How To Start An Inflatable Bounce House Business

Bounce houses are popular for birthday parties, fundraisers, school events, local fairs and other community gatherings. If you are looking to start your own part-time business then you must consider some key steps to launch your own bounce house rental startup.

If you enjoy interacting with event and party organizers, then we are here to guide you on how to start an inflatable bounce house business. They are so common at birthday parties, business gatherings, and fundraising events because almost all children like bouncing. Start with one inflatable and gradually add more as your company expands. The majority of events take place in the evenings or on weekends, making it the ideal part-time business that, if a following is built, can be converted into a full-time endeavor. Businesses that provide bounce houses often operate in one of two ways.

For a party, some folks decide to hire bounce houses for guests. Other bounce house companies are organized to operate from storefronts, where they fill the area with various inflatables and demand a fee for entry.

To be an entrepreneur, though, you need to understand the startup process of any business. Fortunately, this step-by-step guide on how to start an inflatable bounce house business has all the relevant information you need to smash your entrepreneurial know-how and put you on the road to long-term success. So, let’s get started with some key ideas for building a successful bounce house rental company of your own.

10 Steps On How To Start An Inflatable Bounce House Business

Starting a business involves more than just filing the necessary paperwork with the government. In this guide, we will help you how to start your own bounce house business. These measures will guarantee that your new company is correctly registered, well-planned, and in compliance with all applicable laws.

Let’s get started.

Step 1: Choose Whether The Business Is The Right Fit For You

First and foremost you have to decide whether the business is right for you. When starting an inflatable bounce house business, you must consider the following points:

Pros And Cons

Before choosing if starting an inflatable bounce house business is correct for you, analyze the pros and cons.

  • You can spread joy by making kids happy.
  • You can easily earn hundreds at each event
  • Work from home, unless you want to go out to party.
  • Weather cancellations do happen
  • Precautions are required to avoid accidents that put one at risk of liability

Industry Trends For Inflatable Bounce Houses

  • Industry size and growth. In 2022, the US party supply rental market is expected to be valued at $5.5 billion, an increase of 16% over the current year.
  • A number of companies. In 2022, there were 9,835 rental companies for party supplies in the US.
  • The number of employed people. In the US party supply rental sector in 2022, there were 45,159 workers

Trends And Challenges

  • Trends
    • Inflatable obstacle courses are becoming more and more common, and they are frequently encountered at indoor party venues.
    • With games like inflatable basketball and inflatable boxing, inflatable interactive games are another emerging trend.
  • Challenges
    • Injury incidents at bounce houses are highly frequent, necessitating strict safety measures and oversight.
    • Each state has its own standards governing inflatable bounce houses, so it’s critical to be compliant and up to date.

Step 2: Create A Business Plan

Being a successful entrepreneur requires having a well-defined plan. You can use it to map out your company’s specifics and identify some unknowns. A few crucial subjects to think about are:

What About The Startup And Ongoing Costs?

There are generally few startup costs involved with renting out inflatable bounce houses. Here is how much it costs to start a bounce house business. The typical cost of a bounce house is $1,500 plus $200 for shipping. You should think about purchasing at least one combo unit, which will cost you about $2,800. Budget for a dependable vehicle that can transport several bounce houses at once, as well as a trailer, for busier delivery days. You might expect to pay a lot more for a storefront position. To correctly organize the area, you’ll need a sizable, open building and the assistance of an architect. There should be a variety of bounce houses on the premises, as well as tiny rooms for organizing birthday celebrations. For opening an indoor bounce house business, the total cost for franchising potential ranges from $166,000 to as much as $250,000.

Once you’ve secured a location, you can start loading your stock levels:

  • Multiple bounce houses with different sizes —> $1,500 – $2,800 each
  • Food and beverages —> Tables, chairs, soda machines, tables, and kitchenware
  • Party(Celebration) rooms —>Featuring tables, chairs, and decorations.

Depending on the option you choose, the following things are necessary:

  • Insurance coverage. Discuss the kind of liability coverage your company needs with a reputable insurance expert.
  • Marketing tools
  • Website

Ongoing costs

The ongoing expenses will differ based on the way you choose to structure your company. The following expenses should be planned for, according to seasoned storefront business owners:

  • Cleaning products
  • Payroll/labor costs
  • Energy costs
  • Marketing
  • Business Insurance
  • General liability insurance
  • Repair and replacement of broken products

The following costs will also be incurred by a rental business:

  • Maintenance and fixing of your vehicle
  • Fuel charges

Whatever business structure you choose, the majority of your budget will be taken up by payroll and insurance expenses.

