pressure your business. Staying innovative and offering new experiences can help you stand out.

Staffing and Turnover :

Employee turnover can disrupt operations and affect the customer experience. Retaining skilled staff and ensuring they provide excellent service is an ongoing challenge.

Seasonal Fluctuations :

Indoor playgrounds may experience seasonal fluctuations in business. Preparing for slow periods and adjusting marketing and promotions accordingly is essential.

Maintenance and Repairs :

Play equipment and facilities may require regular maintenance and occasional repairs. Ensuring minimal downtime for customers is a logistical challenge.

Customer Experience :

Providing an excellent customer experience and addressing customer concerns promptly is vital. Negative reviews and word-of-mouth can impact your reputation.

Financial Stability :

Maintaining consistent cash flow and profitability is an ongoing challenge. Managing expenses and seeking new revenue streams may be necessary.

Understanding and proactively addressing these challenges during the startup phase and while operating your indoor playground business is essential for long-term success in this competitive industry.

d.) Questions You Need to Consider for Your Indoor Playground Business

Critical Questions for Your Indoor Playground Business

Before embarking on your indoor playground business venture, addressing a series of fundamental questions will help you prepare for potential challenges and make informed decisions.

Consider these critical questions as you embark on your entrepreneurial journey:

What Indoor Playground Business Model Will You Choose?

• Determine the specific type of indoor playground business you wish to establish.

Do You Possess the Necessary Skills?

• Assess your skillset to ensure you have the expertise required to manage and operate an indoor playground business effectively.

Will You Be Operating Solo or Hiring Employees?

• Decide whether you plan to handle all aspects of the business yourself or if you intend to hire employees.

Management Approach: Personal or Delegated?

• Determine if you will take on the role of business manager or if you plan to hire a dedicated manager.

Customer Acquisition Strategy: How Will You Attract Customers?

• Develop a comprehensive plan for acquiring and retaining customers.

Analyzing the Competition: Who Are Your Competitors?

• Identify your competitors within the indoor playground industry.

Customer Retention: How Will You Keep Customers Returning?

• Establish strategies for maintaining customer loyalty and encouraging repeat business.

Partnership and Investment: Seeking Collaborators or Investors?

• Decide whether you want to form partnerships or seek investors to support your venture.

Financial Considerations: How Will You Fund Startup Costs?

• Determine your approach to financing the initial startup expenses.

Profitability Timeline: Have You Evaluated the Timeframe for Profitability? – Assess how long it may take for your business to become profitable and plan accordingly.

Financial Support During Early Stages: What’s Your Plan? – Develop strategies for sustaining yourself financially during the initial, potentially challenging phase of operation.

Product and Services: What Will You Provide? – Define the range of products and services your indoor playground business will offer.

Market Demand: How Do You Know There’s a Demand for Your Service? – Research and analyze market demand to ensure your service meets customer needs.

Competitive Edge: What Sets You Apart? – Determine the unique qualities or value propositions that differentiate your indoor playground business from competitors.

Business Positioning: High-End, Average, or Discount Operation? – Define your business’s positioning in terms of pricing and target audience.

As you address these critical questions, you’ll understand your indoor playground business comprehensively and be better prepared to navigate the challenges and opportunities in your entrepreneurial journey.

3. Research

A.) inside information indoor playground business research.

Launching an indoor playground business demands comprehensive research to ensure informed decision-making. Before any other actions, delve into the following key aspects:

Quality Information is Key:

• Gather detailed, reliable information to understand the industry fully.
• Avoid unforeseen challenges by having a complete grasp of the business.

Seek Insights from Experienced Professionals:

• Connect with individuals well-versed in indoor playground operations.
• Benefit from their valuable insights and knowledge.
• Gain priceless advice based on years of industry experience.

Valuable Resources for In-Depth Knowledge:

• Identify reliable sources for obtaining insights and guidance.
• Explore an article offering guidance on finding and approaching industry experts.
• Learn how to initiate meaningful conversations with seasoned professionals.

Before embarking on your indoor playground business journey, equip yourself with the knowledge and expertise necessary for success.

Conduct thorough research and engage with industry experts to ensure a well-informed start.

See An Inside Look Into the Business You Want To Start for all the details.

b.) Demand, the Competition and Your Location

Understanding Your Market:

Before diving into your indoor playground business, a comprehensive understanding of your market is paramount. Each aspect plays a pivotal role in your venture’s success.

Demand Assessment:

• Evaluate the local demand for indoor playgrounds.
• Understand customer preferences and expectations.
• Gauge the need for family-friendly recreational spaces.

Market Saturation Analysis:

• Determine if the market is saturated with similar services.
• Identify gaps in the market that your business can fill.
• Explore the potential for offering unique experiences.

Competitor Analysis:

• Identify your direct competitors.
• Assess their market share and strengths.
• Discover what sets your business apart.
• Find opportunities to meet unmet customer needs.

Location Selection:

• Balance demand with competition.
• Consider affordability and accessibility.
• Ensure your chosen location aligns with your target audience.
• Evaluate the potential for foot traffic.

In conclusion, examining these market factors will empower you to make informed decisions about your indoor playground business. Properly aligning demand, location, and business setup will be crucial.

For more, see the Demand for Your Products and Services and Choosing The Best Location for Your Business.

c.) Target Audience

Understanding Your Target Audience Benefits:

Comprehending your target audience is a strategic advantage for your indoor playground business. By delving into your audience’s preferences and needs, you gain several benefits:

• Tailored Services: You can customize your products and services to match your customers’ interests, enhancing their satisfaction.
• Efficient Resource Allocation: Focusing on what appeals to your target market allows you to allocate resources more efficiently, optimizing your business’s operations.
• Enhanced Marketing: Targeted marketing efforts are more effective, reaching the right people with resonating messages.
• Customer Retention: Satisfied customers are more likely to return, fostering loyalty and long-term relationships.

Target Market Ideas:

Identifying your potential audience is a pivotal step.

Here’s a bullet list of individuals likely to be interested in what an indoor playground business offers:

• Parents: Looking for safe, enjoyable activities for their children.
• Children: The primary users, seeking fun and engaging play experiences.
• Schools and Daycares: Seeking field trip opportunities.
• Event Planners: Interested in hosting kids’ parties and events.
• Local Communities: A hub for social interaction and recreation.
• Tourists: Searching for family-friendly attractions while visiting the area.
• Fitness Enthusiasts: Parents who value active play for their children’s health.

Understanding these potential segments enables you to effectively tailor your services and marketing strategies.

For more, see How To Understand Your Target Market.

4. Looking at Financials:

Understanding the numbers and making good decisions is a crucial factor in succeeding.

You will struggle to manage a successful operation without investing the time and effort necessary to understand and monitor the financials of your indoor playground business.

This section has a lot to cover, and these are critical steps in your business startup and operation.

The section is broken up into the following:

Start-up Cost:

In this step, we will look at the importance of getting an accurate estimate and a simple startup cost to help you get your setup ideas.

Monthly Expenses:

Expenses must be monitored, or the operation could be jeopardized. A sample list of monthly expenses is provided, which can be used to generate ideas for the setup.

To keep your doors open, you must generate profits and enough to pay your bills, grow your business and support your income. There are a few points you will want to consider in this section.

Bests Practices:

In addition to the above, we will examine a few best practices regarding your business’s financial aspects.

Let’s get started!

Start-Up Costs:

Accurate Estimation of Startup Costs:

Estimating startup costs is a critical step in launching your indoor playground business.

It involves meticulous planning and research to transition from the initial concept to opening day smoothly. Here’s why it matters:

Avoiding Underestimation:

Underestimating your startup costs can lead to financial roadblocks, potentially halting your progress before you even open for business.

Running out of funds during the startup phase can be detrimental.

Preventing Overestimation:

On the other hand, overestimating your costs can make your venture appear riskier than it is. It might deter potential investors or lenders.

Factors Influencing Costs:

The total startup cost is influenced by various factors, including the business’s scale, chosen location, equipment choices (new or used), staffing decisions, and even whether you operate online or from a physical establishment.

Detailed Estimation:

To estimate effectively, create a comprehensive list of all necessary expenses and gather price quotes. As you research, you’ll likely uncover additional considerations to include in your estimate.

No One-Size-Fits-All:

Remember that there’s no one-size-fits-all answer to the exact cost of starting an indoor playground business. Each setup is unique; the estimation process should align with your business model.

Sample Startup Cost For an Indoor Playground Business 

The purpose of the list below is to focus on the items in the list more than the numbers because these are general samples, and your figures will be different.

Lease or Purchase of Space:

• Lower Value: $150,000
• Upper Value: $300,000

Renovations and Interior Setup:

• Lower Value: $50,000
• Upper Value: $100,000

Indoor Play Equipment and Structures:

• Lower Value: $100,000
• Upper Value: $200,000

Safety Flooring and Padding:

• Lower Value: $20,000
• Upper Value: $40,000

Decor and Theming:

• Lower Value: $15,000
• Upper Value: $30,000

Licensing and Permits:

• Lower Value: $5,000
• Upper Value: $10,000

Insurance (General Liability, Property):

• Lower Value: $3,000
• Upper Value: $6,000

Marketing and Promotion:

• Lower Value: $10,000
• Upper Value: $20,000

Legal and Professional Fees:

Initial Inventory and Supplies:

Website Development and Online Presence:

Employee Training and Hiring Costs:

Technology and Point-of-Sale System:

Working Capital and Contingency Fund:

Total Estimated Startup Costs (Lower Value): $389,000 Total Estimated Startup Costs (Upper Value): $772,000

For more, refer to my article on Estimating Startup Costs.

Monthly Operating Costs:

Monthly Expense Considerations for Operational Success:

Your monthly expenses for an operational indoor playground business often mirror the startup costs discussed earlier. However, several variables can impact these expenses:

Staffing: Whether you opt for a lean, owner-operated model or a fully staffed facility will significantly affect your monthly expenses.

Location: The choice of location is pivotal. A high-traffic area may entail higher costs but potentially yield greater customer footfall.

Variable Costs: Monthly expenses can vary due to factors such as loan payments, marketing campaigns, and unforeseen repairs, among others.

Optimizing Expenses: To maintain operational efficiency and adapt to revenue fluctuations, it’s crucial to keep non-essential costs in check without compromising on quality, service, or productivity.

Managing your monthly expenses effectively ensures the sustainability of your indoor playground business and its ability to weather financial ups and downs. Keep a vigilant eye on these variables to maintain a healthy bottom line.

Sample list of estimated monthly expenses for a MID-sized indoor playground business

Again, the purpose of the list below is to focus on the items in the list more than the numbers. The numbers are a general idea, and your numbers and list will differ. 

• Rent or Lease: $5,000 – $8,000
• Utilities (Electricity, Water, Gas): $800 – $1,200
• Insurance (General Liability, Property, Workers’ Compensation): $1,000 – $1,500
• Loan Payments (if applicable): $2,000 – $3,000
• Staff Salaries: $6,000 – $8,000
• Employee Benefits (Healthcare, Retirement): $1,500 – $2,500
• Maintenance and Repairs: $500 – $800
• Marketing and Advertising: $1,500 – $2,500
• Supplies and Inventory: $800 – $1,200
• Cleaning Services: $400 – $600
• Security and Alarm System: $200 – $400
• Office Expenses (Phone, Internet, Supplies): $300 – $500
• Professional Services (Accounting, Legal): $500 – $800
• Equipment Maintenance: $300 – $500
• Property Taxes: $500 – $800
• Depreciation (for Equipment and Furniture): $1,000 – $1,500
• Miscellaneous Expenses: $500 – $800

Total Estimated Monthly Expenses: $21,200 – $33,200

Considerations for Profits 

Navigating Profit for Your Indoor Playground Business:

Understanding the details of profit is vital for the success of your indoor playground business.

Here are key points to consider:

Overhead Impact: Profit is influenced by your overhead costs. High overhead can lower profit margins even with high sales volume.

Profit Estimation: Profit estimation can be complex due to the numerous variables involved, making it challenging for anyone else to predict your specific indoor playground’s profit accurately.

Personal Insight: As a business owner, you are best positioned to estimate profit based on your unique setup and business model.

Positioning Matters: Deciding whether to position your business as high-end or discount will directly affect your profit margin.

Big Picture Focus: Avoid focusing on the profit of one sale without considering the number of sales you need to cover overhead costs.

Solid Numbers in Operation: While estimation is crucial during startup, actual profit figures based on acquired data become available once your business is operational.

Calculating Net Profit: Calculate net profit by subtracting total costs from total revenue.

Analyzing Profit per Sale: Delve deeper into profitability by computing profit per sale, enabling you to focus on the most lucrative products and services.

Profit is a dynamic aspect of your indoor playground business, and your ability to navigate it effectively will determine your long-term success.

Prioritize a balanced approach considering high-profit margins and sustainable sales volume to ensure a healthy bottom line.

For More, See Estimating Profitability and Revenue.

Final Thoughts on Financials 

Crucial Financial Management for Indoor Playgrounds:

Understanding the financials of your indoor playground business is a fundamental aspect of its operation. Here’s why it matters:

Legal Compliance: Accurate financial tracking is necessary for tax and legal purposes, ensuring your business stays compliant.

Strategic Insight: Monitoring profits, expenses, and generating financial reports provides valuable insights and trend analysis.

Early Issue Detection: Regular financial scrutiny allows you to detect issues promptly. If sales drop, for instance, you can investigate root causes, such as market changes, product or service issues, or new competitors.

Proactive Decision-Making: Timely financial monitoring enables proactive decision-making, averting potential crises and ensuring long-term sustainability.

Examples of Financial Reports:

• Profit and Loss Statement : Tracks income, expenses, and profitability over a specified period.
• Cash Flow Statement : Monitors cash inflows and outflows, crucial for liquidity management.
• Balance Sheet : Provides a snapshot of your business’s financial position, including assets, liabilities, and equity.
• Sales Analysis Report : Breaks down sales by product, service, or period, aiding in strategy refinement.

By vigilantly studying your indoor playground business’s financials, you gain the foresight needed to address challenges and make informed decisions, ultimately securing its success.

5. Create Your Mission Statement

Harnessing the Power of a Mission Statement:

A mission statement is a fundamental tool for clarifying the purpose and direction of your indoor playground business.

Here’s how it can assist you:

• Purpose Definition: It succinctly defines the core purpose of your business, answering the question, “Why does your indoor playground exist?”
• Guiding Light: A mission statement serves as a guiding light, ensuring your business consistently aligns with its primary goal and values.
• Customer Focus: It keeps your focus on the main benefit you provide to both customers and the community.
• Consistency: By reminding you of your mission, it helps maintain consistency in your actions, decisions, and services.

Examples of Mission Statements for an Indoor Playground Business:

• Our Mission is to Spark Joy and Imagination in Every Child, Creating Lifelong Memories of Play.
• We Strive to Provide a Safe, Inclusive, and Enriching Play Environment for All Children, Promoting Physical and Cognitive Growth.
• At [Business Name], Our Commitment is to Be a Community Hub for Families, Fostering Playful Moments and Bonding.
• Dedicated to Delivering Unforgettable Play Adventures, We Aim to Be the Go-To Destination for Fun and Exploration.
• Our Mission is to Promote Active Play, Learning, and Joyful Experiences for Children, Nurturing Healthy Bodies and Minds.

A well-crafted mission statement reflects the values and aspirations of your indoor playground business and guides it toward its intended impact on customers and the community.

For more, see How To Create a Mission Statement.

6. Creating A Unique Selling Proposition (USP)

Leveraging a Unique Selling Proposition (USP):

A unique selling proposition (USP) is a powerful tool for identifying and crafting distinctive qualities for your indoor playground business.

Here’s how it can benefit you:

• Differentiation: A well-defined USP sets your business apart from competitors in the indoor playground industry.
• Target Audience Appeal: It resonates with your target audience, attracting families and children seeking a unique and memorable play experience.
• Brand Identity: A USP forms the core of your brand identity, helping customers recognize and connect with your business.
• Competitive Advantage: It provides a competitive edge by offering something that others do not, increasing customer loyalty and market share.

Examples of USPs for an Indoor Playground Business:

• Eco-Friendly Adventure: Emphasize sustainability and eco-conscious play equipment, appealing to environmentally-conscious parents.
• Imagination Emporium: Create themed play zones that encourage imaginative play, setting your playground apart as a creative haven.
• Safety First Sanctuary: Highlight stringent safety measures and certified staff, giving parents peace of mind.
• Health and Wellness Hub: Introduce fitness-focused play activities, promoting a healthy and active lifestyle for children.
• Ultimate Birthday Destination: Specialize in exceptional birthday party packages with personalized themes and entertainment.
• Parent’s Oasis: Offer comfortable seating areas, Wi-Fi, and a cafe for parents, making it a destination for both kids and adults.
• Educational Escapade: Integrate educational elements into play zones, catering to parents looking for learning experiences.

Crafting a compelling USP tailored to your indoor playground business can lead you to success.

You can differentiate yourself from the competition by creating a memorable and unique customer experience.

7. Choose a Business Name

Choosing the Perfect Business Name:

Selecting the right name for your indoor playground business is crucial. Here’s what to consider:

Catchy and Relevant: Opt for a catchy name that aligns with your industry.

Easy to Remember: Ensure it’s easy to pronounce and memorable, as business names rarely change.

Matching Domain: Aim for a domain name that fits your business name for a cohesive online presence.

Check Availability: Verify that the name isn’t already registered by another business to avoid legal complications.

Now, here’s a list of sample indoor playground business names to spark your creativity:

Sample Indoor Playground Business Names:

• PlayPalace Adventures
• JumpStart Funland
• KiddoHaven Playgrounds
• WonderWorld Playhouse
• BounceMania Park
• TotTrek Adventures
• GiggleGrove Playland
• HappySprout Indoor Play
• MiniMunchkin World
• LivelyLanes Play Center
• Peek-a-Boo Paradise
• TinyTrek Playland
• FunFrolic PlaySpace
• GigglyWiggly Indoor Fun
• SproutHaven Adventures
• StarBounce Playland
• WeeWonderland Park
• HoppityHop FunZone
• JoyJump Indoor Play
• Lil’Explorers Paradise
• AdventureAwaits Playtime
• BubbleBounce World
• LittleLearners Park
• Pipsqueak Playground
• RumbleTumble FunHouse
• TinyTrailblazers Playland
• JungleJamboree Adventures
• SproutSafari Park
• KidCraze Indoor Play
• HappyHoppers Haven

This list can inspire you to create an original and memorable name that perfectly suits your indoor playground business.

For more, see the following articles:

• How To Register a Business Name
• Registering a Domain Name For Your Business

8. Register Your Company

Ensuring Legal Compliance for Your Indoor Playground Business:

Ensuring the legality of your indoor playground business is a critical step in its success. Here’s what you need to consider:

Professional Consultation:

To navigate the legal landscape effectively, consider consulting a professional who can assess your business setup for tax benefits and liability mitigation.

Common Registrations:

• Business Structure Registration (e.g., LLC, Corporation)
• Business Name Registration
• Federal Employer Identification Number (EIN)

Permits and Licenses:

• Business Operating Permit
• Health Department Permit (for food services)
• Building and Safety Permits
• Fire Department Safety Inspection
• Childcare Licensing (if applicable)
• Music Licensing (if playing music)
• Alcohol License (if serving alcohol)
• Signage Permit

Becoming Bondable:

Enhance customer confidence by ensuring your employees pass background checks and are bondable.

This demonstrates a commitment to safety and builds trust with your clientele, assuring them of your business’s integrity and professionalism.

