What should I check before buying a bounce house rental business?
Inspect the inflatables one by one, with their age and repair history, then look at the blowers, the delivery vehicle, who sets up on site, what the insurer says about the operation, and how repeat customers fill the booking calendar. The units are the main assets.
A bounce house business is a fleet of inflatables, a truck and a few people who know how to set them up safely. The listing may say the units are in great shape, but only you can see that for yourself. Plan to inspect every unit, ask for the records behind each one, and meet the people who deliver them. Our page on what to check before buying an event rental business covers tents and tables. This one stays with inflatables.
Look at every unit, not a sample
Ask for a list of the units with the purchase date of each one. Then ask to see them inflated, clean and dry. Look at seams, anchor points, netting, vinyl and colour fade. Ask what repairs each unit has had, who did them, and whether there is a log. A unit that has been patched often may be near the end of its life. Blowers, stakes, tarps and extension cords belong on the same list.
Cleaning, storage and delivery
Ask how units are cleaned between rentals, where they dry and where they are stored over the off-season. Damp storage ruins vinyl. Then look at the delivery side: the truck or trailer, who owns it, and how many people it takes to set up a large unit. If the owner does most of the setup, find out whether a crew could do it without them.
Insurance and safety practices
Ask the insurer, not the seller, how the operation is covered and what the insurer expects at setup, such as anchoring and attendance. Ask for the claims history in writing. Safety standards for inflatables are a legal question, so have your lawyer tell you what applies to your location.
Bookings and repeat customers
Ask for the booking calendar for past seasons and for dates already booked. Which customers come back? Schools, daycares, community groups and event planners tend to rebook, while one-off birthday parties depend on search and reviews. Find out where the phone calls and online requests come from, and who owns the website and phone number.
Related reading
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Buying
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Due diligence
Sources
This answer is checked against primary sources. Links were last confirmed on the dates shown.
- 01Business Development Bank of CanadaGovernmentHow to conduct due diligence when buying a business
- 02Business Development Bank of CanadaGovernmentWhat are the steps to buying a business?
- 03Business Development Bank of CanadaGovernmentEquipment valuation: How to do it
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