Skateparks Don't Have To Be A Stand-Alone Business

While most people reading this blog are interested in building or operating a skatepark, thinking about the opportunities that exist out there for recreation based businesses could allow for a more diverse market.  You often don't have to look very far to see that many public and some private places offer a skatepark as part of their park or complex.  Woodward Camps in PA is one example where skateboarding and extreme sports is just one of the several camps they offer.  The YMCA and their many parks around the nation is another example that comes to mind.  Both of these well respected businesses don't look to skateparks as their only source of revenue, but rather look to offer a park as part of a larger complex and a broader market.  As you look to either add a skatepark to your existing facility or start with a skatepark and build from there, consider companion areas that might make sense for your market, town, or facility.  If you have a large warehouse and a small skateboarding market, then utilizing part of the space for another business might make sense.  Whether you operate that or rent the space it could be a better to create something that fits with your market size, than something that is mostly empty due to limited numbers.  Adding a companion place like a bounce house, trampolines, go carts, basketball courts, or other entertainment type recreation facility could help bring customers in, utilize the space better, and help with cross selling.  This could be a good space where some in the family go to one side and the others go to the skatepark.  Careful design could also eliminate doubling staff as one check in area could allow for entrance to either part.  This would also be good for concessions to centralize operations so less people could serve both areas.  So as you are looking into your business plan, think about how you can monetize your space to the maximum effect.

How to start an indoor skatepark

As a guide I thought I would break down what a novice would need to do to start a skatepark from scratch.

1. Formulate a plan - how will it work, who will work it, how will you pay your bills, what business structure (tax and liability issues) will you have?

2.  Do some research - Do you even know where you could put a park?  What are the costs per month of the building? taxes? parking? how will people get there?  How many skaters are there, and how many of these will pay to skate?

3. Get your finances in order.  Do you have money?  Do you have enough to exist for 6 months without earning a cent?  How long will you be able to have expenses without making money before things will get stressful?  The longer you can last, the longer you will last. You will need build up time with lots of expenses and no income.  What happens too if people are slow to respond? Plan for the worst case scenario, and work for the best.  Can you spread your own finacial liability out with other investors?

4.  Market before you have anything going.  Start the buzz early.

5.  Plan for a media blitz for when you open, get all the free press you can.  Invite web, print, tv to your place.  Have an "event".

6.  Maximize your revenue.  Don't just rely on skateboarders to pay the bills.  Sell food, stuff, lessons, rentals, private park hours, party rooms, party events, christian events, before and after school events, camps, demos, advertisements, group lessons, what every you can.  There is no shame in making this business work by selling things, this is your business, you have to pay yourself, your taxes, lights, sewer, trash, etc.

7.  Keep it clean, think of the parents.  Parents want a safe place for their kids, they are the ones footing the cost of this place.  Make them happy with a nice place to watch, use the rest room, read whatever.  Sell them things while they are there.

8.  Network - skateshops, other parks, parks departments, community service, police, whomever can help you get people in the door.

9.  Keep good track of your expenses.  This takes time and effort.  Make sure you have a good system to record data for you, what sells, what doesn't, who comes, who doesn't.  Use your data to improve your business.

10.  Hire good people who are kind yet firm about helping you stay in business.  Free only means you paid, not them.  You aren't competing with free, free offers nothing but ramps and rails, you offer lights, food, supervision, air conditioning, heat, a phone, a pair of eyes that are ready to help if someone is hurt. This is worth money and people need to understand this.

11.  Free yourself to do business things - If you are spending all your time at the park, hire someone to help you do the things you need to do.  Spend some money.  Is your money better spent hiring someone to man the front, or design an advertisement?

12. Celebrate your members!  Make them want to belong!