Target Market

The majority of your customers will be youngsters who are attending birthday parties, graduations, family gatherings, and other significant life events, even if many adults are increasingly arranging events that feature bouncy houses. You should focus your marketing efforts on reaching out to businesses, churches, and fundraising events.

How Does An Inflatable Bounce House Company Generate Income?

Companies that hire out inflatable bouncy houses make money for each event they attend. Storefronts frequently hold birthday celebrations for younger children for a group rate and charge an admission fee for each youngster.

How Much May You Charge Customers?

Prices vary by region and depending on the goods and services offered. Depending on your needs, child homes can range from $80 to $250 for a four-hour rental, and combo bouncers cost an average of $250. Regular inflatables cost an average of $125. When compared to private parties, which start at $250 for twenty children, admission to inflatable storefront sites is $7 to $10 per child. Look at the typical prices of nearby businesses in the area before selecting your own prices. Check out to buy mobile phone parts online.

How Much Profit Can An Inflatable Bounce House Business Make?

According to market research, a bounce house typically receives 1.5 weekly rentals or $188 per week. Your company will make roughly $750 each week if you invest in 4 bounce houses.

How Can You Increase The Profitability Of Your Company?

To increase the income from your inflatable bounce house business, think about implementing some of the following techniques:

  • Offer extra party services including snacks, inflatable slides, interactive games, dunk tanks, carnival rides, face painting, tents, tables, and chairs.
  • Indoor facilities include arcades, laser tag, food, and drinks.
  • Indoor establishments can run other special events such as day camps, during summer, Spring break, and Christmas break.

Step 3: Choose Name For Your Business

Choose a name for your business that simply expresses your goals, offerings, and mission. Your company name serves as your company’s identification. Given that a large portion of your business, and especially your beginning business, will originate from recommendations made by friends and family, you probably want a name that is brief and simple to remember.

Here are some suggestions for your business name brainstorm:

  • Short, distinctive, and memorable names frequently stick out.
  • Easy-to-say and spell names typically perform better
  • Your company name should be relevant to the goods or services you offer.
  • Consult with your friends, family, coworkers, and social media for recommendations.
  • Including keywords like “bounce houses” or “party games” improves SEO.
  • A name should allow for growth, such as Tom’s Bakery rather than Tom’s Cookies.
  • Avoid names based on locations that might prevent future expansion
  • Use online tools like the Business name generator. You can instantly get dozens of suggestions by simply entering a few keywords and pressing generate.

Once you’ve created a list of suitable names, check the US Patent and Trademark Office website to see if they are open for registration, and use our Domain Name Search tool to see if any comparable domain names are available. It’s advisable to concentrate on .com or .org domains because they significantly boost credibility. Here are some catchy inflatable bounce house business names:

  • Go Inflatables
  • A Happy Jumped
  • Laser Bounce
  • Jump Jump Jumpers
  • Jump & Slide Entertainment
  • Bounce House Rental
  • All Bounce Inflatables
  • Smiling Bounce Castle
  • A Bounce Across
  • A Bouncing Adventure
  • Look at Us Bounce
  • Up&Down Bouncy Castles
  • A Bouncy Event

Finally, select one of the names that made it past this screening, then register the domain and create your social media accounts. One of the main characteristics that distinguish your company is its name. It is challenging to modify the company name once you choose it and begin branding. Therefore, it’s crucial to give your decision significant thought before beginning a corporate firm.

Step 3: Register Your Business

It is absolutely essential to register your business because doing so is a requirement for carrying out subsequent steps on the route to starting a business, such as paying taxes, raising money, opening a bank account, and others.

Additionally, registration is thrilling since it gives the procedure official status. When it’s finished, you’ll own your own company!

Decide Where To Register Your Business

The location of your company matters since it might have an impact on taxes, regulations, and income. Most people will register their business in the state where they now reside, but if you have any future plans to grow, you may want to look into other states as some may have genuine advantages for inflatable bounce house firms. Your business could truly grow if you’re willing to relocate. Remember that moving your company to another state is not that difficult.

