How to Start a Board Game Cafe

Starting a board game cafe can be an exciting and rewarding business venture for entrepreneurs who are eager to create a fun, social environment where people can connect over their favorite tabletop games.

Having said that, you should keep in mind that launching a successful board game cafe requires careful planning, a passion for these tabletop games, and the ability to manage both the creative and logistical aspects of running this business.

In this comprehensive guide, we’ll walk you through all the essential steps you’ll need to take to start your own board game cafe, from developing your business plan and choosing which games to offer to choosing the right location for your cafe and securing all relevant licenses and permits.

Ready to turn your business idea into a reality? Tailor Brands is our top recommendation because it guides you through every step of the formation process with hands-on support — from paperwork and compliance to devising a detailed plan to help you achieve your business goals.

Tailor Brands ($0 + State Fees)

Industry Overview

For anyone considering starting a board game cafe, the current state of the board game industry presents an exciting opportunity due to its past growth as well as future estimations.

Globally, the board games market is projected to generate $5.71 billion in revenue in 2024, and this figure is expected to grow at a robust rate of 9.58% annually to reach $9.02 billion by 2029. The US in particular stands out as a major contributor to this growth, and is projected to generate $2.25 billion in board game revenue in 2024 alone.

For prospective board game cafe owners this is especially relevant since the US is evidently home to a large and enthusiastic community of board gamers, and the steady revenue growth suggests a sustained demand for new places to play.

As such, any cafes that offer a curated selection of games alongside food and beverages put themselves in a good position to appeal to this large customer base and growing demand.

Startup Costs

If you’re considering whether a board game cafe is right for you, the first thing you’ll need to know is whether it’s a) affordable, and b) worth the investment. I mean, how much can you actually make running your own board game cafe?

Well, it depends. The initial investment for a board game cafe varies widely based on factors such as the size of the cafe, the quality of your furnishings, and how extensive your game inventory is:

• Leasing a Space: When starting out your cafe, one of the largest expenses you’ll be faced with is the cost of leasing out a commercial space. While this can vary greatly depending on location, you can typically expect to pay between $2,000 and $7,000 per month in rent — though high-traffic urban areas or locations near colleges, universities, and office hubs may command a premium on top of this. Remember that in order to secure a lease for this commercial space, you’ll be required to pay a security deposit that’s usually equal to around one to two months’ rent.
• Build-out and Furniture: Unfortunately, the costs will only continue once you’ve secured a commercial space for your cafe, as you’ll need to invest in renovations, furniture, and designing the interior to create a comfortable and inviting atmosphere for your customers. Typically, you can expect to spend anywhere from $10,000 to $30,000 on this — which should be enough to cover the cost of installing a kitchen or cafe counter, adding custom shelving for board games, and purchasing essentials such as tables, chairs, and a point-of-sale (POS) system.
• Board Game Inventory: While it will represent a much smaller portion than the two costs outlined above, the board games themselves will also form an important part of your startup costs. Depending on the size of your collection, you should budget between $500 and $2,000 to purchase a wide range of games. Popular games like Catan, Ticket to Ride, and Codenames may cost between $30 and $60 each, while more niche or premium games can be upwards of $100 or more. You’ll also want to periodically invest in new releases to keep your library current. See Step 5 for more guidance on how to choose the selection of board games you plan to offer.

Considering the expenses outlined above, the total cost associated with setting up your board game cafe is likely to be somewhere between $20,000 and $60,000 — though your final cost may end up being much higher than this in reality.

Ongoing Costs

When talking about the ongoing costs a board game cafe will be faced with, the main one will certainly be rent. However, apart from this, the other key ongoing costs to be aware of include:

• Utilities and Operational Expenses: Depending on the size of your cafe, you should budget between $300 and $1,000 for the utilities needed to stay operational, such as electricity, water, internet, and phone services. In addition to these essentials, you should also expect to spend between $1,000 and $3,000 each month replenishing your food and drink inventory (e.g., coffee, snacks, and alcohol if you’re licensed) — though this will vary depending on your cafe’s specific menu and the number of customers it typically receives.
• Employee Wages: The salaries that you pay your staff to help run the cafe will likely form a substantial part of your ongoing costs. On average, you should expect to pay employees between $12 and $18 per hour, which equates to between $1900 and $2900 per month for each worker on your payroll. Ultimately, the number of staff members you’ll require will depend on the size and operating hours of your cafe, but overall you should be fine with between three and five workers.
• Game Replacement and Maintenance: Although board games are durable, regular use by customers will naturally result in wear and tear — on top of this, you’ll also want to periodically purchase new games to keep your collection current and exciting for returning customers. While small, both of these expenses can add up (typically to around $100 to $500 every couple of months), though this will depend on the size of your collection and how often games are used.