Registration:

• How to Register Your Business
• How To Register a DBA
• How to Register a Trademark
• How to Get a Business License

Business Structures:

• How to Choose a Business Structure
• Pros & Cons of a Sole Proprietorship
• How To Form an LLC
• How To Register a Business Partnership
• How To Form a Corporation
• How To Choose a Business Registration Service

9. Create Your Corporate Identity

A Corporate ID is the visual representation of your business. It encompasses your logo, business cards , website, signage, stationery, and promotional materials.

Maintaining a consistently professional design across these elements is essential for leaving a lasting impression on new and existing customers.

Your Corporate ID reflects your brand’s image and values, influencing how customers perceive and connect with your indoor playground business.

Visit our pages for an overview of your logo, business cards, website, and business sign, or read A Complete Introduction to Corporate Identity Packages.

10. Writing a Business Plan

The Significance of a Business Plan:

A business plan is a foundational document for securing financing and attracting investors.

It is a guiding beacon during the startup phase and when your business is fully operational.

Invest Time and Effort:

Creating an effective business plan is a substantial endeavor.

It involves crafting a vision of your business when it is fully operational, which demands careful planning and meticulous detailing.

The effort is worthwhile; the completed plan clarifies your startup needs and active strategies.

Diverse Creation Options:

Remember the flexibility in your approach when embarking on your business plan journey.

You can craft it from scratch, enlist the help of professionals, utilize templates, or employ business plan software.

Regardless of the chosen method, active involvement is crucial, especially when seeking professional assistance to represent your business vision and management accurately.

Adaptation and Optimization:

Your business plan and operational strategies may evolve with experience or market changes.

Periodically reviewing and adapting the document is advisable.

This ongoing optimization ensures alignment with your growing business goals, fostering resilience and adaptability in your indoor playground business.

Business Plan Template for an Indoor Playground Business

Bold text indicates section headers.

1. Executive Summary

• Business Name and Location
• Vision and Mission Statements
• Brief Description of Your Business
• Market Opportunity
• Funding Requirements

2. Business Description

• Industry Overview (Indoor Playground Sector)
• Business Concept and Goals
• Unique Selling Proposition (USP)
• Legal Structure (e.g., LLC, Corporation)
• Location and Facilities
• Target Market Analysis

3. Market Research and Analysis

• Industry Trends and Growth
• Competitor Analysis
• Customer Segmentation
• Market Needs and Challenges
• SWOT Analysis (Strengths, Weaknesses, Opportunities, Threats)

4. Marketing Strategy

• Branding and Positioning
• Marketing Mix (Product, Price, Place, Promotion)
• Online and Offline Marketing Tactics
• Social Media and Digital Marketing Plan
• Customer Acquisition and Retention Strategies

5. Products and Services

• Detailed Description of Play Equipment
• Additional Services (e.g., Party Hosting)
• Safety Measures
• Pricing Strategy
• Revenue Streams

6. Operations Plan

• Facility Layout and Design
• Equipment Sourcing and Maintenance
• Staffing Requirements
• Training Programs
• Health and Safety Protocols
• Suppliers and Partnerships

7. Management and Team

• Management Team Bios
• Roles and Responsibilities
• Organizational Structure
• Advisors and Consultants

8. Financial Projections

• Start-up Costs and Funding Requirements
• Sales Forecasts
• Income Statements
• Cash Flow Projections
• Break-Even Analysis

9. Funding and Investment

• Funding Sources (Loans, Investors, Grants)
• Use of Funds
• Exit Strategy (if applicable)

10. Risk Assessment and Mitigation

• Identify Potential Risks (e.g., Seasonality, Economic Downturn)
• Develop Risk Mitigation Strategies

11. Appendices

• Supporting Documents (e.g., market research, legal documents, permits)
• Charts, Graphs, and Visuals

12. Timeline

• Milestones and Key Dates
• Implementation Schedule

This comprehensive business plan template provides a structured outline for your indoor playground business.

Customize each section with detailed information and data relevant to your specific venture.

A well-crafted business plan is a roadmap for success and a valuable tool for securing funding and attracting potential partners or investors.

See How to Write a Business Plan for information on creating your business plan.

11. Banking Considerations

Choosing the Right Bank for Your Business:

Opt for a nearby bank with a solid small business focus, a robust financial presence, and an impeccable reputation.

Building a professional relationship with your banker is vital. They can offer valuable advice, support in good and bad times, and streamline applications.

Benefits of Business Accounts:

Maintain a separate business account to segregate business and personal transactions. This will simplify expense tracking, report generation, and tax filing and reduce complications in case of an audit.

Embrace Merchant Accounts:

Utilize merchant accounts or online services to accept customers’ credit and debit card payments. This boosts sales and enhances convenience, making transactions smoother for your clientele.

For more, see How to Open a Business Bank Account. You may also want to look at What Is a Merchant Account and How to Get One.

12. Getting the Funds for Your Operation

Securing Funding for Your Indoor Playground Business:

If you require financial assistance to launch your indoor playground business, explore these funding options:

Traditional Lenders: Banks and credit unions offer business loans with various terms and interest rates.

Private Loans: Seek loans from individuals, friends, or family members willing to invest in your venture.

Investors: Attract potential investors who believe in your business concept and are willing to provide capital.

Asset Sale: Consider selling personal assets to generate initial capital.

Government Grants: Investigate whether government grants or programs are available to support your indoor playground business.

Meeting with a Loan Officer:

When meeting with a loan officer, consider the following:

• Clearly articulate your business plan and financial projections.
• Demonstrate your commitment and ability to repay the loan.
• Address any questions or concerns regarding your credit history.

Sample List of Documents for a New Business Loan Application:

• Business Plan: Detailed plan outlining your indoor playground concept, market analysis, and financial projections.
• Personal Financial Statements: Documentation of your personal financial status.
• Credit History: Provide a copy of your credit report.
• Collateral Information: Details on assets you can use as collateral.
• Legal Documents: Business registration, licenses, and any legal agreements.
• Tax Returns: Personal and business tax returns for the past few years.
• Financial Projections: Cash flow forecasts and income statements.
• Personal Identification: A valid ID, such as a driver’s license or passport.

These documents help establish your credibility and financial viability when applying for a new business loan.

For more, see the following:

• Getting a Small Business Loan
• SBA Small Business Grants
• Search: Indoor Playground Business Start-up Loans
• Search: Grants For an Indoor Playground Business

13. Software Setup

Selecting Management Software:

Choosing the right management software for your indoor playground business is crucial.

Here are key considerations:

Starting Right: Research thoroughly, as it’s easier to implement a program from the beginning than to switch systems once your data is already in another program.

Dependable Support: Opt for a company with a proven track record to ensure ongoing support for your software.

Trial Options: Look for software providers that offer demos, allowing you to test functionality before committing.

User Feedback: Explore software reviews and forums to gain insights from other users’ experiences.

Financial Management: Consider software for expense tracking and financial document preparation, which is essential for tax filing.

Collaborating with your bookkeeper or accountant can provide valuable guidance in selecting the right accounting software for your needs.

Types of Management Software:

• Booking and Reservation System: For managing customer bookings and scheduling.
• Point-of-Sale (POS) System: For processing payments, tracking sales, and managing inventory.
• Customer Relationship Management (CRM) Software: To maintain customer records and enhance customer interactions.
• Inventory Management Software: For tracking and replenishing supplies and equipment.
• Security and Surveillance Software: To monitor and ensure safety within your facility.
• Employee Scheduling Software: For managing staff shifts and payroll.
• Marketing Automation Software: To streamline marketing campaigns and customer communication.
• Accounting Software: For financial management, expense tracking, and tax preparation.
• Safety and Compliance Software: To ensure adherence to safety regulations and standards.
• Feedback and Review Management Software: To gather and respond to customer feedback.

Choosing the right software tools for management and operations streamlines your indoor playground business, enhancing efficiency and customer experience.

Check out Google’s latest search results for software packages for an indoor playground business.

14. Get The Right Business Insurance

Essential Business Insurance for Indoor Playgrounds:

Before any activities commence at your indoor playground business, having the right insurance coverage in place is imperative. Here’s what you should consider:

Protecting Stakeholders: Your insurance should safeguard customers, employees, yourself, and anyone on the premises in case of accidents or injuries.

Property Coverage: Ensure your insurance covers property damage, including equipment, structures, and interior fixtures.

Professional Liability Insurance: This specialized coverage protects you against potential lawsuits related to negligence or injuries that may occur during playtime.

Interruption Insurance: In the event of an unforeseen incident that forces your business to close temporarily, interruption insurance provides financial support during the shutdown.

Using a Competent Insurance Broker:

Navigating the complexities of business insurance requires expertise. Collaborate with a competent insurance broker who can guide you through the process and ensure sufficient coverage.

Broker’s insights will help you make informed decisions, protecting your indoor playground business from unforeseen events and providing peace of mind for you and your stakeholders.

For more, see What to Know About Business Insurance . You can also browse the latest Google search results for indoor playground business insurance .

15. Suppliers and Service Providers

Building solid relationships with reliable suppliers and service providers is vital for the success of your indoor playground business.

Here are essential items and services you may need from them:

Play Equipment Suppliers: Source high-quality play structures, slides, and equipment that meet safety standards and fit your facility’s layout.

Safety Inspection Services: Regular safety inspections and maintenance services for play equipment ensure a safe environment for children.

Cafeteria/Food Suppliers: If you offer food services, partner with suppliers of fresh, quality food.

Janitorial and Cleaning Services: Maintain cleanliness with professional cleaning services for a hygienic environment.

Furniture Suppliers: Furnish your facility with seating, tables, and party room essentials.

Marketing and Advertising Services: Collaborate with marketing agencies or graphic designers for promotional materials and campaigns.

Accounting and Bookkeeping Services: Ensure financial stability with professional accounting services.

Security Services: Consider security personnel for added safety depending on location and size.

Technology Providers: For online booking systems, point-of-sale solutions, and website maintenance.

Customer Service Training: Invest in training programs to enhance your staff’s customer service skills.

Insurance Providers: Secure adequate liability and property insurance to protect your business.

Nurturing respectful, mutually beneficial relationships with suppliers and service providers promotes reliability, competitive pricing, and the continuous availability of essential resources.

It’s a symbiotic partnership that contributes to your indoor playground’s long-term success.

For More, See How To Choose a Supplier.

16. Setting Prices

Researching Pricing Strategies:

Researching pricing strategies is crucial when embarking on your indoor playground business.

Avoiding Overpricing: Setting excessively high prices can deter potential customers, resulting in lost sales. It’s essential to strike a balance between profitability and affordability.

Preventing Underpricing: However, pricing too low might attract more customers but could lead to financial difficulties due to insufficient profit margins.

Achieving Market Alignment: To succeed, find a pricing sweet spot that aligns with your target market’s expectations while emphasizing the unique value your indoor playground offers.

Effective pricing research ensures your business remains competitive, profitable, and appealing to a broad customer base, ultimately contributing to its long-term success.

See the following for more:

• Setting the Price of Your Products and Services
• Search Results for Pricing Strategies for an Indoor Playground Business.

17. Physical Setup

Layout Overview:

The layout and setup of an indoor playground business play a vital role in providing customers with a safe and enjoyable experience.

The primary focus should be creating a well-organized, engaging space catering to different age groups and activities. Key elements of the layout include:

• Play Zones: Designate specific play areas for various age groups, ensuring age-appropriate equipment and activities.
• Safety Measures: Implement safety features like soft flooring, secure gates, and clear sightlines for supervising children.
• Cafeteria/Seating: Allocate space for a cafeteria or seating area where parents can relax while keeping an eye on their kids.
• Party Rooms: If offering party services, design party rooms with thematic decorations and seating arrangements.
• Restrooms/Changing Facilities: Ensure convenient restrooms and changing facilities for children and adults.
• Entrance/Exit: Mark entrance and exit points to control the flow of visitors.

Signage Setup:

Effective signage is essential for guiding and informing customers. Start with a prominent main business sign that is visible from a distance. Additionally, place signs strategically in relevant locations:

• Parking Lots: Mark parking spaces and provide directional signs for easy navigation.
• Exits: Ensure clear exit signs for emergency purposes and to prevent congestion.
• Particular Areas: Use signage to indicate specific zones, like toddler play areas, party rooms, or food service areas. Signage should be engaging and aligned with your indoor playground’s theme.

Well-designed signs convey professionalism, enhance the overall customer experience, and contribute to the safety and efficiency of your indoor playground business.

Office Setup for Efficiency:

Running an indoor playground business is time-consuming, making an organized office setup crucial for productivity. Your office should be:

• Organized: Maintain a clutter-free workspace with a filing system for important documents.
• Fully Equipped: Ensure you have all necessary tools, including computers, phones, and office supplies.
• Accessible: Set up your office where you can easily oversee the facility and promptly address customer inquiries.
• Functional: Create a comfortable and ergonomic workspace to optimize efficiency.

A well-organized office boosts your productivity and allows you to manage daily operations effectively, from handling bookings and reservations to addressing customer inquiries and administrative tasks.

Considerations for the Setup of Your Office offers tips and ideas for making your office work. For more, have a look at our article About Company Signs.

18. Creating a Website

Essential Online Presence

A website is an indispensable tool for your indoor playground business.

It serves as the primary point of contact with potential customers, allowing you to convey vital information about your business.

Ownership and Control

Unlike social media profiles, a website provides ownership and control when you host and register a domain name.

This autonomy ensures your online presence is not subject to platform changes or limitations.

Marketing Hub

Your website is a powerful marketing tool. Creating a blog and sharing industry-specific tips and insights can establish trust and expertise with your audience.

Regularly updated content engages visitors and strengthens your connection with customers, enhancing your indoor playground business’s online presence and credibility.

For more, see How to Build a Website for Your Business .

19. Create an External Support Team

Building an External Support Team

An external support team for your indoor playground business consists of trusted advisors and professionals who provide valuable services.

These individuals are not on your payroll; you engage them for specific projects or tasks on a contract, hourly, or retainer basis.

Team Building Over Time

While you may already collaborate with some professionals, recognizing them as part of your team underscores their importance.

Building such a team doesn’t require immediate setup; it’s an ongoing process that involves nurturing professional relationships.

Team Members to Consider

Your support team may encompass various experts, such as accountants, lawyers, financial advisors, marketing specialists, technical advisors, and consultants.

A robust external support network ensures you can rely on their expertise when needed, contributing to your indoor playground business’s overall success and sustainability.

For more, see Building a Team of Professional Advisors for Your Business.

20. Hiring Employees

Managing Staff as Your Business Grows

In the early stages, running your indoor playground business alone can help control costs, especially since payroll is a substantial expense.

However, managing all aspects alone may become overwhelming as your business expands.

At that point, hiring qualified and dedicated employees becomes crucial for efficiently operating your indoor playground.

The following are job positions or outsourced services you may want to consider as your indoor playground business grows:

• Operations Manager: Oversees day-to-day operations, staff scheduling, and facility maintenance.
• Customer Service Representatives: Handle inquiries and reservations, and assist visitors.
• Playground Attendants: Supervise and ensure the safety of children during play.
• Marketing Specialist: Develops and implements marketing strategies to attract customers.
• Accountant/Bookkeeper: Manages financial records, budgets, and payroll.
• Event Coordinator: Organizes and manages parties, events, and special promotions.
• Janitorial/Cleaning Staff: Maintains cleanliness and hygiene of the facility.
• Safety Inspector: Conducts regular safety checks and ensures compliance with regulations.
• IT Support: Manages technology-related issues and website maintenance.
• Human Resources Manager: Handles recruitment, training, and employee relations.
• Food Services Staff: If you have a cafeteria or snack bar, hire cooks or food service staff.
• Party Hosts/Entertainers: For hosting birthday parties and events.
• Security Personnel: Depending on the size and location of your facility.
• Accounting Services: Consider outsourcing financial tasks to a professional firm.
• Social Media Manager: Manages and grows your online presence.
• Legal Counsel: For legal matters, contracts, and compliance.
• Interior Designer: If you plan on periodic renovations or theme updates.

As your indoor playground business expands, strategically filling these roles will help ensure smooth operations, quality customer service, and sustainable growth.

For more, see How and When to Hire a New Employee.

21. Getting Customers Through the Door

When you have reached this step, your business is set up and ready to go, with one more final step, which is important: getting customers through the door.

There are numerous ways to do this, like advertising, having a grand opening , word of mouth, etc.

Let’s dig a little deeper into the following sections.

a.) Marketing Considerations

Establishing a Customer-Centric Business

An indoor playground business relies on customers for its vitality.

Attracting the right audience is essential, especially in the early stages when your business is new and relatively unknown.

Building a strong reputation takes time, but it gets easier with experience and a growing customer base.

Marketing should be a continuous effort. The more you invest in effective marketing techniques, the higher your revenue potential.

While professional assistance is an option, you can start with simple methods to raise awareness about your business:

• Social Media Presence: Create and maintain active social media profiles to share updates, promotions, and engage with your audience.
• Local Community Engagement: Attend local events, fairs, or school functions to introduce your business and distribute flyers or coupons.
• Online Directories: List your indoor playground on online directories like Google My Business and Yelp for better visibility.
• Email Marketing: Build an email list and send newsletters with special offers and news about your facility.
• Referral Programs: Encourage existing customers to refer friends and family by offering incentives like discounts or free visits.
• Collaborate with Local Businesses: Partner with nearby restaurants, toy stores, or schools for mutual promotions.
• Online Advertising: Consider targeted online ads through platforms like Facebook and Google to reach potential customers.
• Host Events: Organize themed events or open houses to attract new visitors.
• Customer Reviews: Encourage satisfied customers to leave reviews on TripAdvisor or Yelp.
• Community Sponsorships: Sponsor local youth sports teams or charitable events to increase your community presence.

These simple yet effective methods can help spread the word about your indoor playground business and gradually build a loyal customer base.

Remember that consistent marketing efforts and customer satisfaction are keys to long-term success.

See How To Get Customers Through the Door and our marketing section for ideas on promoting your business.

b.) The Market Can Guide You:

Customer-Centric Strategy

In business, adaptability is critical. While you may have a clear vision for your indoor playground, it’s crucial to heed customer demand.

Ignoring market signals can mean missing out on a thriving venture, even if it veers from your initial plan.

Your business is yours to mold, but when consistent demand arises, it’s wise to reassess and consider aligning with your audience’s wants.

It’s a strategy that can lead to long-term success and customer satisfaction.

c.) Sample Ad Ideas:

1. Sample Ad: “Unleash Your Child’s Imagination!” Dive into a world of adventure and fun at our indoor playground. Your child’s creativity knows no bounds here!

2. Sample Ad: “Playtime Bliss for Kids & Parents!” Experience the ultimate family fun day at our indoor playground—a haven for kids and a relaxation spot for parents.

3. Sample Ad: “Birthday Parties Made Magical!” Celebrate your child’s special day with us. Our indoor playground is the perfect place for unforgettable birthday parties!

4. Sample Ad: “Rainy Day? Indoor Play!” When the weather is gloomy, we brighten your day! Indoor fun awaits at our playground for kids of all ages.

5. Sample Ad: “Adventure Awaits Inside!” Embark on a journey of discovery and play. Visit our indoor playground for a world of excitement and laughter!

d.) B2B Ideas

Here are some types of businesses you can approach for partnerships to refer clients to your indoor playground business:

• Children’s Party Venues: Establish relationships with event venues that host children’s parties. They can refer parents looking for entertainment options.
• Local Schools and Daycares: Partner with nearby schools and daycares to offer field trips or special discounts to their students and families.
• Toy Stores: Toy stores often cater to the same demographic. A referral arrangement can boost traffic for both businesses.
• Pediatric Clinics: Pediatric clinics can recommend your indoor playground for children’s physical and social development, reinforcing a healthy lifestyle.
• Family Photographers: Team up with photographers specializing in family and children’s photography. They can refer clients for photoshoots and playtime.
• Family-Friendly Restaurants: Collaborate with restaurants that cater to families, offering discounts or packages for dining and play.
• Local Event Planners: Event planners may need indoor play options for children at weddings and parties.
• Local Sports and Activity Centers: Partner with sports centers for cross-promotions, where families can enjoy both activities.
• Parenting Blogs and Influencers: Reach out to local parenting bloggers and social media influencers to review and promote your indoor playground.
• Children’s Retail Stores: Baby and children’s stores can refer customers looking for activities that align with their demographic.
• Childcare Services: Work with childcare providers who can recommend your facility as a fun and safe place for kids.
• Art Studios and Creative Workshops: Partner with businesses offering children arts and crafts classes, encouraging creative development.

