Start a summer camp by following these 9 steps:
You have found the perfect business idea, and now you are ready to take the next step. There is more to starting a business than just registering it with the state. We have put together this simple guide to starting your summer camp. These steps will ensure that your new business is well planned out, registered properly and legally compliant.
STEP 1: Plan your Business
A clear plan is essential for success as an entrepreneur. It will help you map out the specifics of your business and discover some unknowns. A few important topics to consider are:
- What are the startup and ongoing costs?
- Who is your target market?
- How much can you charge customers?
- What will you name your business?
Luckily we have done a lot of this research for you.
What are the costs involved in opening a summer camp?
One of the first and most important costs associated with opening a summer camp business is ensuring that the camp is licensed and adheres to all federal, state, and local regulations. For example, any staff member who works directly with children must undergo a thorough background check. Another substantial startup cost for any type of summer camp business is purchasing the required liability and medical insurance.
The initial costs of opening a sleepaway camp are much higher than opening a day camp due to the cost of the purchase or rental of overnight accommodations. If you don’t own property, there are camp rentals available. Rental costs vary according to the size of the property, the number of amenities it offers, and the number of people it can accommodate.
Costs for any summer camp include staff salaries, utilities, and transportation. Depending upon the type of activities your camp offers, other costs could include sporting equipment, arts and crafts materials, or even veterinary care. Since summer camps provide such a valuable community service, your business may be eligible for government grants or low-income loans that could help reduce your startup costs.
What are the ongoing expenses for a summer camp?
Ongoing expenses include either rent or grounds maintenance, staff salaries, medical and liability insurance, and promotional advertising. For sleep-away camps, the cost of food and overnight staff are also ongoing expenses.
Who is the target market?
Preferred customers of summer camp businesses are people who recognize the value of enriching life experiences. In the past, the most common type of clients were parents who wanted to provide their children with structured and well-supervised physical, educational and social activities during the summer months. Today, summer camps are becoming increasingly popular with adults as well.
How does a summer camp make money?
A summer camp business charges a fee for services that include providing trained supervision, educational instruction, and emotional support. The pricing structure is designed to cover operating costs as well as generate a profit. Often summer camps charge a fixed cost per camp session - which is typically between 2 weeks and 2 months.
How much can you charge customers?
The average cost for a week of summer camp is $1,500. Some exclusive sleep-away camps with established reputations charge as much as $12,750 for a 7-week summer session.
How much profit can a summer camp make?
A summer camp business can be very lucrative. Well-managed camps usually enjoy a profit margin of between 25 to 40 percent.
How can you make your business more profitable?
Whatever type of summer camp business you have, to ensure a steady source of income throughout the year, you can offer specialized day camps on weekends for both children and adults. From arts and crafts to computer programming to learning the newest dances, there are hundreds of enjoyable activities that can attract new customers. The longer you are in business, the more people you will meet who will welcome the opportunity to earn a little extra cash for contributing their talents by presenting a class or seminar.
What will you name your business?
Choosing the right name is very important. If you don’t have a name in mind already, read our detailed guide on how to name a business or get some help brainstorming a name with our Summer Camp Business Name Generator.
Then, when registering a business name we recommend checking if the business name is available in your state, federally by doing a trademark search, searching the web, and making sure the name you choose is available as a web domain to secure it early so no one else can take it.
After registering a domain name, consider setting up a professional email account (@yourcompany.com). Google's G Suite offers a business email service that comes with other useful tools, including word processing, spreadsheets, and more. Try it for free
STEP 2: Form a legal entity
Establishing a legal business entity such as an LLC prevents you from being personally liable if your summer camp is sued. There are many business structures to choose from including: Corporations, LLC's, and DBA's.
Form Your LLC
Read our Guide to Form Your Own LLC
Check out the Top Business Formation Services from our friends at StartupSavant.
You should also consider using a registered agent service to help protect your privacy and stay compliant.
STEP 3: Register for taxes
You will need to register for a variety of state and federal taxes before you can open for business.
In order to register for taxes you will need to apply for an EIN. It's really easy and free!
You can acquire your EIN for free through the IRS website, via fax, or by mail. If you would like to learn more about EINs and how they can benefit your LLC, read our article, What is an EIN?.
STEP 4: Open a business bank account & credit card
Using dedicated business banking and credit accounts is essential for personal asset protection.
When your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) are at risk in the event your business is sued. In business law, this is referred to as piercing your corporate veil.
Additionally, learning how to build business credit can help you get credit cards and other financing in your business's name (instead of yours), better interest rates, higher lines of credit, and more.
Open a business bank account
- This separates your personal assets from your company's assets, which is necessary for personal asset protection.
- It also makes accounting and tax filing easier.
Read our Best Banks for Small Business guide to find the best national bank, credit union, business-loan friendly banks, one with many brick-and-mortar locations, and more.
Recommended: BlueVine is an online bank with free business checking and no hidden fees. Great for businesses who do not often deal with cash.
Get a business credit card
- This helps you separate personal and business expenses by putting your business' expenses all in one place.
- It also builds your company's credit history, which can be useful to raise money and investment later on.
