Do you want to start a bounce house rental business? If YES, here is a complete guide to starting a bounce house rental business with NO money and no experience.

Okay, so we have provided you an in-depth sample bounce house rental business plan template. We also took it further by analyzing and drafting a sample bounce house rental marketing plan backed up by actionable guerrilla marketing ideas for bounce house rental businesses. In this article, we will be considering all the requirements for starting a bounce house rental business. So put on your entrepreneurial hat and let’s proceed.

Why Start a Bounce House Rental Business?

Indeed the Bounce house rental industry can be very challenging, but understanding how to start a bounce house rental business can make that challenge a bit easier. Bouncy houses are inflated trampolines that have plenty of space on the interior for kids and adults to jump around and have a good time. With proper care and supervision, a bounce house can be a long-term investment that will fetch you lucrative profit. This unique business is done with a long-term investment perspective.

A bounce house business may seem as a fast return and quick profit business, but it usually takes about 3 years for a business like this to become stable. Have it in mind that starting a bounce house business will surely take away your weekends as events are mainly done on weekends. This business is very labour intensive also and much of your first years income will be channeled towards paying off your initial inflatable purchase.

It is important to state that this business is not just for weekend warriors.  It needs a constant inventory of your inflatables and your machines have to be cleaned, sanitized and maintained. They also need to be thoroughly dried from a rainy weekend to prevent mildew, mold or odor, and occasionally your inflatables need to be shipped out to be repaired. Maintaining a Bounce House business takes long-term dedication because of the labour required.

A lot of inflatable business owners get out of business within 2-3 years because they most times do not generate enough income to weigh-out lost family and weekend time. Its important that you understand that starting an inflatable business will have tremendous impact on your family life.

Starting a Bounce House Rental Business – A Complete Guide

  • Industry Overview

A bounce house is simply made up of inflatable/bouncy castles (closed inflatable trampolines, bouncy houses, moon bounce, moonwalks, or CITs et al) that are inflatable structures, buildings and similar items which are brought for kids’ functions, school, church festivals and village fetes; and they are used for recreational purposes.

When starting this business you will need to secure a facility big enough to contain the activities and services you hope to offer and also have enough parking space. Have it in mind that if your bounce house facility is of excellent standard and is close to a residential estate with a lot of growing families, you attracting kids and adults will be inevitable.

It is important to state that this business sector which falls under the family recreational industry also provide recreational and amusement services through a variety of establishments such as bouncy castles, golf driving ranges, miniature golf centres, go-kart racetracks, batting cages, family fun centres, recreational sports leagues and a wide range of outdoor recreational activities channeled towards the complete family; adult and children alike.

This industry is a very large industry with major economic growth 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.

Industry reports in the United States of America alone has shown that there are almost 50,369 licensed and registered family entertainment facilities responsible for employing about 121,067 employees. This lucrative general industry has an annual turnover of $10 billion with an annual growth rate projected at 3.1 percent. It is important to note that in recent times, this lucrative industry has experienced revenue growth.

The general family recreational industry has survived even with severe competition from alternative leisure activities such as gym and fitness centres and cinemas. Analysis in the industry has shown that the revenue of the industry is expected to grow as family entertainment centres continue to boost their product portfolios to attract families, even with their reduced leisure time.

Starting a Bounce House Rental Business – Market Feasibility and Research

  • Demographics and Psychographics

Anyone who knows this industry will surely know that the target market for bounce house rental business cuts across parents and institutions that bring together children and families from different backgrounds. The sole idea that people visit or register in bounce houses and recreation facilities for various reasons creates a need for bounce house structures to be rented. Have it in mind that the demographic and psychographic composition of a bounce house rental business can be categorized into three various groups.