Choose Your Business Structure

There are numerous types of business entities, each with advantages and disadvantages. Make a sensible decision when selecting the legal structure for your inflatable bounce house business because it will affect your taxes, personal liabilities, and business registration requirements.

These are the principal choices:

  • Sole proprietorship. It is the most typical small business structure and does not draw a distinction between the business and the owner in a legal sense. The owner receives all profits and is responsible for the company’s obligations, liabilities, and losses. Taxes on business income are paid by the owner on their personal tax return.
  • General partnership. A two-person or more-person business that is comparable to a single proprietorship. Once more, owners are responsible for losses and retain earnings. On their personal tax returns, the partners report and pay taxes on their respective business income shares.
  • Limited liability company(LLC). Combines the traits of partnerships and sole proprietorships with those of corporations. Once more, owners are not held personally responsible for indebtedness. Read our guide on Best LLC Formation Companies.
  • C Corp. In this structure, the company is treated as a separate legal person and its owners are not held personally responsible for its debts. Rather than directly, owners reap earnings in the form of shareholder dividends. Taxation that is paid by both the corporation and the shareholders on their dividends is known as double taxation.
  • S Corp. An S-Corporation refers to the business’s tax status but is not a legal entity in its own right. A corporation or an LLC can choose to be an S-Corp for tax purposes, but either one can be an S-Corp. The shareholders of an S-Corp get income directly and are responsible for paying taxes on their portion of business income on their personal tax returns. Read our guide on S Corp Vs LLC.

We advise new business owners to pick an LLC because it is less complicated to incorporate than a corporation and gives liability protection and pass-through taxation. The online LLC formation tool provided by ZenBusiness allows you to create an LLC in as little as five minutes. They will submit your articles of formation, make sure your business name is accessible before filing, and respond to any queries you may have.

Step 4: Register For Taxes

Getting an Employer Identification Number(EIN) is the final step before you can start paying taxes. Visit the IRS website for further information on how to apply for your EIN online, by mail, or by fax. Remember that if you’ve decided to operate as a sole proprietorship, your EIN might just be your social security number.

You must decide on your tax year once you get your EIN. Your company will operate financially over a 12-month period called a fiscal year, which can begin in any month and runs from January to December. Your business structure will dictate which taxes you must pay, while this will establish your tax cycle. To make sure you’re filing your taxes correctly, it’s crucial to seek the assistance of an accountant or other professional.

Step 5: Apply For Necessary Licences And Permits

In some states and localities, having necessary licenses and permits might be needed to run your inflatable bounce house business. The failure to get required permits and licenses may lead your company to severe fines or possibly closure.

Requirements For The State & Local Business Licensing

An inflatable bounce house business may require the use of specific state permissions and licenses. Visit SBA’s reference to state licenses and permits to learn more about the licensing requirements in your state. Most businesses are required to collect sales tax on the products or services they offer.

Furthermore, specific local licensing or regulatory requirements may be necessary. To learn more about regional licenses and permits:

  • Consult the county, city, or town clerk’s office.
  • Consult one of the regional organizations listed in the US Small Business Associations directory of local business resources.

Liability Release

Bounce house companies should need their customers to sign a release of liability document in order to avoid liability and any lawsuits. It is advised that you join Rocket Lawyer’s premium membership in order to easily construct a professional release of liability form for your bounce house company. Members have access to hundreds of legal agreements and have access to on-call attorneys for free legal advice for $39.95 per month.

Certificate Of Occupancy(CO)

Large storefronts or expansive outdoor spaces can both be used to operate a bounce house business. Typically, companies operating out of a physical site need a Certificate of Occupancy (CO). A CO verifies that all zoning rules, building codes, and other laws and regulations are followed.