STEP 5: Set up business accounting
Recording your various expenses and sources of income is critical to understanding the financial performance of your business. Keeping accurate and detailed accounts also greatly simplifies your annual tax filing.
STEP 6: Obtain necessary permits and licenses
Failure to acquire necessary permits and licenses can result in hefty fines, or even cause your business to be shut down.
State & Local Business Licensing Requirements
Certain state permits and licenses may be needed to open a summer camp business. In particular, altering a campground may require a campground operating license. Learn more about licensing requirements in your state by visiting SBA’s reference to state licenses and permits.
In addition, certain local licensing or regulatory requirements may apply. For more information:
- Check with your town, city or county clerk’s office
- Get assistance from one of the local associations listed in US Small Business Associations directory of local business resources.
Most businesses are required to collect sales tax on the goods or services they provide. To learn more about how sales tax will affect your business, read our article, Sales Tax for Small Businesses.
Laws regulating summer camps vary from state to state. For example, in many states, all camp employees are required to submit to criminal background checks.
STEP 7: Get Business Insurance
Just as with licenses and permits, your business needs insurance in order to operate safely and lawfully. Business Insurance protects your company’s financial wellbeing in the event of a covered loss.
There are several types of insurance policies created for different types of businesses with different risks. If you’re unsure of the types of risks that your business may face, begin with General Liability Insurance. This is the most common coverage that small businesses need, so it’s a great place to start for your business.
Learn more about General Liability Insurance.
Another notable insurance policy that many businesses need is Workers’ Compensation Insurance. If your business will have employees, it’s a good chance that your state will require you to carry Workers' Compensation Coverage.
STEP 8: Define your brand
Your brand is what your company stands for, as well as how your business is perceived by the public. A strong brand will help your business stand out from competitors.
How to promote & market a summer camp
Creating a website is the best way to provide positive images and detailed information about your camp, as well as collect contact information from potential customers. Brochures that include photos of the various activities your camp offers are also an effective promotional tool. Schools, recreation centers, churches and other locations where families gather are good places to distribute them. Social media is a great way to keep in touch with former campers throughout the year, post information about upcoming activities and offer special sales promotions for new and returning customers.
How to keep customers coming back
The success of a summer camp business depends on building a reputation that inspires a high level of trust. Parents require assurance that the physical and emotional safety and well-being of their children while in your care is your utmost priority. While the internet may provide information about your staff and services, nothing can replace face-to-face interaction. One good way to personally introduce yourself and your new business to the community is by contacting schools in the surrounding area and requesting permission to give a short presentation. Despite the far-reaching marketing magic of internet technology, the most effective form of advertising is still word of mouth from parents of happy campers.
STEP 9: Establish your Web Presence
A business website allows customers to learn more about your company and the products or services you offer. You can also use social media to attract new clients or customers.
Start A Summer Camp In Your State
Select your state below for an in-depth guide on completing each of these steps in your home state.
Is this Business Right For You?
This business is a good choice for people who love teaching, but prefer a beautiful natural setting to a formal classroom. High-energy individuals thrive on the combination of physical and mental activity this type of business provides. Creative people welcome the challenge of providing fun, interesting, and engaging songs, games, and educational activities for campers. Those who enjoy working with and enriching the lives of children and families experience a high level of job satisfaction within this industry.
Want to know if you are cut out to be an entrepreneur?
Take our Entrepreneurship Quiz to find out!
What happens during a typical day at a summer camp?
Day-to-day activities of a summer camp business include:
- Communicating with past customers about their experiences and potential future customers about how summer camp programs can meet their needs
- Providing training, leadership and guidance for staff members
- Ensuring that the grounds and premises are safe and properly maintained
- Developing educational curriculum and promotional materials
- Participating in physical and educational activities with staff and clients
What are some skills and experiences that will help you build a successful summer camp?
- Communication and relationship-building skills are essential. Statistics show that summer camp staff commonly return each year. Achieving that consistency reduces training costs, increases successful teamwork and builds community trust.
- Market research skills are helpful for keeping abreast of popular trends and developing unique camp curriculums not offered by competitors.
- Management skills are required for hiring and supervising qualified staff.
What is the growth potential for a summer camp?
Many summer camp businesses are third and fourth generation family businesses. However, the industry has expanded to the extent that franchise opportunities are now available.
TRUiC's YouTube Channel
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Take the Next Step
Find a business mentor
One of the greatest resources an entrepreneur can have is quality mentorship. As you start planning your business, connect with a free business resource near you to get the help you need.
Having a support network in place to turn to during tough times is a major factor of success for new business owners.
Resources to Help Women in Business
There are many resources out there specifically for women entrepreneurs. We’ve gathered necessary and useful information to help you succeed both professionally and personally:
If you’re a woman looking for some guidance in entrepreneurship, check out this great new series Women in Business created by the women of our partner Startup Savant.
How and when to build a team
Unlike other types of businesses, a summer camp business requires owners to have a team in place before opening the business. Depending on the type of camp, team members may include instructors, camp counselors, nurses, and cooks. There are several governmental programs you can utilize to help build your team. For example, one program offers tax incentives for camps that hire veterans.