The first group is the families who are looking towards creating time for their children. The other groups are schools who would want to create something fun or unique for their students during playtime et al. The last group of people are religious organizations. You should also know that there are countless events and occasions that will be in great need of your services and they include;

  • Birthday Parties
  • Company Picnics
  • Church Functions
  • Corporate Parties
  • Holidays
  • Halloween Parties
  • School Functions
  • Festivals
  • Pre-Schools
  • Day Care Centres
  • Summer Camps
  • Pumpkin Patches
  • Fund Raisers
  • Car Dealerships
  • Youth Sport Events
  • Family Picnics
  • Swap Meets
  • Street Fairs
  • Carnivals
  • Grand Openings
  • Xmas Tree Lots
  • Super Bowl Sunday
  • Shopping Centres
  • And Many More

List of Niche Ideas in the Bounce House Rental Business

Almost every kid within walking age up to 18 loves to bounce and you may be surprised to see adults enjoying it as well. This is the sole reason why bouncy houses are so popular at birthday parties, corporate events and fundraisers. If you enjoy working with event and Bounce house planners, then you should think of starting a bounce house rental business. Start with one inflatable and add more as the business grows. Since most events occur in the evenings or on weekends, this business is perfect part-time business that can be made into a full-time venture once stability is achieved.

Just like most businesses in the modern world, there are a variety of niches that one can pick or leverage on in this industry. If you plan these niches very well, it can catapult your prosperity in the business and pave way for you even in the midst of competitors and brands that have not only made a mark but also a name for themselves in the industry. The niches in this industry may include;

  • Birthday Parties
  • Company Picnics
  • Street Fairs
  • Grand Openings
  • Church Events
  • Halloween Parties
  • Corporate Parties
  • Family Picnics
  • Festivals
  • Shopping Centres
  • Pre-Schools
  • Fundraisers
  • Summer Camps
  • Youth Groups
  • Day-care Centres
  • Car Dealerships
  • Swap Meets
  • Xmas Tree Lots
  • Carnivals
  • School Events
  • Super Bowl Parties
  • Holidays
  • Pumpkin Patches

The Level of Competition in the Bounce House Rental Business

We all know that parties and children gatherings happen every now and then, which also helps the acceptability of this business, and every businessman or businesswoman with vision have found it profitable. But have it in mind that for you to survive in this business, you need to be focused and hardworking. This business has direct contact with people and therefore having the right connection and knowing how well to network with those that matter can help you build a corporate identity in this industry.

There are lots of big time investors, who have a stake in the industry, but that does not mean that you can’t pitch your tent in this industry; there is always room big enough to accommodate both upcoming businesses and the established ones. But as a new entrant, you have to create a niche that is well acceptable and also serves the interest of your targeted audience.

List of Well Known Bounce House Rental Business

  • Inflate-A-Bounce house
  • All American Bounce House Rentals
  • Bounce Houses R Us
  • Jump Us Bounce house Rentals
  • USA Inflatables
  • Jumptastico Bounce House Jumper Rental Co
  • Bounce House Rental
  • Bounce USA
  • All American Inflatables
  • USA Bounce house Rent
  • Bounce house -N-Jump
  • Plan-it Rentals
  • Grandpa’s Bounce House
  • Bounce With Us LLC
  • Go Jumper – Bounce House Rental
  • American Bounce Company
  • Four Star Rentals, Inc.
  • Look At Us Bounce!
  • Bounce house Rentals “R” Us Corp.
  • Bounce With Us Bounce house Rentals
  • Shore Inflatables
  • All American Bounce house Rentals
  • Bounce Town USA
  • Giggles-N-Jiggles Family Fun Centre
  • American Family Day
  • Space Walk Of Orlando
  • Taylor Rental of Sebring

Economic Analysis

Just like we have stated in so many paragraphs already, bounce houses are inflatable amusement games that children and adults absolutely love to bounce around in (and on) and they are available in a wide range of shapes, sizes and themes such as castles and blimps. Starting a rental bounce house is easy, and you can make unbelievable profit, up to $250 per day, just for delivering, setting up and returning at the end of the day for pick up. We believe this is perhaps one of the best part-time business opportunities available.

