When it comes time to throw parties for their precocious children, many parents elect to pay for a venue at which to host the party instead of taking on the difficult task of hosting a kids’ party at home. By setting up a venue ideal for parties of this type, you can capture the attention -- as well as the money -- of party-planning parents. To ensure that your venue proves an attractive one, move carefully through the development process.
Do market research. Research how many families with children are in your market. Determine how many other party venues are in your area, and research what they offer and how much they charge for their venues.
Develop a business plan. Plan out what kind of venue you will want and how much you will charge for it. Determine how many employees you will need and how much you will pay them. Plan out how you will pay for the venue and how you will market the venue. A professional-looking business plan will be needed to apply for a business loan.
Secure a location. Seek a location with lots of open space in which children can run around. Also take into consideration the neighborhood, as many parents won't plan a party in a location that isn’t safe. While you can have a new building constructed for your event, in most cases going with a preexisting building will prove more affordable.
Obtain necessary permits. The permits you will require to open your business will depend upon the type of business you plan to host. If you are going to serve food, for example, you will need to acquire permits to do so. Speak to your local planning commission to determine which specific permits you require and how to go about getting them.
Obtain the necessary insurance. You will need liability insurance as well as insurance in case of fire in the building. Also, you will need to get workers' compensation and unemployment insurance, if you hire any workers.
Decorate the space. When selecting a party venue, most parents are looking for a ready-to-go space. To ensure that your space sends the party vibe without parents investing time and money in decorating, paint the walls in bright hues and hang decorations that reflect a party theme, such as pictures of balloons.
Plan amusements. Kids need constant amusement. Provide this by creating activities for kids in your venue. For example, set up a laser tag room or a video arcade. The more activities you can offer, the more enticing your venue will likely prove to potential clients.
Advertise your venue. Create radio and newspaper advertisements that share information about your venue. Start running these ads right before you plan to open your doors to get the word out about the new business and entice customers to give your services a try.
Make sure you register your business with the state. This can usually be done on the state's secretary of state website. Also, you will need to obtain an Employer Identification Number from the Internal Revenue Service (see Resource).