  • If you plan to rent a location
    • It is often the landlord’s responsibility to secure a CO
    • Make sure your landlord has a current CO that is appropriate for a bouncy house business before you sign a lease.
    • Frequently, a new CO is required following a significant renovation. It is advised to include language in your lease agreement saying that lease payments won’t start until a valid CO is obtained if your place of business will undergo renovations before opening.
  • If you plan to buy or construct a location
    • It is your responsibility to get a legitimate CO from a local government agency.
    • To ensure that your bounce house business will be in compliance with all applicable building standards and zoning regulations at the location of your business,

Step 6: Financing Your Business

Your next step is to secure finance, and there are many ways to raise capital:

  • Bank Loans. Although this is the most popular option, being authorized necessitates a strong business plan and credit history.
  • SBA-guaranteed loans. The SBA can serve as a guarantor, assisting in obtaining that elusive bank approval through an SBA-guaranteed loan.
  • Government subsidies. A few financial aid schemes assist in funding entrepreneurs. Visit to find out which may be suitable for you.
  • Family and friends. To secure a business loan or investment in your idea, ask your friends and family for help. SEC restrictions apply, thus it’s a wise idea to seek legal counsel before doing so.
  • Fundraising. Donors fund your idea through websites like Kickstarter and Indiegogo, which are becoming increasingly popular low-risk options. Multiple investors can fund your business through entrepreneurial crowd-financing platforms like Fundable and WeFunder.
  • Personal. Use your savings or the profits from the sale of property investment or other assets to self-finance your business.

Other than friends and family, bank and SBA loans are likely the greatest option for financing a company that provides inflatable bounce houses. If you have a creative idea, you may also attempt crowdsourcing.

Step 7: Open Up A Business Bank Account

Opening a bank account is necessary before you can start earning money since you need a place to keep it. Even if you’re operating your inflatable bounce house business as a sole proprietorship, keeping your business finances separate from your personal account makes it simple to submit taxes and track your company’s income. Therefore, it’s important to do so. Similar to opening a personal account, opening a business bank account is very easy.

Ask your favourite bank for information about rates and features for the business-specific accounts that the majority of large banks provide. Banks offer a variety of services, so it’s a good idea to look through your alternatives and choose the one that suits you the most. Once you’ve selected your bank, open your new account by bringing in your EIN (or Social Security Number if you wish to operate as a sole proprietor), articles of incorporation, and other legal paperwork.

Step 8: Get Business Insurance

The importance of business insurance to your success as an entrepreneur is sometimes underestimated. Insurance protects you from unforeseen incidents that could severely harm your company. Here are some insurance types to keep in mind:

  • General Liability Insurance. The most extensive kind of insurance covers a wide range of essential aspects of the business. This is the insurance you should acquire if you only get one type. It even offers protection against property damage and personal harm.
  • Business Property Insurance. This type of insurance covers your supplies and equipment.
  • Equipment Breakdown Insurance. This type of insurance covers the expense of replacing or repairing damaged equipment that has mechanical problems.
  • Workers Compensation Insurance. This type of insurance, as the name implies, provides benefits to those who suffer workplace injuries.
  • Property Insurance. This refers to your actual place, whether it is an office, a storefront, or a cart.
  • Commercial Auto Insutance. Protects your company’s vehicle.
  • Professional Liability Insurance. Protects against complaints from clients who claim they experienced losses as a result of mistakes or omissions in your job.
  • Business Owners Policy Insurance(BOP). A combination of the aforementioned insurance kinds, this insurance plan functions as an all-in-one insurance policy.

Step 9: Get Ready To Launch

As the launch date nears, analyze and enhance several important aspects of your business.

Necessary Softwares And Tools

Being an entrepreneur frequently requires wearing numerous hats, from sales to accountancy, which can be stressful. Luckily, there is a tonne of websites and online resources accessible to make many business chores easier. You could want to handle your scheduling, orders, tasks, billing, and payments using sector-specific software like Quipli, Good Shuffle, or Booqable.


Quickbooks, Freshbooks, and Xero are a few well-liked web-based accounting software for small businesses. You might wish to engage a professional if you don’t know much about basic accounting, especially in the beginning. Accuracy is essential since filing inaccurate tax forms can have severe effects.


You should still spend time on digital marketing even though some of your business will come from infrequent online users. Spreading the word is crucial for new businesses as it will increase brand and client recognition. Once it’s up and running, connect your social media accounts to your website and vice versa.

Social media is a fantastic tool for business promotion since you can make interesting postings that promote your goods:

  • Facebook. Great tool for paid advertising since it lets you target particular demographics, such as men under 50 in the Cleveland area.
  • Instagram. Offers the same advantages as Facebook, but with distinct target markets.
  • Website. SEO will assist in moving your website up in relevant search results, which is essential for boosting sales. Make sure your website is optimized for calls to action. Test different text, color, size, and positioning options for calls to action like Book Now. This may significantly boost purchases.
  • Google and Yelp. Getting listed on Yelp and Google My Business can be essential for businesses that depend on local customers to spread awareness and attract clients.