By keeping track of these ongoing costs, you can better manage your budget and ensure your board game cafe remains profitable and sustainable over time.

Earning Potential

Given the demand for these games — particularly in the US, the earning potential for a board game cafe that implements the right pricing structure can be quite significant.

For the most part, the primary way in which board game cafes make money is by charging customers to play games in a similar way to bowling alleys. This means charging customers by either the visit, hour, or per game; as an example, a cafe might charge $5 for a 90-minute session.

However, many cafes also like to offer private rooms for rent in order to cater to group events and parties, which provides another lucrative revenue stream. In fact, to further boost their income, many cafes hire out these private rooms for leagues and tournaments centered around popular games they’ve organized.

These events charge a flat entry fee, typically between $10 to $25 per participant, with part of the fee going towards a prize like a gift certificate or free time in your cafe. Regular events like these not only provide steady revenue but also foster a loyal community of players who return frequently to compete and socialize.

By encouraging repeat visits, you can establish a dedicated customer base for your cafe, which helps to encourage consistent income — with typical fees ranging from $3 to $10 for a visit, it’s possible for a board game cafe to generate substantial revenue this way.

For instance, an 8-player game session at $5 per person would bring in $40 — if your cafe hosted just seven of these a day it could earn up to $100,000 in annual sales (excluding revenue from food, drinks, and events).

While profitability will also depend on factors like location and customer traffic, a busy cafe still has the potential to generate tens or even hundreds of thousands of dollars each year.

7 Steps to Starting a Board Game Cafe

In order to start a board game cafe, you’ll need to complete the following steps:

1. Planning Your Board Game Cafe
2. Registering Your Business
3. Setting Up Your Taxes
4. Choosing the Right Location
5. Curating Your Board Game Selection
6. Getting all Applicable Licenses and Permits
7. Obtaining Business Insurance

We’ve broken each one of these down in more detail below.

Still exploring your options? Check out other small business ideas.

Step 1: Plan Your Board Game Cafe

Before diving into your board game cafe, you’ll need to spend some time conducting thorough market research.

This can involve analyzing the local market to understand the demand for board games, identifying potential competitors, and assessing the target demographic.

This will help you evaluate the financial viability of your project — including projected revenues and expenses — as well as determine the best location for your business.

Finding a Suitable Name

Choosing the right business name is both important and challenging.

Your name will need to be eye-catching, memorable, and (at least somewhat) related to your industry.

If you don’t already have a name in mind and need help, you can visit our How to Name a Business guide or use our Board Game Cafe Name Generator tool.

If you do have a name in mind, we recommend researching the following to confirm it’s available:

• Your state’s business records
• Federal and state trademark records
• Social media platforms

You will also need to make sure that your business’s name is available as a domain — this is your website’s URL address.

Note: If you’re planning to operate a sole proprietorship, you might want to operate under a business name other than your own name — known as a “Doing Business As” (DBA) name. Keep in mind that this is not recommended for a board game cafe.

Develop a Business Plan

Before thinking about actually launching your board game cafe, developing a detailed business plan is crucial if you want to ensure its long-term success. This not only helps you identify and stay focused on your goals, but also attract potential investors and partners too.

When drafting your business plan, focus on addressing the following key questions:

• What services will your board game cafe offer?
• How much demand is there for board game cafes in your area?
• Who is your target audience, and how will you attract them?

As we’ve seen in the previous section, there are a number of different ways in which a board game cafe can earn money; the key to its success, however, is to adapt which of these services it offers according to the preferences of the customers in the location it’s based in.

This is important because, due to their inherent nature, board game cafes typically attract customers from the immediate local community rather than drawing people from across the country. As such, you’ll need to have a good understanding of your target demographic in the local area.

Are there other cafes or gaming spaces nearby? What types of board games are popular in your community? What are the key demographics in the local area? Asking yourself these sorts of questions before you begin planning anything will help you to best identify and meet the local demand.

For example, if your cafe is located near a college or university, offering a large selection of party games and events geared toward students would likely be ideal for driving traffic. Conversely, in a more residential area you might focus on family-friendly games and a more welcoming atmosphere.

Step 2: Register Your Business

One crucial aspect that cannot be overlooked when starting your board game cafe is the importance of establishing a solid business foundation.

