Experienced entrepreneurs may be interested in the question of how much it costs to open a water park and how to do it. After all, such a project will not be feasible for beginners in the world of business. This idea is considered quite large-scale, costly, complex and lengthy in the implementation process. But the resulting profits will cover all the efforts and costs invested.
Such entertainment complexes began to appear in the country back in the mid-90s. Today their number has reached 100, and new water parks are opening every year. However, there is still a long way to go until the market is completely saturated. And if in the USA or Europe there are about 300 thousand inhabitants for each such establishment, then in Russia there are no less than 6 million. The prospects for development are obvious.
Features of the business and work format
Since this type of activity requires large capital investments, you need to initially think about how to organize the entire process. A water park is a complex of entertainment services using artificial or natural reservoirs. There are two main types:
- Indoor, stationary - involving a reputable establishment that provides swimming pools, several entertainment in the form of slides, trampolines, etc. Such a complex can be of any size and offer a wide range of services.
- Open, inflatable - requires less investment and makes it possible to change location. It is installed both in open natural reservoirs and can be organized in recreation areas, parks, and in the city center. To do this, it is enough to install the required equipment and run water into artificial pools.
Each option has its own appeal for both businessmen and visitors. The second is easier to organize in coastal areas where natural water resources can be used. But such a business is seasonal and strictly dependent on weather conditions. But the first one, although it is open all year round, will require much more time, effort and money to open it.
Considering the unsaturation of the market for this type of entertainment service, we can assume that its organization will be quite simple and will bring profit in a short time. But before embarking on such a project, it is worthwhile to comprehensively consider all the existing pros and cons.
For example, if you focus on opening a water park in a small town, then there should be no competition. One such complex is sufficient for a medium-sized settlement. Guests from the region will also come here. If we are talking about a large metropolis, then it makes sense to consider the option of two similar water parks, but located at a distance from each other.
Keep in mind that the climate in our country is more conducive to stationary establishments than to an open-air complex. Inflatable varieties are relevant only in southern regions with a swimming season lasting at least 4 months.
Legal nuances: documents and permits
In addition to the mandatory registration of your business as a legal entity, you will also need to obtain permits for the operation of the water park from the construction inspectorate, fire service and sanitary and epidemiological station. This stage is quite troublesome, and can only be started when the facility is ready for commissioning. A license is not required for this type of activity.
According to Russian legislation, a water park is equivalent to a public swimming pool, so before opening it will need to be checked to ensure compliance with sanitary and epidemiological standards. Specialists from the SES will inspect all filters, rooms, showers, etc.
Registration questions
Organizing a business begins with its registration. First, you will need to create an LLC or other form of legal entity. In this case, it is necessary to register the charter, establish the amount of fixed capital, and prepare other internal documents.
It is unlikely that you will be able to build an indoor water park as an individual entrepreneur, since in order to find such large sums you need to enlist the support of several co-founders, investors or shareholders.
In this case, the form of taxation may be simplified, which you will definitely have to declare at the very beginning and submit a corresponding petition. The activities of a water entertainment center fall under OKVED code 92.72, which allows conducting business in the provision of recreation and entertainment services, or 93.21, which deals with the operation of theme parks.
In addition, you will have to prepare a number of documents:
- Agreement for the lease or purchase of land.
- Permit for construction and commissioning of the finished building.
- After the water park is inspected by the sanitary and epidemiological station and the fire inspectorate, the relevant papers are also issued.
- An agreement for garbage removal and waste disposal should be drawn up.
Since it will not be possible to manage such a complex alone, you will have to hire additional staff. And to do this, you, as the owner, must register with the Social Insurance Fund and the Pension Fund as an employer and pay monthly social contributions from your salary.
To avoid having to redo everything several times, it is better to inquire in advance about the requirements of the main regulatory authorities for such establishments. They are stated in a document called SanPiN 2.1.2.1331-03. You should also familiarize yourself with the Federal Law “Technical Regulations on the Safety of Attractions”.
