In the twentieth century, open-air cinemas, where you could watch a film while sitting in the cab of your car or just on the grass, were a common and popular format for recreation. Such film screenings were held at stadiums, in children's camps and at country sites. Then the romance of open-air films gradually became a thing of the past - film lovers moved under the roofs, to comfortable halls with comfortable chairs and high-tech sound systems.
However, now closed cinemas have become traditional and have become boring to a certain contingent of consumers who want a more interesting pastime. You can satisfy this desire by offering the residents of your city a familiar service in a new (or rather, well-forgotten old) format.
Documents and licenses
First of all, you need to register as a business entity. In this case, it is advisable to register an individual entrepreneurship - this is the least simple and inexpensive: you only need the entrepreneur’s passport, his TIN, an application form P21001 and a receipt for payment of the state duty of 800 rubles. To register an individual entrepreneur, you do not need the authorized capital and legal address of the company, however, this form of business activity has one significant drawback - if the business fails, the entrepreneur risks all his property, while, for example, the creators of a limited liability company in a crisis situation are liable only with their shares authorized capital.
If an entrepreneur decides to register a legal entity (for example, starting his own business with partners), then it is most convenient to choose an LLC. To register, you need an application of sample P1101, a decision to create a company and its charter, statutory documents of a legal entity and a receipt for payment of a state fee of 4,000 rubles. The founders of an LLC can be both individuals and legal entities.
To date, film distribution companies are not subject to any specific reporting or licensing requirements. Some entrepreneurs even hint at the possibility of showing films without transferring the corresponding payment to the copyright holder, however, this method of saving is risky, since the fine for this copyright violation can be up to 100,000 rubles. In addition, a license to rent a film that is not included in the premiere category will cost only a few thousand rubles. The system of payment for the rental of film premieres is not expressed in specific amounts, but in percentage deductions from the total profit (usually about 50%), but when opening an open-air cinema, you should not rely on new releases for a number of reasons. Firstly, of course, cost. Secondly, the need for equipment made using the latest technologies and capable of reading license codes. And thirdly, this format of film distribution attracts visitors primarily not with premiere screenings, but with a special atmosphere, for which time-tested film masterpieces are more likely to be suitable. The average viewer will prefer to watch the expected new product in a comfortable theater, and here traditional format cinemas will act as more successful competitors.
other expenses
The starting capital for opening this type of business is about 500 thousand rubles. This cost includes not only equipment and fees for renting or purchasing a site. There are other costs that need to be taken into account.
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One of them is the cost of paying staff. To operate such a business, you will need ticket takers, receptionists, cleaners, a projectionist, and beverage and snack vendors. Depending on the cinema's attendance, as well as its size, the number of employees may vary.
Don't forget about film rentals. To show a particular film, you will have to buy the rights to show it. However, you can save on this if you show retro films or alternative films by young directors.
Equipment
Of course, the biggest investment will be purchasing a large-scale screen. Depending on your budget and desired level, you can choose from the following options:
- — Mobile projection screen. Almost universal solution. It can be produced in various modifications and can be mounted both on the wall and directly on the ground. It is erected using air injection, so it somewhat resembles a trampoline. The price ranges from 200,000 rubles, so this option is convenient for beginning entrepreneurs. MPE is convenient for transportation - all the equipment necessary for showing films can be placed in a small minibus, which, if desired, will allow you not to be limited to one venue and organize a “roving cinema”.
- — The wall of the building has a matte finish. This method is the most economical, since the only special equipment you need is a projector. However, the disadvantages are obvious: this method can only be implemented by agreeing on a lease with a large shopping center or shopping center and showing films in the parking lot of these establishments. But there is an associated saving on fees for using the platform - not for a month or a year, but for a specific session. This option may be suitable as an easy start for those entrepreneurs who have very little initial capital and plan to save money and eventually open their own site.