While sole proprietorships and partnerships are the most common entity types for small businesses, they’re a far less stable and advantageous option than LLCs — especially when it comes to board game cafes (with potential liabilities and debt).

This is because unincorporated business structures (i.e., sole proprietorships and partnerships) expose you as an owner to personal liability for your business’s debts and legal actions, while LLCs protect you by keeping your personal assets separate from your business’s liabilities.

In practice, this means that if your board game cafe were to face a lawsuit or incur any debts, your savings, home, and other personal assets could not be used to cover these costs. On top of this, forming your business as an LLC also helps it to appear more legitimate and trustworthy.

Note: If you’re interested in more information before getting started, we recommend having a look at our state-specific How to Start an LLC guide (DIY) or our in-depth Best LLC Services review (for those opting for a professional service).

Step 3: Set Up Your Taxes

The next step you’ll need to take is to register your business for taxes. To this, you’ll need to obtain an Employer Identification Number (EIN), which you can think of as your business’s Social Security Number.

If you form your LLC through a specialized LLC formation service, this will likely be already handled for you in exchange for a small additional fee.

Even so, it’s important to make sure that you fully understand your business’s tax obligations; since these can depend on your location, it’s a bit difficult to accurately break down exactly which taxes you’ll be subject to.

Nevertheless, most businesses will typically be subject to income tax, sales tax, and employment taxes at the federal level. Board game cafes in particular will also likely be faced with payroll taxes as well as some form of local city or county taxes.

Due to the complex nature of business taxes, we always advise our readers to seek the help of a professional accountant or business attorney for this step.

Recommended: Book a free consultation with our trusted partner, 1-800Accountant to potentially save both time and money.

Step 4: Choose the Right Location

Choosing the right location can have one of the most significant impacts on your cafe’s profitability, which makes it a top priority during the planning stages.

When searching for the perfect space to lease for your board game cafe, the most important factors to consider are:

• Size
• Foot traffic
• Renovation needs (if any)
• Accessibility
• Local demographics

Since the size of your space has a direct impact on the customer experience, it’s vital to invest in a space that’s large enough to comfortably accommodate all your gaming tables, game shelves, and a cafe counter. Typically, this will require between 1,500 and 3,000 square feet, though larger spaces also mean higher rental costs, so you’ll need to balance this carefully.

After this, the second most important factor to bear in mind is the location of any space you’re considering for your board game cafe. Areas with high foot traffic — such as those near colleges, office hubs, shopping districts, or downtown locations — are ideal as they provide a steady flow of potential customers.

Within these high-traffic areas, try to look out in particular for spaces that are close to ample parking or public transportation, as these locations are optimal due to how accessible they are.

The final thing to consider before signing a lease is the number of renovations a space would need to be suitable as a board game cafe. These renovations — which could include installing a kitchen, custom furniture, or a cafe counter — could cost anywhere from $5,000 to $20,000 or more, but may not always be worth it.

Ultimately, your board game cafe’s visibility, accessibility, and atmosphere will be key drivers of its success, and choosing the right location is the first step in making your business excel in all of these areas.

Step 5: Curate Your Board Game Selection

One of the key attractions of a board game cafe is unsurprisingly its game library, which is why it’s so important to take your time curating a well-rounded selection that keeps customers engaged and coming back.

We recommend starting off by building your collection with a mix of popular games that appeal to a wide audience, including best sellers such as:

• Catan
• Ticket to Ride
• Pandemic
• Codenames
• Risk

Building your cafe’s selection of board games around these fan favorites is an easy way to provide an entry point for both casual gamers and newcomers that will most likely be familiar with these titles.

Then, once you’ve purchased a sufficient number of copies of most of these fan favorites, you’ll want to branch out into more niche games that cater more to enthusiasts, such as:

• Gloomhaven
• Twilight Struggle
• Terraforming Mars
• Spirit Island
• Brass: Birmingham

Offering this wide variety of games of different complexity levels helps to ensure that your cafe appeals to a broad range of customers, from families and casual gamers to more experienced players looking for a challenge.

Just make sure to keep your collection fresh and exciting by continually rotating and updating your game selection. Board game trends change, and new titles are constantly being released, so adding new games or rotating out older, less popular titles can keep your library dynamic.

Step 6: Secure All Necessary Permits and Licenses

One of the final steps you’ll need to take before you can officially launch your board game cafe is to obtain a number of different licenses and permits that are typically required by law.

Food Service License

If your cafe plans to sell food or beverages of any kind it will first need to obtain a food service license. This is issued by the local health department and involves an inspection of your kitchen or food preparation area to ensure it meets food safety regulations.

