People with big dreams usually get them from a point in time when two events collide, often a bad experience quickly followed by the realization of a solution. Many family entertainment centers, for example, started with a bad experience at the local amusement center, followed by the thought “I bet I could run a better center than this.” With that thought another entrepreneur is born!
If this is your story, you are definitely not alone. There are probably a few other motivators in your story:
- A 9 to 5 job that no longer challenges you
- A desire to do something positive for your family and your community.
- A desire to have a career that brings you closer to your family
- The entrepreneur’s need to create something with his own hands, something that he and his family believe in
But once you have that vision, and the initial adrenaline-pumping excitement wears off, many new entrepreneurs think, “Okay, where do I start?”
Here are some tips to point you in the right direction, along with links to resources that will get you that much closer to the grand opening of your family entertainment center.
1) Get some numbers
Planning your business starts with finding numbers. How many families are there in the community where you want to open your family entertainment business? How many competitors are there already? How much business do they get on the weekends? What is the age group of children you want to focus on? Also, what is the approximate age group of the parents of those children? Your local Chamber of Commerce, as well as your Small Business Association office, should be able to help you with some of the demographic research. Plus, the US Census Bureau has many tools to help you discover these important numbers.
2) Get a plan
A business plan is vital for two reasons; It’s imperative that you have a plan to follow for (1) setting up your business (could take anywhere from six months to a year) and (2) running your business (definitely plan your first year and consider forecasting for your third year). ) There are many business plans, but fortunately there are some products tailored to the family entertainment industry. You can find them by looking specifically for business plans for family fun centers. If you purchase one of these amusement center-specific business plans, make sure it includes family entertainment industry trends, sample earnings and income statements, and spreadsheets with pre-written formulas; This means that all you have to do is enter your numbers and the spreadsheets do all the complex calculations.
3) Get a location
We’re not talking about buying land, but you should look at some ideal locations and have an idea of what you’ll be facing as a monthly rental cost. You can search for yourself on commercial real estate websites in your area, or (think about your target audience, traffic flow, popular parts of town OR low-cost rental space not far from town. Consider 5,000 to 8,000 sf for a small to medium family entertainment center business If your business plan includes a spreadsheet where you can enter your monthly leasing costs, go there and do it.
4) Get financing
Once your business plan is complete, it’s time to practice your presentation and then schedule some meetings with financiers or investors. Which one you choose depends on whether you want financing in the form of a loan or a business partner who invests money and owns part of the business. Your presentation should include a five-minute overview describing your business and why it will be successful. To describe success, you should mention how it is different from existing competition, why this will appeal to your target audience, and projected revenue for the first year and profitability for years 2-3. Next, you’ll walk your financier or investor through the business plan. You will not read the plan, you will summarize the sections as you go. You want to emphasize how you’ll run the business, how you’ll attract guests, when you’ll break even, how you’ll pay off the loan (or when you’ll start showing ROI), and what your 5-year goal is. Of course, you’ll want to practice this at least five times with friends and family. Knowing your business idea inside and out will give you confidence, and this is important for anyone considering financing their business. Again, there are services available online that will help you write a specialized business plan for a family entertainment center, as well as guide you through completing it, right through to reviewing the final plan and advising you on how to present it.
5) get going
Now that you have your funding, you can focus on putting your business plan into action. This will include proceeding with obtaining your lease, lease improvements, amusement center name registration, business registration, branding, employee handbooks…it may seem overwhelming, but there are great guides online they focus on helping you write, present and execute your family. entertainment center business plan
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Starting a business is exciting and scary at the same time. It is an endless journey that has its own rewards. Sometimes it’s lonely, sometimes surrounded by a crowd, but it will take you to keep pushing until you can realize your dream. ace Napoleon Hill said, “Effort only fully releases its reward after a person refuses to give up.” So never give up on your dream of a family entertainment center!