To encourage these businesses to refer clients, consider offering referral fees, reciprocal referrals, or co-promotional events.

Ensure the partnership is mutually beneficial and aligns with both parties’ needs and interests.

Collaborations can expand your customer base and provide added value to your clients, strengthening your indoor playground business’s position in the community.

Points To Consider

Next, let’s review essential points for more tips, insights, and considerations before starting your indoor playground business.

We will cover sections, including skills to consider, points to focus on, and equipment. Then you’ll reach the “Knowledge Is Power,” section, where you will want to use the resources for valuable information.

Key Points to Succeed in the Setup Phase of an Indoor Playground Business:

• Thorough Market Research: Understand your target market, competitors, and location dynamics before starting.
• Solid Business Plan: Develop a comprehensive business plan outlining your goals, financial projections, and strategies.
• Secure Financing: Secure adequate funding to cover startup costs, including equipment, rent, and initial marketing.
• Legal and Regulatory Compliance: Register your business, obtain licenses, and adhere to safety regulations and zoning requirements.
• Location Selection: Choose a strategic and accessible location with sufficient space for your indoor playground.
• Attractive Design: Create an engaging and safe play environment with an appealing theme and layout.
• Equipment and Supplies: Source high-quality play equipment and essential supplies while staying within budget.
• Staffing: Hire and train competent staff, emphasizing safety and exceptional customer service.
• Marketing Strategy: Develop a marketing plan to build awareness and attract your target audience.
• Grand Opening Event: Plan a successful grand opening event to generate buzz and attract initial customers.
• Customer Feedback: Collect feedback during soft openings to fine-tune operations.
• Financial Management: Implement robust financial systems for accounting, budgeting, and expense control.
• Insurance: Obtain appropriate liability and property insurance to protect your business.
• Health and Safety Protocols: Establish comprehensive safety protocols and emergency procedures.

Key Points to Succeed in the Operation Phase of an Indoor Playground Business:

• Safety Remains Paramount: Maintain rigorous safety standards and regular equipment inspections.
• Customer Experience: Focus on providing exceptional customer experiences to encourage repeat visits.
• Staff Training: Continue staff training and development to ensure consistent service quality.
• Marketing and Promotion: Implement ongoing marketing efforts to attract new customers and retain existing ones.
• Maintenance and Upkeep: Schedule regular maintenance to keep equipment in top condition.
• Diversify: Introduce new activities and events to keep the experience fresh.
• Financial Management: Monitor finances closely, manage expenses, and optimize revenue streams.
• Customer Feedback: Continuously gather and act upon customer feedback for improvements.
• Community Engagement: Engage with the local community through events, partnerships, or charitable activities.
• Operational Efficiency: Streamline operations for maximum efficiency and cost-effectiveness.
• Membership Programs: Launch and manage membership programs to encourage customer loyalty.
• Technology Integration: Embrace technology for bookings, payments, and interactive experiences.
• Sustainability: Consider eco-friendly practices to reduce environmental impact.
• Adaptability: Stay flexible and adapt to changing market trends and customer preferences.
• Expansion Opportunities: Explore possibilities for expansion, including additional locations or services.

By adhering to these key points in both the setup and operational phases, you can increase the likelihood of success in your indoor playground business.

Ideas to Make an Indoor Playground Business Stand Out:

In a competitive market, differentiation is key to the success of your indoor playground business.

Here are some strategies to make your business stand out:

• Unique Theme and Design: Create a captivating and imaginative theme for your indoor playground. A distinct theme can set you apart whether it’s a jungle adventure, outer space, or a fairy tale world.
• Safety and Cleanliness: Prioritize safety and cleanliness above all else. Regular maintenance and rigorous safety standards will give parents peace of mind and set your business apart.
• Exceptional Customer Service: Train your staff to provide exceptional customer service. Friendly, helpful employees who go the extra mile can leave a lasting impression.
• Creative Events: Host special events and themed parties. Consider seasonal events, character meet-and-greets, or exclusive playtime for members.
• Membership Programs: Offer membership packages with exclusive perks like unlimited access, discounts on parties, or priority booking.
• Inclusive Play: Ensure that your playground is accessible to children with disabilities. This inclusive approach will attract a broader customer base.
• Cafeteria or Snack Bar: Provide a cafeteria or snack bar with a menu catering to both kids and adults. Healthy and diverse food options can be a selling point.
• Parent-Friendly Amenities: Create a comfortable space for parents to relax with features like Wi-Fi, charging stations, and a viewing area to keep an eye on their kids.
• Party Packages: Offer unique party packages with add-ons like personalized decorations, themed cakes, or entertainment options.
• Interactive Technology: Integrate technology into your playground with interactive games, digital scavenger hunts, or augmented reality experiences.
• Loyalty Programs: Implement a loyalty program that rewards repeat customers with discounts or free visits after a certain number of visits.
• Educational Programs: Organize workshops, classes, or educational sessions to add value to your business and appeal to parents looking for more than just playtime.
• Themed Merchandise: Sell merchandise related to your indoor playground’s theme, such as t-shirts , toys, or souvenirs.
• Regular Updates: Keep the play area fresh by regularly updating or adding new attractions to maintain interest and excitement.
• Community Engagement: Get involved in your local community by participating in charity events, school partnerships, or sponsorships to build a positive reputation.

Ideas for Add-ons for an Indoor Playground Business:

To enhance the service at your indoor playground business, consider these valuable add-ons:

• Arcade Area: Incorporate an arcade section with various games for older kids and adults.
• Miniature Golf: Install an indoor mini-golf course to provide an additional attraction for customers.
• Laser Tag Arena: Create a laser tag arena for exciting team-based games.
• Escape Room: Introduce escape room challenges suitable for kids and families.
• Virtual Reality (VR) Zones: Offer VR experiences that can transport visitors to different worlds.
• Art and Craft Corner: Set up an art and craft area where children can unleash their creativity.
• Toddler Play Zone: Design a safe and engaging area specifically for toddlers, separate from older children’s play areas.
• Fitness Classes: Host fitness classes for kids, encouraging physical activity in a fun environment.
• Spa and Wellness Services: Provide parent-centric services like massages, yoga classes, or wellness workshops.
• Party Extras: Offer themed goody bags, professional photography, or additional entertainment options.
• Sensory Play: Incorporate sensory play areas for children with sensory processing needs.
• Concession Stand: Expand your food service with a concession stand selling snacks and beverages.
• Gift Shop: Open a gift shop with merchandise related to your theme or indoor play.
• Summer Camps: Organize summer camps with indoor and outdoor activities.
• Gaming Lounge: Create a gaming lounge with consoles and video games for older kids and teens.
• Membership Tiers: Introduce premium membership tiers with exclusive add-ons like express check-in, priority booking, or VIP events.

By implementing these add-ons and strategies, you can make your indoor playground business more appealing to a wide range of customers and ensure it stands out in a competitive market.

Hours of Operation:

• Weekdays: Morning (9 AM – 12 PM), Afternoon (1 PM – 5 PM)
• Weekends: Morning (9 AM – 1 PM), Afternoon (2 PM – 6 PM)
• Extended hours for private events or parties (Evenings, Weekends)

Tasks Outside Regular Hours:

• Cleaning and maintenance: After closing, ensure a clean environment.
• Inventory restocking: After hours to avoid disrupting customers.
• Marketing and social media updates: In the evenings or on weekends.
• Staff training: Before or after regular hours to minimize disruptions.

Equipment and Supplies

A List of Equipment and Supplies to Consider for an Indoor Playground Business:

• Play Structures: Multi-level play structures with slides, tunnels, climbing walls, and interactive features.
• Soft Play Areas: Foam pits, ball pits, and soft play equipment for toddlers.
• Trampolines: Various sizes and types for bouncing activities.
• Swings: Swing sets for kids of different ages.
• Climbing Walls: Indoor climbing walls with safety equipment.
• Obstacle Courses: Inflatable or modular obstacle courses.
• Jumping Castles: Inflatable bounce houses.
• Arcade Games: Video games and redemption machines.
• Mini Golf: Indoor mini-golf courses.
• Air Hockey and Foosball Tables: Recreational games.
• Seating: Comfortable seating for parents and guardians.
• Party Rooms: Private party rooms with tables and chairs.
• Cafeteria: Food and beverage serving area.
• Safety Mats: Impact-absorbing mats for safety.
• Ticketing System: Point-of-sale and ticketing equipment.
• Security Cameras: Surveillance system for safety.
• Cleaning Equipment: Supplies for regular cleaning.
• Maintenance Tools: Tools for equipment upkeep.
• HVAC System: Heating, ventilation, and air conditioning.
• Sound System: Background music and announcements.
• Lighting: Appropriate lighting for safety and ambiance.
• Signage: Indoor and outdoor signs for directions and branding.
• Decorations: Themed decorations for attraction.
• First Aid Station: Equipped first aid station.
• Lockers: Storage for guests.
• Restrooms: Adequate restroom facilities.
• Office Equipment: Computers, phones, and office supplies.
• POS Software: Point-of-sale and booking software.
• Wi-Fi: Guest access for convenience.
• Fire Safety Equipment: Fire extinguishers and alarms.
• Trash Bins: Waste disposal containers.
• Exterior Play Area: Outdoor play equipment (if applicable).
• Backup Generator: In case of power outages.
• Emergency Exits: Clearly marked exits.
• ADA Accessibility: Facilities for guests with disabilities.

This list covers essential equipment for running a successful indoor playground business, but specific requirements may vary depending on the size and theme of your facility.

When selecting equipment, always consider safety regulations and customer satisfaction.

Indoor Playground Equipment Buyer Guides

Buyer guides provide valuable insights and a customer’s perspective, offering information you may not have previously considered.

See the latest search results for indoor playground buyer guides.

Assessing your skill set for running an indoor playground business is crucial.

Ensure you possess the necessary skills, or be prepared to learn or hire experts.

Essential skills include:

• Management: Overseeing operations efficiently.
• Customer Service: Building strong relationships.
• Safety Knowledge: Ensuring a secure environment.
• Marketing: Attracting and retaining customers.
• Financial Acumen: Managing budgets and finances.
• Creativity: Designing engaging play areas.
• Adaptability: Navigating changing industry trends.
• Problem-Solving: Addressing challenges effectively.
• Team Leadership: Motivating and managing staff.
• Compliance: Understanding relevant regulations.

Having these skills or access to them is vital for success in the indoor playground business.

Considering the Future of Your Indoor Playground Business:

Contemplating the future of your indoor playground business is essential despite the evolving landscape. A clear vision provides direction and informs decision-making.

It serves as a guiding light, helping you steer your business toward your desired destination as circumstances evolve.

By envisioning the future, you can adapt, innovate, and strategize to ensure your business stays on course and progresses in a changing environment.

This proactive approach enhances your ability to meet emerging challenges and capitalize on opportunities, ultimately positioning your indoor playground business for long-term success.

Find an Indoor Playground Business For Sale

Exploring the purchase of an existing indoor playground business offers distinct advantages and drawbacks compared to starting one from scratch:

• Immediate Revenue: You start earning income from day one, avoiding the uncertainties of a startup.
• Skip Startup Phase: Bypass the time-consuming and risky early stages of establishing a new business.
• Proven Success: The business’s track record confirms its viability and profitability.
• Financial Clarity: You have access to historical financial data, including revenue, expenses, and profits.
• Existing Customer Base: Acquire a ready-made customer base, saving time and effort in marketing.
• Established Reputation: Benefit from the business’s brand reputation and customer trust.
• Higher Initial Cost: Purchasing an established business often involves paying for its goodwill, which can increase the upfront cost.
• Operational Changes: Implementing significant changes to the business may risk losing existing customers.
• Inherited Reputation: You inherit the positive and negative aspects of the business’s reputation.

While an exact match for an indoor playground business for sale may not always be available, exploring similar opportunities within the same industry can be valuable.

The latest search results for an indoor playground business for sale and others in the same category.

Franchise Opportunities Related to an Indoor Playground Business

Owning an indoor playground franchise presents advantages and drawbacks that warrant consideration before venturing into the business.

Here’s a breakdown of the pros and cons:

• Proven Business Model: Franchises offer a tried-and-tested business plan the corporate office provides.
• Established Reputation: Benefit from the franchise’s existing reputation and marketing efforts.
• In-Depth Knowledge: You gain comprehensive insights about the business before entering it.
• Corporate Support: Franchisees receive support and guidance from the corporate office.
• Costly Investment: Initial franchise fees and ongoing royalties can be expensive.
• Limited Autonomy: Significant changes often require approval from the corporate entity.
• Product and Service Restrictions: Franchises may restrict your offer of unapproved products or services.
• Operational Constraints: Operating the business must adhere strictly to the franchise agreement.
• Continual Fees: Ongoing franchise fees can impact profitability.

Exploring related franchise opportunities within the same industry can provide valuable insights and potential alternatives for those considering an indoor playground business.

See the latest search results for franchise opportunities related to this industry.

Knowledge Is Power if You Use It!

Knowledge empowers action—access valuable industry information in the following sections, which benefit your business’s startup and operational phases.

Trends and Statistics

Analyzing industry trends and statistics is vital for an indoor playground business, guiding strategic decisions and ensuring relevance in a dynamic market.

See the latest search results for trends and statistics related to the indoor playground industry.

Indoor Playground Associations

Trade associations provide benefits like industry news updates and networking opportunities, helping professionals stay informed and connected.

See the search results on indoor playground associations and the benefits of Joining the Chamber of Commerce.

The Top Indoor Playgrounds

Studying established indoor playground businesses sparks innovation, identifies industry gaps for competitive advantage, and reveals overlooked opportunities.

See the latest search results for the top indoor playgrounds.

The Future of the Indoor Playground

Researching the indoor playground industry’s future offers crucial insights for prospective business owners, aiding in informed decision-making and preparedness.

See the search results for the future of indoor playgrounds.

Customer Expectations

Analyze search results for customer expectations in indoor playgrounds to align with their needs and exceed expectations. Uncover overlooked issues and enhance your service.

See the search results related to customer expectations for Indoor Playgrounds.

Expert Tips

Examining expert tips enhances your skill set, regardless of your expertise level. Experts may discover more efficient methods, while novices gain valuable knowledge to improve their skills.

See the latest search results for operating an indoor playground  to gain tips and insights.

Indoor Playground Business Insights

Reviewing tips and insights can inspire innovative ideas, help you navigate pitfalls in your indoor playground business, and enhance your industry knowledge.

See the latest search results about insights into running an indoor playground business.

Indoor Playground Publications

Publications provide valuable tips and insights about indoor playgrounds, serving as an additional source of information.

See the search results for indoor playground publications.

Indoor Playground Forums

Engage in indoor playground forums for industry connections and customer insights. These platforms facilitate valuable discussions and customer perspectives, aiding in better understanding your audience.

See the latest search results related to indoor playground forums.

Indoor Playground Blogs

Subscribe to top indoor playground blogs for fresh ideas and industry updates.

Regularly review and cull inactive or unhelpful ones to curate a valuable collection for continuous insights.

Look at the latest search results for Top Indoor Playground Blogs to follow.

Indoor Playground News

Stay informed on indoor playground news through media coverage. Keep updated on relevant news stories for valuable insights.

See the latest results for indoor playground news.

YouTube provides insights into indoor playgrounds. Explore this platform for valuable information, and pay attention to suggested videos to discover new insights.

YouTube videos related to Indoor Playgrounds.

Privacy Overview

Indoor Playground Business Plan Template

If you want to start an Indoor Playground business or expand your current one, you need a business plan.

Over the past 20+ years, we have helped over 7,000 entrepreneurs and business owners create business plans to start and grow their Indoor Playground businesses.

Below are links to each section of your Indoor Playground business plan template :

Next Section: Executive Summary >

Indoor Playground Business Plan FAQs

What is the easiest way to complete my indoor playground business plan.

Growthink's Ultimate Business Plan Template allows you to quickly and easily complete your Indoor Playground Business Plan.

What Is a Business Plan?

A business plan provides a snapshot of your indoor playground business as it stands today, and lays out your growth plan for the next five years. It explains your business goals and your strategy for reaching them. It also includes market research to support your plans.

Once you create your plan, download it to PDF to show banks and investors.

Why Do You Need a Business Plan?

If you’re looking to start an indoor playground business, or grow your existing indoor playground business, you need a business plan. A business plan will help you raise funding, if needed, and plan out the growth of your indoor playground business in order to improve your chances of success. Your Indoor Playground Business Plan is a living document that should be updated annually as your company grows and changes.

What Are the Sources of Funding for Indoor Playground Businesses?

With regards to funding, the main sources of funding for an indoor playground business are personal savings, credit cards, bank loans and angel investors. With regards to bank loans, banks will want to review your business plan and gain confidence that you will be able to repay your loan and interest. To acquire this confidence, the loan officer will not only want to confirm that your financials are reasonable, but they will also want to see a professional plan. Such a plan will give them the confidence that you can successfully and professionally operate a business.

The second most common form of funding for an indoor playground business is angel investors. Angel investors are wealthy individuals who will write you a check. They will either take equity in return for their funding, or, like a bank, they will give you a loan. Venture capitalists will not fund an indoor playground, but they might consider funding a franchised Indoor Playground business with a national presence, but never an individual location. This is because most venture capitalists are looking for millions of dollars in return when they make an investment, and an individual location could never achieve such results.

INDOOR PLAYGROUND BUSINESS PLAN OUTLINE

• Indoor Playground Business Plan Home
• 1. Executive Summary
• 2. Company Overview
• 3. Industry Analysis
• 4. Customer Analysis
• 5. Competitive Analysis
• 6. Marketing Plan
• 7. Operations Plan
• 8. Management Team
• 9. Financial Plan
• 10. Appendix
• Indoor Playground Business Plan Summary

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Building an Indoor Playground for Your Kids

With the rise in urbanization and limited outdoor spaces, indoor playgrounds have become the go-to solution for many families. They offer a perfect blend of safety, convenience, and fun.

This guide delves deep into the importance of indoor playgrounds, how to build one, and why professionals like Park N Play Design are pivotal in this process.

Why is it Important to Build an Indoor Playground?

Indoor playgrounds have steadily gained traction among modern families, and there are plenty of compelling reasons to consider them. The world is rapidly evolving, and the needs of children, adults, and families are changing.

Here's a deeper dive into the undeniable significance of creating an indoor play haven for kids:

Safety and Controlled Environment

Most parents visit indoor playgrounds for their peace of mind, and parents can relax, knowing their kids are playing in a safe and controlled environment. Indoor play areas offer a controlled environment free from the unpredictability of outdoor hazards like traffic, stray animals, or uneven grounds.

Fostering Physical Activity

Childhood obesity is rising due to increased screen time and decreased physical activity. An indoor playground right within your home offers a fun way for kids to stay physically active, irrespective of the weather outside.

With features like monkey bars and rock walls, children can get the much-needed exercise that promotes their overall health and development.

Cultivating Creative Play

Indoor playgrounds provide more than just physical play, they can be a haven for imaginative and creative play . With the right set-up, young kids can engage in role-play, story enactments, and other activities that boost their cognitive and social skills.

