A circus is a diverse group of performers that execute different performances to amuse and wow an audience. It may range from acrobats to trapeze artists to trained animals performing spectacular routines and feats. Circuses may be nomadic and travel from site to location, or they might opt to settle in one area for an extended length of time.
Table of Contents
Follow these ten steps to start a circus business:
Plan your Circus Enterprise
Create a legal entity for your circus business.
Register your circus for tax purposes.
Create a Business Bank Account and a Credit Card
Create an accounting system for your circus business.
Get the Permits and Licenses You Need for Your Circus Business
Purchase Circus Business Insurance.
Create a circus business brand.
Make a website for your circus business.
Configure your Business Phone System
Starting a company entails more than just registering it with the state. This basic guide to establishing your circus company has been put together by us. These stages will guarantee that your new company is well-planned, correctly registered, and legally compliant.
STEP 1: Make a business plan.
A well-thought-out strategy is vital for entrepreneur success. It will assist you in mapping out the intricacies of your organisation and uncovering some unknowns. Consider the following crucial topics:
What are the initial and continuing expenses?
Who is your intended audience?
How much money may you charge your customers?
Fortunately, we have done a lot of the legwork for you.
What are the expenses associated with starting a circus?
The specific expenditures to get started rely heavily on the format of the broadcast. Without animals, large venues, or expensive equipment, owners may potentially start with almost nothing (especially if they rely mainly on acrobatics.) To delay extra expenditures, they may even give their initial staff profit-sharing rather than full compensation.
What are the continuing costs of running a circus?
Ongoing costs might range from equipment repair to salary to general advertising. Each circus will have its own budget dependent on who it caters to and how intricate its acts are.
Who is the intended audience?
For many years, a circus was mainly intended for wealthy families who could afford to spend money on a day of entertainment. Cirque du Soleil, on the other hand, has pushed more adult-themed material into the market. Clubs now engage tiny circus troupes to entertain their clientele, and parents hire acrobats to entertain their children at birthday celebrations. As a result, the business model is adaptable enough to change the demography depending on who is most likely to use the services.
How does the circus generate money?
A circus charges customers each ticket or per performance depending on factors such as personnel pay and venue costs. The goal is to guarantee that the ticket price can adjust for unexpected budget drops or underperforming locations or time periods.
How much money may you charge your customers?
A single ticket to one of Vegas’ most popular performers may cost up to $300 or more. A smaller circus’s charges are typically determined by the breadth of the show. A circus, for example, may provide ten different performances but only charge a corporate event for two since that is all the facility can handle.
What kind of profit can a circus make?
Circuses may generate a lot of money if they establish their niche. If a tiny circus charges $2,000 each night to play at clubs and has a 15% profit margin, they would generate around $108,000 in pure profit if they performed every night.
How can you increase the profitability of your company?
Profits may be increased by collaborating with other circus performers. A small circus, for example, may like to lend some of its greatest performers to a bigger event. This sort of cooperation not only fosters long-term connections, but it may also be an excellent method to discover new acts or performance art that might possibly bring larger audiences.
STEP 2: Establish a legal entity
Sole proprietorship, partnership, limited liability company (LLC), and corporation are the most frequent business structure forms.
If your circus company is sued, forming a formal business entity, such as an LLC or corporation, safeguards you from being held personally accountable.
STEP 3: File your taxes
Before you can begin for business, you must register for a number of state and federal taxes.
To register for taxes, you will need to get an EIN. It’s really simple and completely free!
Taxes on Small Businesses
Depending on the business form you choose, you may have multiple choices for how your company is taxed. Some LLCs, for example, may benefit from being taxed as a S company (S corp).
These guides will teach you more about small company taxes:
Taxes on LLCs
LLC vs. sole proprietorship
Corporation vs. LLC
S Corp vs. LLC
How to Form a S Corporation
S Corporation vs. C Corporation
There may be state taxes that apply to your company. In our state sales tax guides, you may learn more about state sales taxes and franchise taxes.
STEP 4: Establish a company bank account and credit card
Personal asset protection requires the use of distinct business banking and credit accounts.
When you combine your personal and business accounts, your personal assets (your house, vehicle, and other possessions) are at danger if your company is sued. This is known as penetrating your company veil in business law.
Furthermore, understanding how to develop corporate credit may help you get credit cards and other financing in your company’s name (rather than your own), lower interest rates, larger lines of credit, and other benefits.
