How to Start a Miniature Golf Course

Starting a miniature golf course can be an exciting and rewarding business venture for entrepreneurs who love the game and want to create a fun, family-friendly entertainment destination.

Having said that, you should keep in mind that launching a successful mini-golf business requires careful planning, significant investment, and a wide range of skills.

In this comprehensive guide, we’ll walk you through all the essential steps you’ll need to take to start your own miniature golf course, from conducting market research and securing funding to designing the course, setting up operations, and attracting customers.

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Industry Overview

The miniature golf industry has experienced steady growth in recent years, with a market size of more than $440 million in the U.S. projected for 2024, despite a slight decrease since 2023.

The industry has outpaced the broader U.S. economy, boasting a compound annual growth rate (CAGR) of 3.5% between 2017 and 2022.

The market consists of a combination of independent operators and larger chains, with approximately 919 enterprises operating in the U.S. as of 2024.

Even though miniature golf may not be the first thing that comes to mind when you think of innovation, the industry as a whole has made significant strides to stay ahead of the curve and keep up with the latest trends.

Traditionally, miniature golf has been, at least in part, a seasonal business, particularly in regions with colder climates where weather restrictions tended to limit operations. In 2024, however, many of these courses have either fully or partially transitioned to indoor facilities, allowing them to operate year-round.

At the same time, the industry has embraced technological advancements to offer a more elevated experience — courses now feature app-based scoring systems, augmented reality, and glow-in-the-dark designs, all of which enhance the gameplay and make it more engaging for players.

This combination of adaptability and innovation has allowed miniature golf to remain a relevant and thriving option in the competitive entertainment market.

Startup Costs

If you’re considering whether a miniature golf course business 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 mini golf course?

Well, it depends. The initial investment for a miniature golf course varies widely based on factors such as location, size, and course complexity:

• Land purchase or lease costs can range anywhere between $50,000 and $300,000, depending on the location. Design and planning fees for professional services typically range from $10,000 to $50,000, while permits and licenses — which are influenced by local, state, and federal regulations — usually cost between $1,000 and $5,000.
• Construction and equipment costs are significant components of the investment. Building the course can cost between $150,000 and $500,000 depending on the size and complexity in question. This figure should be enough to cover a high-quality artificial turf (generally between $20,000 and $50,000), custom obstacles and features (easily between $10,000 to $50,000), and proper lighting and landscaping expenses (ranging between $5,000 and $20,000).
• Operational expenses are ongoing and must be managed effectively. Staffing costs for one to two employees range from $20,000 to $40,000 annually, while utilities (i.e., electricity and water) typically cost between $500 and $1,500 per month. Maintenance expenses for the course and equipment usually range from $5,000 to $10,000 annually, while marketing and advertising can cost between $5,000 and $20,000 per year.

Earning Potential

To understand why mini golf courses tend to be so profitable, you will first need to recognize what they are actually competing against, which is the broader family entertainment sector.

The key difference with other family entertainment options  — such as go-kart racing, arcades, and paintball — lies in both the accessibility and the cost involved.

While the aforementioned activities often target specific age groups or require intense supervision and expensive equipment, mini golf is easy to set up, inexpensive to maintain, and appeals to almost all ages.

Think about it: a go-kart track and a mini golf course might charge customers similar prices, but their operational cost structures are vastly different.

A go-kart business may require up to 10 employees and $300,000 in equipment and maintenance costs, whereas a mini golf course can be run by just one or two employees with simple structures and minimal upkeep.

This stark contrast in operational complexity is what makes mini golf courses far more cost-effective and, ultimately, more profitable than any other attraction in the broader family entertainment sector.

10 Steps to Starting a Miniature Golf Course

In order to start a miniature golf course business, you’ll need to complete the following steps:

1. Planning Your Miniature Golf Business
2. Registering Your Business
3. Setting Up Your Taxes
4. Opening a Business Bank Account and Credit Card
5. Secure Funding (If Applicable)
6. Finding and Securing the Right Location
7. Designing and Constructing Your Course
8. Setting up Business Accounting
9. Getting all Applicable Licenses and Permits
10. 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 Miniature Golf Course

Before diving into your miniature golf business, you’ll need to spend some time conducting thorough market research.

This can involve analyzing the local market to understand the demand for a miniature golf course, identifying potential competitors, and assessing the target demographic.

It’s important to keep in mind that, while miniature golf appeals to a wide range of ages, not all groups participate equally.

For example, adults aged 25 to 44 account for 42.1% of players, and those aged 45 to 64 make up 40.4%, while younger audiences, including teenagers and children, represent just 4.8%.

Therefore, when planning your miniature golf course, don’t just look at the general market size in your city or region — instead, you should focus on whether the specific demographic you’re targeting makes up a substantial enough portion of the local population.

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 course.

Finding a Suitable Name

Choosing the right business name is both important and challenging.

This is because 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 Miniature Golf Business Name Generator tool.