For instance, a ship-like structure or a castle-themed playground can transport kids to imaginary worlds, fostering their creativity.

Bonding and Family Time

A well-designed indoor playground can be a fun spot for the whole family, promoting quality family time. In today's fast-paced world, these playgrounds can become essential bonding zones, fostering connections between siblings and allowing parents to join in the fun.

Customization to Fit Personal Preferences

Unlike public playgrounds designed to cater to the masses, personal indoor play areas can be tailored to your child's specific interests and needs. Whether your child loves to climb, slide, read, or all of the above, you can design the space to align with those interests, ensuring it remains a favorite spot for years to come.

Hygiene and Cleanliness

With the lingering concerns of global health crises and the importance of cleanliness, having an indoor playground ensures you control the hygiene standards. You can ensure the playground equipment is cleaned and sanitized regularly, reducing the risk of illnesses.

Building Independence and Confidence

Having a space where kids can lead their play, make decisions, and explore on their terms can be a significant confidence booster. Over time, these positive experiences can cultivate a sense of independence and self-assuredness in children, traits that are invaluable as they grow.

Tips on Building a Kids Indoor Playground

Setting up an indoor playground for your children is more than just assembling some play equipment indoors . It's about crafting a space that encourages growth, learning, and endless fun.

As you embark on this exciting journey, consider these expanded tips to ensure a fulfilling play experience for your little ones:

Choose a Diverse Range of Play Equipment

Your kids' indoor playground should feature a range of playground equipment. Diversity in play equipment will keep your child engaged for longer durations.

Beyond the basic slides for younger children, consider slides for the younger children, including monkey bars, rock walls, swing sets, and maybe even a mini trampoline for the older kids. Different types of equipment cater to varied interests and developmental stages, ensuring that your indoor playground remains appealing as your child grows.

Prioritize Safety Above All

It's crucial that all play equipment is child-friendly. Look for items with smooth edges, non-toxic materials, and secure fittings. Soft floorings, like foam tiles or rubber mats, must cushion any falls.

Moreover, ensure there are no sharp corners or objects in the proximity of the play area.

Optimize the Available Space

While cramming as many fun items as possible is tempting, ensure ample space between playground equipment to prevent accidents and collisions. Depending on the size of your indoor area, you might have to make choices.

Multi-purpose play equipment can be a great solution for space constraints.

Consider Age-appropriate Design Elements

The indoor play areas should cater to different age groups, ensuring that younger and older kids find it engaging. Younger kids might enjoy sensory play panels, soft play blocks, and low-level climbing structures.

In contrast to toddlers, older kids might appreciate more challenging equipment, like taller slides or a more complex rock wall.

Multifunctional Use

Especially for those with limited space, dual-purpose equipment can be a lifesaver. Think of seating that doubles as storage or a rock wall with a bookshelf, which, on the other side, serves as a magnetic board for artistic endeavors.

This not only maximizes space but also adds layers of functionality to the play area.

Incorporate Creative Zones

While physical play is vital, creative play is equally important. Consider setting up a corner with arts and crafts supplies or a reading nook with comfortable cushions and a selection of books.

This ensures that the indoor playground nurtures both the body and the mind.

Ventilation and Lighting

Good airflow and adequate lighting are often overlooked but are vital for creating a healthy play environment. Ensure there are enough windows or ventilation systems, and consider installing bright but diffused lighting to keep the area well-lit without being harsh on the eyes.

Themes and Personalization

Personalizing the playground can make it even more appealing. Themes based on your child's interests, be it pirates, space, forests, or fairy tales, can add a layer of excitement.

Wall decals, themed play tents, or even painted murals can bring the theme to life.

Growth and Adaptability

As your child grows, their interests will evolve. Design the playground in such a way that it's easy to swap out or add equipment.

This ensures that the playground remains relevant and exciting throughout their childhood.

Seek Feedback from Kids

Finally, involve your children in the planning process. Their feedback can be invaluable, ensuring that the final result you create is something they truly love and cherish.

Things to Consider When Building an Indoor Playground

Budgeting and Financial Planning

Understand your budgetary constraints from the outset. Indoor playgrounds can vary significantly in cost, from simple set-ups to luxurious play havens, and remember its many benefits.

Deciding on a budget and prioritizing the most necessary equipment and features is essential. Over time, as resources allow, you can always upgrade or add more elements.

Consider Surrounding Areas

The playground should ideally be located away from fragile items, sharp corners, and busy areas of the house to prevent accidents . These include flame-retardant materials, using non-toxic paints, and child-proofing the surrounding area.

Ensure there's adequate padding, and if there are windows, they should be made of safety glass.

Space Analysis

Before purchasing any play equipment, assess the available space. Measure the area to ensure that the selected equipment fits well within enough space, keeping in mind room for movement around the equipment.

Remember to account for height, especially for climbing structures or overhead installations.

Maintenance and Cleaning

Kids can be messy! Think about how easy it will be to clean and maintain the playground. Cleanliness and periodic equipment checks are crucial, just like they are in an indoor playground business.

Opt for washable paints and easily cleaned materials, and ensure that every corner is accessible for vacuuming or wiping down.

Flexibility for Growth

Your child's interests at age three will differ vastly from their interests at age eight. The playground should, of course, be designed with adaptability in mind.

Can you replace certain elements easily? Are the installations modular to allow for change?

Storage Solutions

Incorporate storage solutions to house toys, books, art supplies, and other play items. This will ensure the area can be tidied up easily and will teach your child organizational skills.

Interactive and Educational Elements

Beyond the physical play, consider adding elements that stimulate the mind. This could be in the form of interactive panels, puzzles, educational games , or a reading corner.

Inclusivity

Consider the varying age groups and interests if you have more than one child or if your child often has friends over. Ensure that the playground is inclusive, offering something for everyone.

Feedback from the Young Ones

This idea might seem trivial, but children often have clear ideas about what they want. Engage them in the process, ask for their opinions, and consider their preferences.

After all, they are the primary users!

Future Use and Reusability

Think about the longevity of the playground. Can parts of it be repurposed in the future? For example, a climbing wall might later be converted into a bookshelf or storage area.

Environmental Concerns

Opt for sustainable and eco-friendly materials wherever possible. Not only is this better for the planet, but it also ensures a healthier play environment for your kids.

Building Your Dream Indoor Playground With Park N Play Design

Building an indoor playground for your children is an investment in their happiness, health, and development. It's a fun way to ensure they remain physically active and engaged, reaping the many benefits of play.

Whether for personal use or as a business plan, indoor playgrounds are a testament to the evolving landscape of child play and entertainment. Embarking on such a project might seem daunting, but the process becomes seamless with experts like Park N Play Design .

Their experience in the indoor playground business ensures that they understand safety standards, design principles, and the latest industry trends in play equipment. They know that every child is unique, as are your space constraints, and their solutions are tailored for both you and your kids.

Their professional website and services will flood you with design ideas and layouts for indoor playgrounds for all age groups. Contact now !

Additional Resources

The Ultimate Guide on How to Learn Parkour

The Essential Rules of Parkour: A Guide for Beginners

What Is a Pump Track? An Ultimate Guide to Fun-Filled Cycling

The Benefits of Parkour for Kids

What Is Parkour? A Complete Guide to the Art of Efficient Movement

11 Benefits of Having Bike Rack in Your Park Design

Explore why thousands of organizations across canada trust park n play with their play space needs.

A Quick Guide to Starting an Indoor Playground Business

Visiting indoor playgrounds is a great way for kids to blow off steam while parents enjoy some much-needed rest. Starting an indoor playground business can be a highly profitable venture. However, there are several factors to consider before diving into the business world of indoor playgrounds.

In this quick guide, we’ll take you through everything you need to know to start an indoor playground business that’s both fun and profitable.

Every successful business starts with a solid plan. Begin by looking into the indoor playground industry, including your area’s trends, customer preferences, and competition. Next, decide on your target market, location, and business structure. Determine your startup costs, overhead expenses, and projected revenue to create a feasible business plan.

Funding Options

You’ll need to secure financing once you have a solid business plan. Various funding options are available such as traditional bank loans, crowdfunding, investors, grants, and personal savings. It’s important to consider the pros and cons of each option and decide on the one that best fits your business needs.

Finding the Right Location

The ideal location for an indoor playground business is in an area with high traffic and visibility. Shopping malls, recreational centers, and busy shopping strips with ample parking are excellent options. Remember that the location should be accessible to your target market and have enough space for your equipment and facilities.

Equipment and Design

An indoor playground is more than just a few play structures; it must be fun, engaging, and safe. Carefully consider the type of play equipment that will appeal to your target market and fit within your budget. Remember the materials used to make the equipment, as they must meet all safety standards. The playground should also have an inviting layout and aesthetically pleasing design to enhance the customer’s experience.

Marketing and Promotion

Marketing and promotions are essential for getting the word out about your indoor playground business. Create a marketing strategy encompassing social media, advertising, email marketing, and other tactics to reach your target audience. Pricing and promotions are also important, as they can lure customers during slower seasons.

Starting an indoor playground business can be a profitable and fun venture. However, it’s important to research, secure funding, find the right location, invest in quality equipment, and market your business well. With a solid business plan and the right tools, you can create an indoor playground that provides fun and entertainment for kids while generating a profitable business for yourself.

If you want to  buy indoor playground  equipment, Go Play Systems is the right place. We offer high-quality play structures that comply with safety standards and are suitable for maximum fun and engagement. Our experts can help you find the perfect playground equipment to fit your budget and meet your needs. Contact us today for more information!

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How To Start A Indoor Playground Business

To start an indoor playground business, identify a suitable location, secure necessary funding, obtain required permits and liability insurance, purchase safe and engaging playground equipment, and implement effective marketing strategies.

• Last Update: November 23, 2023

• Steps in this Guide: 10

Starting an indoor playground business can be a rewarding and lucrative venture for those who have a passion for creating fun-filled spaces for children. With the increasing demand for safe and engaging play areas, there has never been a better time to enter the indoor playground industry. However, launching a successful indoor playground business requires careful planning, creativity, and an understanding of the market. In this blog post, we will explore the essential steps to help you get started on your journey to owning and operating your very own indoor playground facility. From determining your target market to designing a captivating play space, we will provide you with valuable insights and resources to assist you in building a thriving indoor playground business. So, if you are ready to turn your passion for play into a profitable venture, keep reading to discover the key steps to launch your indoor playground business.

How To Start A Indoor Playground Business: Step-by-Step

Step 1: business plan development.

In your business plan, clearly define your business objectives, identify your target demographic, allocate a carefully planned budget, outline effective marketing strategies, list the necessary equipment, project potential revenue, and estimate expected expenses to ensure a comprehensive and successful endeavor.

Step 2: Market Research

By conducting comprehensive research on market trends, customer preferences, competitors, and viable indoor playground locations, you can develop a business strategy that aligns with market demand and exceeds customer expectations, ensuring a successful venture.

Step 3: Funding Acquisition

In addition to the initial investment required for purchasing equipment and leasing a location, it is important to factor in operation costs when calculating the total cost of starting a business. Explore options such as seeking investors or applying for business loans to ensure adequate funding.

Step 4: Location Selection

When selecting a location for the playground, prioritize spaciousness, safety, and ease of access. Additionally, consider a high traffic area if possible to maximize customer attraction.

Step 5: Legal Process and Registration

In addition to registering your business and obtaining the required licenses and permits, it’s crucial to prioritize insurance coverage to safeguard your business against unexpected situations that may arise.

Step 6: Equipment Purchase and Installation

In order to provide a safe and engaging play environment for children of all ages, it is essential to invest in a diverse range of playground equipment. Hiring professional installers will guarantee that the equipment is correctly set up, ensuring the utmost safety for children.

Step 7: Staff Recruitment

It is essential to hire experienced and qualified staff, such as playground supervisors, cleaners, and administrative staff. They should undergo necessary training for child safety, emergency response, customer service, and other relevant skills.

Step 8: Marketing and Promotion

As a business expert, my role includes developing and implementing effective marketing plans to connect with your desired customer base. This encompasses various promotional techniques such as social media advertising, newspaper advertisements, flyer distribution, and organizing special events or discounts during the launch phase.

Step 9: Safety Inspection

It is crucial to have a certified professional inspect all newly installed equipment and the overall playground structure for safety. This ensures that it fully complies with national and local safety standards, safeguarding the well-being of children.

Step 10: Launch

Hosting a grand opening event for your indoor playground can ignite excitement, draw in a sizable audience, and foster connections with your upcoming clientele, setting the stage for a successful venture.

Starting an indoor playground business can be an exciting and fulfilling endeavor. It offers a unique opportunity to provide a safe and enjoyable space for children to play and learn. By following the steps outlined in this guide, aspiring entrepreneurs can lay a strong foundation for their business. From conducting market research and creating a detailed business plan to securing suitable premises and implementing effective marketing strategies, there are several factors to consider. The financial investment and commitment required should not be underestimated, but with careful planning and determination, success is within reach. Remember to continuously adapt to changing trends, offer exceptional customer service, prioritize safety, and foster a fun and interactive environment. With the right approach, an indoor playground business has the potential to become a profitable venture that brings joy to countless families in the community.

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5 Steps to Opening an Indoor Playground

Are you passionate about creating a fun, safe space for children to play, learn, and explore but need help determining where and how to start? Don’t worry if you have little-to-no experience in this industry. This comprehensive guide will walk you through the essential steps to launch and operate an indoor playground, bringing smiles to kids, team members, and parents alike.

Step 1. Do your research and create a business plan

When deciding whether or not opening an indoor playground is a viable business opportunity for you, it’s worthwhile to conduct extensive market reseach, gather insights and data before creating a business plan.  Here’s what prospective operators should consider:

Demographic Analysis

Identify the target demographic for the indoor playground, including age groups, income levels, and family characteristics. Analyze the local population to understand the potential customer base.

Competitor Analysis

Study the area's existing indoor playgrounds and family entertainment centers. Assess their offerings, pricing, customer reviews, and strengths and weaknesses to identify opportunities for differentiation.

Market Trends

Research current market trends in indoor play and family entertainment to understand consumer preferences and demands. And then use all of that information to build your business plan, which should give a concise overview of the indoor playground, it’s mission, vision, target market and unique selling points. You’ll also want to include:

• Company Description : Describe the business model, the type of indoor playground, and the experience you aim to create for customers.
• Market Analysis : Summarize the findings from the market research, including the target demographic, competitive landscape, and market trends.
• Marketing and Sales Strategy : Outline the marketing and promotional efforts to attract customers, including digital marketing, partnerships, and special events.
• Services and Offerings : Detail the range of services and attractions in the indoor playground, such as play structures, party packages, café offerings, etc.
• Operational Plan : Explain the day-to-day operations of the indoor playground, staffing requirements, and safety protocols.
• Financial Projections : Include projected revenue, expenses, and cash flow for the first few years of operation. Also, outline the sources of funding and potential return on investment.
• Risk Assessment : Identify potential risks and challenges affecting the business and provide mitigation strategies.
• Implementation Timeline : Create a timeline outlining the steps to launch the indoor playground, from location selection to opening day.
• Sustainability and Growth : Outline plans for maintaining the indoor playground's success, customer loyalty, and future growth and expansion opportunities.

By conducting thorough market research and creating a well-structured business plan, I can position the indoor playground for success and effectively address the needs and expectations of the target audience.

Step 2. Choose the right location

Choosing the right location for an indoor playground is critical for ensuring seamless business operations, delivering great guest experiences, and maximizing profitability. Here are some essential factors for attractions business operators to consider:

• Accessibility and Visibility : Select a location that is easily accessible to the target audience, preferably in a high-traffic area. A visible location increases the chances of attracting passing foot traffic.
• Proximity to Residential Areas and Schools : A location near residential areas or schools can attract a higher number of families, making it convenient for parents to bring their children for playtime and events.
• Parking Facilities : Adequate and easily accessible parking is essential to provide a hassle-free experience for guests, especially families with young children.
• Safety and Zoning Regulations : Ensure the location complies with safety and zoning regulations for indoor play areas. Consult with local authorities to understand any restrictions or requirements.
• Size and Layout : Choose a venue that can accommodate the desired number of attractions and activities. Consider the layout for efficient traffic flow and visibility of play areas.
• Nearby Amenities : Check for nearby amenities such as restaurants, cafes, and retail outlets. Being close to complementary businesses can increase foot traffic and enhance the overall guest experience.
• Cost and Lease Terms : Analyze the costs associated with the location, including rent, utilities, and renovation expenses. Negotiate lease terms that align with the long-term business plan.

An optimal location, combined with well-planned operations and excellent guest experiences, will contribute to the success and profitability of the business.

Step 3. Obtain necessary permits and licenses

Opening an indoor playground or playcenter typically requires various permits and licenses to ensure compliance with local regulations and safety standards.  The specific permits and licenses needed may vary depending on the location and the scope of the business. Here are some common ones to consider:

• Business License : A general business license is required to operate any commercial establishment, including an indoor playground. This license is typically obtained from the local city or county government.
• Zoning Permit : Verify that the location you have chosen is properly zoned for an indoor playground or entertainment facility. Zoning regulations may vary, so it's important to check with the local zoning department.
• Building Permit : If any structural modifications or renovations are needed for the indoor playground, a building permit is likely required. This permit ensures that the facility meets safety and construction standards.
• Health and Safety Permits : Indoor playgrounds are subject to health and safety regulations to protect the well-being of visitors. Health department permits may be necessary, covering issues like food handling (if a café or food service is included), sanitation, and water quality.
• Fire Safety Permit : Fire safety permits may be required to ensure compliance with fire codes and safety standards in the event of an emergency.
• Occupancy Permit : An occupancy permit ensures that the venue meets specific safety and capacity requirements for the number of people allowed inside at one time.

It's important to remember that the permitting process can be time-consuming, so start early and be prepared to follow any additional requirements specific to your location.  Working with a business consultant or attorney familiar with local regulations can also be beneficial in navigating the permit and licensing process smoothly.

Step 4. Identify the equipment providers and suppliers

When opening an indoor playground or playcenter, attraction venue operators need to work with various equipment manufacturers and suppliers to source the necessary play equipment and materials.  Here are the types of manufacturers and suppliers you may need to collaborate with:

Indoor Playground & Softplay Equipment Manufacturers

These manufacturers specialize in producing play structures, climbing frames, slides, ball pits, tunnels, and other play equipment designed for indoor use. They offer a wide range of products suitable for different age groups and play themes. Soft play equipment suppliers provide padded and cushioned play items like foam blocks, mats, and interactive soft play elements to enhance safety and creativity.

Furniture and Seating Suppliers

Collaborating with furniture suppliers is essential to furnish seating areas for parents, café areas, party rooms, and other spaces within the playcenter.

Safety Surface Suppliers

Safety surface suppliers provide materials like rubberized tiles or poured-in-place surfaces that offer cushioning and protection in case of falls.

Party Supplies and Decorations Suppliers

Suppliers of party supplies and decorations can provide themed party items, balloons, and other accessories for birthday parties and special events.

Cleaning and Sanitization Product Suppliers

Collaborating with suppliers of cleaning and sanitization products is crucial for maintaining a safe and hygienic indoor play environment.

Maintenance and Repair Services

Establishing partnerships with maintenance and repair services is essential to keep play equipment and facility infrastructure in excellent condition.

When selecting manufacturers and suppliers, operators should consider factors such as product quality, safety standards, pricing, delivery timelines, customer support, and post-sales services.

Step 5. Choose a venue management solution

When choosing a venue management solution for a new indoor playground or playcenter, operators should consider think about how the system meets their specific needs and enhances overall business operations.