Organizational events
Up-to-date data is provided after ordering the development of a business plan
Registration of type of activity
The OKVED code is 93.21, which regulates the activities of cultural and recreational parks and theme parks.
Registration begins with the submission of documents for registration of an LLC: select a name, indicate the legal address, OKVED code, formalize the decision to establish the LLC, Charter, authorized capital, decision to appoint a manager.
Then documents are submitted to the tax office: an application, a receipt for payment of state duty. As a result, the following are issued: a registration certificate, a tax registration certificate, a Charter with a registration mark, a record sheet of the Unified State Register of Legal Entities.
Further actions involve registration with the Pension Fund and the Social Insurance Fund.
Construction of a water park involves obtaining permits from the construction inspectorate, fire departments, and Rospotrebnadzor. A license is not required to provide services.
Buying a plot
The choice of site should be based on the size of the future water park and focus on the potential audience. The site, located within the city, with convenient access, parking and a vehicle stop within walking distance, will ensure a constant influx of customers. The construction of a mini-hotel and restaurant will allow residents of neighboring cities to come for several days.
Developed infrastructure will reduce further costs: the water park will need water supply, electricity, and sewerage.
Construction
When choosing a contractor, you should carefully check his reputation and history, make inquiries from customers who have dealt with him: failure to meet deadlines will significantly complicate the situation. It is optimal to give the order to a company that has already performed similar work. The contract should clearly state the terms and conditions and indicate penalties for violating them.
You should not count on a quick completion of the work: the timing depends on the scale of the water park, but on average it takes 12-14 months from the start of construction to the delivery of the facility.
The finished water park consists of several zones: locker rooms, showers, water attractions, thermal, SPA area, fitness center, food and relaxation area.
Equipment purchase
To equip the water park you will need:
- equipment for air conditioning and purification;
- water purification system;
- pumps and pipelines;
- equipment for heating and maintaining a constant temperature of air and water;
- equipment for power supply, lighting;
- swimming pools;
- plumbing equipment;
- special equipment for the SPA area, gym, thermal area;
- furniture;
- water slides and attractions.
The entertainment part has almost 100% imported filling; you won’t be able to save money by ordering them from a domestic manufacturer.
Formation of staff
For management positions - the director, his deputies, candidates are approved by the Board of Founders and appointed by order. The water park will need an accounting department headed by a chief accountant, administrators, trainers (they can combine the work of lifeguards), cleaners, engineers and equipment maintenance technicians, a cashier, a bartender, waiters (if there is a recreation area with the ability to order food and drinks), and cloakroom attendants. A full-time doctor will be a plus.
All additional areas require the selection of qualified personnel: bathhouse attendants, spa masters, cosmetologists, massage therapists.
Employees must have health certificates on hand.
Students can be invited to work as waiters and bartenders, but in general, the staff must have special knowledge and skills, documented.
What services do clients need?
The activities of water parks can vary significantly depending on the specific complex, its location, initial financial investments and the basic idea of the owner. This can be a small building with 2-3 pools with slides or a full-fledged complex where clients spend the whole day on a variety of attractions.
In order to attract more people and increase profits, the water park additionally offers:
- Cafeterias, bars.
- Children's and adult pools.
- Attractions in any quantity and assortment (today their choice is quite diverse).
- Regular or hydromassage.
- Sauna, bathhouse.
- Solarium.
- Jacuzzi.
- Water aerobics.
- Various water sports.
- Swimming training.
- Foam parties.
- Interesting show programs.
- Sale of souvenirs and sports products.
The best option is when there is good parking and a hotel for visiting guests on the territory of the water park or in its immediate vicinity. After all, most of the clients will travel not by public transport, but by their own. Depending on the company’s budget, it is possible to organize the construction of an entire complex, including a hotel, restaurant and other recreation areas. Your business will only benefit from this.