Launch Your Marketing

To increase awareness of your services and establish your brand, make use of your website, social media presence, and in-person activities. Below are a few suggestions.

  • Flyering. Distribute flyers across your community.
  • In-person sales. Offer your bounce houses to nearby schools
  • Seek out referrals. Provide incentives to encourage existing customers to recommend new customers.
  • Paid social media ads. Use sites that can help you contact your target audience and run focused ads.
  • Pay-per-click advertising. To rank higher in searches, use Google AdWords. First, research some keywords.
  • Testimonials. Share customer feedback regarding how your inflatables helped them.

Create A Website

Due to the fact that your website serves as your online presence and must convince potential customers of your professionalism and knowledge, it is essential to invest in website development. However, unless you use Search Engine Optimization (SEO) techniques, they are unlikely to find your website. These actions aid in improving a page’s ranking in the search engine results of leading search engines like Google.

Utilising tools like WordPress, Wix, or Squarespace, you may build your own website. This option is incredibly cost-effective, but learning how to create a website can take some time. If you don’t know much about technology, you can employ a web designer or developer to make a unique website for your company.

Concentrate On USPs

The features of a good or service that make it stand out from the competition are known as unique selling propositions or USPs. Customers today have a variety of purchasing options, so being able to rapidly convey how your inflatable bounce house business satisfies their demands or wishes will give you a distinct advantage. Make every effort to make your USPs shine on your website and in your marketing and promotional materials to stimulate the interest of potential customers. Domino’s, a popular international pizza restaurant, is known for its USP, Hot pizza in 30 minutes or less, guaranteed. The following are examples of some USPs related to your inflatable bounce house business:

  • Awe-inspiring inflatable obstacle courses for your upcoming event.
  • Get your champ’s birthday party off the ground with bouncy castles.
  • Inflatable basketball for your princess birthday party.


You might not enjoy networking or using personal relationships for professional advantage. But there is probably a lot of undiscovered commercial potential in your personal and professional networks. Perhaps a contact you have on LinkedIn is connected to dozens of potential customers, or the Facebook friend you made in college is now operating a company that sells inflatable bouncy houses.

Perhaps your relative or next-door neighbor has years of experience working in the party games sector and can provide priceless knowledge and connections. It’s a good idea to check your personal and business networks and get in touch with people who may have connections to or are interested in bounce homes because the possibilities are unlimited. You’ll probably attract new clients or come across businesses with which you could collaborate.

Step 10: Develop Your Team

You might not need any staff if you’re just starting out small from your home office. However, as your business expands, you’ll probably need employees to fill a variety of positions. Positions that could be available for an inflatable bounce house company include:

  • General Manager. Scheduling, personnel administration, and accounting
  • Setup Helpers. Assemble bounce houses, blow them up, then take them down
  • Marketing Lead. SEO techniques, social media

In the future, depending on the growth and requirements of your company, you might need to fill all of these positions or just a handful. Depending on demand, you might also employ numerous employees for a single position or a single employee for a number of positions.

Advertisements can be placed for free on well-known websites like, Facebook, or LinkedIn. You might also think about a high-end hiring alternative like posting an ad on Indeed, Glassdoor, or ZipRecruiter. Additionally, if you have the funds, you might think about engaging a recruitment agency to assist you in finding talent.


Bounce house rental is a fantastic option for starting a company. As long as you maintain continuous investment, the profits in this business are unparalleled. However, just like any other business, being successful requires some minor efforts.

Setting up a company where you can always offer party supplies is important when thinking about starting a party equipment rental company. Before making your final decision, make sure to examine local insurance requirements and the feasibility of using liability waivers. It is important to look into tax codes and make sure that you’ve got a system in place to ensure your taxes are submitted on time.

If you want to grow, consider starting a small bounce house rental business and make as much as $1,000 over a weekend, which can turn into a comfortable six-figure income. Whether your plan evolves or you grow in a different direction, the venture will remain a rewarding one. If you dream of starting a business that requires a practical investment of cash, the bounce house industry might be a good option for you.

Thank you for reading this article, till the end. If you still have any questions or concerns, you can leave them in the comment section below.

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