Here are some important considerations:

• Functionality and Features : Evaluate the functionality and features of the venue management solution. Ensure it includes essential modules such as ticketing, admissions, POS, scheduling, reporting, waivers, and customer relationship management (CRM).
• User-Friendly Interface : Choose a solution with an intuitive and user-friendly interface that can be easily navigated by staff, reducing the learning curve and minimizing errors. A well-designed U/I can also help increase your online conversion rates at the point of checkout.
• Scalability : Consider the scalability of the solution to accommodate potential business growth and expansion in the future. It should be able to handle increased transactions, customer data, and additional locations if needed.
• Integration Capabilities : Check if the venue management solution can integrate with other systems or applications or has an open API .
• Reporting and Analytics : Ensure the system provides comprehensive reporting and analytics features to track sales, attendance, customer behavior, and other performance metrics.
• Data Security : Prioritize data security and compliance with data protection regulations to safeguard customer information and maintain trust.
• Payment Processing : Check if the solution offers a built-in payment gateway to offer convenient payment options to customers.

By carefully considering these factors, operators can select a venue management solution that efficiently manages day-to-day operations, enhances guest experiences, and contributes to the success and profitability of the indoor playground or playcenter.

All-in-one systems help streamline and simplify your business operations, and systems like ROLLER also offer many features that help operators manage indoor playgrounds, like the ability to sell tickets in-store and online , powerful POS , reporting and reconciliation functionality , a robust payments processor , guest feedback collection and analysis tool , and much more.

It’s all in the planning

Opening an indoor playground with little-to-no experience is an exciting journey that requires dedication, research, and careful planning.  By understanding your target market, creating a safe and captivating environment, and providing exceptional guest experiences, you can create a thriving and fulfilling business that your guests want to revisit over and over again.  Contact us at ROLLER if there’s anything we can do to help make your indoor playground business journey more seamless, profitable, and enjoyable. 

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Indoor Playground Business Plan Sample

OCT.09, 2014

Indoor Playground Business Plan for Starting Your Own Business

Do you want to open up a child recreational center such as an indoor playground? Providing an opportunity for children to play and grow in a healthy and safe environment is no doubt a business which being profitable is interesting too. Though the business doesn’t require any specific knowledge or skillset, however, the importance of having good management skills can’t be disregarded. If you think you responsible enough to run a challenging business like this, you must start making your kids indoor playground business plan . To help you we are providing here a sample business plan indoor playground for a child recreational center startup named, PlayLand.

Executive Summary

2.1 the business.

PlayLand will be a modern indoor center for children to enjoy different activities. The center will be based in Dallas and will be owned by a lady, Kate Dench. PlayLand will be providing several opportunities to children and teens to enhance their mental and physical capability under the supervision of highly trained staff.

2.2 Management of Indoor Playground

Managing a child playing center is no doubt a time-consuming job, that’s why Kate has decided to hire a general manager to help her in running the business. Following a stepwise approach, she has decided to make a business plan first before jumping in the preparations. Though many business plans for indoor playgrounds are available on the web, Kate will seek the services of experts to help her in making a modern indoor playground business plan .

2.3 Customers of Indoor Playground

Instead of thinking about how to start indoor playground business , researching on who will be your customers can be a much better idea. Knowing your customers can help you in deciding many things related to your startup such as your services, your product pricing, and your advertisement strategy for business plan . As for PlayLand, the customers will mostly be the parents. But, since the center will be providing some games for teens too, we expect that some youngsters will also be coming to our place.

2.4 Business Target

Defining targets can help one in thriving in the business area with even more enthusiasm. In this sample spreadsheet for indoor playground business plan we are mentioning a few business targets of PlayLand. The center aims at balancing the startup costs with the profits earned by the end of the two years of the launch while earning a profit margin of $10k per month by the end of the startup year.

Company Summary

3.1 company owner.

Kate Dench will be the owner of PlayLand. Kate has done bachelors in Sociology from Stanford University and has been teaching in a high school for a year. Kate is a hardworking person and strongly believes that loyalty with the customers and work is the only way that can lead her business to the topmost position.

3.2 Why the indoor playground business is being started

Kate wanted to secure her future by investing her money in establishing a business that can benefit her for a long time. So, following her graduation, she thought upon all her interests and decided to start an indoor playground business . She has several ideas about how to make a kids play area that’s why she can do this in a much better way than anybody else.

3.3 How the indoor playground business will be started

Following a stepwise approach, Kate has decided to hire a business plan writer to make a business plan for her. She has already rented a building with 4 rooms and a large lounge along with a playing field. Now, she will have to convert it in a modern indoor play area by installing different games and playthings.

Kate wants to get each and everything settled on time that’s why she has started to invest her several hours on work from now. She has even contacted the store owners from whom she will be purchasing the required equipment. Kate will also be hiring the required staff one week before the launch. In this sample business plan on how to start indoor playground business , we’ll later be listing the exact number of employees with their job descriptions.

The costs for of startup are as follows:

The startup requirements are as follows:

Services for Customers

If you are thinking about how to open a kids indoor playground , you must first decide which services you will be able to provide. Because if you don’t have enough capital to support basic activities in your playhouse, you won’t be able to earn a big name. So, before starting your own childrens indoor playhouse , it is wise to think whether you can provide the desired services or not.

Though Kate is not starting her business at a very large scale, she has decided to provide the following services:

• Active Play: There will be playrooms for children of ages 3 to 10. The rooms will be beautifully decorated and will contain various toys, books and things like tricycles to be used by the children.
• Art Classes: Children will be provided simple art classes in which they could enjoy music, learn to sing and dance, learn drawing, learn to paint and enjoy playing the musical instruments.
• Craft Hour: In craft hour children will be asked to complete a given project such as weaving a butterfly. This class will serve for two purposes – to engage children in a healthy activity and to enhance their creativity.
• Group Activities: Under strict supervision, children will be given a chance to enjoy group activities such as racing tricycles, playing carrom board, playing badminton or play on the see-saw with each other.
• Activities for Teens: Teens will be allowed to play table tennis and badminton in the center. Moreover, they will be given a well-decorated area to celebrate their birthdays or to hold any parties.
• Eatables: There will be a snack bar from where the children could get sandwiches, snacks, juices, and tea.

Marketing Analysis of Indoor Playground Business

Before taking an indoor playground startup , you must search for a market which has the potential to bear this type of startup. Exploring different markets before starting your business is essential because no one will acquire your services if they have already been availing the services of a similar and more stable business. So, it is very important to carry out a research on the market in which you will be going to serve. Reading several business plans for indoor playground can help you in knowing about different markets as well as to know what others are doing in this business.

In the case of PlayLand, Kate has leased a building which has almost no other child recreational center in the vicinity, so she can attract a wider audience easily.

5.1 Market Trends

The indoor playgrounds have a high demand at the places where the population of children is high. If you are selecting the location for your business wisely, you will not be at loss as opening a child recreational center provides many opportunities to grow.

5.2 Marketing Segmentation

Knowing your customers and their demands is the first step to take if you want to succeed in any domain. The market segmentation done for PlayLand is general and is given here for anyone who wants to get a notion of which sort of people they will have to face.

The detailed marketing segmentation of our target audience is as follows:

5.2.1 Working Class

The first group of our customers will be the parents who have to go to their jobs or have to do certain works in the evening. We are sure that the parents if getting satisfied with our performance, will come to us again and again. And we expect their children to say themselves that they want to stay with us and play and enjoy with their age-mates.

5.2.2 Children of ages 10-14

The children of this age group will also be our target customers as they will be coming to us to play physical and mental games with their friends. They will also be availing our services to held parties.

5.2.3 Teens

The last category includes teens who will come to our center either with a sibling or to celebrate some event with their friends. We will soon be providing more physical activities for teens so that they have very much tasks awaiting them in PlayLand.

5.3 Business Target

Kate’s target is to make her indoor PlayLand, the best playground in her vicinity. While providing reliable and honest service, Kate wants to set up her business and all matters in the first year so that she can move forward to make her children play center’s name a brand name. She also wants to add activities for children by the end of the first year. And she also aims at renting out a neighboring building to provide a similar facility for teens who will need a greater space and proper ground to enjoy themselves.

The financial targets, however, are as follows:

• Balancing startup costs and investments within the first year of launch
• Earning a profit margin of $10k by the end of the second year and increasing the profit margin by almost 200 percent by the end of the third year

5.4 Product Pricing

The prices of PlayLand will neither be very low nor too high. Kate has decided to take reasonable charges in exchange for her services because she thought that if one has to compromise on money – one will automatically be compromising somewhere on quality. As Kate has a great competitive aspect due to her location, she doesn’t need to keep her prices low to attract the customers.

After you have explored various indoor playground business ideas and have succeeded in planning and creating play spaces , you have almost done what was required to start your indoor playhouse. Now the next step is a little difficult and includes the implementation of wise techniques to bring your customers to your doorstep. In this business development plan for an indoor playground , the ways adopted by Kate to be different and popular are given here.

6.1 Competitive Analysis

PlayLand will be just one of its type in the neighboring vicinity, which makes it easier for us to attract the target customers. Our biggest competitive advantage is our reliable service. We will be treating your kids like our kids. We will offer just physical games because parents usually don’t want their kids to associate their enjoyment with television and the internet. Moreover, children will be under a kind but strict supervision, and they will never get a chance to fight or quarrel with each other.

High Quality Business Plan and Professional Support

It was amazing to work with OGS Capital for our business plan. They promptly responded our enquires and delivered document on time.The document was well organized high quality and content.We succeded with Alex and his team support. We thank you guys again for professional approach and easy communication.

Lastly, we will be having exceptional customer service, Kate herself will be interacting and coordinating with parents to satisfy them that their kids are treated under love and care.

6.2 Sales Strategy

To advertise our services, we will:

• Share the pictures of our services on our center’s website and social sites
• Distribute our pamphlets in our neighboring areas
• Provide 20% discount for the first month of our launch
• Provide 15% discount to our regular customers
• Provide free eatables to children for the first week of our launch

6.3 Sales Monthly

6.4 Sales Yearly

6.5 Sales Forecast

If you are planning to open an indoor baby play area but are worried about the costs of playroom equipment, be at ease.

Personnel plan

As child recreational center is a sort of business which can be started without a huge investment, you can start it with limited indoor playground equipment . You will require children soft play equipment as the kids of ages between 3 to 7 are more inclined towards gaming with soft indoor play equipment .

However, for teens and for children of the age group 8 to 12, you will have to buy somewhat sports material like rackets, balls and an indoor playground net .

7.1 Company Staff

To meet the standards, Kate has set for her business, she herself will be coordinating with the parents. However, she will be hiring the following people for other tasks:

• 1 General Manager to manage the overall operations
• 2 Accountants to maintain financial records
• 1 Sales Executive responsible for marketing
• 5 Female Workers to supervise the children
• 2 Cleaners to ensure a hygienic environment
• 1 General Assistant for day-to-day work
• 1 Manager to operate the store
• 2 Security Guards
• 1 Web Developer to manage the center’s websites

7.2 Average Salary of Employees

Financial plan.

The last thing which you must have to do is to get written a proper financial plan that can demonstrate how much do playgrounds cost and how you will be able to afford that. If you are worried about how much does playground equipment cost or how much do indoor playgrounds make , just seek help from a financial advisor. A financial expert can help you figure out where to invest and how to earn a profit despite providing discounts and packages to the customers. A financial expert also provides you a plan to recover loss if you somehow get your business stuck in a crisis or if you are failed in making desired profits.

In case, you have a little know-how of a financial plan and you want to make it by yourself, you must first read other’s business plans available on the web. The <strong>sample startup budget for child care center<strong> and a recreational lot that is PlayLand is given here totally free for your help.

8.1 Important Assumptions

8.2 brake-even analysis.

8.3 Projected Profit and Loss

8.3.1 profit monthly.

8.3.2 Profit Yearly

8.3.3 Gross Margin Monthly

8.3.4 Gross Margin Yearly

8.4 Projected Cash Flow

8.5 Projected Balance Sheet

8.6 business ratios.

Download Indoor Playground Business Plan Sample in pdf

Professional writers OGS capital specialized also on the theme such as baby boutique store business plan , babysitting business strategy plan , bouncy castle business plan , professional daycare business plan , summer camp business plan model , business plan toy store and etc.

OGSCapital’s team has assisted thousands of entrepreneurs with top-rate business plan development, consultancy and analysis. They’ve helped thousands of SME owners secure more than $1.5 billion in funding, and they can do the same for you.

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Why Indoor Playground Equipment Business has huge potential?

Step 1: Planning:

Step 3: Know Your Competitor:

Step 4: Choose the Most Suitable Location:

Step 5: Determine Your Budget:

Step 6: Choose the Right Design and Equipment:

Step 7: Consider the Safety of the Indoor Playground:

Step 8: Acquire the Business Licenses:

Step 9: Install your Playground Equipment:

Step 10: Hire the Staff and Training

Step 11: Marketing and Advertisement:

Step 12: Maintain your Indoor Playground

Step 13: Expanding your business:

How to Start an Indoor Playground Equipment Business

The indoor playground equipment industry is projected to grow at a CAGR of 3.6% through the next five years, with revenue in the current year expected to be over $1.5 billion in North America alone!

So, do you want to start  an indoor playground equipment business and earn amazing profits? In this article, you'll learn how to find your niche, what type of equipment is needed and where to get it, and how to get started.

You'll also get to know about factors like choosing a location and pricing options. Read on for more information!

The world of play is changing. The rise of digital entertainment has led to a decline in outdoor playgrounds, but indoor playgrounds are on the rise!

Three main factors are contributing to this change:

- Kids stay indoors more because they have tablets, game consoles, and computers that keep them occupied for hours.

- The moms and dads are concerned for their kid's safety as there is a risk of accidents involving playgrounds.

- In the modern era, parents prefer to send their kids to indoor play areas rather than sending them outside where they might get into trouble.

An indoor playground business could be a great way for a family to earn extra income and gain financial freedom. You'll need to have a good location for your playground, find the right equipment, and hire your staff.

Once you start making profits, you can use them to repay your loan and expand your business by opening more locations in major cities.

Step # 1: Planning:

While many people may think that an indoor playground business is not as profitable or efficient, those with innovative ideas will succeed.

 Your first step should be creating a budget and marketing plan to ensure you can cover your costs while still making enough profit for yourself- without investing too much time into the venture!

Being a business owner you first make a detailed plan about which type of indoor playground equipment business you want to install. Then you can order your custom color to the target customer and indoor playground manufacturers. This custom color will become your park color or tax identification number.

If the playground is providing fun, bright colors, children will wish to come back again and again. Similarly, parents will bring their kids to a place that makes their children physically active and provides their child care and social skills.

It's also important to research competitors, so they don't steal all of your market shares before starting up since this industry has been growing lately due largely to parents wanting more creative places for their kids (and themselves!).

Step # 3: Know Your Competitor:

· Your competition is not just one company, but many. More active competitors mean you are more active and energetic in your business.

This means that to stand out from them all, you need an interesting idea or product which will set your business apart and offer customers something exciting at a price they can afford - meaning it's not only good for the budget-conscious consumer!

· Learn about what makes competitors successful, so when planning your business strategy, there are some tips based on this knowledge.

· Next, visit companies around the same size as yours who serve similar regions; explore their social networks looking at site traffic statistics, etc., then use these insights into how others operate before deciding where best place emphasis within our marketing mix.

It's important to get the story straight across all platforms. A lot of content will be created over time, so building up a coherent stream of information will allow your potential customers to create lasting connections with you and your business.

· Visit competitors' social media pages to understand their working model and methodology; look at what is popular or unpopular and why!

· Additionally, consider what your main competitors are charging for their products or services, which you can use as inspiration when creating yours.

For instance, indoor playgrounds in the USA charge around $4.5/visit for kids of age between 2 and 12, while adults and kids below 2 are free. Moreover, for “open play,” they charge around $11 to $13 depending on the weekdays and weekends.

Step # 4: Choose the Most Suitable Location:

The next thing you need to do is find a good location for your indoor playground. Before launching the playground business, you should consider the appropriate place and size of the place. Because opening an indoor park in a big city is more profitable than in small villages or towns.

A wide place for a playground and enough space for seating, bathrooms, and canteen should be your top priority. But this will cost you more as the place in the mid-city is premium. So rental rates should be in your knowledge. The best location in a place surrounded by a good neighborhood is the best. Because a convenient location is more valuable than crossing the busiest roads.

• You should make sure that there are many people in the area; otherwise, customers won't come to your business.
• You'll need to find an appropriate place that has parking facilities and can be accessible by public transportation easily. The ideal location will also have street traffic (vehicular) and foot traffic (pedestrian).
• A good Indoor Playground Businesses near schools or community centers will make customers more inclined toward coming back again!
• If you want to start an indoor playground in a shopping mall, note that some malls have restrictions on what kinds of activities are allowed on their premises.
• You need to check whether the mall is suitable for an indoor playground or not.
• Pay special attention to ceiling height. It would be great if it is higher than 2.8 cm.
• This will allow you to put more attractive games and equipment inside the playground like magic slides and climbing.
• Try to choose the space with fewer pillars. This will help to give extra space to add more equipment or large equipment.
• Before signing any agreements with landlords, you should check out the premises very carefully.

Check whether they have good lighting and proper ventilation so that kids can enjoy their time there.

Step # 5: Determine Your Budget:

To start a successful indoor playground equipment business, you need to know how much money you have.

A lot depends on the specification (i.e., type and size) of equipment that is right for you. Obviously, it's going to be more expensive if you want something elaborate or large-scale in your space, but sometimes having just one piece (stand-alone playground equipment) can also serve its purpose well too!

The price should match up with what YOU value because this will ultimately determine how long your company lasts out there - so take into consideration where did YOU get started before making any final decisions about which direction YOU go next?

You can divide the expenses into the following categories and make the final budget:

1. Total cost of the equipment: how much equipment you want to install in your indoor park.

2. A minimum 1-year rent for the place:  do you have enough money to bear the cost of rent at least for one year without considering the profit.

3. Employee salaries based on the number of hiring: you can determine the amount by dividing the amount by the number of hired employees. If you hire 10 employees you can offer them a handsome salary as compared 20 employees salary.

4. Decoration is another crucial step, do you have enough amount to make your playground beautiful and fanciful. Because children love decorated walls and equipment. A thrilling and enjoyable environment will surely keep the children physically active and entertained for a long time without getting bored.

Step # 6: Choose the Right Design and Equipment:

The next step is to choose the right design and find the best indoor playground equipment for your business. Children love physical activities and you should ensure it like trampoline parks, Ninja warriors, soft interactive games, bright interactive games, blocks, climbing structures, inflatable bouncers, swings, tunnels, etc.

For the design, you must consider the following tips:

· A big issue with playgrounds is where to put them. So, you need to consider the space while designing. A good indoor playground has a large space, high ceilings, and lots of seating (along with washroom, toy shop, and food areas) around the outside so that kids can socialize while they play on your new installation!

· Create an indoor playground design that makes families feel comfortable bringing other indoor playground members, including toddlers and indoor playground babies. Make indoor playground equipment accessible to children of all ages, including crawlers and younger toddlers. You can also design a toddler area for 0-3 years old and an inflatable area for 0–7 years old.

. Children love to find things curiously in their own way because kids' vision is different from our vision. Therefore, you should keep small magics, peepholes, unexpected sounds, talking tunes, small gaps, and little surprises throughout the playground.

· Design indoor play equipment that lets children develop their indoor playground motor skills. Like a climbing, swing, jumping, etc. (equipment like soft climbing wall, strop, single-log bridge)

· When designing an indoor playground for kids, one should consider the color and theme. Bold primary colors like yellow or blue-green can stimulate a child's imagination while remaining simple in design. On the other hand, a themed space would be perfect if you want your little ones to have fun with their imaginations, even more than just using stimulating colors! A themed space like Jungle, Candy, etc. ninja-themed indoor playground can also be incorporated that is more focused on elder kids and is much more challenging and thrilling.

