Boucing Castle Business Start Up

Novice1

Hi there,

Just looking for a bit of advice here. I'm contemplating in setting up a bouncing castle business down south and wondering is there any funding available for start ups?

I have checked the local enterprise boards but they state that I must be manufacturing the end product.

I've carried out a detailed research and have identified the main and the most successful companies in the area.

A question that i want to know, and advice would be greatly appreciated:
must I register the business for VAT if I'm trading as a sole trader?

Many thanks!

Thoie

Novice1 wrote: »

A question that i want to know, and advice would be greatly appreciated:
must I register the business for VAT if I'm trading as a sole trader?

Many thanks!

http://www.revenue.ie/en/tax/vat/registration/index.html#reg2

Loosely, you'd only have to register for VAT if your turnover is more than €37,500, but you may register for VAT even if your turnover is less than that.

Novice1

Cheers for that, I spotted that alrite.

If I operate as a sole trader, I assume I'll be classified as self employed...

I have a day job, will this effect my tax bands?

Thanks for the reply too!

Thoie

Novice1 wrote: »

Cheers for that, I spotted that alrite.

If I operate as a sole trader, I assume I'll be classified as self employed...

I have a day job, will this effect my tax bands?

Thanks for the reply too!

Yes, it will affect your tax bands, but how depends on your personal circumstances. For example, if you are single, and earning less than €32,800, but the income from your new business pushes your income over that band, then you'd be liable for tax at the higher rate. The company you work for wouldn't know that, and would be calculating your PAYE incorrectly.

Some companies have a clause in their contract saying that you need to let them know if you're going to work a second job. If yours includes that, it might be worth picking payroll's brain when you're letting them know - they may be able to give you more details on how to juggle PAYE and self-employed at the same time. Failing that, it might be worth having a quick consultation with an accountant.

Normally I'd say simple self-employed taxes can be done yourself, but I don't know how the PAYE affects things.

Gloomtastic!

Novice1 wrote: »

I've carried out a detailed research and have identified the main and the most successful companies in the area.

I know a few people who have/had bouncy castle businesses. It's a very competitive marketplace, with lots I people wanting to get out because they can't make any money.

Instead of buying new, look to buy out someone else. You could save yourself a fortune.

Novice1

Gloomtastic! wrote: »

I know a few people who have/had bouncy castle businesses. It's a very competitive marketplace, with lots I people wanting to get out because they can't make any money.

Instead of buying new, look to buy out someone else. You could save yourself a fortune.

Thanks for that, yeah it seems competitive but there are only 3/4 really good providers in Cork who are really on their game.

Have you a rough idea Gloomtastic of the initial start up costs? I've estimated it to be €18k inc. van (05) and storage unit, 5 popular castles with slides plus insurance and flyers?

highlandseoghan

Van is going to cost you between 3 - 4 grand
Castles are going to cost 700 - 1500 second hand
Insurance ????
Flyers 5000 A5 €150
Signage on van €500 - €1200 depending on how much detail you go.

You say 5 castles with slides, dont start off with all your castles having slides some people will just want basic castles for there kids birthdays. You will also need different sizes so you could get small medium large 1 off each and then a combi castle and one with a slide.

Why are you getting storage for the castles, why not store them in the van and just put extra secure locks on the van or if you had a shed make it secure and store them there. Keep your expenses down while starting off.

You could get the van looking great with signage and use it to commute to and from work (your paye job) that way it could help generate extra business for you.

Gloomtastic!

Novice1 wrote: »

Thanks for that, yeah it seems competitive but there are only 3/4 really good providers in Cork who are really on their game.

Have you a rough idea Gloomtastic of the initial start up costs? I've estimated it to be €18k inc. van (05) and storage unit, 5 popular castles with slides plus insurance and flyers?

No idea of start-up costs but I do know that the three people I know in the bouncy castle business have another business working alongside it. Summer is your busy time, winter is very quiet, so you will need something to keep you going October - May. Have you any other ideas?

Novice1

Gloomtastic! wrote: »

No idea of start-up costs but I do know that the three people I know in the bouncy castle business have another business working alongside it. Summer is your busy time, winter is very quiet, so you will need something to keep you going October - May. Have you any other ideas?

I have looked into very much, including all the overheads etc.

I did think of the idea of storing the units in the back of the van as I drove to work, but a lad who currently is operating in the business claims that it will kill the van as the weigh up to 100kg for some units.

I'm aware that they are most busy between March and Aug, but for May alone they have a return of €4k plus, that is huge!!!

I have thought of extra activities such as Facepainting, Ballons etc..

Gloomtastic!

We always like May!

Novice1

Gloomtastic! wrote: »

We always like May!

I can imagine! Have u invested in a website?