Establish a business bank account.
Opening a business bank account is not only required when asking for business financing, but it also:
Separates your personal assets from the assets of your firm, which is required for personal asset protection.
It simplifies bookkeeping and tax reporting.
Create a net 30 account.
Net 30 accounts are used to develop and grow company credit while also increasing cash flow. Businesses use a net 30 account to purchase items and refund the whole debt within a 30-day period.
Many net 30 credit suppliers submit information to the main business credit agencies (Dun & Bradstreet, Experian Business, and Equifax Business Credit). This is how firms establish business credit in order to get approved for credit cards and other lines of credit.
Apply for a business credit card.
Obtaining a business credit card benefits you in the following ways:
Put all of your company’s costs in one location to separate personal and business spending.
Build your company’s credit history, which will be important for raising funds in the future.
STEP 5: Establish business accounting
Recording your numerous costs and sources of revenue is crucial to assessing your company’s financial status. Keeping precise and thorough accounting also makes yearly tax filing much easier.
STEP 6: Obtain all required permissions and licences
Failure to get appropriate permissions and licences may result in significant penalties or possibly the closure of your firm.
Requirements for State and Local Business Licensing
Certain state permissions and licences may be required to run a circus. Visit the SBA’s reference to state licences and permits to learn more about licencing requirements in your state.
For information on local licences and permissions, visit:
Check with the clerk’s office in your town, city, or county.
Contact one of the local organisations mentioned in the US Small Business Associations database of local business resources for help.
Occupancy Certificate
A circus is often conducted from a huge event location. A Certificate of Occupancy is often required for businesses that operate from a physical site (CO). A certificate of occupancy certifies that all building rules, zoning laws, and government requirements have been satisfied.
If you intend to rent a space:
In most cases, it is the landlord’s obligation to get a CO.
Before leasing, ensure that your landlord has or can get a valid CO for a circus company.
A new CO is often required after a big remodelling. If your location will be refurbished before opening, incorporate wording in your leasing agreement saying that lease payments would not begin until a valid CO is given.
If you intend to buy or create a location:
It is your responsibility to secure a valid CO from a local government entity.
Examine all building laws and zoning standards for your business’s site to guarantee that your circus is in compliance and may receive a CO.
STEP 7: Obtain commercial insurance.
Insurance, like licences and permits, is required for your company to operate safely and legally. In the case of a covered loss, business insurance protects your company’s financial well-being.
There are several sorts of insurance plans designed for various types of companies with varying risks. If you are unaware about the hazards that your company may encounter, start with General Liability Insurance. This is the most popular coverage required by small companies, so it’s a good place to start for yours.
Workers’ Compensation Insurance is another important insurance product that many companies need. If your company will have workers, your state may require you to purchase Workers’ Compensation insurance.
STEP 8: Establish your brand
Your company’s brand is what it stands for, as well as how the public perceives it. A strong brand will help your company stand out from the crowd.
How to Promote and Market a Circus
The press will play an important role in advertising a circus. Large displays elicit big emotions, so the press must believe they understand what the circus is doing and why. Any press packages must be technically flawless while also being engaging and fascinating enough to guarantee that people comprehend the big vision. Smaller clientele, such as businesses, families, or club owners, might be attracted via internet advertising, fliers, and newspaper advertisements.
How to Keep Customers Returning
Clients and consumers alike are anticipating a strong response. Unfortunately, the world has become desensitised, therefore people are seeking for something that is both extravagant and unforgettable. Acts should be structured, topical, and unique in order to inspire and drive people’s imaginations.
STEP 9: Create your company’s website.
After you’ve defined your brand and designed your logo, the next step is to build a website for your company.
While developing a website is an important step, some may be concerned that it is out of their grasp due to a lack of website-building skills. While this was a fair concern in 2015, online technology has made significant advances in recent years, making the lives of small company owners considerably easier.
The following are the primary reasons why you should not put off developing your website:
Every genuine company has a website, period. When it comes to bringing your company online, it doesn’t matter what size or sector it is.
Social media accounts, such as Facebook pages or LinkedIn company profiles, are not a substitute for your own business website.
STEP 10: Install your company phone system.
Getting a phone for your company is one of the finest methods to keep your personal and professional lives distinct and private. That isn’t the only advantage; it also helps you automate your company, provides it legitimacy, and makes it simpler for prospective clients to identify and contact you.