Mini Golf Business Overview

Mini golf facilities provide entertainment through constructed obstacle courses where players use putters to hit golf balls through various challenging layouts. These businesses combine recreational sports with family entertainment, offering courses designed with different difficulty levels to accommodate players of all ages and skill levels.

Mini golf businesses operate in various settings, from stand-alone outdoor facilities to indoor entertainment complexes. They commonly feature 18 hole layouts with themed elements such as water features, tunnels, ramps, and moving obstacles. The courses often incorporate lighting systems for evening play and decorative landscaping to enhance the playing experience.

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How Do Mini Golf Businesses Make Money?

The primary source of income for mini golf businesses comes from admission fees charged to customers who play rounds on their courses. Facilities typically price their rounds based on peak and off-peak hours, with some offering packages for multiple rounds or group rates.

Additional revenue sources that mini golf facilities commonly use include:

• Food and Beverage Sales: Operating snack bars or concession stands that offer drinks, snacks, and light meals to players.
• Arcade and Games: Installing coin-operated games and amusement machines throughout the facility for additional entertainment options.
• Event Hosting: Renting out spaces for birthday parties, corporate events, and group celebrations with packaged pricing.

Industry Statistics

Mini golf is part of the family entertainment and recreational sports sector under NAICS code 713990 – All Other Amusement and Recreation Activities. Let’s look at some statistics that show the current state of this industry.

Mini Golf Industry Size & Growth: The mini golf industry generated $441.6 million in revenue last year. Over the past five years, the industry has shown moderate growth with an annual rate of 0.4%. Growth projections remain positive for the next five years, supported by increasing consumer spending on recreational activities and family entertainment. (IBISWorld)

Number of Mini Golf Businesses: The industry consists of 919 businesses, with no single company controlling more than 5% of the market share. This highly fragmented market structure allows local operators to maintain strong community positions. Approximately 18 million people played mini golf four or more times in the previous year, demonstrating steady consumer interest in this recreational activity. (National Golf Foundation)

Mini Golf Profit Margin: Profit margins for mini golf businesses vary significantly depending on location, operational scale, and local competition. Operating profit margins in this industry average 17.05%. (IRS)

States with Most Mini Golf Businesses: Tourist destinations and areas with favorable weather conditions throughout the year tend to have higher concentrations of mini golf facilities. Florida, California, and South Carolina lead in the number of establishments, benefiting from their tourism industry and climate that allows for extended operating seasons. (Bureau of Labor Statistics)

Also See: Ideas for Naming a Mini Golf Course

Costs To Start a Mini Golf Business

Starting a mini golf business typically costs between $250,000 and $850,000. The range varies based on factors such as location, course size, and whether the facility is indoor or outdoor.

Here are some of the larger expenses to plan for when opening a mini golf business:

Land or Building Lease: The cost of securing a suitable location ranges from $100,000 to $300,000 for land purchase or monthly lease payments of $3,000 to $8,000. Most mini golf courses need at least 15,000 square feet of space to accommodate an 18-hole course and parking area.

Course Construction: Building a professional mini golf course costs between $70,000 and $200,000. This includes the base construction, obstacles, water features, lighting systems, and all necessary course elements. The price changes based on design complexity and the materials chosen.

Equipment and Supplies: Initial equipment purchases typically range from $15,000 to $35,000. This covers golf putters, balls, scoring materials, point-of-sale systems, and basic maintenance equipment like leaf blowers and cleaning supplies.

Facility Infrastructure: Setting up support facilities costs between $30,000 and $75,000. This includes construction of a small clubhouse or welcome center, restroom facilities, storage areas, and basic utilities setup.

Landscaping: The initial landscaping and decorative elements cost between $20,000 and $50,000. This includes plants, trees, ground cover, irrigation systems, and themed decorations that create an appealing environment.

These estimates provide general guidelines for planning purposes, but actual costs will vary depending on your specific situation.