- — LED screen (LED screen). The most high-tech, but expensive option - the cost of a complete set along with associated equipment and installation will be about 15 million rubles, in addition, you still need to find a manufacturer who will undertake to produce an LED screen of such dimensions that are suitable for a site with a capacity of 200 cars. As for the savings from the absence of a projector, they are symbolic compared to the costs of the screen itself.
You should also take care of how the sound accompanying the picture will be broadcast (the option of showing exclusively silent films is unprofitable, since this genre has an extremely narrow circle of fans and will not bring any significant profit). If you place speakers close to the screen, the sound may not be powerful enough to be heard by those in cars in the back rows. If you increase the strength of sound reproduction, then in the dark this is fraught with a fine for violating public order. The option with speakers placed around the perimeter of the “cinema” is more suitable, but also much more expensive.
Enterprising owners of open-air cinemas have come up with an interesting solution to this problem - broadcasting sound directly to visitors' cars using a point-tuned FM transmitter. For those who do not have a radio in their car, simple receivers are provided at the entrance when purchasing tickets. The transmitter and antenna-feeder equipment will cost approximately 60,000 rubles.
In addition to the above, you will need a barrier and a cash register, as well as ramps that raise the top of the car to make it easier for visitors to look at the screen.
Features and nuances of this business in Russia
When deciding to open an open-air cinema, you should consider the characteristics of the business:
- Film screenings are held for a limited time due to seasonality. They are possible only in dry, warm weather, which means less of the year. Even in cars, spectators will be uncomfortable if they have to turn on the windshield wipers or burn gasoline for heating for 2.5 hours. The entrepreneur should provide additional income during the period when the operation of the cinema becomes impossible.
Important to remember! The profit from a movie show must be high enough to cover business downtime during bad weather.
- Viewing can only take place at night. Thus, the number of sessions per day is limited.
- The advantage of a summer cinema is its mobility. If you organize outdoor events in neighboring communities or festivals, your profits will increase.
- If you decide not to purchase a mobile screen, you will have to look for a suitable place with a large wall that can be painted white. This may take a long time, and it will be difficult to find ideal conditions, but this solution will save a significant amount of money.
- Additionally, you can open a cafe or car wash next to the site if the shows are intended for car owners. In this case, you need to take care of permission to conduct this type of business.
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The prospects for the drive-in movie theater business are questionable, because even in their home country, in the USA, demand for them is steadily falling. They simply have nothing to offer in contrast to their main competitors - traditional cinemas. In terms of payback, summer cinemas in parks look more attractive because they require less investment. Before opening an open-air cinema, you need to draw up a business plan and carefully calculate the profitability of the venture, because the demand is not so great, but the investments are significant.
Location
Finding a location for an open-air cinema is perhaps the most difficult stage of opening this business. Here you can take one of three paths.
- — Rent or buy a plot of land outside the city. A drive-in cinema is not just an opportunity to watch a movie, but also a good idea for a romantic trip, so if the location is good, customers will not find it difficult to get to you. The selected location should not be more than 10 kilometers from the city limits (long distances can scare off even lovers of romance) and its capacity should be no less than 200 cars. The approximate area of one parking space is 125 meters (taking into account the required distance between cars). A separate place should also be allocated for the empty space in front of the screen - cars should not drive closer than 25 meters to it, so as not to create an emergency situation in the event of a breakdown of the structure. The price for annual rent of one square meter within the Moscow region is 500-1500 rubles per year. The business of open-air cinemas is seasonal, so in the cold season you can increase the profitability of the business by renting out an empty area - for example, to driving schools.
You need to remember that the site and the access roads to it must be properly paved - the poor condition of the path to your cinema will also not please customers. Taking into account the changing weather conditions, it will be good if the site is also equipped with a drainage surface.
