Escape rooms are all the rage right now, which may have you thinking about starting an escape room franchise of your own. The escape room business can be lucrative, but only if you execute it properly. Keep reading to learn what it takes to launch a successful escape room business.
1. Plan Your Escape Room Franchise
The first thing you should do is have a clear plan for your escape room business. You’ll want to map out all of the specifics of your business which will help you discover any unknown. You’ll want to identify your target market, ongoing costs, how long it will take to break even, the name of your business, and what makes different from the competition.
2. Form A Legal Entity
You will need to establish a legal business entity like an LLC. This prevents you from being personally liable if your escape room business gets sued.
There are many different types of business structures you can choose from like DBA, corporations, and LLCs. You also might want to consider using a registered agent service that will help protect your privacy and keep your compliant.
3. Register For Taxes
Before you even open your business, you need to register for a variety of federal and state taxes. In order to register for taxes, you will need to apply for an Employer Identification Number (EIN) which is easy and free.
4. Open A Business Bank Account And Credit Card
You will want to use dedicated business credit and banking accounts, as this is key in protecting your personal assets. If you get your personal and business accounts mixed up, you risk losing your home, car and other valuables if your business gets sued.
5. Set Up Business Accounting
You’ll want to make sure that you record all of your expenses and sources of income. This is key to understand how your business is performing financially. You’ll want to make sure that all of your accounts are accurately detailed, as this makes filing for taxes annually that much easier.
6. Get The Needed Licenses And Permits
This is key because if you don’t have the right licenses and permits, you could face heavy fines that could even cause your business to shut down.
7. Get Business Insurance
It’s highly recommended for all business owners to have business insurance. In some states, a worker’s compensation insurance is a legal requirement when hiring employees.
8. Define Your Brand
Your escape room will need a clear brand that communicates what your company stands for. This key in how your business is perceived by the public and it will help you stand out from the competition.
9. Promote & Market Your Escape Room
Once you have everything ready to go, it’s time to market your escape room. Social media is a great way to advertise your business.
You’ll also want to establish your web presence. Build a website that lets customers learn about your escape room while attracting new customers.
Start Your Escape Room Today
Now that you know how to build an escape room franchise, start your escape room today. Make sure you have all the proper licenses and funding set up and make sure your room stands out from the competition and your escape room should be a success. For more entrepreneurial resources, check out our blog.