Pool Hall Business Overview
A pool hall offers patrons a space to enjoy billiards, socialize, and unwind. Equipped with multiple pool tables and seating areas, it caters to both casual players and competitive enthusiasts. Many pool halls generate additional revenue by providing food and beverages, including snacks, soft drinks, and alcoholic options.
To enhance the experience, pool halls often include entertainment features like dartboards, jukeboxes, or flat-screen TVs. A welcoming atmosphere, clean facilities, and well-maintained equipment are key to retaining regular customers and appealing to newcomers.
Related: Checklist to Start a Business
How Do Pool Halls Make Money?
Pool halls generate income through a combination of services, products, and events. Here’s how they typically make money:
- Table Rentals: The primary source of income for pool halls comes from hourly table rentals. Rates often vary based on time of day, with higher prices during peak evening and weekend hours. Some establishments offer membership plans with discounted rates.
- Food and Beverage Sales: Many pool halls serve drinks and snacks, from basic vending options to full menus. Alcohol sales typically provide higher profit margins than food items.
- Equipment Sales: Pool halls sell cue sticks, chalk, and other billiards accessories. Players often need replacement equipment or want to purchase their own items rather than using house equipment.
- League Play: Pool halls host regular league competitions where teams pay entry fees and table time. Weekly league nights create consistent revenue and repeat customers.
- Tournament Hosting: Special events and tournaments bring in entry fees from participants. These events also increase food and beverage sales during competition hours.
- Private Events: Groups rent portions of the facility for parties or corporate events, often at premium rates compared to regular hourly play.
Industry Statistics
The billiards and pool hall industry operates facilities with billiards tables available for customer use. This industry falls under NAICS code 713990: All Other Amusement and Recreation Industries. Here are some highlights that show how the industry has performed.
Pool Hall Industry Size & Growth: The billiards and pool hall industry generated $673.6 million in revenue last year. The industry has experienced a moderate increase in revenue over the past five years. The market shows signs of continued expansion, with a projected annual growth rate of 2.8% through 2030. This growth stems from increased interest among younger players and the trend of combining pool halls with other entertainment options (Precision Business Insights).
Number of Pool Halls: There are approximately 871 pool halls currently operating. North America holds 35.3% of the global market share for billiards facilities.
Pool Hall Profit Margin: Pool halls typically generate 10-15% profit margins. These margins reflect earnings after accounting for operating costs, including equipment maintenance, utilities, and labor. Venues that combine pool tables with food and beverage service may achieve margins at the higher end of this range.
Startup Stories
Also See: Ideas for Naming a Pool Hall
Costs To Start a Pool Hall
Starting a pool hall typically requires between $75,000 and $250,000. The range varies widely depending on size and location. There are several expenses to plan for when opening a pool hall – here are some common items to budget for:
Pool Tables: High-quality pool tables cost between $3,000 and $8,000 each. A pool hall needs multiple tables to generate enough revenue, with most venues starting with at least 6-8 tables. This includes delivery and professional installation.
Building Costs: Most pool halls need 2,500 to 5,000 square feet to accommodate multiple tables with adequate spacing. This space requires proper lighting installation above each table, climate control systems, and often soundproofing. Renovations to create the right atmosphere and meet building codes can cost $30,000 to $100,000.
Equipment and Supplies: Beyond tables, pool halls need a steady supply of cue sticks, balls, racks, chalk, and other accessories. Initial equipment purchases often range from $5,000 to $15,000. This includes extras like storage racks, scoring systems, and maintenance supplies.
Furniture and Fixtures: Seating areas, counters, storage cabinets, and tables for customers cost between $10,000 and $25,000. This includes specialized lighting fixtures and any display cases for merchandise or equipment.
These estimates provide a general idea of startup costs, though actual expenses will vary. Some operators choose to lease equipment initially, while others purchase everything outright.