In a good location, operating a boat rental venture can generate a lot of cash flow. There will also be considerable overhead, so it’s important to plan carefully when you’re evaluating how to start a boat rental business.
Choose the Right Place
Ideally, you’d like to run your business somewhere that receives a lot of visitors. Be sure to outline your budget carefully if visitors are seasonal.
Get Equipment That’s in Good Condition
Your boats need to be safe and seaworthy. Bear in mind that some of your renters will not be very experienced boaters. Try to purchase vessels that are affordable but won’t require a lot of restoration or repair.
Form a Business Entity
You may wish to establish a corporation or an LLC. The right choice of entity may depend on tax information as well as your assets and outstanding debt.
Get a Business License
You may need to apply for a business license in the city or municipality where you will run your business. Be sure you get all necessary licensing and permitting before you begin rentals.
Insure Your Business
You’ll need to obtain general liability insurance. You may also need other policies.
Staying organized will help your boat rental succeed. Identify a good site, choose equipment wisely, and stay on top of logistical matters.