If a Caravan Park owner is selling their park there can be many reasons why they are choosing to sell. It could be that the owners are wanting to retire or the owners want to try something different. However one main reason could be profitability, the stress of seeing profits fall and potentially struggling to pay the bills can make owners want to get out.
Taking on a Caravan Park that is struggling to make a profit is a big undertaking. Here are a few areas that you can start looking at to move your new Caravan Park into profitability.
If you are buying a Caravan Park for Sale Australia one reason the park may not be doing well is that the managers are running the park into the ground and may also be overpaid. The best course of action is to state that all service contracts will be terminated with the sale. This is the best way to get rid of bad managers and also renegotiate for a new pay structure to bring the park back into the green.
Before you even start to buy a Caravan Park you should start shopping around for insurance coverage. Review the different options as there are plenty that are overpriced and you could be wasting a lot of money over a long period.
When you speaking to each company make sure you tell them exactly what you want. Make sure that you are comparing apples to apples.
The existing owners may be paying for an expensive outsource mowing service that is more tailored to residential properties. Shop around for different operators that would be interested in such a large regular job, you will be surprised at how much you can negotiate when you have a Caravan park.
If you have permanent caravan park residents then another good idea is to see if any of them would be interested in looking after the gardens and the fee can reduce their rent. This will help minimise the garden expense affecting cash flow and also give a resident a responsibility in looking after the park.
If you are looking at buying a Caravan Park for Sale in Australia then you may need to look at ways to improve profitability, I hope this has given you some ideas on where you could start.