How to choose equipment for a water park
There are a lot of options for completing mini-water parks. The only question is the entrepreneur's budget. With a budget of up to 1.5 million rubles, a mini-water park can be placed directly in a reservoir, fencing the area with buoys. Such attractions are more designed for a small number of people (up to 50 people at a time).
The basic equipment of such a water park will include: a water trampoline, a water swing, water polo, a pyramid and a water snake. The recommended entrance ticket price is 200 rubles per person (See also: “Water trampoline - an exciting summer attraction”).
Finding a suitable location
It is important to choose the location of the water park wisely. It should be located within the city and be accessible to different visitors - owners of their own transport and those who walk or use city buses.
To build a large complex, it is advisable to rent or buy land with an area of about 2 hectares. This is enough to install all the attractions and related recreation areas. When opening an inflatable water park, a more advantageous location will be a beach and a large area of a natural reservoir. Then it is enough to sign a short-term rental agreement with the city authorities for several months.
A large indoor complex is usually built from scratch, since it is impossible to find suitable premises in existing buildings. Therefore, you will have to conclude an agreement with a design workshop, think over the location of each element, obtain a building permit, find responsible contractors and purchase building materials. All this will require significant financial costs and a long preparation time.
Equipment selection
The exact list of all the elements that should be purchased for a water park greatly depends on the format of the activity (inflatable or stationary) and the services and attractions offered.
For the most part, everything will have to be ordered abroad, because in our country there are too few factories specializing in such equipment. Therefore, in your water park business plan and calculations, immediately include a certain amount for transportation costs, delivery and customs duties.
When choosing each element, pay attention to its performance, cost, quality and warranty provided by the manufacturer. In addition to the selected attractions, you should definitely purchase the following parts in the required quantity:
- the pools themselves;
- air purifiers;
- water filters;
- air conditioning system;
- heating elements;
- pumps, pipes, etc.;
- sun loungers, sun loungers, lounge furniture;
- sewerage devices;
- showers;
- wardrobe elements;
- energy saving equipment.
If there is a food court, shops and other recreation areas, you will have to include in the estimate additional costs for cafeteria furniture, bar counters, massage tables, jacuzzi, solarium equipment, kitchen appliances, etc.
Business risks
When opening a water park, you may encounter the following risks:
- failure to meet construction deadlines;
- natural disasters, force majeure;
- it was not possible to meet the originally calculated amount;
- decline in the well-being of the population;
- drop in demand for the service;
- receipt of low-quality equipment.
To avoid risks, you need to provide a backup source of financing. Before concluding an agreement with supplier companies, it is important to make inquiries about them, then draw up a legally competent agreement that provides guarantees.
When working with a contractor, it is necessary to set deadlines for completion of construction and establish penalties for violating them. It is better to insure property. If there is a decrease in demand, you need to revise the development plan by changing service prices and promotion policies.
Creating a water park is a promising business idea. An entrepreneur will be able to occupy a niche while facing a minimum number of competitors. However, launching a campaign will require large expenses. The success of an endeavor depends on the entrepreneur’s ability to plan and promote his business.
Staff
Managing a modern complex will be quite difficult, so you will have to hire responsible employees to help. The main positions are as follows:
- The manager, who can be the owner himself.
- Administrators - their number depends on the scope of the project and individual entertainment areas.
- Rescuers - at least 4 people who carefully monitor safety on the water.
- Swimming instructors – if such a service is provided.
- Attendants for food courts, retail outlets and other recreation areas.
- Cashier.
- A mechanic who will monitor the health of the equipment.
- Wardrobe keeper.
- Cleaning woman.
With a daily schedule of 12 hours a day, you need to create convenient shifts for workers, for example, 2/2. Each employee must have a health certificate. Also, do not forget to draw up an employment contract with them and describe job descriptions in detail.
EXAMPLES OF OUR WORK:
Examples of our work
This entire track record gives us the opportunity to confidently design and build water parks in any climate zones and latitudes.
