How to Open a Snorkeling Business

Thursday, May 16, 2013

How to Open a Snorkeling Business

Snorkeling offers some of scuba diving’s visual benefits, but does not require certification or expensive dive gear. A snorkeler requires only a mask, fins and a snorkel that allows him to breathe air from the surface. Many snorkelers flock to tropical destinations, such as the Caribbean and Hawaii, as those snorkeling sites offer crystal-clear water through which to view colorful fish and underwater habitats. Gulf of Mexico waters near Houston vary in visibility because of strong currents, but other Texas coastal destinations, such as South Padre Island, offer sufficiently clear water to provide attractive snorkeling destinations.

Step 1

Structure your snorkeling business. Work with a Certified Public Accountant to select the best organizational structure for your snorkeling business. Common business formats include sole proprietorships, S corporations and limited liability companies. Ask your accountant to list the advantages and disadvantages of each business entity. Request examples of similar recreational businesses operating under each structure.

Step 2

Complete your organizational and licensing logistics. Contact your city or county clerk’s office to obtain a business license, and ask about other permits needed to operate in that jurisdiction. In the Houston area, the process is streamlined to encourage small business development. Call or visit the City of Houston’s One Stop Business Center for free license and permit information, referrals to other agencies and a “Getting Started” Packet addressing many business concerns.

Step 3

Meet your insurance and tax requirements. Work with a commercial insurance agent familiar with the risks of service businesses, as well as the special circumstances encountered by a water-based recreational business. Ask about business liability insurance, as well as your need for other liability coverage. Contact your state department of revenue about your need for a sales tax license.

Step 4

Lease a business and equipment storage location. Locate a visible, convenient storefront that includes rental equipment storage space. If you plan to conduct retail equipment sales, ensure your location has sufficient floor display space. Contact your city’s zoning department to confirm the city allows a retail business at that location. Work with a sign-maker to create colorful exterior signage that showcases your snorkeling business.

Step 5

List your snorkeling business competitors. Identify other regional businesses that conduct snorkeling trips and also rent or sell snorkeling equipment. Many dive shops sell snorkeling equipment in addition to scuba gear, so these shops represent your primary retail competition. List accessible big box and sporting goods stores as well.

Step 6

Purchase your wholesale snorkeling equipment. Estimate the number of people you can easily accommodate on a snorkeling trip, and list the collective snorkeling equipment required for those customers. Include snorkels, masks and fins for adults and children. Stock gear-transport bags, and consider beach shoes and sun protection gear. Order additional equipment to adequately stock your retail operation, if applicable.

Step 7

Outfit a snorkeling trip transport vehicle. Ask your accountant if it is appropriate to purchase or lease a vehicle to transport your customers to snorkeling destinations. Based on her advice, obtain a suitable vehicle, such as a multiple-seat van. Consult your state department of motor vehicles for licensing and registration requirements. Work with a sign company to create colorful exterior vehicle graphics that serve as a mobile billboard.

Step 8

Hire personable and experienced staff. Find outgoing employees who are familiar with regional snorkeling and diving destinations. Post campus bulletin board notices for college students with flexible schedules. Place newspaper help-wanted ads for workforce veterans seeking a new career. Outfit your staff in matching attire for a professional image.

Step 9

Market your snorkeling business. Work with a graphics designer to create colorful rack cards that vividly describe your snorkeling business. Ask regional visitor centers to add your cards to their centers’ displays. Contact hotel marketing directors about favorable snorkeling trip rates for hotel guests. Call your city’s convention and visitors’ bureau about upcoming recreational expositions. Showcase your snorkeling business in front of prospects seeking an enjoyable water-based experience with a minimum investment.

Things Needed

Sketch of your exterior building signage
List of regional dive shops
List of regional big box stores
List of regional sporting goods stores
Wholesale snorkeling equipment order
Written requirements for a transport vehicle
Sketch of your transport vehicle graphics
Copy for campus bulletin board notices
Copy for help-wanted ads
Matching staff attire
Written rack card information
List of regional visitor centers
List of regional hotels
List of regional recreational expos

References (4)

Resources (3)

Photo Credits(3)

1 comment:

UnknownMay 27, 2013 at 6:39 PM
Nice I also share with you something hope this helpful for you my friends. Don't let a Realtor (who represents landlords) show you space all over town. This will effectively create commission splitting between the property's listing agent and the outside agent. It will also undermine your negotiating power, as the agent will know how you feel about every location. Realtors may be helpful in pointing out a good location--but will they negotiate aggressively on your behalf if it means jeopardizing their landlord-paid commission? (The higher the rent, the higher the agent's commission.) Even the most altruistic agent will struggle trying to serve two masters. Check it out thanks.
small business leasing
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Easy Tips and Ideas to Start Business

Although anyone can start a business, many people fail because of a bad product or improper research. If you want to start your own business, you can improve your chances for success before you even begin. In order to make your business successful, start strong and make sure that your idea will hold out for the long haul.

