CAMPGROUND BUSINESS PLAN GUIDE
A campground business is an exciting recreational activity that has a lot of potential for investments. This is in focus as we look into the requirements to start one.
A campground business by nature is capital intensive and the potential financial rewards high. There are a lot of considerations, things to put in place, including the building of lodgings, and other administrative offices as well to make the running of the campground business easy.
Before starting a campground business, it will do well to consider the following points seriously, as they measure the level of preparedness, as well as offer tips on the requirements of starting a campground business.
- Choosing a Location
There are times when finding a suitable location for a campground business can be daunting. However, putting in the required effort is worth it, as getting the right location for your campground business can make the difference between profitability and increased patronage, and low patronage. Some locations are best suited for starting a campground business.
The locations best suited for starting a campground business are those not too far away from the city and having a serene atmosphere where people can wind down/rest from the hustle and bustle of urban life.
Campground business locations should bring people closer to nature, allowing for adventure, hiking, fishing and several other activities not readily available in urban centers.
- Writing the Campground Business Plan
No serious business can commence operations without a business plan. To start anything of worth, a considerable amount of time should be spent in planning. A business plan documents this planning down to the minutest detail of the business. Nothing is left to chance as it may hurt the business in the future. A WELL WRITTEN campground business plan has the potential to attract funding for the business.
“Well written” is stressed here because any campground business plan not properly written can derail the business and will fail to attract the attention of investors and financial institutions that may have the required financial resources to support the business.
- Choosing the Most Suitable Campground Business
One may ask; choosing the most suitable? Yes, this is because there are several types of campgrounds each tailored to meet the needs of a specific market. These include seasonal campground businesses, tent-only campgrounds, and fishing campgrounds.
Others include mobile camping campgrounds among several others. It is therefore imperative to select the best campground business for investments.
- Obtaining the Necessary Campground Permits
To start a campground business, you will have to get the required permits from the state before the commencement of the business. However, the types and cost of permits to start a campground business vary from state to state within the United States.
Therefore, knowing the permit requirements for your state is very necessary. There may be other additional requirements across different states before starting a campground business. Whatever the case, it is important to find out all these requirements and meet them.
- Maintenance and Servicing
A campground business will always need periodic maintenance. Therefore, putting together campground maintenance and servicing department will ensure that the campground is well maintained.
Campgrounds which are well patronized due to the increased pressure on the available facilities will require constant maintenance. Anything short of this may result in deplorable conditions of facilities in the campground which may eventually affect patronage.
- Online Presence
Any serious campground business will have an online presence. This is an efficient marketing tool that highlights all the services offered at the campground business. A majority of campers usually go online to make inquiries on available campground businesses.
Therefore, building a website containing all the services provided in the campground business will go a long way in boosting patronage. Also, it is important to register with online campground directories which can easily direct clients to patronize the services of the campground business.
- Publicity and Advertisement
It is not enough to start a campground business. Some vital elements of the business such as effective publicity and advert strategy should be adopted. Making use of international tourist journals as well as the use of both electronic and print media has the potential of increasing patronage.
The experience at the campground should be such that visitors have a lasting positive impression. This is important as they are likely to tell friends and families about the business. This, in a nutshell, is known as word of mouth marketing.
- Setting the Campground Fees
Although the main purpose of starting a campground business, as with any other business is for profits, a pricing strategy that also considers the client will most likely result in a balanced business, creating a win-win situation for both the client and the business.
Setting the fees for the campground should be reflective of the services provided at the campground. In addition to the fees set, there should be real value for money spent by the clients/campers. Clients who get real value for money are likely to be impressed by the services and likely spend more.
By the above, we can see that starting a campground business requires a lot of things to be put in place. There are regulatory guidelines to abide by as well as the requirements needed for the smooth running of the business.
CAMPGROUND BUSINESS PLAN EXAMPLE
Here is a sample business plan for starting a campsite.
Business Name: Exodus Camp
- Executive Summary
- Our Products and Services
- Vision Statement
- Mission Statement
- Business Structure
- Market Analysis
- Sales and Marketing Strategy
- Financial Plan
- Competitive Advantage
Exodus Camp limited is a campground business specialized in providing out of door shelters for vacationers. It has the backing of the Colorado state government and also all the permits from the necessary agency.
This is a family business run own and run by Kim Koo and Tim Koo. It was started about 10 years ago when Tim got tired of the long hours of work and travel and wanted to spend some time with this family. So he and his wife pulled funds together and bought this for land for campers and as a parking lot for Caravans and RVs (Recreational Vehicles).
Now, however Exodus camp is looking for funds to expand. Before the camping business, they run has been the temporary camping method. With only temporary tents, washhouses and parking spaces for RVs. The plan now is to build cabins, 15 luxury cabins, and also add recreational facilities like pools and other entertainment centers.
Mr. and Mrs. Koo already has provided $5 million for the expansion project. $10 million will be sourced from investors and the bank.
Products and Services
We provide camping services for those who love the outdoors. We provide temporary tents and parking spaces for camping trucks. We also ensure the security of everyone on the property.
Our vision is to always provide comfort away from home for the outdoor lover. While doing this at a very affordable price and paying cognizance to the security of our customers.
We want to be the one-stop luxury camping place in the Colorado region. We believe camping shouldn’t be any less comfortable than the clients’ homes. So our job is to provide that level of comfort with a touch of luxury for all those who visit us.
This is majorly a family business, owned and run by the Koo’s. With the coming expansion, more staff will be needed.
So apart from the CEO, Mr. Koo, Kim and two of the grown-up children will be running different parts of the camp.
To help instill the vision of customer satisfaction that is paramount in Exodus camp.
Americans love the outdoors. However during the 2012 economic crash vacationers either postponed their journeys or canceled it altogether. However, the economy is beginning to look better. Therefore there’s a huge spike in people wanting to vacate because people can now afford to go on vacations.
Camping is also a cheaper option for those looking to go on vacation as hotel bills can be expensive. So looking at these trends there’s no better time to start a camping business. Colorado is a place of natural beauty that attracts tourists, so there’ll be no lack of customers.
There are no age brackets for those seeking for some adventure, or a vacation. So basically our market is from teenagers up to the elderly. We have something for everyone. So first we lookout for people who love adventure and would just want to leave civilization for a while. That’s our first market as our current facility can handle those people.
Then the next people are high school students and the management of high schools, as this place will serve as a summer camp for high school students.
Sales and Marketing Strategy
We tip tour guides to mention the name of our camping grounds to tourists as they take them around the Colorado rocks.
We intend to advertise on TV and radio stations.
We will be championing a course on the importance of the environment; this will also serve as an advert.
We will take out space in the newspaper, and on yellow pages.
Last but not the least, is the internet. We’ll use our blog and the internet as a marketing and advert tool.
Source of Startup Capital
We are looking at an additional investment of $15 million being put into this business. This is for the expansion of the property into a luxury campsite. While Exodus Camp will be providing $5 million, the bank will be providing the remaining $10milllion.
Exodus camp has been in the business for a while, and we have garnered a reputation for providing world-class services. So our reputation already speaks for us. And some of our staff serve as a tour guide around the Colorado Rocks, this alone brings in customers.
So, here you have it. This is a business plan for starting a campground business. Exodus camp is owned and run by Mr. and Mrs. Koo.