If you do have a name in mind, we recommend researching the following:

• 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 miniature golf business.

Selecting a Theme

You will also need to choose a theme for your miniature golf course, as this can greatly affect its appeal and overall success.

Themes can range from pirate adventures and tropical paradises to space odysseys and fairy tales. A well-chosen theme can create a unique and memorable experience for visitors, encouraging repeat business.

For instance, a pirate-themed course might feature shipwrecks, treasure chests, and pirate characters, while a jungle theme could include exotic plants, animals, and waterfalls.

Creating a Detailed Business Plan

A detailed business plan is essential for outlining your business strategy and securing funding.

When drafting one, be sure to include an executive summary, market analysis, organizational structure, product line, marketing strategy, and financial projections.

It should also detail your operational plan, including staffing, equipment, and maintenance.

For more information on this step, you can have a look at our How to Write a Business Plan guide.

Step 2: Register Your Business

One crucial aspect that cannot be overlooked when starting your miniature golf course 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.

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 miniature golf course 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 How to Start a Business guide (DIY) or our in-depth Best Business Formation 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.

Did you know?

An EIN is also needed in order to hire employees, set up a business bank account or get a credit card. You can find out more information on this in Step 4.

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. Some states impose an amusement or entertainment tax on miniature golf course businesses, and — depending on your location — city or county taxes may also apply.

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.

Step 4: Open a Business Bank Account and Credit Card

Using dedicated business banking and credit accounts is essential when operating as a business owner; this is because when your personal and business accounts are mixed, your personal assets (your home, car, and other valuables) can be at risk in the event your business is sued.

In business law, this is referred to as piercing your corporate veil and is a result of the fact that not having a separate business bank account can be interpreted by some courts as evidence that you are not treating your business as a separate financial entity.

As a result, you could lose your limited liability protections even if you’ve registered a separate business such as an LLC or C Corp.

There are also a variety of practical and economic benefits to this step, such as a larger access to business loans and a more legitimate look.

Getting a business credit card can also be a great idea as it can help you build your company’s credit history from the start.

Recommended: Read our Best Banks for Small Business review to find the best national bank or credit union.

Step 5: Secure Funding (If Applicable)

Securing funding is a critical step in starting your miniature golf course. Financing options include bank loans, Small Business Administration (SBA) loans, private investors, and crowdfunding.

Each option has its pros and cons, and the best choice will ultimately depend on your financial situation and business plan.

A common practice some entrepreneurs follow is to buy the land outright and then borrow against it to build the miniature golf course.

This is because the land itself will likely appreciate in value over time, while the income from the miniature golf business will provide a steady cash flow, thereby creating both short-term revenue and long-term asset growth.

Of course, the extent that this step will be applicable to you will depend on your individual financial situation.

Step 6: Find and Secure the Right Location

The next step you’ll want to take is to find (and secure) the right location for your mini golf course.

While many factors come into play — some based on your personal preferences and taste — there are three key considerations to keep in mind when choosing a location for a miniature golf course:

1. Is it easily accessible?
2. Is it highly visible?
3. Is it located in an area with significant foot traffic?

Proximity to other attractions — such as shopping centers or amusement parks — can also enhance your business’s appeal.

Note: You will also need to make sure that your prospective property is zoned for commercial use and complies with all applicable local and state regulations (discussed in more detail in Step 9).

Step 7: Design and Construct Your Course

Designing a miniature golf course can be done by hiring a professional designer or taking a DIY approach — depending on your skills and experience.

Professional designers not only bring expertise and creativity, but they can also ensure that the course is engaging and visually appealing as well as help with compliance and construction standards.

Of course, this often comes with a much higher price tag.

We recommend taking your time on this step; this is because you will want to make sure that your course stands out from all competitors, and is designed in a way that promotes fun and creativity for your future customers.

You will also need to purchase plenty of equipment before getting started, including high-quality golf clubs and balls, as well as durable, easy-to-handle putters and a variety of ball colors to enhance the fun.

Tip: Consider offering different sizes of putters to accommodate players of all ages and heights.

Step 8: Set up Business Accounting

Recording your various expenses and sources of income is critical to understanding the financial performance of your business.

You can categorize specific accounts related to mini golf operations into various categories, such as:

• Course construction expenses (e.g., design, materials, labor, etc)
• Maintenance costs (e.g., upkeep, landscaping, repairs, etc)
• Equipment purchases (e.g., clubs, balls, signage, etc)
• Staff salaries
• Marketing expenses

In addition to tracking operational expenses, you’ll also need to closely monitor your different revenue streams to maintain a clear understanding of your overall profitability:

• Green fees from regular play
• Income from group events like birthdays or corporate outings
• Tournament entry fees
• Revenue from memberships or loyalty programs
• Sales from concessions (if offering food and drinks)
• Merchandise sales from your shop (if applicable)

This should provide clear visibility into your business’s financial performance and aid in accurate cost analysis.

