How to Start a Board Game Cafe

Part 1 - How to start a Board Game Cafe business - Background

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.

Our guide is in 3 parts:

• Part 1 - How to start a Board Game Cafe business - Background
• Part 2 - Our planner tool to see if this idea is the right fit for you
• Part 3 - Action plan to get started

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.

Day-to-Day and Growth

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.

Part 2 - Is a Board Game Cafe business the right fit for you?

Part 3 - Action plan to launch your Board Game Cafe business in 90 days