How to Start a Roller Skating Rink

Part 1 - How to start a Roller Skating Rink business - Background

If you grew up in the 80’s, roller skating rinks were an integral part of your childhood. You looked forward to the weekend, anticipating that feeling of excitement you felt from lacing up those skates. Over the last few years, skating rinks have recaptured the hearts of adults and children, offering a safe and entertaining environment for everyone.

Our guide is in 3 parts:

• Part 1 - How to start a Roller Skating 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

What are the costs involved in opening a roller skating rink?

As with every business, the skating arena’s location will define your success. If you’re unable to find an old roller rink, be sure you choose a space that is large and offers ample parking. Due to the size of space needed, the building will be your largest expense, both in the beginning and moving forward. Current successful skating rink owners recommend setting aside approximately $4,000/month for rent.

Once you’ve found a prime location, you’ll be facing a number of additional start-up costs, which will set you back approximately $30,000:

• If the building wasn’t originally designed for a skating rink, you’ll need to design and build the arena. Skating floors should be wood to ensure you attract both beginners and novice skaters.

• Depending upon the space you have to work with, hiring an engineer might be your best option for safeguarding against any spatial and safety snafus along the way.

• Equipment: lockers, benches, roller skates, music system, lighting system, tables, and food and drink equipment.

• Software: accounting and inventory management software would both be beneficial

• Insurance

• Website

• Marketing supplies

What are the ongoing expenses for a roller skating rink?

A roller skating rink’s overhead expenses vary, depending upon the services they offer. Rent, insurance, and payroll will take up a large portion of your budget. It also takes a great deal of energy to keep something like this going, so budget for a significant electric bill.

You’ll want to make refreshments available for your customers. Carefully consider your menu options before opening the business, as the items you offer will define your budget.

Dedicating a portion of your budget for ongoing and preventative maintenance should also be part of your business plan. There are many components to a skating rink and they should all be considered invaluable. Preventative maintenance ensures the entire operations runs smoothly, reducing the number of unexpected incidents.

Who is the target market?

Customers for this type of business will be anyone looking for a fun and safe place to gather with friends and family. You’ll get a spectrum of customers; from those who’ve never put on a pair of skates all the way to enthusiasts who enjoy skating every chance they get. Roller skating rinks are also popular amongst teenagers who are looking for a more entertaining option than being dropped off at the mall for a few hours with friends.

How does a roller skating rink make money?

Your business generates revenue by charging an admission price to the skating rink, as well as renting out skates to your customers. Most arenas also offer party packages and sell food and drinks, which helps attract customers and increases the business’ profitability.

How much can you charge customers?

This is a tricky question, as fees largely depend upon the customer’s unique needs. Individual skaters are charged between $7-$11, which typically include 3-4 hours of skating. Skate rentals average $5.

The bulk of your revenue will be generated from larger parties. If the party rents the entire space out, rinks charge a minimum of $350. Parties who share the rink with your other customers charge a fee of no less than $150 for 10 guests, with an additional fee for each additional guest. You’ll want to consider your overhead expenses and goals for attracting customers when constructing your fee structure.

How much profit can a roller skating rink make?

Your annual profit is defined by your fee structure, demographic, and what other activities the facility offers. Those who have found success in this industry suggest offering enough activities to attract consumers who are interested in more than skating. Entrepreneurs who have found the right balance have reported an annual profit of over $200,000 after just a few short years.

How can you make your business more profitable?

As indicated, offering skating as the only entertainment option will result in a low profit margin. The following are a few strategies and services other rinks have implemented to ensure a more profitable business:

• Offer a food and beverage selection that appeals to consumers of all ages

• If affordable, obtain a liquor license. Parents who are attending parties with their children will thank you.

• Some roller skating rinks have found success as a night club on “off” nights.

• Design your floor so it meets the size requirements for speed and figure skating competitions. One national event could pay your overhead expenses for the year.

• Sell skates.

• Offer skating lessons, segmented into different age and/experience levels.

• Coach speed skating.

• Offer exercise classes that incorporate skating.

