So you’re thinking about starting up your own caravan park, and you feel that you’ve got a good handle on how to go about it. Buy some caravans and a plot of land and then charge people to stay in them, right? What could be simpler? But as any successful caravan park owner will tell you, there’s much, much more to consider in the day to day running of the business. Here we take a look at six things to consider which you may not already know about running a caravan park.
1. You need a license to own a caravan park – In order to run a caravan park legally, you first need to acquire a caravan park license from your local council. Failure to do so can result in fines of up £2,500 and further action being taken against you. You can find out more about the licensing procedure on the Government’s official website. When you obtain your licence there may be a number of strict conditions placed on it, regarding things like layout, amenities and the type of caravans you have. Breaking these conditions can result in your license being revoked.
2. You must have planning permission – You can’t simply stick a load of caravans on your land and then have people come stay in them. You need to apply to your local authorities for permission to use the land in this way.
3. You need several different types of insurance – The type of insurance policy you choose is entirely up to you (though if you have employees then you will legally need to have employer’s liability insurance). It is highly recommended though that you have caravan park insurance which at least covers you for public liability, deliberate or accidental damage to your property, and for loss of income during any periods that you’re unable to operate.
4. You must have a license to play music onsite – In order to legally play music onsite, whether live or recorded, you need to have a licence to do so. If you plan on playing music from a jukebox or having a covers band perform in your onsite bar or restaurant for example, you will generally needed a PRS for Music license (http://www.prsformusic.com/Pages/default.aspx), AND a PPL license (http://www.ppluk.com/). The former relates to royalties for songwriters, performers and publishers, while the latter deals with royalties for performers and record companies.
5. It can be a lot of hard work – Unless you’re taking a completely hands off approach and employing someone to manage the park for you, there will be a lot of hard work involved. But there will also be a lot of satisfaction, and plenty of financial rewards.
If you need any advice regarding caravan park insurance, get in touch with Park Insurance today. We have more than twenty years of experience in acting as a broker for the insurance needs of businesses and individuals in all sectors.