How To Start A Party Bus Business in New Orleans

Have you ever dreamed of owning your own business? What about starting a party bus in New Orleans? Learn how to start this unique business right here with these simple steps. Getting started has its challenges, and a good place to enter the community of party bus operators is in a Facebook group called All Party Buses. There, you will be able to discuss everything from getting insurance to mechanical maintenance of a party bus with people all over the country that are in the business.

Develop a Vision and Write it Down

First thing’s first when starting ANY business: start with a strong and detailed business plan. Something to consider in your business plan would be initial costs and ongoing costs. How much are you going to have to spend to get this thing off the ground, and then how much is it going to cost to keep it running once you get it off the ground? Try to be as realistic as possible with this. Think about things like how much time you are going to have to spend on it. How are you going to pay for the actual bus? Who are your target customers? Are you more of a luxury party bus or are you marketing to college kids that want to have their butts hanging out the window? You’ll want to think about how much you can and need to charge for a ride on your party bus. You will want to set a price that meets the cost required to run it and then a little extra for profit. When setting prices, it is also good to research your competitors and see what they are charging (It is also good to research your competitors, in general, to know what you are up against and to make sure your idea isn’t already taken). Is there an hourly price? Is there a minimum amount of hours people can book for? Will you offer any extra, additionally priced, services like bridal decorations and such? In New Orleans, prices can vary from $125.00 to $325.00/hr depending on the available packages and features.

Find the Bus That Fits Your Vision

Next, get a bus! Here are some places you may be able to get one in Louisiana:

-Used School Buses for Sale in Louisiana — American Bus Sales

-USED SCHOOL BUSES FOR SALE IN louisiana

-Ross Bus & Equipment Sales

-creativebussales.com

Once you have found and acquired the bus that fits your vision you can come up with a name for your party bus. You will want to name it something that reflects your target clientele. For example, if you are marketing more towards bachelorette parties, you might want to call it something fun and girly.

Let’s Talk Legality

Okay, this part is a super important step. Form a legal entity and register for taxes. Establishing a legal business entity, such as an LLC or corporation, protects you from being held personally liable if your party bus business is sued. That means that if your business gets sued, no one can legally come after your personal assets, like your house, car, personal savings, etc. If your business has employees or is taxed separately from you, you must obtain a federal Employer Identification Number (EIN) from the IRS which is basically a social security number for your business. A resource for legally establishing your business is MyCorporation and some specifically for establishing a business in Louisiana are: How to Start an LLC in Louisiana | Nolo and How to Start an LLC in Louisiana | TRUiC.

Set Up Business Banking

Then, you’ll want to set up your finances. Get a business bank account and credit card. This helpful article from Bluevine, which offers business checking, will tell you exactly what you need to apply for a business checking account.

Another banking option is Lili, which is a checking account that also offers accounting software all in one app. Once you have a business checking account set up, you can consider tracking your income and expenses using a service like Quickbooks which also helps with payroll. Some people might consider hiring a bookkeeper at this point.

Time to Make Your Party Bus Street Legal

This next part is essential. Obtain the necessary permits and licenses to own and operate a party bus. Here is a list of all the requirements in the city of New Orleans:

• A party bus requires a Charter Party (CP) CPNC when transporting passengers on the streets of New Orleans. Additionally, each driver requires a Operator’s Permit issued by the Department of Safety and Permits.
• No vehicle may be placed into CP CPNC service which is greater than 25- years of age unless physical and mechanical soundness can be demonstrated to the Department of Safety and Permits.
• Vehicles are required to have been designed and manufactured for passenger service. Use of institutional, freight, or other service-type vehicles is prohibited.
• Open-topped and double-decked vehicles are prohibited from serving as CP vehicles.
• Any vehicle which has undergone after-market electrical alterations to support enhanced lighting, video screens, or other equipment not traditionally found in a vehicle, such alterations shall be subject to inspection by the Electrical Inspection Division of the Department of Safety and Permits.
• The vehicle must be equipped with a fire extinguisher marked with the vehicle CPNC number and the location of such equipment shall be marked and clearly visible.
• The vehicle must be properly marked with the company’s name displayed in letters not less than 6” on both sides of the vehicle. Lettering must be painted or otherwise permanently attached (no magnetic signs).
• The CPNC number must be displayed in letters/numbers not less than 4”, located on the rear quarter panel behind tires on both sides of the vehicle.
• Any person operating a party bus requires an Operator’s Permit issued by the Department of Safety and Permits.

Get Insured

This step is a must in order to keep yourself and anyone riding your party bus safe, and it is also the law. Get business insurance. The holder of a CP CPNC (a party bus) shall file with the Bureau, and keep in effect at all times, a policy of insurance with an insurance company licensed to do business in the State of Louisiana. At a minimum, the policy must provide the following coverage:

For vehicles up to 15 passengers: $1,500,000 Combined Single Limit coverage.

For vehicles with a seating capacity of 16 or more passengers: $5,000,000 Combined Single Limit coverage.

All Charter Party Carriers shall carry $1,000,000 in General Liability coverage.

There aren’t a ton of options when it comes to party bus insurance. Some of the insurance companies that have been known to insure party buses are National Indemnity, Prime, Lancer, and Berkshire Hathaway. Insurance for a party bus can run from anywhere between $15,000-$55,000 per year depending on how much coverage you get. You are looking at paying more for vehicles with over 15 passengers.

Create Brand Identity

Now it’s time to spice it up! Define your brand. How will you be perceived by the public? What are your brand values? What reputation do you want to build? Define your party bus experience and figure out what makes it unique. Create a logo or a catchphrase.

Keep Growing and Developing

Promote and market your party bus business. There are many ways to get your party bus business out there. You can use flyers, word of mouth, and social media. One really great option is a booking platform like WooHoo Rides where you can make a listing to start getting business and attracting customers. The most important thing to do is have fun, after all, it is a party bus business!