After extensive research, we found out that one inflatable amusement game cost in the range of $2,000 for small basic models, and up to $15,000 for large, fully featured models. We also found out that used ones are available for about half the cost of a new one.

Apart from renting these inflatables for children’s birthday parties, inflatables can also be rented to charities, sports, social clubs, and for corporate and community events. You should also know that setting it up is fast, taking one individual approximately 30 minutes and about the same amount of time for dismantling and removal.

Starting a Bounce House Rental Business from Scratch or Buying a Franchise

Indeed it is very much possible to buy a franchise from a successful bounce house rental business or even partnering with a big rental company if you are interested in only owning an investment in this industry. It is important to note that different individuals are motivated by different factors and incentives to start a business.

If your incentives and your goal is to build a business that you hope to control, a business brand that you hope to one day transfer ownership to your children and perhaps also sell franchise in future, then starting from the scratch is our best advice for you. But if you are only interested in making money and multiplying your wealth, then it is advisable to buy a franchise and leverage on the already established name and business model it offers.

Possible Threats and Challenges You Will Face When Starting a Bounce house Rental Business

It is important to note that the Bounce house rental industry which includes even the well-known big fishes in the industry all face threats and challenges from government policies, global economic downturn which usually affects spending and unforeseen natural disasters (disasters that may cause setback).

Others include;

  • Developing the Vision and Business Idea
  • Raising Capital for your bounce house rental business
  • Finding Good Customers
  • Dealing with Competition
  • Unforeseen Business Challenges and Expenses
  • Keeping Up With Industrial Changes and Trend

Starting a Bounce House Rental Business – Legal Aspect

  • Best legal entity for a Bounce House Rental Business

Building a Bounce house rental company takes a lot of time, but it is a lucrative business which deals with human relations, which is why you should understand that the legal entity you choose will go a long way to determine how big the business to can grow.

Deciding on a legal entity for a private rental business is not difficult in as long as you follow the right steps. In this business, we strongly advise that you either choose a general partnership, a limited partnership, an LLC, a “C” corporation, or an “S” corporation. Have it in mind that all these entities indeed have their individual advantages and disadvantages.

There are some factors you should consider before choosing a legal entity for your Bounce house rental business, and they include: limitation of personal liability, ease of transferability, admission of new owners, investors’ expectation and tax issues. But for the sake of this article, we suggest you start your Bounce house rental business as a limited liability company (LLC) and in future convert it to a ‘C’ corporation or even an ‘S’ corporation especially if you have the plans of going public.

You should note that upgrading to a ‘C’ corporation or ‘S’ corporation will give you the opportunity to grow your Bounce house rental company to compete with the big fishes in the industry. It will also accord you the advantage of generating capital from venture capital firms, stock market, you will enjoy separate tax structure, and you can easily transfer ownership of the company; you will enjoy flexibility in ownership and in your management structures as well.

Catchy Business Name ideas for a Bounce House Rental Business

  • Royal Bounce
  • Disneyland Bounce Houses
  • Fun rentals
  • Party Jumpers
  • Elevation Jumpers
  • Bounce Bouncers
  • Bounce Rentals
  • Bounce house rental
  • Mandy Jump Houses
  • Crazy Jumpers
  • Enchanted Bounce House
  • Flower Bounce house rentals
  • Icy Bounce house rentals
  • Inflate Rental
  • Jones Jumpers
  • Kids Bouncing Fun
  • Economic Bounce house rentals
  • Magical Castle Jumpers
  • Vision House Rentals
  • Safe Bounce house rentals
  • High Sports

Insurance Policies

Remember that it is dangerous, if not illegal to run a business without having some of the basic insurance policies that is needed for the business. This industry requires that you have the necessary insurance in place, which is to make sure that everything done by you is insured.

