Should you buy a franchised campground or an independent one?
A franchised campground brings a brand, a shared reservation system and set standards, in exchange for fees and the franchisor’s say over your operation and your approval as buyer. An independent park gives you freedom and its own guest list, but you build the marketing and booking yourself. Which suits you depends on how you like to run things.
Campgrounds come in two broad kinds. Some operate under a franchise or brand affiliation and some stand on their own. Neither is better in the abstract. The question is what you want to be responsible for, and what you are willing to hand over in return for support. Compare the two against how you plan to work, because the same park can look very different depending on who runs it.
What a franchised park brings
A brand can bring a central reservation system, name recognition with travellers, training and set standards for the sites and facilities. That can shorten the learning curve for a first-time owner. Ask what the franchisor actually delivers in practice, how much of the park’s bookings come through the brand’s channels, and what happens to those bookings if you leave the system.
What it costs you in control
Franchise fees, required upgrades, approved suppliers and reporting all come with the brand. The franchisor will usually need to approve you as the buyer, and its agreement may not be as easy to take over as the park itself. Read the franchise agreement before you commit, ask your lawyer what franchise disclosure applies where the park is located, and have your lawyer review the terms. The Canadian Franchise Association explains the basics.
What independence gives you
An independent park sets its own rates, rules, events and look, and it owns its guest list outright. Repeat guests and seasonal campers belong to the park, not to a brand. The trade is that marketing, booking software and standards are yours to build and pay for. See buying a campground and RV park for the checks that apply either way.
Questions to put to each seller
- Who owns the guest list and the booking data?
- What does the franchise agreement require of a new owner?
- How would the park trade without the brand’s channels?
- Who handles marketing and bookings today?
Related reading
15 pages on the same subject, grouped by topic.
Buying
- GuideBuying a campground and RV park in Canada
- Expert answerWhat should I check before buying a mini golf business?
- GuideBuying a golf course in Canada
- GuideBuying a banquet hall and event venue in Canada
- Expert answerWhat should a business plan for buying a campground or RV park cover?
- Expert answerWhat should you check about insurance when buying a campground?
- Expert answerHow does a campground or RV park make its money?
- Expert answerHow can a new owner grow a campground’s income after buying?
- Expert answerCan you run a campground with a manager instead of living on site?
Selling
Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Canadian Franchise AssociationIndustryInterested in Buying a Franchise?
- 02Canadian Franchise AssociationIndustryWhat is a Franchise?
- 03Canadian Franchise AssociationIndustryFranchise Disclosure Legislation across Canada
- 04Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
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