· Consider the brand of your company while designing an indoor playground for kids. Keep consistent with colors and styles, or use them as inspiration in other aspects like logos on equipment to reinforce this message about who you are! Maybe think outside the box? For example - if owning a restaurant makes sense, why not create one that features all things related to food?

· You can add a Food and Drink corner along with a rest area for parents that will include relaxed seating with a washroom facility.

For choosing the right equipment, the most important thing you need is a climbing frame, but it's also important to have stuff like foam mats, ball pools, and tunnels.

Some other important indoor playground equipment you can also choose:

• Indoor Trampoline
• Ninja Warrior Course
• Crochet Playground

If possible, you should buy new equipment instead of second-hand.

Used equipment could be damaged or unsuitable for use in a public area, so it may not suit your business. However, if you want to buy used equipment, ensure that it's safe enough to use with small children.

Besides, you must ensure that you buy indoor playground equipment from a reliable manufacturer that ensures maximum quality and safety (compliance with local and international standards).

Moreover, the equipment should come with all the safety and quality certifications, a warranty, and excellent after-sales services.

Last but not least, ensure indoor play equipment is safe, sturdy, durable, and strong enough to withstand the weight of children on it without tipping over or breaking apart while playing on it or touching it.

Step # 7: Consider the Safety of the Indoor Playground:

The safety of the equipment and customer is among the critical aspect of the indoor playground equipment business.

There are a few safety tips that indoor playground owners should consider to attract more customers and generate higher revenue streams for their business:

· Select indoor playground equipment made from indoor playground materials that cannot be chewed and swallowed and indoor playground surfaces that will not chip and break if they fall on them.

You can ensure it by buying equipment from Reliable Indoor Playground Equipment suppliers that comply with local and international safety and quality standards like EU EN1176 and CE. You can ensure they use 100% non-toxic and harmless material for the equipment. Moreover, the small components of the equipment, like softballs, are kept with a diameter over 7 cm with double thickness to ensure they are non-swallow able, non-chewable, and breakable.

· Ensure indoor play equipment is up to indoor playground regulations and indoor playground standards (i.e., ASTM safety standard is for the USA, EN1176 is mainly for EU), so parents feel comfortable bringing indoor playground babies and indoor crawlers with them.

· Besides, the aforementioned safety standards, and certifications, one can also consider the following ones:

o ASTM F1918 for North America: Standard for safety and performance of soft contained play equipment.

o NFPA 701 for North America:  This safety standard ensures the safety and quality of fabric and material used to make indoor playground equipment.

CPSIA for North America: Consumer Product Safety Improvement Act is a law of the US Government that restricts levels of hazardous materials in children's products imported from abroad and those made in the US.

o UL 94 for North America:  It is a test to determine the indoor playground equipment material's relative flammability.

o REACH: It is a European Community (EC) safety regulation that issues safety certification for Non-Phthalates in Toys and Childcare Article.

o EN 71 for Europe:  It specifies safety requirements for toys.

o AS3533.4.2-2013: It is indoor playgrounds Australian safety standard.

o CSA Z614-07(R2012):  It is a standard developed by Canadian Standards Association (also known as "CSA Group") that provides requirements for public-use play spaces and play equipment.

o ISO standard: is one of the most implemented and recognized international safety standards.

Step # 8: Acquire the Business Licenses:

It's important to know what you need for a business license and permits before installing an indoor playground. Not only will this help with the legal aspects, but it can save money in other areas as well!

For the United States, you may require a Doing Business As (DBA) license and General Business License along with other permits for food handling, etc.

A few other necessities include registering your company name(s), getting liability insurance coverage from an appropriate provider (or self-insuring) depending on state laws),and making sure that any applicable taxes have been filed by filing yearly reports).

In some countries and states, you may also want certain equipment such as slides which require special licenses from the authorities.

Moreover, liability cost depends upon many important factors such as location, size, and scope of services you are offering. Therefore it should be thought that the activities which are not proving fruitful should be removed.

As insurance liability for houses and cars, so as the indoor playground Liability. Ensure to check out all reviews, and all options which are offered for your business.

The indoor playground franchise has many advantages under its belt for a business owner. Franchises lower the investment cost in a complex business model. Franchise offers a variety of benefits such as

• Lease Negotiations
• Discounts on food/beverages
• Advertising
• Design and Equipment
• Discounts on Equipment
• Territorial Protection
• Market Research

Step # 9: Install your Playground Equipment:

Once everything is done, now it's time to install your Indoor Playground equipment, along with all the other amnesties you have planned to include.

Ensure the installation process is done by professionals to ensure maximum safety and quality. You must make sure that the indoor play equipment is stable, balanced, and properly installed so indoor children can enjoy it without the risk of injury. And children will play confidently.

Wherefore, you can buy installation services from the supplier. However, clients are responsible for taking charge of salary (100-150 dollars/day, accommodation, local transportation, two-way ticket, and visa fee).

The best playground should teach the children experiences of upcoming life through different games competitions.

Step # 10: Hire the Staff and Training

Most people who start an indoor playground tend to hire one person first and then add more staff as the business picks up and brings in more revenue. You can find most of the staff from career websites that specialize in helping people find work.

If you need something specific (for example, someone trained in First Aid), you can post a Job Wanted ad on the internet and wait for responses. Once you have a good collection of staff members, it's time to advertise your business.

It is simple to target customers and teaches children to play energetically. This is for those kids who want to play but hesitate to play because of a lack of proper knowledge or practice.

At this time staff members can do the job and take their older children and have fun with them in front of confused children. When a child, after observing the play, wants to play by themselves, then parents have to pay for their kids.

A group includes two or three employees who should have training in first-aid in case of emergency if the children get scuffles, scrapes, and bruises. Because a good business always has employees for every area such as a group professional staff that takes phone calls, some admission tickets, few answers the inquires, some oversee snack bar and canteen, few supervise events, equipment, and games, etc. This is the reason during the selection of staff try to choose the most professional person who can manage multiple tasks at once if the other employees are not available at the time.

Once you trained them, it is time to get more and more revenue and customers, because the right employees make the business successful and run in the rival race.

While hiring the staff, consider the given points:

• Only hire well-experienced, and qualified staff for operations, maintenance, inspection, and overall management.
• By being conducted regular training sessions,their skills can be improved.
• As kids are hyperactive, careless, the staff should be specially trained to handle them. They must know how to provide first aid treatment, as well as emergency exit protocol.

Step # 11: Marketing and Advertisement:

Once your indoor playground is ready to launch for the general public, it would be best if you implemented your marketing strategy. This is also called affiliate marketing. If you invite nearby schools' students to pay a free visit to your parks it will build trust. When these schools engage in different competitions, activities will obviously discuss your park obviously.

Marketing is the most important aspect of starting an indoor playground because if nobody knows that your business exists, no one will come and visit. You'll need to create a good logo for promotional purposes and find appropriate marketing channels for your area.

It is the age of social media. Your business advertisement needs some clicks from you. Launch your business on Facebook pages, Twitter, Instagram, etc. These social media channels will boost up your indoor business' awareness and customers along with advertisements. Here are some useful tips to follow.

It is the best way to get more and more customers because through membership cards we ensure the customers that they are special. Or some games are restricted to members only.

This will attract customers and be good for new business. Hire professionals for operating hours and operation procedures. This will help you to estimate the targeted customers or evaluation of exactly what you estimated.

• Dispense leaflets near the surrounding area of indoor playgrounds.
• Try to grab more customers during opening advertising via different social media channels.
• Promote community networks through local radio and television channels.
• Invite free visits of kindergarten and school students on free trials.  

For example, indoor amusement parks usually have their Social Media Pages, such as Facebook Pages, Instagram, Twitter, Youtube, etc., so you can start advertising there.

Besides, you can also throw a grand opening party, launch a website and offer promotions and free tickets. You can also collaborate with schools and conduct kid-specific events for promotion. Don’t forget to offer free open-play offers and discount coupons.

Once you've started receiving responses from your marketing efforts, you should begin advertising your business on websites like Yelp or Google Places so that people can easily find you when searching online.

Step # 12: Maintain your Indoor Playground

After the successful start of your indoor playground business, you will now be getting many visitors daily. Regular usage of the equipment will cause damage and wear. Therefore, it is vital to maintain your facility and equipment to prevent any unforeseen event. Moreover, if the equipment and swings are not cleaned daily, they can become hazardous for the public.

Therefore, plan a schedule to clean the equipment, mean when they need disinfection machines' cleaning or when they need sanitizing because proper disinfecting and sanitizing reduces the killer germs and kids' illness. There is a difference between routine cleaning (on a daily base can be cleaned with soap, water, soft clothes, and soft brushes) and disinfecting cleaning means proper cleaning with disinfection machines.

For the maintenance, you can consider the following given points:

• Conduct regular inspection of all the indoor playground equipment in your facility. Hire a professional team for this purpose, and get the problem fixed before it worst to prevent any accident or injury.
• Ensure indoor playgrounds are dry and indoor playground floors are free of indoor playground dust, germs, and indoor playground stains.
• Maintain indoor play equipment to ensure indoor playgrounds remain safe and sanitized for children to enjoy daily.
• Install every safety equipment including fire-alarm, fire-extinguisher, first-aid box, power breakers, etc., to ensure maximum safety of both equipment and customers.
• Further, first-aid boxes will be available every time, in case of any child got injured, your professional employees can ameliorate the damage. This will gratitude the parents.

A good playground should have modern Surfacing materials that can be used throughout the year for different purposes. The material should be durable, easy to maintain, and suitable to play on.

For this purpose, you can consider different options available in the market or in similar businesses. During material options, you should not forget the disabled children as well. It should encourage a balanced environment and avoid discrimination against disabled kids.

Install swing sets where wheelchairs can be adjusted and wheelchair-accessible gardens. These steps will remove the social stigma about disabled kids and encourage them to play and feel healthy!

Step # 13: Expanding your business:

Once you've started making a profit, you can start paying back your loan and use the extra money to expand your business. You should think of opening more indoor play areas if possible. You will need to have enough money for this, so do your research first.

After a while, you might want to move into other business segments such as childcare or movie theaters. As long as there is demand for it in the area, starting an indoor playground couldn't be simpler!

Some other points you can also consider for expansion:

 Try expanding your existing playground space, and adding more and unique indoor playground equipment.

If there is enough space to walk around the swings or parents can encourage their kids during fun, it will be best for your equipment business and will distinguish your park from competitors' trends.

More space for sitting to observe their children's activities, wide space for walking around and in the swings, specific area for parking (it should be considered because the provision of parking space is the responsibility of the indoor owners), etc.

. Adorn With Toys

As indoor playground equipment is for kids of age between 3 to 15 years, you can target kids of all ages within this range (if you haven’t). There are plenty of options available for playground decoration. You can use universal red, green, and blue colors to decor the park.

If you want to boost your business then Surround the park with different kinds of toys. These toys like artificial snakes, turtles, tigers, lions, will prove beneficial to attract more kids. For example, you can introduce indoor equipment for teenagers like trampolines, and ninja warriors, which will add more exercise, thrill, and fun.

Children like mysterious castles, jungle themes, to see their imagination in reality. So, it's best to design the walls with adorable and prominent colors which attract the attention of the playing children.

How many children visited the indoor play area and how many were active children. Once the child loves to play in your indoor playground, they will not leave the place even after free time.

When a child becomes stubborn to not go, obviously parents have to pay them and have to visit your playground regularly.

Candy Series Indoor Playground for Sale DLID270

Adventure modular kids soft play zone commercial circus theme indoor playground DLID265

High quality jungle gym children soft playground equipment DLID008

Plastic multifunction ocean theme customized indoor playground equipment DLID160317

Space Theme indoor soft playground equipment commercial DLA0005

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• Business Plans Handbook
• Business Plans - Volume 03
• Indoor Playground Business Plan

Indoor Playground

BUSINESS PLAN

KID'S WORLD

5568 Inkster Rd. Livonia, MI 48150

This plan is for a franchised indoor children's playground. The plan provides a good description of possible competitors and the methods that will be used to achieve a competitive advantage in this industry.

EXECUTIVE SUMMARY

Mission and strategy, competitive analysis, pricing, profitability, and break even, management and staffing, contingency planning, financial projections.

A market opportunity exists in the Western Detroit area to service children aged 13 and under with a supervised indoor exercise and recreation facility. Market research shows that children often do not get the required amount of exercise to maintain a healthy lifestyle. Indoor playgrounds provide an outlet for active children during inclement weather or when the temperature is too hot or cold for outdoor play. Furthermore, parents want an environment for their children to play without harsh language and an arcade atmosphere.

Proposed Business

Kid's World will provide a safe, clean, and stimulating environment for physically active children aged 13 and under to play in and explore. Kid's World's supervised, visually open play area will ensure children's safety, while challenging them to reach, think, interact, explore, and have fun. The store will require approximately 14,000 square feet, consisting of a giant 5,000 square foot play structure for children over the age of 4, a smaller play area for toddlers under the age of 4, an area with several interactive skill games, a snack bar with seating to accommodate 100 to 125 persons at a time, and a merchandise and souvenir stand. Both play areas have soft indoor playpark equipment with extensive padding and no sharp edges. Furthermore, the game area will not offer video games, pinball-type games or games with a violent theme. For family celebrations, such as birthdays and special occasions, Kid's World will offer private party rooms hosted by trained staff to provide a child everything he/she would want in a birthday - several hours of supervised fun on the play structures, cake and ice cream, prizes, food and beverage, and game tokens. Kid's World desires playtime to be as rewarding for the parents as it is for the children, as they spend time together.

Kid's World will be located in a strip shopping center on the west side of Livonia. Within a twenty-five mile drive from this location, there are at least 49,000 children at or under the age of 14, living in a household with average annual income exceeding $45,000. Furthermore, the Census Bureau expects the communities of Canton, Plymouth and South Lyon to be the fastest growing regions of Wayne and Washtenaw Counties over the next decade.

The business will be operated on a full-time basis by a manager, Alice Cushaw, who has had over 3 years of restaurant management experience. In addition, all member-managers will actively assist in the management of the business on a part-time basis.

Loan Request

The owners are requesting a loan to fund a portion of the start-up costs and inventory. They are also requesting a line of credit in the amount of $500,000. The owners are contributing $35,000 to the business venture and various investors are contributing another $40,000. The money will be needed in equal monthly installments commencing three months prior to opening and will be repaid in a steady manner from available operating cash flows. The loan will be entirely repaid within five years after opening with payments beginning three months after opening.

Kid's World is a diversified destination family entertainment center combining recreation, entertainment, and restaurant facilities that creates substantial drawing power. Kid's World's basic focus is children's play and fitness for 1 to 13 year old children. At Kid's World, these activities have been packaged into a safe, clean, climate-controlled, supervised environment for children aged 13 and under to exercise and have fun while stimulating their imagination and challenging them physically. The indoor playpark is based on the premise that if you set a large number of children inside a safe, yet challenging, imaginative soft playground area, they are going to have fun. They are also going to develop basic motor skills, social skills, muscle tone, and self-confidence. Furthermore, the parents can enjoy hours of close interaction with their children in a safe, secure, and stimulating environment.

Currently, there are no other indoor children playgrounds in the Western Detroit area. In addition, there are relatively few alternatives for children's birthday parties. Kid's World will be able to immediately fill this void in the market by providing extensive recreation, entertainment, and restaurant facilities for children to play in and explore. Within 1 year, Kid's World will be known as the primary recreation facility for children aged 1 to 13 and the destination of choice for children to enjoy birthday parties with friends. Kid's World's safe, secure, and clean environment will assure parents while providing opportunities for their children to have fun in a stimulating environment.

Kid's World will base its appeal on providing a stimulating indoor environment for children to play in, while adhering to the strictest quality control standards emphasizing excellence in service, safety, security, food quality and value, sanitation, cleanliness, and creativity. Furthermore, Kid's World is dedicated to the continual development of creative themes and interactive designs that have entertainment and educational value that will ensure Kid's World's competitiveness and success in the family entertainment market years into the future.

Indoor playgrounds serve an increasing need in our society. Studies show that American children are less active and less fit than they were even five years ago, probably due to increasing time in front of television sets and high calorie-high fat diets. Studies have also shown that less active children are more likely to be overweight, and overweight children have a greater propensity to become overweight adults. As people have become more aware of the healthy aspects of their lifestyles, enrollment in adult health clubs, aerobic exercise, recreational activities, and attention to nutrition has increased dramatically. This trend will continue as parents attempt to provide a healthier lifestyle for their children. Another area of parental concern is their children's safety. Nationally, as well as locally, concern for the physical well-being of children has created a further need for a safe play environment. This concern shows no sign of diminishing.

While it is difficult to determine the size of the indoor playground industry, there are currently about 49 million children 12 years old or younger in the United States and this figure is expected to rise to 51 million by the year 2000, according to the Bureau of Census. There are approximately 26 million households with children younger than 18 years of age, who spend about $1,800 per year on family entertainment or $46 billion annually. Per-capita expenditures on children's activities are likely to rise as families with children spend a larger percentage of their income on recreation. Children aged 4-12 spent, from their own income, $6 billion in 1989, up 41% from 1984. This increase in discretionary income is coming from several factors. First, the increase in dual income families has provided for more discretionary income to be spent on children. Second, women are having children later as evidenced by the rising birth rate among women in their thirties. Third, per-capita family income is increasing and families are choosing to take wealth increases in the form of leisure. Last, grandparents are living longer and spending more on their grandchildren. Based on these demographics, industry analysts believe that there is room for about 600 store locations in primary markets throughout the United States and an additional 200-300 in secondary markets.

The Customer Need and the Target Customer

With the recent concerns over child safety on outdoor playground equipment, many schools have elected to remove their playground equipment entirely. Parents are more aware than ever before over the safety and security of their children's play areas. Consequently, a safe, supervised indoor play area will enable parents to relax while their children enjoy playing in and exploring the soft indoor playpark.

Kid's World will target children aged 13 and under within a 25 minute drive of Western Livonia, comprising about 250,000 people of which at least 49,000 are under the age of 13. Within a five-mile radius of Livonia, census information indicates there are approximately 23,000 children aged 13 and under, living in a household with an average annual income exceeding $55,000. These customers will form Kid's World's primary market base. Kid's World will also target children in the outlying regions of Oakland County.

Product Description

Kid's World is geared for children 13 years old or younger who desire an imaginative, challenging, and fun environment in which to exercise, play, and explore. For safety, children must be accompanied by an adult in order to be admitted and adults are not permitted to enter without a child. Furthermore, each person admitted to the playpark will receive a color-coded wristband identifying him/her with rest of the party. To further promote security, each person's wristband will only be removed when the entire party is present together at the exit desk. Trained staff will supervise the play areas at all times to ensure adherence to the playpark rules while assisting the children to maximize their enjoyment of the facilities.

There will be several play areas within Kid's World; the largest, a 5,000 square foot structure targeting children aged 4 and over, will be comprised of a series of colorful tubes, slides, ball baths, climbing structures, air and water trampolines, obstacle courses, ramps, and stairs. A smaller play area will cater to toddlers and consist of cushions, ramps, a small ball bin, and toys. To encourage active participation by parents, all play areas will have a visually open design with comfortable rest areas in full view of the play structures.

Kid's World will also be equipped with a smaller area of interactive games designed to promote eye and hand coordination. This area will include the "Magic Keyboard", a unique piece of musical play equipment specifically designed for Kid's World. Parents and children can also play several games of skill to win tickets redeemable for prizes. There will also be a snack bar with seating for 100 to 125 customers at a time. It will serve food and beverages that appeal to children and parents such as pizza, hot dogs, salads, sandwiches, popcorn, pop, fruit juice, cappuccino, cake, and ice cream. In addition, Kid's World will have a merchandise counter with small souvenirs emblazoned with the Kid's World logo such as T-shirts, sweaters, and hats.