Among other things, the health department will check that you have proper storage for perishables, adequate cleaning practices, and the necessary equipment to prevent cross-contamination.

This license is critical because it ensures that the food served at your cafe is safe for consumption, protecting both your customers and your business from health risks and liability issues.

Health Department Permit

The health department permit goes hand in hand with the food services license — while the food service license allows you to serve food, however, the health department permit verifies that your entire establishment is compliant with local health and safety standards.

This includes not just food handling but also sanitation, pest control, employee hygiene, and waste management. The health department will conduct regular inspections to ensure that your cafe maintains cleanliness standards and that your kitchen, dining area, and restroom facilities are safe for public use.

Liquor License

You’ll need to obtain a liquor license before you can legally serve alcohol at your board game cafe. Depending on the kinds of alcohol you want to serve, there are different types of liquor licenses you can obtain (e.g., beer and wine only or full liquor) — each with its own application process and associated fees.

This can be one of the more challenging permits to obtain due to the strict local regulations associated with it, especially in areas with limited licenses available or strict zoning laws around alcohol sales.

However, it’s an important one to consider because alcohol sales can significantly boost your revenue. Many customers will want to relax and enjoy a drink while playing games, and offering a selection of craft beers, wine, or cocktails can increase sales and attract a broader audience.

Zoning Permit

A zoning permit confirms that the location you’ve chosen for your board game cafe is legally designated for the type of business you want to operate. It’s necessary because cities and municipalities divide areas into commercial, residential, industrial, and other uses with separate zoning laws you must abide by.

For example, some areas may be zoned specifically for retail or dining establishments, while others may not allow businesses that serve alcohol. Additionally, there may be restrictions on operating hours, noise levels, or how the space can be used (e.g., hosting events or late-night gaming).

Step 7: Get Business Insurance

In addition to securing the necessary permits and licenses, you will need to obtain the right business insurance.

Note

Even if you form an LLC, purchasing business insurance is still a good idea. This is because an LLC structure protects your personal assets, not your business’s.

While specific coverage needs may vary based on factors such as location, size, and unique risks, there are several key types of insurance that most board game cafes should consider.

We’ve briefly outlined these below.

General Liability Insurance

General liability insurance is a foundational coverage that’s essential for board game cafes because it protects against claims of bodily injury, property damage, and personal injury that may occur in your cafe.

An example of this might be if one of your workers accidentally damages a client’s property or a passerby is injured on a job site — in either of these cases, general liability insurance would cover the costs.

The average cost for general liability insurance according to recent data is between $50 and $100 per month, though costs can vary based on your business’s specific needs and risks.

Property Insurance

Property insurance is essential for safeguarding your board game cafe’s physical assets, such as its mowers, trimmers, and blowers.

The median cost for business property insurance is approximately $60 to $300 per month depending on your deductible and policy limit.

Having said that, rates can vary significantly based on factors such as your business’s location, risk profile, and the value of the property in question.

Workers’ Compensation Insurance

If your board game cafe will have employees, workers’ compensation insurance is likely going to be a legal requirement depending on your state.

This insurance policy provides coverage for medical expenses and lost wages to employees who are injured during work.

The average cost of workers’ compensation insurance ranges between $150 and $400 per month, but this can vary based on factors such as payroll, location, and (once again) your business’s specific risk profile.

Ready to Get Started?

How to Start a Board Game Cafe FAQs

Who is the target market?

Board game cafes appeal to a broad range of customers. During the day, they often attract children and families seeking a fun, social activity.

In the evening, the cafe typically draws adults, including young professionals and gaming enthusiasts, who enjoy playing games while socializing over food and drinks in a relaxed environment.

How much can you charge customers?

Board game cafes typically charge customers a small fee per visit, often based on time spent playing. For example, some cafes charge $5 for 90 minutes of play, similar to 3 & Up.

Pricing can vary, with some cafes offering hourly rates, flat day passes, or even group discounts, depending on the location and customer base.

How much profit can a board game cafe make?

How much a board game cafe business earns depends directly on how many customers it attracts. A busy cafe may bring in tens or even hundreds of thousands of dollars each year.

After all, an 8-player game will net a cafe $40 if it charges $5 per person. It takes just seven 8-player games per day to reach $100,000 in annual sales.

How can you make your business more profitable?

Many board game cafe businesses increase their revenue by offering a variety of high-quality snacks and drinks. This increases your business’ total revenue, and it also helps keep customers coming back for more food, drink and gaming.