What do we offer:
-Conceptual design and ideological content of the future building.
-Calculation of investment and maximum income of a future enterprise.
-The entire complex of designing a future building (from a preliminary design to the conclusion of an examination and designer’s supervision).
-Construction.
-Supply of equipment for the water park.
-In-house production of decorations for the water park.
We also offer management services for an already built complex.
Our work will pleasantly surprise you with European quality and affordable prices.
An individual approach, in-house production, strict adherence to all contractual deadlines, staged payment, high-quality equipment - all this and much more gives us a competitive advantage in the market. For us, each project is unique, and the approach to the idea is deeply thought out and justified.
As a result, our customers always receive an exclusive project, regardless of the size and cost.
Projects and equipment under development
Water park advertising
It is advisable to start a marketing campaign several months before the opening of the entertainment complex. Please draw the attention of city residents and visitors to the fact that a new attraction and a place where you can have fun with your family will soon appear.
Since people of different ages and social status like to visit such an establishment, advertising campaigns need to target a fairly wide audience. To do this, use all available channels:
- Internet – create a website, post information in social groups, on forums.
- Printing products - leaflets, posters.
- Other advertising platforms are billboards, public transport, metro, bus stops, notice boards.
- Media – magazines, newspapers, radio, television.
Offer promotions, bonuses. Develop a convenient and profitable pricing system. For example, discounts can be provided for large groups or long stays in the complex. Usually weekday hours are characterized by low traffic, so minimum prices are set at this time.
On the opening day, hold an interesting event - a concert, a show program, a raffle for tickets or prizes. From time to time you can organize foam parties for young people, themed parties, etc. The more interesting the complex turns out to be, the more people will want to visit it.
Mini water park
Let us describe the significant differences in the organization of the inflatable type of water park. Main advantages over an indoor structure:
- Much less money required.
- Quick payback - after the first season, all costs for the purchase of equipment are returned.
- High-quality material for inflatable elements will last for several years, as it is designed for active use for a long time.
- You will hardly have to spend money on advertising, since with a good location in a recreation area on the beach, for example, you can count on a large number of visitors.
- Easy installation of inflatable structures, for which you do not need to pay for the work of professionals.
- Mobility – if desired, you can quickly close all the attractions and move to a new, more advantageous location.
Even in the absence of beaches, your water park as a business can be located in dry areas - parks, city centers, near kindergartens, schools, etc. To do this, you just need to rent the required plot of land and organize access to a water supply for filling artificial pools.
But remember that this type of business is considered seasonal and is highly dependent on the whims of the weather. It is profitable to open it only in areas where the warm season lasts at least 4 months.
Here you can download a free water park business plan as a sample.
How much does it cost to open a water park: profitability and payback period
A water park is a large-scale project that requires large investments. You will need about 160 million rubles. The amount includes the costs of construction, purchase of equipment, and advertising campaign. Additional monthly costs are included. It is necessary to pledge about 5 million rubles for them. The amount takes into account staff salaries, utility bills and the cost of renting a site, contributions to funds and unforeseen expenses.
The main source of income is selling tickets to visit the water park. On average, about 1,000 people visit the organization per day. Moreover, on weekends the figure increases. The cost of a child ticket is on average 500 rubles, and an adult ticket is 800 rubles. On weekends the price can be increased by 100 rubles.
You will be able to earn about 500,000 - 800,000 rubles per day. The monthly profit will be 15 - 24 million rubles. The sale of souvenirs, the operation of a cafe, fitness club and other related organizations will bring additional profit. The income will be approximately 20 million - 25 million rubles. upon successful promotion. The business will pay off within 3-6 years.
Index | Meaning |
Initial investment amount | 160 million rub. |
Monthly expenses | 5 million rub. |
Monthly income | 20-25 million rubles. |
Net profit per month | 15-20 million rubles. |
Payback period | 3-6 years |