Starting a Golf Simulator Business: Options, Markets, Pros & Cons

On the heels of a pandemic-fueled boom, golf’s popularity continues to rise. Meanwhile, the technology behind golf simulators has advanced substantially and demand for year-round, indoor golf in both public and private spaces is undoubtedly on the rise. If you’re entrepreneurial or particularly business-minded, you might be wondering if there’s a way to turn your passion into a lucrative side hustle or even a main gig. That is, if it makes sense to start an indoor golf business or a golf simulator business. There are more options than you might think, and golf simulator business concepts run the gamut in terms of startup costs, risks, and potential financial reward.

Add Value to an Existing Facility

If you already own or manage a facility like a sports center, gym, boutique hotel, bar/restaurant, or other business, adding a few simulator bays might make a ton of sense. It’s a versatile amenity that can, itself, produce revenue while also driving revenue to other aspects of the business. As a year-round, experience-driven amenity, simulators can be especially attractive for individuals (recurring revenue), small groups, and events of all types including corporate parties, conferences and forums, fundraisers, and social events like retirement and bachelor parties. Adding a simulator amenity to an existing business concept can also help you draw in a wider audience, including both social and serious golfers across age and gender demographics. 

The beauty of this approach is that the upfront costs and risks are substantially lower compared to starting a business from scratch, you can tailor the way you offer it based on the customer(s) you’re looking to attract, and you can quickly begin generating additional revenue with minimal disruption.

Open a Commercial Golf Sim Space

Starting a dedicated commercial golf simulator business involves creating an entire space centered around the virtual golfing experience. These types of businesses cater to various customer bases: from golf enthusiasts who want to practice year-round using the latest trackers, launch monitors, projectors, and digital analysis tools to groups looking for a fun after-work or weekend outing. In urban areas where outdoor golf courses are scarce (especially those with harsh and long winter seasons), a commercial golf sim facility can offer the full experience with virtual rounds on famous courses from around the world. 

The startup costs and risk can be significant with this approach, depending on the size of your facility and the quality of the simulator technology you invest in, but the potential for sustainable recurring revenue is high. Offering food, drinks, or a bar area can add to the social experience, allowing you to position the facility as a golf entertainment hub and creating additional revenue. However, the success of such a business requires careful market research, a good location, differentiators (think high-end technology, atmosphere, great food, or premier on-site instruction), and excellent customer service to create a memorable experience.

Become a Simulator Builder or Installer

If you're more technically inclined or have experience in construction or technology installation, becoming a golf simulator builder or installer could be a lucrative business. With the rising popularity of these spaces and more options on the market, it’s becoming more and more common for homeowners to install simulators in their basements, garages, outbuildings, and sheds. 

Demand for expertise in installation, equipment selection, and system setups will continue to rise as more people invest in personal golf simulators. While the startup costs are relatively low, the key to success in this market is tapping into your relationships, building a great reputation through word of mouth, and finding ways to stay visible in this niche. What’s great about this business model is that it allows for paced scalability, where you can start locally, and eventually expand services to include maintenance, upgrades, and even fully custom remodels and installs. 

Monetize a Home Golf Simulator

If you’ve already invested in a golf simulator (or are seriously considering it), why not turn it into a lucrative source of income? RecDay.com allows homeowners to rent out private recreation spaces by the hour, making it super easy and realistic to effectively monetize your home setup. The platform handles all the details–including easy calendaring so hosts can set and manage their availability, insurance (including liability and damage protection), and secure payment processing. 

Spaces with on-demand access require especially minimal oversight, allowing you to monetize your investment in a truly passive way, with little to no effort. Simply create an attractive listing with some nice photos and details about everything your space has to offer, and begin accepting booking requests to earn dollars. Little-to-no upfront costs and risks combined with the ability to earn as much as $20,000 or $30,000 a year for a consistently rented space makes this option especially lucrative with low inputs and a marginal time investment. 

Golf Sim Lessons & Instruction

Golf instructors are increasingly turning to simulators as a tool for teaching and coaching. Simulators provide in-depth data on a golfer's swing, ball speed, trajectory, and more, making them an invaluable resource for instructors looking to provide detailed feedback. What’s more, indoor golf sim studios give instructors tons of flexibility to offer year-round instruction on a more flexible schedule that can include evenings and peak hours when courses can be full.

RecDay.com allows golf instructors to more effectively grow and monetize their instruction businesses, and their studio spaces. Coaches can offer private as well as group lessons on a one-time and recurring basis–in addition to renting the use of your space (without instruction) for additional passive income. 

Getting Started

Before diving into the golf simulator business, it’s important to research your market and decide which business model best fits your goals, skills, risk tolerance, and financial situation. Are you looking to add a new feature to an existing business, or are you starting fresh with a commercial golf simulator facility? Not quite ready to dive into that much risk, but eager to earn additional income? Renting a private space is a great option. Be sure to consider factors like startup costs, tax benefits, competition, and customer demand in your area. 

Interested in learning more about how RecDay works and if it makes sense for your business goals? Contact our customer success team for answers to your questions, or start building your free listing now.