buying campground

Sprink-Fitter wrote:
Most of you that respond must be business experts. Most are trying to tell him he can't do it, how do you know? Beleive it or not not every closed campground is a failure, some close for other reasons.

Live a little.

I don't know about being a "business expert", but I have owned RV parks for a long time and haven't gone broke yet. I do know that buying and operating any business is like analyzing an iceberg, you have to consider what is below the water, out of sight, much more than what can be seen on the surface.
It is very easy to spend someone else's money. Supporting any business idea simply because it is someone's dream is irresponsible. Most of the responses here have been pretty spot on. There just aren't very many closed campgrounds littering the countryside. There are many reasons why a business would close, but I haven't seen or heard of any that were successful and just shut the doors. Knowing why a business closed is very important and the fact that it did close should be seen as a giant red flag, not as a reason to buy it. Purchasing an RV park is a big investment, and done carelessly is a ticket to financial disaster. Just having a dream is not a business plan.

Many reasons why a campground may close and be for sale. I have been self employed and in service and retail operations for the past 30 years. When I tired of the insurance business I started searching for an RV park to purchase. Looked at many parks and saw many that hade been neglected. Believe the former owners just tired of operating the business. Saw some really nice parks that owners had much pride in and price reflected such. Love this business and wish kids would take it now but they have other careers. So sadly put it on the market. Will not close it.

Most of you that respond must be business experts. Most are trying to tell him he can't do it, how do you know? Beleive it or not not every closed campground is a failure, some close for other reasons.

Live a little.

I know nothing about the business of running a campground. However having run a small business for almost 40 years, I know a little bit about small business in a general way.

Couple of quick thoughts
1) If it is your dream I think you should pursue it
2) Almost without exception, the new, would be owner believes the current owner is an idiot, and they will do much better. In a very short period of time. Very rarely does that turn out to be the case.
3) At least a year of cash in the bank to tide you over until you can get going is a smart idea.
4) It would be great if you could work for a successful campground, for a time and really learn the ins and outs. That should really help in your buying choices

Best of luck to you, hope it works out

Just keep a couple of thoughts in your mind as you look. Everyone that's ever had a drink in a bar thinks they can run one. And buying any business that was always just fun for you, turns it into a 24-7-365 job.

jkhorner wrote:
We want to make our own and not just buy someone else's dream. So either closed or run down is what we want.

Run, don't walk from this idea.

They close or get run down because they aren't viable. You having a dream won't change that.

I wish you well if you go thru with it but for your sake hope you don't.

Better have cash offer and another 25% to get it running.

Best of luck to you. Hope it works out.

Personally, I wouldn't want someone else's run down junk. It's not only the stuff you see above ground that would need updating, what garbage will you find underground? Bad wiring... broken/outdated sewer system... you just don't know.

jkhorner wrote:
We want to make our own and not just buy someone else's dream. So either closed or run down is what we want.

If you really want to follow your own dream, why are you looking to buy someone else's failed dream? Why not start from scratch in that case?

jkhorner wrote:
We want to make our own and not just buy someone else's dream. So either closed or run down is what we want.

There are plenty of parks that are that are begging for a makeover. It's what I do, and it can be very profitable. Buying an existing and operating park allows you to have cash flow from the beginning. Unless you are really planning something exotic, you are going to want much of that existing customer base. It makes a lot of sense to find something that meets your structural needs (location, size, etc.) and then build from there.
Buying a loser or something already closed is going to be a financial struggle, starting with financing and continuing with low cash flow. Unless you have renovated a park or two, you probably have no idea how much it will really cost. There will always be hidden defects and much of it will have to be paid for out of pocket, you won't be getting loan after loan to cover all the unexpected repairs. Having cash flow from day one sure mitigates those added expenses.