Kid's World will have six private party rooms and will offer packages for birthdays and other special occasions hosted by staff members, significantly reducing the hassle and mess for parents. The design of the rooms will allow for groups as large as 30 children at a time. For family celebrations, Kid's World will offer three birthday packages for parties of 8 of more, consisting of a two hour limited time of play, birthday cake and ice cream, free game tokens, and, depending on the type of package, pizza or hot dogs, party favors for the guests, and a special gift for the birthday child.

Strategy and Approach to the Market

Kid's World will strive to appeal to value-oriented customers who desire hours of entertainment for their children at reasonable prices. Kid's World will be competitively priced at $4.95 for unlimited play which is comparable to other forms of entertainment. However, the distinguishing feature of Kid's World will be its clean, safe, secure environment for children to play in while parents can either relax or participate in their child's activities.

Advertising

Kid's World will reach its target customers through such advertising media as local newspapers, local television, and direct mail campaigns. Local television advertising has been found to be very effective in reaching the target market segment of children 13 and under, so we will focus our efforts here. The advertising and promotion campaign will be funded through operating cash flows and will build upon the close proximity of the store to the corporate location. In addition, the franchisor will assist its franchisees through regional advertising programs to obtain synergy among all franchisees within the region. Kid's World will initially promote its concept through a Grand Opening advertisement campaign employing an invitation-only free evening for local business and government leaders and their children as well as local radio coverage. The franchisor will assist in the preparation of initial advertising and scheduling of promotions.

Location Characteristics

The nature and location of Kid World's business will support both destination and walk-in shopping. Since the majority of birthday parties are pre-planned events, the exact location of Kid's World with respect to major shopping centers is not as critical as it is in other retail businesses. However, parents shopping with their children may desire an outlet for their children in the form of indoor exercise and recreation. Once customers are aware of Kid's World's location, they will return again and again. Figures from the corporate store indicate an average return rate of seven times per child per year. Our financial forecasts conservatively project 1/3 less. The awareness of our location will develop over several months due to advertising, word of mouth, and simple observation by shoppers in the area.

Kid's World will locate in Livonia on Inkster Road in the Heights Shopping Center. This shopping center consists of two separate buildings totaling 73,480 square feet of rental space and contains both destination and walk-by businesses. The center is primarily focused on providing family related services to the local community. Within three miles of this location, census data indicates there are 9,854 children under the age of 14. Within five miles of this location, census data indicates there are 23,061 children under the age of 14. In addition, there are several elementary schools located in the proximity, a day care center directly behind the shopping center, and many other child-related businesses within a few blocks along Inkster Rd. in either direction.

To better ensure Kid's World's success, the franchisor, Kid's World, Inc., must approve the final location and subject it to their proprietary location requirements.

Unique Market Characteristics

Weekly usage patterns.

With 60 to 65% of the costs fixed and only 35 to 40% variable, even small increases in capacity utilization can have a major impact on profitability. With a projected 60% of revenue coming from Friday through Sunday, it will be important to effectively utilize capacity on weekdays. Kid's World will provide the following services to increase customer usage during this period: group discounts to day care centers, churches, community groups, schools, etc., a frequent user card to encourage repeat customer visits, nutritious food to attract health-conscious families, and promoting birthday parties during the week.

Seasonality

The winter months are usually the strongest, and the beginning of spring and the beginning of the school year are usually the weakest periods. On a quarterly basis, Kid's World's best quarter should be the first, followed by the third, second, and fourth quarters. To manage this seasonal variation in customer demand, management will actively monitor weekly sales volume and maintain a flexible staffing arrangement.

Threat of a Fad Product

There is a risk that children may tire of the concept of indoor padded playgrounds. To keep the concept fresh, Kid's World will strive to introduce new play equipment, skill games, and/or new marketing concepts annually. In addition, the franchisor is committed to ongoing research and development in the area of child interaction and stimulation through consultation with staff child psychologists.

Safety/Liability Concerns

To reduce the potential for injuries and lawsuits, Kid's World will employ every means possible to protect children from hurting themselves on the play equipment. Kid's World will only utilize the softest and most extensively-padded equipment in the industry. Furthermore, Kid's World will employ trained staff to continuously monitor each play area and enforce the rules of the playpark. The playpark will be designed to provide parental viewing on all sides and at all times. Parents will also be encouraged to play in the equipment with their children (knee pads will be available for a nominal charge.) In addition, security wristbands will be issued to each person upon entering to ensure the child's safety and prohibit stranger abduction of children. Strict security measures will be observed at all times. Kid's World will carry a $1 million per occurrence liability insurance policy in the event of lawsuit.

Nature of Competition

Competition in the children's recreation and entertainment industry consists of a highly diverse group of children's activities, including television, libraries, YMCA's, health clubs, parks and other recreation centers, movies, the zoo, and related activities. All of these activities provide for enjoyment by both the parents and the children. However, an indoor playground offers a safe, clean indoor environment for physical activity that is specifically designed for children. It provides children with the security and the skill development opportunities that parents desire.

The indoor playground industry is relatively new. Among the existing players in the indoor playground industry, competition is fragmented. The only company with a strong national presence is Surprise Land, possessing over 250 store locations across the United States, Canada, Mexico, and Europe. A significant threat also exists from Connell Corporation, which has started an indoor playground concept of its own, Jungle Play. Although Jungle Play is still in a testing phase, Connell's has the resources and experience to expand its concept rapidly. In addition, there are numerous regional players with fewer than 10 stores across the nation, although relatively few of them are actively seeking franchisees.

Presently, there are no indoor children's playgrounds operating in the Livonia area. Within a 25 minute drive from Livonia are the following primary competitors to Kid's World:

Competitive Advantage

After reviewing the characteristics and environment of each of the above competitors, we believe that Kid's World offers several advantages over the existing competitors. First, Kid's World offers the lowest admission price, charging $4.95 per child, of any establishment dedicated to providing an extensive indoor playground. Second, Kid's World encourages parents to participate in their children's recreational activities through a careful layout of the playpark which ensures high visibility of the play areas and close proximity for the parents. Third, Kid's World is the only indoor playground operator that provides such unique play equipment as the Magic Keyboard, an air mattress, and games of skill that are specifically designed to promote child development. Fourth, Kid's World goes to extra lengths to ensure the safety and security of the environment by providing such extras as CPR certification for all employees of a certain level, video monitors of the entire playpark, and strictly controlling the entrances and exits to Kid's World. Last, with the corporate Kid's World location being so close to Michigan, name recognition should be high, as many of the potential customers have already been to the existing Kid's World location.

Analysis of Competitors

The following section briefly discusses each competitor's market position, strategy, and unique operating characteristics.

Captain Sam's

Captain Sam's primary focus is on an extensive array of video games, mini-rides, interactive skill games, a puppet show, and food. Although it has a small playpark area for toddlers, Captain Sam's is primarily dedicated to food service and games. Consequently, it serves as a destination business for pre-planned visits, centered around its food service for family outings and birthday parties. It is an open layout with more windows than other children's entertainment centers and has the atmosphere of a large noisy cafeteria. It charges no entry fee, but maintains high prices for its pizza, ice cream, and beverages. Catering more to parents, the Ypsilanti location allows smoking and serves alcoholic beverages along with pizza, hot dogs, and nachos. It does not instill a sense of security for the parents, nor does it provide the challenging and stimulating environment that children desire.

Surprise Land

With over 250 fun centers in operation as of April 1994, Surprise Land is the largest operator of indoor playgrounds for children. The company was founded in 1990 and began its early growth through franchising. In 1993, Reeves Entertainment acquired 20.1% of Surprise Land's shares with an option to purchase additional shares up to a 51% interest in the company. In order to sustain market leadership and pre-empt competitive threats, Surprise Land has adopted an aggressive expansion campaign with the goal of securing what they feel are the best locations across the country. Specifically, Surprise Land plans on opening 90-100 domestic fun centers a year and franchisees are expected to open another 100 in 1994, the majority of which will be opened by Reeves Entertainment. At this rate, they will have an estimated 360-400 stores by the end of this year and 600 by 1996. This rapid expansion is evidence of the acceptance of this concept by both children and adults. To complete this aggressive plan, Surprise Land has adopted a regional organizational structure and invested in systems to operate and maintain a chain with hundreds of stores in many markets.

In October, 1993, Surprise Land entered the Detroit market by opening its first store location in Warren (east side of Detroit), followed by additional locations in Taylor (downriver area), Plymouth (western suburb), Farmington Hills (northern suburb). Surprise Land has future plans for an additional locations in the metro-Detroit area, including Troy, Novi, and Ann Arbor. In addition, Surprise Land is planning to locate in such outstate areas as Flint, Lansing, Traverse City and Saginaw.

Surprise Land is similar in concept to Kid's World in that it provides a controlled environment for children to play in and explore with their parents. It consists of the Menster-Zone, a 3,000 to 4,000 square foot play area for children aged 4 to 12, the Tiny-Zone, a smaller play area for toddlers, an area of interactive skill games, five or six party rooms, and a snack bar serving foods such as pizza, hot dogs, popcorn, and ice cream. In addition, Surprise Land provides a quiet room for parents who wish to let their children enjoy the play areas unattended.

The primary difference between Surprise Land and Kid's World is the emphasis on a safe, clean, secure atmosphere as well as the level of encouraged interaction between child and parent. While Surprise Land promotes the safety and security aspects of its play areas, it's easier for children to leave the premises unnoticed and it allows adults to tour the facilities unescorted. Furthermore, the snack bar seating is usually located in the center of the play space, leading to sticky floors, congested walkways, and visible food wrappers next to trash dispensers in every interior corner of the playpark. The play structure at Surprise Land is contained in a smaller area than Kid's World and is typically placed in a corner of the facility. This can lead to heavy congestion in the play area during peak hours, a restriction of airflow throughout the playpark, and a general lack of incentive for parents to interact with their children. Kid's World's play structure is located in the center of the room with benches provided on the walls surrounding the structure, promoting visibility at all times by the parents and staff monitors and encouraging parent/child interaction.

Jungle Play

A subsidiary of Connell Corporation, Jungle Play started in 1991 and has since grown to approximately 40 locations nationwide. Connell's plans for Jungle Play include a steady but cautious introduction of new stores located primarily in major market areas. In the Detroit area, Jungle Play outlets are located in Southfield, Dearborn Heights, and Redford Township. Connell's usually builds free-standing structures on land located adjacent to major shopping malls. Therefore, it is likely that Jungle Play may be looking at the available real estate on the exterior of Novi Mall for future expansion. If Jungle Play were to locate in Novi they could represent formidable competition for Kid's World. However, the strong demographics of this area suggest that it could support 3 or more children's indoor play facilities.

Jungle Play is similar in concept to Kid's World and Surprise Land in that it provides a safe, secure, clean, and stimulating environment for children to play in. Jungle Play is somewhat larger in size than Kid's World. Unlike Surprise Land, Jungle Play's play structure is designed to promote parent/child interaction. Jungle Play is particularly adept at providing birthday services by including such extras as a name board to alert all customers of the day's birthday children, a cart for transporting birthday gifts, and extremely friendly and courteous staff. Jungle Play obtains additional business by giving discounts during non-peak hours, allowing groups to rent the facility after-hours, and promoting such activities as overnight lock-ins, fund raisers, and school fieldtrips.

Kidville opened its first and only location this past March in Garden City and has since expressed interest in franchising its concept. Similar in size and appearance to Surprise Land, Kidville offers a multi-level play-park complete with treeforts and slides for children over 4 and a separate play area for children under the age of 4. It is similar in concept to Surprise Land, Jungle Play, and Kid's World, but it does not represent a formidable threat since it has not yet decided to expand via franchising or additional corporate locations.

Kid's World will derive its sales revenues from admissions, games of skill, restaurant/snack bar operations, birthday party packages, and gift shop and souvenir sales. A detailed description of each component of revenue is provided below.

Admissions/Games

Admission fees will be $4.95 per child (ages 1-17) which includes unlimited play in all of the play areas. Adults will be admitted free of charge and encouraged to play in the play areas with their children. This price compares favorably to other forms of family entertainment such as movies where both adults and children must pay admission. The goal of Kid's World is for a visit to the playpark to become a regular family event. Reflecting this goal, a frequent user card will enable a customer to receive discounts off future admissions to Kid's World after a specified number of paid admissions to the playpark. Statistics from the corporate location show the average child returning seven times per year. In addition, Kid's World will offer group discounts for groups of 12 or more at $3.95 per person to encourage day care centers, youth group activities, and summer camps to visit the playpark. For larger groups of 30 or more children, Kid's World offers a special package at $5.00 per child that includes unlimited play in the playpark, two game tokens per child, a slice of pizza or a hot dog, and a beverage.

The 125 person capacity snack bar will offer food products that appeal to both children and parents alike. It will offer traditional children's favorites such as pizza, hot dogs, and popcorn as shown below on a sample menu:

Birthday Party Packages

For family celebrations Kid Kingdom will offer three birthday packages for parties of 8 of more, consisting of a two hour limited time of play, birthday cake and ice cream, free game tokens, and, depending on the type of package, pizza or hot dogs and a special gift for the birthday child. The three birthday packages offered include the following:

έ Regal Celebration $7.95 per child Three game tokens per child Invitations/Balloons Nine-inch double layer cake Pop/punch Ice cream

έ Supreme Celebration $8.95 per child Three game tokens per child Invitations/Balloons Half-sheet cake Pop/punch Ice cream Pizza or hot dogs Special Kid Kingdom gift for the birthday child

"Supreme "Theme" Celebration $10.95-$12.95 per child Includes all items in Supreme Celebration, plus: Special theme gifts for all children in the party Custom decorated half-sheet cake

Gift Shop/Souvenirs

The gift shop will contain various souvenir merchandise available for sale such as T-shirts, hats, sweaters, and wristbands with the Kid Kingdom logo. The gift shop will also provide various prizes and gifts for children to redeem with tickets received from completing the games of skill.

Break-Even Analysis

Projected fixed costs for an average month include the following:

Hence, at a projected gross margin of 78% (contribution margin of 83% less franchise fees of 5% of sales) monthly break-even volume is:

$50,919/.78 = $65,281 or 4,340 visits per month

Per the attached financial projections, break-even is projected to be achieved at a monthly revenue level of $65,281. Given our revenue forecasts of $82,213 per month, it appears that we will be able to exceed break-even revenue levels at significantly less volume. Competitive assessment suggests that indoor playgrounds of comparable size and scope typically exceed the break-even monthly sales level within the first month after opening.

Hours of Operation

Initially, store operating hours will be from 10 AM to 9 PM Monday through Thursday, 10 AM to 10 PM Friday and Saturday, and 12 PM to 6 PM on Sunday.

Sources of Inputs

Description of Cost Items

We have identified a prospective rental location of 14,000 square feet and have negotiated a ten-year lease with one ten-year optional extension. The rental payment schedule is as follows:

The terms of this lease call for a one month's rent security deposit. Per agreement with the prospective landlord, our first ninety days of occupancy will be free of rent. We anticipate the first thirty days of that period will be devoted to equipment set-up and staff training, hence we estimate approximately sixty days after opening as the date the first rental payment will be due. The lease does not contain a percentage rent clause based on achievement of certain sales levels.

Leasehold Improvements

The majority of leasehold improvements will be completed by the landlord prior to our occupancy. These include painted outer walls, carpeted and/or tiled flooring, acoustical tile drop ceiling with recessed flourescent lighting, two restrooms, and a manager's office. Items we have budgeted for include: party room construction (estimated by landlord at $10,000), signage - an exterior facade sign, an interior neon sign, and an exterior sign for the shopping center's pylon sign [estimated at $15,000), front entry desk and counter-tops (estimated by franchisor at $9,000), and wall decorations, decorative lighting, party room decoration, storage room shelving and lockers, workshop/game repair room, and miscellaneous items (total budget of $11,000).

Fixtures and Equipment

In addition to the leasehold improvements, we have budgeted $50,000 for restaurant fixtures and furnishings. These include pizza ovens, refrigeration units, beverage dispensers, sinks, countertops, tables and bench seats, and storage shelving. The two most significant equipment expenditures are the main playpark structure (including the toddler play structure) and the various games of skill. The total cost of the playpark structure has been budgeted at $220,000 and depends on many factors, including its overall size, configuration, and complexity. The franchisor has developed several playpark layouts to accomodate the unique characteristics of our rental space. Preliminary estimates from two indoor playground manufacturers have been in the range of $175,000 - $200,000 for the entire playpark structure. Typically, 50% of the total purchase price is due upon ordering the equipment and the remaining 50% is due upon shipment. Lead-time for playpark equipment has been estimated at 7-8 weeks. The total cost of the games of skill has been budgeted at $75,000. The franchisor has developed an extensive list of pre-approved games of skill to select from, most individual games priced between $2,000 and $5,000 each. Most game equipment companies also require 50% down when ordering and the remaining 50% upon shipment with an estimated lead-time of 4-6 weeks. We have also budgeted $15,000 for computer hardware, $5,000 for the franchisor's software programs, and $5,000 for miscellaneous office equipment, such as a copy machine, fax machine, public address system, and telephones.

Depreciable Total and Method

The depreciable costs listed above are summarized as follows:

These capital expenditures will be depreciated using the Modified Accelerated Costs Recovery System (MACRS) over various lengths depending on the useful lifes of the assets as mentioned above.

Utilities include electricity, gas, and water/sewer. Our estimates of electricity, gas, and water/sewer costs (based on franchisor estimates and contact with Detroit Edison, MichCon, and the City water department), suggest annual utilities will cost approximately $25,000.

Kids World will carry extensive insurance policies protecting it in the event of lawsuit. The insurance policies carried include: $1,000,000 per incident premises liability insurance covering bodily injury, property damage, and non-owned autos; $1,000,000 product liability insurance coverage; 100% replacement coverage on building contents and leasehold improvements; three month business interruption insurance, and worker's compensation insurance as required by law. These insurance policies have been estimated at $15,000 on an annual basis.

Inventory will consist of redemption items, game tokens, tickets, identification bracelets, paper products, food ingredients, restaurant supplies, and gift shop sale items. The budgeted initial investment in inventory is $7,500 based on franchisor estimates.

Working Capital

Based on franchisor estimates, Kid's World will require $50,000 of available cash, line of credit, or other liquid reserves to cover operating expenses for wages, utilities, rent, and similar expenses.

Business Organization

The business will be organized as a partnership under the name of Kid's World. Thomas Jones and Alice Cushaw will serve as Registered Agents.

Staffing Plan

In the event Kid's World's acceptance is slower than anticipated, expenses can be reduced as follows:

Certain games and planned playpark additions can be leased, reducing up-front cash expenditures by $20,000 - $50,000.

The Secretary position can be eliminated and its job responsibilities performed by the two Assistant Managers. This can reduce salary expenditures by $20,000 annually.

Since the majority of Kid's World's employees are part-time and only scheduled to work up to two weeks in advance, the employment level can quickly and easily be adjusted to operating conditions.

Management fees can be reduced or eliminated entirely, as the member-managers do not depend on the business as their main source of income. This can reduce expenditures by up to 5.0% of sales, or up to $50,000.

These savings can significantly reduce operating expenses in the event of unforseen circumstances, lowering the break-even volume of the store.

Projected Revenue Buildup

Projected Revenues by Source

Projected Start-up Costs

Projected Salary and Wage Expense

Management Fee Schedule

Projected Capital Contributions by Source

Proforma Income Statement - Year 1

Proforma Balance Sheet - Year 1

Proforma Statement of Cash Flows - Year 1

Proforma Income Statement - Year 2

Proforma Balance Sheet - Year 2

Proforma Statement of Cash Flows - Year 2

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Indoor Playground Business Plan Template [Updated 2024]

Indoor Playground Business Plan

If you want to start a indoor playground business or expand your current business, you need a business plan.

