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We seldom attend an event, whether it’s a birthday celebration or a fundraiser, that doesn’t have an inflatable bounce house. Indeed, it has grown in popularity to the point that children are throwing birthday parties centred on bounce houses, and adults are integrating bounce houses in their adult-only parties as well.

 Inflatable Bounce House

Bounce house enterprises are often set up in two ways. Customers may opt to hire bouncy houses for a celebration. Other bounce house companies are set up to operate out of shops, where they fill the room with various inflatables and charge a fee for children to enter.

Follow these ten steps to start an inflatable bounce house business:

Make a plan for your inflatable bounce house business.

Create a legal entity for your inflatable bounce house business.

Taxes must be registered for your inflatable bounce house business.

Create a Business Bank Account and a Credit Card

Create an accounting system for your inflatable bounce house business.

Get the Permits and Licenses You Need for Your Inflatable Bounce House Business

Get Commercial Inflatable Bounce House Insurance

Create a brand for your inflatable bounce house business.

Make a website for your inflatable bounce house business.

Configure your Business Phone System

Starting a company entails more than just registering it with the state. We’ve put up an easy guide to getting started with your inflatable bounce house company. 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 an inflatable bounce house business?

Starting an inflatable bounce house rental business involves very little capital. Each bounce house costs roughly $1,500 plus $200 for delivery. Consider purchasing at least one combination unit, which will cost you about $2,800. You’ll also need to pay for a dependable truck capable of transporting many bounce houses at once, as well as a trailer for busy delivery days.

Your expenditures will be much greater if you choose a storefront site. You’ll need a huge, open structure and the assistance of an architect to properly organise the area. The structure should have a variety of bounce houses as well as modest rooms for holding birthday celebrations. To create an indoor bounce house facility, the total cost for franchising potential ranges from $166,000 to upwards of $250,000.

After you’ve secured your location, you may begin filling your inventory:

Multiple bounce houses ranging in price from $1,500 to $2,800 apiece.

Tables, seats, soda machines, and kitchen equipment for food and drink

Party rooms, complete with tables, seats, and decorations

Whatever route you choose, you’ll need the following items:

Insurance policy – Consult with a reputable insurance provider about the sort of liability coverage your company needs.

Promotional items


What are the continuing costs of running an inflatable bounce house company?

These fees will, once again, vary depending on how you chose to set up your firm. Budget for the following goods, according to experienced storefront company owners:

Cleaning materials

Labor and payroll expenses

Costs of energy


Insurance for General Liability

Commercial insurance

Replacement and repair of damaged equipment

As a rental company, you will incur the following expenditures in addition to the ones listed above:

Vehicle maintenance and repairs


Insurance and employment expenditures will consume the majority of your cash regardless of how you organise your company.

Who is the intended audience?

While many adults are now throwing bounce house parties, the bulk of your company will appeal to children who are celebrating birthdays, graduations, family reunions, and other significant life milestones. Churches, corporations, and fundraising events are all excellent places to direct your marketing efforts.

How does a company that sells inflatable bounce houses earn money?

Each event where a bouncy house is delivered generates cash for inflatable bounce house rental providers. Storefronts charge an admission fee for each kid and often organise group birthday celebrations for younger children.

How much money may you charge your customers?

Prices vary according to geography and the products and services offered. Regular inflatables cost $125 for four hours, toddler homes cost $80 to $250, depending on your demands, and combination bouncers cost $250.

Admission at inflatable storefront sites is between $7 and $10 per kid, while private parties begin at $250 for twenty children. Before you select your rates, look into the typical prices of nearby companies.

How much money can an inflatable bounce house company make?

According to industry studies, a bounce house costs $188 per week for an average of 1.5 rentals each week. If you invest in four bounce houses, your firm will generate around $750 every week.

How can you increase the profitability of your company?

Consider the following ideas for increasing your inflatable bounce house profits:

Provide extra party services including slides, interactive games, dunk tanks, carnival attractions, face painting, tents, tables, chairs, sound equipment, and food.

Arcades, laser tag, food, and beverages are examples of indoor enterprises.

During the summer, spring break, and Christmas break, indoor enterprises might host special activities such as day camps.

STEP 2: Establish a legal entity

Sole proprietorship, partnership, limited liability company (LLC), and corporation are the most frequent business structure forms.

If your inflatable bouncy house company is sued, forming a formal business organisation, such as an LLC or corporation, prevents 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

To run a bounce house business, certain state permissions and licences may be required. Visit the SBA’s reference to state licences and permits to learn more about licencing requirements in your state.

Furthermore, local licencing or regulatory restrictions may apply. For additional information on local licences and permissions, please 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.

Liability Release

Bounce house companies should have their customers sign a release of responsibility form to prevent liabilities and any litigation. A sample of such a waiver is available here.

When you join up for Rocket Lawyer’s premium membership, you can easily produce a professional release of liability form for your bounce house company. Members have access to hundreds of legal agreements and on-call lawyers for free legal assistance for $39.95 each month.

Occupancy Certificate

A bounce house company might operate from a big shop or a huge outdoor venue. 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 acquire a valid CO for a bounce house 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 want to buy or construct a space:

It is your responsibility to secure a valid CO from a local government entity.

Examine all building rules and zoning standards for your business’s location to verify compliance and the ability to acquire 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 Market and Promote an Inflatable Bounce House Business

Social networking is an excellent tool for reaching a big number of individuals. The objective of your marketing is to appeal to both youngsters and their parents. This entails being a bit more inventive with the company’s advertising. Consider placing an advertisement in local school yearbooks. Donating your facilities or an inflatable for a daycare, school, or church event is an excellent opportunity to promote your company while also giving back to the community.

How to Keep Customers Returning

Customer retention is determined by competitive pricing and the quality of products and services offered. Consider implementing a referral and recurring customer programme in which individuals or groups get a discount on rental fees or parties after a particular number of visits or recommendations.

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.