- — Rent surface parking for a large shopping and entertainment complex. This will help you not only save some money on the advertising campaign, but also not invest money in installing a barrier and bringing the site into proper shape. The main disadvantages of this way of doing business are that it is difficult to reach an agreement with the owners of the shopping and entertainment complex (after all, in the city limits, the loud sound from evening film shows (and open-air cinemas usually operate in the dark) can interfere with the rest of residents of nearby houses, as well as potentially more “ hares."
- — Rent a site in a park, stadium or similar place. Land of this nature is usually state-owned, and the contract can be concluded through a public auction. Of course, it will not be possible to set up a drive-in cinema in a park or stadium, but the very format of watching films in the open air (the audience usually sits on the grass) is an original format for recreation. What will help attract customers.
Planning and design
If you don't know how to open an outdoor movie theater, start by writing a detailed business plan. It must include a description of all stages of work, costs and planned income. If, according to your calculations, the return on business is good, then you can proceed to registering as an individual entrepreneur.
This is the easiest stage of starting your own business, but it is impossible to do without it. Then you need to choose a place. It is better to select several options and calculate the profitability for each of them. After which you should register a land plot for rent or purchase it.
When choosing a site, do not forget that it should be located at a sufficient distance from residential areas. And only after that you can start buying the necessary equipment, building, installing and carrying out other work to create a platform where you will show films.
Personnel
The staff of an open-air cinema includes a projectionist (salary - 20-30,000 rubles), who is responsible for the operation of the playback equipment (screen, projector, etc.), an administrator and a ticket taker (their salaries also range from 20-30 000 rubles). To save on wages, the entrepreneur himself can serve as an administrator or ticket taker.
In addition, a person is needed who will be responsible for the cleanliness of the site. It will be more economical not to hire a cleaner as a separate staff unit, but to enter into an agreement with a cleaning company.
Outdoor cinema and seasonality of business
Cinema parking is a relaxation while watching a movie in a cinema in a car in the open air. During the rainy season, this becomes more difficult, since you can only watch the film with the roofs and car windows closed.
With the arrival of snow, this process becomes even more difficult, as cars may become covered in snow during a movie, but drivers can turn on their windshield wipers to avoid this problem. This circumstance can either spoil or make the atmosphere on the site fabulous, so you will have to focus on the tastes of consumers.
In many regions of Russia there is a season of white nights, during which the space is quite heavily illuminated by the sun, which makes the operation of movie parking lots temporarily impossible. At this time, the establishment has to be closed, which always incurs certain financial losses. In other seasons, this business is relevant, since with the advent of night, showing films is not complicated in any way.
Marketing
Promoting open-air drive-in cinemas will require significant investments - about 100,000 rubles. This will involve such means as billboards and signs along the highway (the latter must be backlit), advertisements in newspapers and entertainment magazines, on television and radio stations - mainly those that are listened to by motorists. Promotion of smaller summer cinemas located in stadiums and parks will be less expensive - here the main emphasis should be on advertising in educational institutions and social networks, since the majority of potential visitors in this format will be young people.
Profitability
The starting price required to open an open-air cinema starts from 2-3 million rubles. If we consider the example of a drive-in cinema for 250 cars, then with an average ticket price of 200 rubles and a full load of cars, one movie show can bring a profit of 50,000 rubles. According to various estimates and taking into account the seasonality of the business, the payback period for the project ranges from two to three to ten seasons. To increase the profitability of your business, you can sell food and drinks on the premises of the cinema by finding appropriate partners. Another option for an additional service for your customers is a car wash, which will also be in demand.
What you need for an open-air cinema
In addition to the necessary equipment and rented or purchased land, the cinema must be equipped with amenities. Biotoilets must be installed on the territory.
For example, you can rent a plot near a shopping center or in a park. This will not only attract additional visitors, but will also allow you to use their amenities.
If you are planning to open a drive-in cinema, then the site should be designed in such a way that only those who have entered its territory can watch films. For an open-air cinema, it is necessary to purchase chairs for comfortable viewing of the film. If you plan to work during the rainy season, do not forget to purchase an awning.