April 18, 2019 · Earthmoving Equipment

Starting a Bounce House Rental Business


Anne Ming

Aspiring Entrepreneurs are constantly looking for ways to expand their efforts. However, many of them try to break into markets where there is way too much competition. Out-of-the-box thinking is what has made many entrepreneurs who they are today, and what’s more innovative than renting out bounce houses?


As with any new business, the first step is market research. This will obviously be a local market, so look around the paper and phone book to research competition. Check their prices, what they offer, their location, etc. Remember you are competing against established businesses, so it may be a bit hard to break in. See what you can do better, while still maintaining realistic profit margins. Get a business model started on paper, you will find that having a clear goal will go a long way towards building a successful business.When building your business model, consider equipment. At a minimum, you are going to need at least one bounce house, a trailer to haul it, and a vehicle to tow with. Since you are just starting out, used equipment is fine, as long as it is presentable. Remember in the business world your image is all you have to potential clients. If you purchase a bounce house used, make sure you clean it very well, and look over it for any potential damage. Preventative maintenance goes a long way in this business. After all, you wouldn’t want your bounce house breaking down while someone is paying to rent it.Next, figure out your cost of operation. If you were going to be doing all the work yourself, after the initial investment in equipment, your cost of operations should be fairly small. Things to include would be fuel, vehicle maintenance, bounce house maintenance, advertising, a dedicated phone line, insurance, and perhaps a website. Pay special attention to your advertising budget, as this is where you should invest the most. People need to know you exist in order to be able to buy from you. Now that you have everything on paper, organize it so you have a clear idea of what everything costs. You need to decide if you are going to pay everything out of pocket, or take out a loan. If you decide to take out a loan, make sure you re-factor the payments into your cost of operation. The bank you loan from is going to want to see this business model, so be sure to make it presentable. Show them exactly how long you plan to take to pay off the loan they give you, and how.If you decide to start a bounce house rental business, make sure to protect yourself from legal trouble. Take out insurance, and at a minimum make sure your company is a LLC to protect your own assets. If a child gets hurt on one of your bounce houses, the chances of a lawsuit are fairly high. Make sure you are protected!

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