Step 9: Secure All Required Licenses And Permits

The applicable licenses and permits that you’ll need will largely depend on your state and local regulations.

Even so, we’ve compiled a list of some of the common licensing regulations that you’ll likely need to satisfy in order to operate legitimately.

Zoning and Land Use Permits

Before establishing a miniature golf course, you’ll need to ensure that the land is zoned appropriately for a recreational facility.

Zoning regulations vary by locality and dictate the types of activities that can be conducted on a piece of land. In some areas, you may need to obtain a special use permit or a variance if the land is not already zoned for recreational use.

We recommend consulting with your local zoning authorities in order to understand the specific requirements and restrictions that will be applicable to your miniature golf course. Alternatively, you can consult with a business attorney if you want someone else to take care of this for you.

Health and Safety Inspections

Local health and safety inspections are mandatory to ensure that your miniature golf course complies with health codes and safety standards.

These inspections typically cover aspects such as the cleanliness of the facility, the safety of the structures, and the adequacy of emergency exits.

Regular inspections help maintain a safe environment for patrons and are often required for the renewal of operating permits.

Business Operation Licenses

At a state level, your business may be required to obtain a business license in order to operate — though this will depend on your location.

This process generally involves submitting an application, paying a fee, and meeting specific state requirements. However, some states also require you to demonstrate good moral character or provide proof of insurance as part of the licensing process.

Environmental Compliance Permits

If your miniature golf course includes water features or other elements that could impact the environment, you will likely need to secure some sort of environmental compliance permits.

These ensure that your operations comply with state and federal environmental regulations and do not harm local ecosystems.

The Environmental Protection Agency (EPA) provides guidelines and oversees the issuance of these permits on a federal level, though it’s important to note that some states can also impose their own regulations.

ADA Compliance

The Americans with Disabilities Act (ADA) requires all public facilities, including miniature golf courses, to be accessible to individuals with disabilities.

This includes providing accessible routes, ensuring that slopes and landings meet specific gradient requirements, and removing any barriers that could impede access. Compliance with ADA standards is not only a legal requirement but also ensures that your facility is inclusive and welcoming to all patrons.

Step 10: Secure Business Insurance

In addition to securing the necessary permits and licenses, you will need to obtain the right business insurance. This is important in order to protect your business’s assets from potential financial losses.

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 miniature golf businesses should consider.

We’ve briefly outlined these below.

General Liability Insurance

General liability insurance is a foundational coverage that’s essential for miniature golf courses because it protects against claims of bodily injury, property damage, and personal injury that may occur on your premises.

The average cost for general liability insurance according to recent data is $42 per month, or $504 annually, though costs can vary based on your business’s specific needs and risks.

Property Insurance

Property insurance is essential for safeguarding your miniature golf course’s physical assets, such as the course, buildings, equipment, and inventory.

The median cost for business property insurance is approximately $63 per month for plans with a $1,000 deductible and a $60,000 policy limit.

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

Workers’ Compensation Insurance

If your miniature golf business 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 $45 per month, but this can vary based on factors such as payroll, location, and (once again) your business’s specific risk profile.

Business Interruption Insurance

Business interruption insurance can help replace lost income if your miniature golf course is temporarily unable to operate due to a covered event, such as a fire or natural disaster.

The average cost for this type of insurance ranges from $40 to $130 per month, or $480 to $1,560 annually.

Keep in mind that this coverage is often bundled together with other types of insurance (e.g., property insurance, etc) in order to provide more comprehensive protection.

Ready to Get Started?

How to Start a Mini Golf Course FAQs

Who is the target market for a mini golf course business?

Generally speaking, your best clients will be families.

This is because the parents will help to control the behavior of children (which will not be true of all your teenage customers), and larger families provide more cash at a time than smaller groups of customers.

These customers will also create lifelong business for you as the children who enjoy the experience will enjoy coming back as they get older and eventually bring their own children.

How much can you charge customers?

The exact cost may vary by region, but it is typical to charge customers between $8 to $15 per person per round.

This pricing is competitive compared to other family entertainment options like go-kart racing, arcades, or paintball, making mini golf a more affordable and accessible choice for families looking for fun activities that don’t break the bank.

How much profit can a miniature golf course make?

The exact amount of profit your business makes greatly depends on the region as well as what the local entertainment competition is.

Having said that, the relatively low ongoing expenses mean that a steady stream of customers can easily make over $100,000 a year, and some mini golf course owners report being able to pay off their initial investment within the first few years of opening this business.

How can I make my golf course business more profitable?

In order to maximize profitability, you will need to have an advertising presence in logical areas for potential customers, including schools, churches, and local entertainment centers.

You should try to stay open as many days as possible, as major holidays often prove to be big business for mini-golf courses, as people have time off from work and school and are happy to come out and play.

Finally, be sure to have a social media presence that heavily features pictures of actual customers and their testimonials, as this will establish the legitimacy of your business within your community.