This is why we advise that you create a budget for insurance and perhaps consult an insurance broker to put you through deciding on the best insurance policies for your bounce house rental business. Some of the policies include;

  • General insurance
  • Health insurance
  • Risk Insurance
  • Payment protection insurance
  • Liability insurance
  • Workers compensation
  • Overhead expense disability insurance
  • Business owner’s policy group insurance

Intellectual Property Protection

We concur to the fact that intellectual protection might not be a priority in this industry. But make sure that all equipment and tools used by your company are properly gotten, and all the necessary steps required in checking its originality and authenticity in the state you reside is followed to the latter.

Is Professional Certification Needed to Run a Bounce House Rental Business?

Before you venture into this unique business, you should understand that this is one of the industries that is highly regulated so as to prevent costly breaches as it relates to persons and their properties. So if you are so keen on doing this business, we suggest you should acquire some necessary qualifications that is needed to ensure that you remain tops in whatever you do.

It is important to state that the Bounce house rental business has no defined certification, but you can get a proper certification from the general rental industry. Though in the United States of America, the most recognized examination that must be taken is the Certified Event Rental Professional (CERP) organized by the American Rental Association (ARA). It makes you more professional and shows that you have been certified to venture into the business.

List of Legal Documents for a Bounce House Rental Business

  • Certificate of Incorporation
  • Security Clearance Certificate
  • Business License
  • Business Plan
  • Non – disclosure Agreement
  • Memorandum of Understanding (MoU)
  • Apostille
  • Employment Agreement (offer letters)
  • Operating Agreement
  • Company Bylaws
  • Operating Agreement for LLCs
  • Insurance Policy

Financing your Bounce house rental business

You may not need many resources if you are planning to start your bounce house rental company on a small scale, but if you are trying to come in hard and huge, you will surely need to raise the required startup capital to launch out. First and foremost, when looking to secure funds you should write a detailed business plan. If you have a well detailed business plan in place, it will make your quest easier. Outlined below are the few ways to raise funds for your bounce house rental business.

  • Getting money from personal savings and sale of personal stocks and properties
  • Getting money from investors and business partners
  • Applying for loan from your bank
  • Applying for business grants and seed funding from donor organizations and angel investors
  • Source for soft loans from your family members and friends

Choosing a Suitable Location for your Bounce House Rental Business

Choosing a location for your business is one of the crucial decisions you need to make. If you get it wrong with the location, you have almost killed your business even before you started. Below are some of the factors that you should consider before choosing a location for your bounce house rental business;

  • Areas with strong economics
  • Areas with expanding populations
  • Areas that has access to an educated and talented workforce
  • Areas that are densely packed with like-minded entrepreneurs
  • Areas with no corporate income tax
  • Areas that have a relatively low cost of living and available office space
  • Bounce house rental businesses should be located near residential areas
  • It should be located close to schools; both primary, secondary and tertiary institutions

Starting a Bounce House Rental Business – Technical and Manpower Requirements

When starting a bounce house rental business, you need to first decide if you are going to go themed or non-themed for your inflatables. It is important to state that Themed inflatables really command attention and kids love them, whereas non-themed inflatables are often cheaper and provide a more “professional” look.

A lot of customers have found that themed inflatables need to be rotated in and out so as to keep kids wanting to come back. Also remember that the necessary decisions you make here will depend on the size of your business. Below are the few things you will need when starting your bounce house rental business.

  • Sand bags or other equipment needed to set up bounce house
  • Generator – needed for when parties are located where no electricity is available
  • Vehicle for delivery
  • Vehicle maintenance
  • Gasoline
  • Trailer
  • Hand truck – heavy duty so it will last
  • Cleaning Supplies & Tools
  • Maintenance Supplies and Tools
  • Storage facility
  • Advertising Expenses: includes actual advertising costs, printing and postage fees
  • Business licenses and fees
  • Taxes
  • Telephone
  • Office Supplies
  • Insurance
  • Scheduling Software
  • Accounting software or services
  • Website

The Service Process Involved in a Bounce House Rental Business

Though the entire rental and setup process is simple and worry free, there are still a few things to keep in mind when planning your Bounce House rental:

  • We advise that you choose a size that best fits the number of guests expected, and also the age group of the children you plan to invite.
  • If there is going to be a diverse age group, also consider inflatable obstacle courses.
  • Remember when making your invitations to state clearly that a bounce house (or other inflatables) will be at the party. It is your duty to encourage parents to have their kids dress appropriately.
  • We also advice that when letting kids use the bounce house, gather them and review the safety rules with them (no flipping, toys or other objects, rough play, etc.).
  • You should also consider serving cake and other treats after the bounce house is used. That way, you may avoid any unwanted cleaning if something “comes up”.
  • You should also try to set up in a place that receives as much shade as possible during peak periods of sunshine, as the direct sun can cause other issues such as sunburn and overheating.
  • You should also try setting up a staging area at the opening of the bounce house, by utilizing a mat or carpet, so grass clippings and other debris don’t find their way inside as the children remove their shoes.
  • A Bounce House renting can bring a lot more to the table than just inflatables – and speaking of tables, you can rent them too! From tables, chairs, dishes, linens, to tents and canopies; renting that can take care of all the basic needs to get any gathering off the ground.

Starting a Bounce House Rental Business – The Marketing Plan

  • Marketing strategies for a Bounce House Rental Business

A bounce house rental business just like any business requires marketing, and ensuring that your services get to the needed persons as at when due.  Marketing is very efficient and a priority if you know how to reach out to your targeted audience. Ways to market a Bounce House Rental Business may include;

  • Local Phone Book

There are two primary advertising venues for a local bounce house company and they are, the local phone book and word of mouth. You need to know that the cost for a phone book advertisement will depend on the size of your ad. The larger the ad, the more calls you will receive, but if you’re starting out with just a bouncer or two, you don’t need a very big ad.

  • Word of Mouth

You should know that word of mouth is the best free advertising you can get. You should also know how important it is for your employees to always make a good impression on your customers, that your bouncers be clean and serviceable, and that you deliver and setup your bouncers on time. It’s important to state that repeat business depends on this, but so does getting the business of the parents or grandparents who are dropping kids of at a party.

  • Online Advertising

You should know that directories do not guarantee click through rates, so don’t pay more than they might actually be worth to you. Those directories that are seen at the top of search engine lists are often the best places to add your listing, but they will also cost you more. Note that search engine advertising may also be a good way to start driving more attention to your business.

  • Developing Your Own Website

Indeed bigger bounce house companies in the industry always have their own websites. A website allows a company to show the customer pictures of the bouncers and inflatable equipment they have to offer, as well as make promotional offers on package deals. You should know that more and more people are turning to Internet search engines to find what they are looking for, it is indeed a platform you have to leverage on.

  • Participating in Community Events

If your community is doing a big charity event, providing a bouncer or slide free of charge can give you extra publicity and exposure to potential customers in and outside the community. You should also know that non-profits are a big part of any bounce house rental company’s bookings, but you don’t want to overdo on this. It is advisable that you pick a particular charity that is near and dear to you and do it at their annual fundraising event.

Strategies to Boost your Bounce House Rental Business Brand Awareness and Create a Corporate identity

When it comes to creating brand awareness for your business in this industry, have it in mind that the level of contracts you have handled in the past, and the marketing strategy employed by you will go a long way to aid your quest. This is why we strongly advise that you work with a consultant to help you map out publicity and advertising strategies that will help you penetrate into the heart of your target audience. Ways to boost your business Brand Awareness may include;

  • You should introduce your business by sending introductory letters alongside your brochure to community leaders, schools, hospitals, hotels and government offices in your target area
  • We also advice that you advertise your business in relevant magazines and websites
  • You also need to list your business on local directories/yellow pages (both online and offline)
  • We also advice that you promote your business on satellite TV stations and radio stations
  • Engage in direct email marketing
  • Make use of the internet (social media platforms and your official websites)
  • You have to make sure that your workers wear your branded shirts at all times during working hours and also make sure you brand all your company’s official vans, trucks and cars.