Have a Good Product

Ensure that you plan to sell something useful. Although you may think that your product is important or special, that doesn't mean the general public will agree. Ask friends, family and strangers what they think of your product. If they don't seem that interested, ask them why. With their suggestions, you can either improve the product or scrap the idea completely. According to Brad Sugars of Entrepreneur magazine, most small businesses fail because they sold a product that didn't have an adequate market. This also applies to small businesses that provide a service. A lawn-care business might be useful for part of the year in a northern state, but it is in-demand year-round in the south. Consider whether people will actually want to use your service and get constructive advice from those not afraid to give their opinion.

Research Local Businesses

Research local companies before starting up your own business. This will not only give you an idea of the amount of competition you will have, but it will also help you price your product or service. If you're looking to start a wedding photography business, you may find during your research that the market is over-saturated in your area. If not over-saturated, you should contact each business and ask them for a price list. Alter your prices so you can stay competitive with the competition in town. Researching similar local businesses will also help you decide where to locate your business location. Try not to start up a store or office close to another business of your type. If your small business is located away from similar business types, this will cause locals to choose you over businesses that are farther away from where they live.

Get Professional Advice

You may know someone who has started their own successful business. Ask him for advice and listen to his stories of how he started his company. You may gain useful advice on the good and bad ways to start a business. Local entrepreneurs can also introduce you to local product providers or advertisers that you may not have met without their help. Accept any advice with open arms, especially if the advice is coming from someone successful in the area.

How to Calculate Business Start Up Costs

Starting a business in no easy endeavor. It takes a great deal of research, perseverance and hard work. While sweat equity will make your small business more successful, you will most likely need real capital to get the business started. Before you start raising capital and/or investing your own funds, the first thing you need to do is determine the total start-up costs.

Step 1

Determine your costs of sales. For most small businesses this means inventory, the cost of raw materials, manufacturing equipment, shipping, packaging, and warehousing. However, not all businesses sell products. In this case, the cost of sales is primarily the direct labor involved in making the sale. For example, to open a small shoe business entails purchasing enough inventory ($10,000) to stock the store.

Step 2

Determine professional fees. Planning your business structure, i.e., limited liability corporation or general partnership, means hiring an attorney. There may also be the need to pay an attorney for help with establishing trademarks, copyrights, and patents. In this scenario, that puts total professional fees at an estimated $20,000.

Step 3

Determine technology costs. Technology can greatly reduce the cost of labor for small business if used effectively. Most small businesses require computers, printers, cell phones, website development, Internet access, software applications, information security, data storage, and outsourced information technology (IT) consulting. If the cost of technology is $10,000 to start, add an additional $5,000 a year for maintenance (hint: maintenance is not included in start-up costs).

Step 4

Determine administrative costs. This varies with business types and may include items such as business insurance, office supplies, product packaging, parking, rent, express shipping, desks, chairs, fax machines, phones, or anything else necessary to operate the business daily. A good estimate for start-up administrative costs would be $5,000 for the first six months.

Step 5

Determine initial sales and marketing costs. Now that you have your product, you need to let folks know about it. Sales and marketing costs generally include marketing materials for presentations, printing stationery, business cards, advertising, trade show events, and public relations. These initial sales and marketing costs can add up to $3,000.

Step 6

Determine the wages and benefits needed to secure a staff. This includes employee salaries, benefits, workers compensation, and payroll taxes. Let's put the cost of wages and benefits estimated at $20,000 for the first three months of business.

Step 7

Add all costs associated with starting the business for a total. Be sure to only include business start-up costs that will be incurred in the first three to six months of operations. For this example, the calculation is: $10,000 + $20,000 + $10,000 + $5,000 + $3,000 + $20,000 = $68,000.

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Thursday, May 16, 2013