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Today, the sport’s industry is big business, with billions of dollars being pumped in every day from around the world. Building and running a sports complex can be a high paying and rewarding investment, provided you have a plan on how to go about it. However, founders should always keep in mind that get a sports complex running generally requires acquiring significant investments. Hence a certain amount of caution and proper planning is always required.
Here are a few tips that will help guide you in the right direction to optimise your sports complex business right from the word go.
Type of complex – At the start, decide on the type of sports complex that you want to set up. There are typically three options before you, an outdoor sports complex, an indoor sports complex or, lastly, a water sports complex. You can of course plan to integrate all three in one location but that would be an Olympic-sized venture, not for the faint at heart. What you choose to build will have a significant impact on any investments, the area of land required and the venture’s business plan.
Have a business plan – The importance of this cannot be over emphasised and to get your plan right, it is always recommended you hire an expert business consultant to assist you. Consultants have more experience in structuring business plans and will know how to best optimise your project. A business plan should also have a flow chart giving the projected completion time and any investments required. At a micro level, it will also lay out tactics to maximise marketing or publicity and fix investment returns so that your venture becomes a profit generating entity in the shortest possible time.
Such a business plan is so comprehensive that you can even submit the document to lenders or financial institutions to obtain credit and even use it as an investment proposal for new partners or investor.
Choose a location – This will again be based on the type of complex that you wish to set up with larger facilities, such as the outdoor sports facility will require significantly more land than the requirements for water sports complex. It is also recommended you select a location on the outskirts of your city or town, to accommodate the other surrounding facilities needed. Areas like parking lots and future expansion should also be considered as they can lead to potential barriers for any future customers. Some investors will even construct accommodation for trainees, staff, or teams to cut down on commuting time and entice sporting athletes to come. Talk to a reputed property lawyer in Melbourne, or wherever you are setting up your venture, to ensure you are legally able to use the land as needed for any future building plans.
Get the best equipment – This is typically the thing that differentiates top sports complexes from mediocre ones. While a big investment, it is not an everyday purchase, so it is important that that you only acquire quality equipment. If you want to attract world-class athletes and events, then be prepared to install world-class facilities, from indoor or outdoor tracks to full sized, international sporting fields. Also think about your maintenance needs, like installing proper drainage systems and protective tools to ensure your equipment is kept in good condition.
Also do not neglect spectator facilities including comfortable chairs, sufficient washrooms and canteen facilities. This will be your primary revenue generating channel and there should be an environment that should keep the turnstiles ticking away.
Finally, start small and add facilities as you grow, not only will this help you build up a reserve, it can also prevent any overinvestments during early stages.