The following business plan template and example gives you the key elements to include in a winning business plan for your indoor playground business.

You can download our Business Plan Template (including a full, customizable financial model) to your computer here.

Below are links to each of the key sections of your indoor play area business plan: I. Executive Summary II. Company Overview III. Industry Analysis IV. Customer Analysis V. Competitive Analysis VI. Marketing Plan VII. Operations Plan VIII. Management Team IX. Financial Plan

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Indoor Playground Business Plan Home I. Executive Summary II. Company Overview III. Industry Analysis IV. Customer Analysis V. Competitive Analysis VI. Marketing Plan VII. Operations Plan VIII. Management Team IX. Financial Plan

Considering an Indoor Playground Business? The Process is Easy with Proper Planning

Starting a business venture is an exciting and adventurous decision! If your new business venture is focused on indoor playgrounds, you chose the perfect time to take this opportunity on! Why? Indoor playgrounds are all the rage right now and more than ever you will notice them popping up in areas you’d never imagined. Simply put, they are the newest trend across the globe and at SPI Plastics we couldn’t be more thrilled to witness such growth!

So you want to start an indoor playground business; where do you start?

It’s surprisingly much easier than you’d expect; let’s explore what you need to know:

Conduct Proper Market Research

Just like with any business plan, you can only be successful if you’ve carried out the necessary market research. What does this entail exactly?

• Is there a need for an indoor playground in your community?
• What is the population of children in your community?
• Will you have any competition?
• If competition is present, how can you stand out from them?
• What will service fees look like for your customers to use it?
• What’s the cost to purchase or rent the space that is required?

Determine Your Location

Location is key!

• The location you choose can make or break your overall success so it is vital that you take your time and investigate as much as possible before deciding on a perfect location.
• High traffic areas near shopping malls or restaurants can be a good place to consider as you are bound to have a high volume of people pass by. If tourism is close to you, consider choosing a location where these tourists will likely visit.
• When searching for an ideal spot, remember that if your playground will be a large structure you will need to confirm that the building can house a structure of at least 15 feet tall (providing you’re interested in a 3 story playground.)

Plan Out the Design of Your Playground

• Determine where in your space you want to set up your playground. Don’t forget things like party rooms, eating areas, and pots for parents to sit and relax while they watch their children play.
• Be sure to have a floor plan or measurements that you can contact SPI with for a free no obligation quote. Let us know any custom design you have in mind and any questions in relation to product availability. Of course if you aren’t sure where to start design wise, our professional team is trained to provide design recommendations for you.
• You will stay updated throughout the entire design process; we won’t stop making adjustments and edits until the final product exceeds your satisfaction.

Start the Ordering and Production Process

Once your design is completed, production will take place immediately following a contractual agreement.  We will inform you on all progress and will be made available the entire time if you have any concerns or questions with the production portion.

Prepare the Site

• While our professionals work diligently to bring you dreams to reality, use this time to have your site ready for the installation process, and of course for the launch of your new business! Consider your interior decorating, employee training and recruiting, and developing any promotions you wish to offer.

Installation and Playground Reveal

Our professional playground installation team will arrive at your location in a timely and efficient manner to begin the installation process; this will commence as soon as your products have shipped and arrived.

Once you’ve opened up your playground to the public, SPI Plastics will continue to provide you with support and service you can trust. We want you to be pleased with all aspects of your playground and that is why our relationship doesn’t end when your playground is installed.

Get in touch with SPI Plastics today if you’re interested in more details surrounding our indoor and outdoor playgrounds . Call 519-935-2211

SPI Plastics Inc.

165 Stoneman Drive, Box 100 (Shouldice Block Road & Joynt Street) Shallow Lake, ON N0H 2K0 Canada

T    519-935-2211 TF 800-269-6533 F    519-935-2174

Business Hours

Monday - Thursday: 8am to 4:30pm Friday: 8am to 4pm Saturday & Sunday: Closed

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How to Raise Funds to Open your Indoor Playground Business

March 31, 2022

Indoor playgrounds are a great business. They’re always in demand by families, they’re a fun way to make a living, and once they’re set up, the running costs aren’t particularly high compared to potential profits.

Most importantly, indoor playground businesses are the embodiment of the saying “find something you LUV to do, and you will never work a day in your life.” There’s nothing better than being surrounded by happy families every day, and knowing that you’re giving your community a safe, healthy place to have fun!

However, there is one thing indoor playgrounds are not: cheap to start. Which means many people need help with indoor playground financing. Let’s take a closer look at everything you need to know about funding your indoor playground business.

Your Business Plan

Whether you are starting a new facility and are looking for funding your FEC as a startup or you already have an indoor playground and you want to expand, the first thing you need to do is put together a very detailed business plan.

No matter how you plan to fund your indoor playground equipment and other costs, you will need to have a very solid business case to present to potential investors. Here are some of the important steps you need to take to complete this process properly.

Research Similar Businesses

Even if you don’t have any competitors in the area you plan to open your family entertainment center, you need to see what other businesses are doing.

Visit several competitors in your area, and make careful notes of what they are doing, and what they might be lacking.

Look at the kind of indoor playground equipment they have, as well as other attractions like arcade games or ride ons. What age groups do they attract? Do they serve food and beverages, and if so, what are the prices like? How much does it cost to get into the facility, and are there any special deals for families?

The more you know about what everyone else is doing in the industry, the better prepared you will be for everything else you need to do to create a comprehensive plan for yourself and for investors.

Research the Actual Costs

You might think you can estimate the cost of setting things up before you look at funding your indoor playground business, but you really have no idea what those costs will be until you actually do the research.

Spend some time researching the rental cost of the spaces you think might work for your business. Even if you don’t choose a location until you have indoor playground financing lined up, it will give you an idea of the going rate per square foot. This will allow you to calculate an accurate rental cost once you have designed the space.

Next, look into the regulations for staffing and safety for your area. There are many regulations related to running a family entertainment area, including how many people you need to have to supervise play areas, on site, first aiders and so on. Decide what your staff will earn and calculate what your monthly employment costs will be. Don’t forget to factor in taxes, any benefits you plan to offer, workers compensation and other costs related to employing people.

Find out what your city charges for commercial utilities in the areas you are considering for your facility, and what the average bill might be for the size of space you’re planning to have. Look into business phone and internet services at the same time. Most families will expect to have free Wi-Fi while they are visiting your play space.

Consider the cost of security for your facility if the landlord does not include it. Some business parks do include services like security, but others do not, so you need to factor that into your calculations.

Next, research the costs to set up the facility. You will need to factor in everything from furniture to paint and signage, the indoor playground equipment, any arcade games you want to have, safe flooring, stock if you plan to sell toys or offer prizes, uniforms for staff and more. Brainstorm everything you could possibly need to get set up, and then get quotes for all of them.

You can never anticipate every cost you will have to set up your facility, but the closer and more realistic your estimates are, the more likely people will take you seriously when you apply for indoor playground financing.

Crunch the Numbers

The next step you need to do before you approach anyone about funding your FEC is crunch all the numbers. Now that you know what the cost to set up your facility will be, and what other facilities charge, you can start figuring out how long it will take to break even and how much you might make per month.

Don’t base your calculations on the best case scenario either. While it would be great if your facility was full to capacity every day, you’re open, that’s probably not going to happen, and investors and financing companies will know that.

It’s better to underestimate your potential earnings and be pleasantly surprised than to overestimate them and spend your time scrambling to cover the bills.

If You’re Expanding Your Existing Facility

If you already have a family entertainment center that has indoor playground equipment and other attractions and you’re looking to expand or open a new location, you still need to do the same exercise. Creating a business plan for your expansion plan is a key part of the funding process, and anyone you approach will want to see all of these things for the addition of new facility you plan to open.

The biggest benefit you will have been that you will already have figures and a proven track record from your existing indoor play space to present to investors. It’s often easier to convince people to invest or finance your ideas if you’ve already got success and profits to prove the concept and your own skill in business.

Financing and Funding Options

Once you have all the facts, figures and calculations done, you know what you plan to do, you’ve chosen the indoor playground equipment and started to work on your logo, brand name and more, it’s time to take the whole plan out into the world and look for financing. This is possibly the most nerve wracking part of the process – because there’s a possibility you will hear no from some of the people and organizations you ask.

Never let that stop you.

If you’re sure that your indoor playground idea can work, and it’s something the families and children of your community want and need, you just need to keep asking until someone says yes.

You might need to scale back your plans if they’re a little too ambitious at first but do what you have to do to start your business and prove your idea. Success breeds success, and once you have proof that your indoor playground is a hit with families, it will be a lot easier to finance your expansion or even another location.

We’re going to look at several funding and financing options in this section, starting with private funding options, then looking at commercial funding for your indoor playground business, and finally, grants that might help with funding your FEC.

Always consider all of your options, and if one avenue doesn’t work out, never be afraid to try another.

Private Funding Methods

Most businesses don’t get outside funding when they are first starting out. Most of them start without commercial financing and work their way up, building credit worthiness until they can access the financing, they need to grow their company.

That’s not to say that you won’t get third part, commercial or grant funding for your indoor playground, but just that it might be a little harder than you think.

Which is why we’re going to give you some alternative ideas for private funding that you might also want to consider as you work towards your big dream. Here area  few options to keep in your back pocket:

Your Own Money

This is the low hanging fruit on this list, and while not everyone has savings or equity in their home to invest in their indoor playground idea, if you do, it’s the easiest way to get started. The only person you need to convince in this scenario is yourself, but remember, you should never extend yourself so far that if your idea doesn’t work as you imagined (or takes longer to take off) you could lose assets like your home.

Consider funding sources like lines of credit and credit cards to fund some of your business idea too. Many financing options – even commercial banks and grant programs – will expect you to put in some of your own money even if they do finance your idea. So it’s always a good idea to review your finances and see what you have available.

Angel Investors

Angel investors are private individuals with the money available to finance business ideas, who invest as silent partners, as a loan or in exchange for equity in your business.

While many people balk at the idea of giving away equity to investors, always remember that 100% of nothing is still nothing. So if you are offered a reasonable equity deal by an angel investor, it’s a good idea to at least consider it.

Sometimes, angel investors are people you already know like a wealthy friend or relative, but there are also professional angels who consider business proposals from people they don’t know. They’re usually successful entrepreneurs in their own right, who want to help others succeed, and they can often be both an investor and a mentor.

Crowdfunding

Usually, to make this kind of project a success, you need to have something unique or different about the idea, but then, there have been people who have raised over ten thousands of dollars to make potato salad, so you never really know!

If you believe that your community will support your indoor playground idea (and you’re prepared to make it worth their while by offering discounts for donors and other perks) you can use crowdfunding platforms like Kickstarter to try to raise the money you need.

Friends and Family

This option is last on the list because it should usually be the last option you try.

Unless your friends and family are very wealthy and won’t notice the money they invest in your idea, this kind of financing can be fraught with problems, and if things go wrong, you could lose important relationships because of it.

However, if you have a friend or relative who can afford to invest, and you have a solid plan that you are sure will work, consider presenting it to them and offering them a piece of the business. If they believe in you and your idea, they might just decide to back you.

If you do choose to get a friend or relative involved, make sure you have a very clear contract drawn up that stipulates what kind of involvement they have too. Unless you’re prepared for them to be hands on and involved, having someone involve themselves in your business could be very frustrating for all involved.

Commercial Financing

Commercial financing is funding that is offered by banks or finance institutions who are in business to make a profit. They usually offer loan financing and expect to have regular payments with interest.

It can be very difficult to get traditional commercial indoor playground financing, but if you have some collateral to offer, or some of your own capital to invest, you might find this option works for you. There are several options you could consider here.

Banks and Commercial Lenders

Banks and commercial lenders will require a very solid business plan, an excellent credit record and a big chunk of your own capital to invest in your idea if you want to get a loan.

Sometimes, they will defer or lower payments for your first year of operation, but when you have to repay your bank loan, you will need to keep up with those payments in full, or risk losing everything.

Banks are businesses, and if they think they might lose out on the deal they have made with you, they can and will repossess or seize your assets. So you should only consider this option for funding your indoor playground business if you are absolutely sure you will be able to make your payments from the very first month, they are due.

SBA Funding Loans

SBA or Small Business America is a government organization that exists to help people to start and grow small businesses. So, while they offer funding options like loans and loan guarantees, they’re often a little more lenient than banks, and willing to work with people who have an idea that they believe in.

SBA doesn’t loan money directly – instead, they provide lenders with a loan guarantee, which helps to reassure commercial lenders that they will get their money back even if things don’t go according to plan.

You still need a solid business plan and a good credit score to get an SBA backed loan, and you usually have to own your own home with some equity in it to qualify.

While an SBA backed loan is less of a risk to your personal financial situation than going directly to a bank, it’s still a loan, it still needs to be repaid, and you still stand to lose financially if you default. So make sure you’re absolutely sure your business idea is rock solid!

Because SBA loan guarantees are government backed, they often also have the most flexible repayment options and lower interest rates. So if you can qualify for this kind of financing, it’s well worth going this route.

Venture Capital

Venture capital funding or VC funding is a type of commercial funding where professional investment companies “bet” on startups by investing money in exchange for equity. The gamble is that the idea will take off, make lots of money and when the business is sold (or bought by the owners) they will make a big profit.

In most cases, however, venture capital funding is not available to ideas that need less than a million dollars in funding, and even then, these firms tend to invest in innovative ideas with IP or intellectual property that makes them harder to compete with.

That’s not to say that you will not be able to find a VC investor for funding your indoor playground business, but it will be very difficult, and your idea had better be unique, different and something no one has seen before!

Partial Funding

If you can’t find funding for your whole indoor playground business, you might have to think outside of the box, and consider funding different things from different sources.

For instance, you might be able to access some money by taking a second mortgage or withdrawing equity from your home, or from your own savings.

You could then approach specialist financing companies like Ascentium Capital, who provide funding for commercial indoor playground equipment, and who many of our customers at      Indoor Playgrounds International use to fund their equipment. This allows you to pay off the equipment itself over time, so you have less upfront startup costs.

You might also be able to access a personal line of credit or loan that you can use to make up the difference.

Again, you might need to scale back your plans if you have to piece together funding for your indoor playground from different sources, but it’s better to start small and grow than never to be able to start at all!

Grants, Contests and Sponsorships

When it comes to funding your indoor playground business, the idea of “free money” might seem completely impossible, but actually, it’s not.

While it’s not easy to get grants or sponsorships or win business contests, it’s not impossible, so you should definitely have it on your funding options list.

The first type of funding you should consider here is grants. These are a type of financing offered by governments, non-profits and other organizations to businesses. Some offer money, others can fund equipment or services you need, but most importantly, they’re non repayable – so they’re like free money for your business.

You need to have a solid idea to apply for a grant, and you usually need to prove that your idea will help your community or the local economy in some way. Here are a few of the grants that might help funding your indoor playground business:

• The Home Depot has a program called Building Healthy Communities that offers materials and volunteer labor to make playgrounds and similar facilities more accessible to disabled and differently abled people.
• The Christopher and Dana Reeve foundation also funds grants for accessibility modification and equipment for facilities that families use.
• Local, state and federal government – many government departments offer different kinds of grants and funding for different types of business – some are available to specific groups like women or people of color, others are geography specific, and some are based on the type of business you plan to open

Grants are not easy to find, and harder to qualify for, but if you can find one that can help you with funding for your FEC, even if it’s not the full amount, you will be one step closer to the dream, and you won’t have to repay this money!

Sponsorships

Sponsorships are another option that might help you to raise funds for indoor playground financing.

This kind of funding is often used as a form of advertising for a local business or organization.

So, for instance, a local politician who wants to connect with families might offer sponsorship for your indoor playground in exchange for a plaque and a mention in your monthly newsletter to families.

Or a business that does family friendly food might sponsor your business in return for the exclusive rights to sell food on the premises for a fixed amount of time.

Sponsorships could come from almost anywhere, but you need to offer the sponsors something in return. So make a list of everyone you can think of who might be willing to help you start your business with a sponsorship, figure out what you can offer in return, and start dialing for dollars.

Business Contests

Another potential source for funding your indoor playground business that is a little out of the box is business contests.

These contests, also called entrepreneurship contests or startup contests require you to enter your business idea, which is usually reviewed by a panel, and if you are selected, you might be asked to pitch to a selection committee.

These kinds of contests are held by various organizations. Some are run by incubators and small business associations. Sometimes they’re run by chambers of commerce hoping to boost the local economy, and sometimes, they’re run by big corporations – including banks.

It’s not easy to win a business competition, but you have as much chance as anyone else, so if you’re confident in your idea, start searching and send out those entries!

After You Get Funding

Getting indoor playground financing often feels like a marathon, and unless you’re very lucky or very well connected, it could certainly take some time to work out the details. However, getting funding for your facility and indoor playground equipment is really only the start of the process. Once you’ve got the money in the bank, the real work starts.

While there’s a lot that goes into getting an indoor playground  off the ground (and that’s definitely the subject of another article) there are a few things you might need to do that are funding related.

Keep Detailed Records

There are many reasons you need to keep detailed records of the money you received and how you spend it, including business and potentially personal taxes. If you don’t already have a professional accountant or bookkeeper to help you keep detailed financial records, you should hire one before you do anything else.

Unless you have financial management training, this is not something you want to try to do on your own!

Report to Investors

Depending on where you got indoor playground financing, and how hands on the financier is, you might need to provide regular reports to the people who put money into your business. This usually applies when you’ve received funding from an angel or VC investor, a sponsor or a family member or friend.

Most commercial lenders aren’t too worried about how you are doing – as long as their payments come in on schedule!

If you won a business contests or received a government grant, the people involved might also want to follow up periodically, so they can share information about your business with their networks.

Prioritize Debt Repayment

If you got a loan for funding your indoor playground business (otherwise known as debt financing) your first priority is to make sure you meet your repayment obligations. There’s a good chance you might have to start repaying your loan before you open your facility, so make sure you have a plan to cover those costs while you work towards opening day.

If you can, and if there are no penalties for early repayment, try to pay a little extra on your business loans every time you make a payment. You will reduce the time you have to repay the loan and could cut your loan interest dramatically.

Eyes On the Prize

Once you have the money you need to start your indoor playground in your bank account, all of your focus should be on getting the facility ready to open to the public.

The longer it takes before you open your doors, the more it’s going to cost you, so getting your indoor playground up and running is your biggest priority.

Make smart choices, decide if you can open partially before you have completed all the work you need to do so you can start earning sooner, and start marketing! The sooner you can start building buzz about your indoor playground, the better you’re likely to do when you’re ready to welcome families.

Happy to Help

While Indoor Playgrounds International doesn’t offer financing on our indoor playground equipment systems directly, we have partnered with Ascentium Capital to make it easier for qualifying customers to purchase equipment on a repayment plan that suits their business needs.

We’ve also been in the industry for a very long time and have been involved in setting up many indoor playground businesses. So our team has a lot of experience and knowledge about the process. We’re always happy to offer advice, direct you to resources if we have them, and help you to work towards your indoor playground dream.

The good news is that usually, indoor playground financing is the hardest part of this process. This is a fantastic business to be in, and most of the playgrounds we work on go on to be a huge success and make countless families happy.

So if your big dream is to open a family entertainment center, don’t let the struggle of funding your indoor playground business stand in your way. As you can see, there are many ways to get the financing you need, and if it was easy, everyone would be doing it!

When you do succeed, and you’re ready to buy the indoor playground equipment for your facility, we’ll be here, ready to provide the safest, highest possible quality commercial indoor playground equipment you need.

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