So a lot of people are interested in starting a skatepark, but unfortunately they don't have much, if any money. I have been asked frequently about getting parks running without a substantial investment from the business originator. Honestly speaking, this is very hard to do. Imagine if you will, someone who has earned a bit of money in their life, and they are interested in your plan. When they hear that you won't be adding any funds yourself, they decide it is best to go elsewhere. Why? Because you have little to risk in the venture. Sure you have your time and you have the organization, but in the end, what would keep you from simply walking away because you haven't made any money and bills are piling up at home? What would the investor in this situation do? Sound like a good place to put money? When buying anything, people want assurances that they will get their money back and usually they want more than they put in. It is the money that you put in that helps them make this decision easier. If you are asking for no more than you are investing, or even less, then it is something people will consider. Even banks don't want to loan money to businesses that need it, unless they have the money in the bank to "secure it". This is why getting a morgage is easier than getting a personal loan, the property backs it up so if a person defaults on the loan, skips town so to speak, the bank still has a sellable house to recoup any loss. It is the same with a business like a skatepark.
So what is to be done? The only option that works is the Co-op model. A co-op is where a group of people with similar interests or needs get together as a group to create buying power. Here's a real world example: People in a community join together to buy power as a single entity. When one house buys power it has little wiggle room to get a better rate. But if a community of 100-500 houses get together, they can get a better rate. So if your town needs a skatepark, and the town won't build one, then you as a skater/biker will have little influence on your own. But if you all join together, you can either force the city into action (which is a typical tactic) or you can start one yourselves.
How can a skatepark be a Co-op? First of all let's make a few assumptions, that there are over 500 skaters in the surrounding community that needs a park, and there is little to no places a person can go to skate. (I will use skater as shorthand for bikers as well, I hope this is ok.) If each of these skaters were to scrape together $1000, and were willing to join together in a group to get their individual needs met, then a skatepark could gather $500,000 to start a park. If the park were to be smaller, the investment could be too. So if you know 10 skaters and they know 10 others, and they all know 5 others, you now have 500 people. By setting up an account (so people can see their money is safe), you have now gathered enough to start a park. Of course it will take organizing, but you have the investment, one of the hardest things to get. Lets say you want this to happen but getting $1,000 is to hard. What about $20 per week? Basically if a person were to put away $20 a week, they could have the investment together within a year. With automatic transfers, this would be easy enough for the average person.
So now that the investment end is dealt with, what would the business look like. 1. it could be totally private with only the investors/members allowed to use it or it could be part private with days of pay for skating, or, it could be all public, with the investors taking their money from the profits in the form a a dividend (when there is enough money in the bank, the extra is given back to the members. 2. It would be run by a board of directors who are voted on by the members. Once the people agree to start the Co-op and put the money up for it, a board is established (even a temporary one would do at the start), and the board then makes decisions for the park. 3. The membership is responsible, in the end, for keeping the skatepark going, so if it is totally private, the money that the park needs for the next year is paid by the members (if say the operating costs were $100,000 then each member would need to pay $100). 4. Members are usually required to work at the co-op in some fashion (office, desk, what ever).
Sound like a good idea? I think it is one of the few ways today to get a park going without really deep pockets. There are publications about co-ops on the web if you want more information on how to make one. I'd be willing to help, let me know if you are interested.