• Host roller derby events and market to roller derby teams in the area.

• Make it more of a recreational facility. You can offer arcade games, laser tag, and/or rock climbing. Some owners even install retracting basketball goals for basketball events, while others rent their space to cheerleading or volleyball teams. By doing research and identifying what your area is lacking, you can cater to the needs of your specific community.

Day-to-Day and Growth

What happens during a typical day at a roller skating rink?

A great deal of your clientele will be children, which narrows the amount of time the rink is open and filled with people. If you market appropriately, however, there are a number of ways to regulate this downtime and ensure a profitable business.

Your duties will vary, depending upon what’s on the day’s agenda. A typical day will look something like this:

• Cleaning the skating rink, both inside and out, to ensure a safe and orderly environment for your customers

• Checking all equipment and skates to ensure they’re working properly and that nothing is in need of repair

• Answering phone calls and emails for prospective clients

• Meeting with customers who are interested in holding events at the arena

• Building relationships with members of the community who could play a roll in bringing steady business to the rink

• Marketing the business and re-strategizing when necessary

• Planning events that will attract new business

• Meeting with employees to ensure they understand your mission and goals, and that they’re educated on skating rink safety standards

Additionally, there will be administrative duties to attend to, such as ordering supplies and paying bills. Once the business is running at a steady pace, you’ll want to hire a trusted manager in order to delegate your responsibilities.

What are some skills and experiences that will help you build a successful roller skating rink?

To ensure a positive and safe experience for every customer, it’s important that you understand the different facets of skating. The rink must be designed so that skaters of every level can intermingle, without getting in each other’s way. Beginners will have questions on everything from skating techniques to the difference from one skate to another. This business requires you to interact with people day in and day out, so it’s also critical that you’re patient and good with the public.

Most skating rinks realize a greater profit by offering additional recreational activities, as well as food and drink. Thus, a creative mind and experience in the service industry would prove beneficial. Strong business and marketing acumen will also be fundamental to your rink’s success.

What is the growth potential for a roller skating rink?

This industry offers great potential for growth. Since opening multiple locations within the same town will force you to compete with yourself, this strategy is only advisable if you live in a large town where you’re able to spread out your locations. However, if you’re able to invest in enough space, offering additional activities will attract a more diverse crowd and ensure your business meets short and long-term goals. While there’s much interest in the skating rink business, there are few franchising options available. Once you’ve established a name for yourself and fully understand the intricacies of running a successful rink, offering franchising opportunities could significantly expand your enterprise.

What are some insider tips for jump starting a roller skating rink?

The following are a few insider tips from well-established roller skating rinks:

• Invest in your space. Making sure it’s visually appealing to skaters of all ages. Keep in mind that “a skating rink is designed for children but is financed by their parents.” Many parents drop their children off, never setting foot inside, so outside appearance is just as important as the inside.

• Make sure the rink is clean, both inside and out, at all times.

• Keep the parking lot safe and strictly enforce rules on loitering.

• Make sure the music played is something everyone can enjoy and invest in a good lighting system.

• Spend 10-12 hours a week on preventative maintenance. This will save you financially in the long run

• Management should be well-versed in all forms of skate maintenance and that all maintenance is well documented.

• Design a well-thought-out set of rules and make sure they’re enforced at all times.

How and when to build a team

Unlike some small businesses, you’ll need a team prior to the grand opening. Your staff can make or break your success, so carefully consider how you construct your team. Since you’ll be catering to a younger audience, your staff should include both high school students and adults.

There are two very important things to remember when building your team:

1. Make sure your staff is knowledgeable, friendly, and trained to handle medical emergencies.

2. Hire floor guards who are reliable enough to strictly enforce the rink’s safety rules.

Read our roller skating rink hiring guide to learn about the different roles a roller skating rink typically fills, how much to budget for employee salaries, and how to build your team exactly how you want it.

Part 2 - Is a Roller Skating Rink business the right fit for you?

Part 3 - Action plan to launch your Roller Skating Rink business in 90 days