What should I check before buying a summer camp?
Check how many families return each year, which registrations and deposits are already taken for the coming season, how counsellors are found and who the camp director is, whether the site is owned, leased or borrowed, and how the site is used off-season. Camp and child-care licensing questions belong with your lawyer.
A children’s camp earns most of its income in a short season, but it is built across the whole year. Families decide in winter, counsellors are hired in spring and the site is looked after in between. When you consider buying one, ask to see all of that cycle, not only the summer weeks, so that you understand what you are taking over.
Returning campers and family loyalty
Ask how many families come back and how many arrive by word of mouth. Request registration records over several seasons, grouped by age and by how long each family has attended. Camps tend to depend on trust, and that trust is often attached to a director or a long-serving staff member. Ask who families see as the face of the camp.
Registrations and deposits for next season
If the sale closes before the season starts, parents may already have paid. Ask for the registration list, the deposits held and the refund terms parents accepted. Ask your lawyer and accountant whether those obligations pass to the new owner and how the agreement deals with them. Ask how the camp tracks and holds the money.
Counsellors and the director’s role
Ask how counsellors are recruited, trained and paid, and how many return each year. Find out what the director does day to day and whether that person plans to stay on for a time. A camp with a stable team is different from one that rebuilds every spring. Ask for written procedures on supervision, health and incidents.
The site and off-season use
The site might be owned, leased, or shared with a school or park. Each choice carries different risks, and a shared arrangement may depend on a relationship that does not transfer. Read the agreement and ask about third-party consents. Ask also whether the property earns anything in the off-season.
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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 CanadaGovernmentBuying a business? How to protect yourself from potential liabilities
- 03Business Development Bank of CanadaGovernment13 terms you need to understand before signing your commercial real estate lease
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