Many guides on how to start a family entertainment center list the same steps: research, plan, fund, build, open. The steps are right. What they often leave out is why the order matters: the anchor attraction sets the building, the building sets the lease and the permits, and your software choice sets the front desk. This guide follows that order and gives you published figures to use in the business plan.
It maps the business plan section by section and uses only numbers that franchisors, the U.S. Small Business Administration or a public company’s annual report have published. We make venue management software for family entertainment centers, so our view on the software step isn’t neutral; we flag where our own product comes in. We don’t sell attractions, buildings or franchises.
How to Start a Family Entertainment Center in 8 Steps
- Check the market: population, family incomes and children within your trade area.
- Choose the concept: anchor attraction, size and food service.
- Decide franchise or independent: published franchise investments run from about $1.4M to $6.5M.
- Write the business plan: the SBA’s eight sections, with five years of projections.
- Secure funding: SBA 7(a) loans go up to $5 million.
- Lock the site, zoning and permits before you sign the lease.
- Choose your software before you design the front desk.
- Pre-sell and open: parties, groups and passes before the doors open.
Step 1: Check the Market Before You Pick the Concept
An FEC lives on families within a short drive, so start with them, not with the attractions you like. Launch Family Entertainment publishes the trade area it looks for when it places a franchise park of about 25,000 to 35,000 sq ft. It’s one franchisor’s yardstick, not an industry rule, and a smaller concept may need less:
- A trade area population of about 200,000 or more.
- A high concentration of households with average incomes of $75,000 or more.
- About 20,000 children under the age of 14.
- A site near established retail and other high-traffic destinations.
Then look at what’s already there. List every trampoline park, arcade, bowling center, indoor playground and laser tag venue within your drive time, and note what each one does badly: no toddler area, no good party rooms, no food worth staying for. That gap is your concept. Global market forecasts make nice slides, but they won’t tell you whether your town needs another center; our FEC market statistics explain why the research firms disagree.
Step 2: Choose Your Concept, Anchor and Size
Every center needs an anchor, the attraction people drive to you for, plus secondary attractions and food that keep them longer. The anchor sets the building you need. These are the sizes and costs that operators and franchisors publish:
| Center | Format | Typical Size | Published Investment |
|---|---|---|---|
| Starlite Family Fun Centers | Roller rink, laser tag, two-story playground | 22,000–24,000 sq ft | $1,421,000–$1,748,500 |
| Launch Family Entertainment | Trampolines and multi-attraction park | ~25,000–35,000 sq ft | $3,517,213–$6,501,900 |
| Galaxy Fun Park | Go-karts, bumper cars, ropes, laser tag, arcade | 30,000–90,000+ sq ft | $2,300,500–$5,901,500 |
| Dave & Buster’s (company-owned) | Arcade, sports bar and restaurant | ~37,000 sq ft avg; ~28,000 new | Not applicable |
Two patterns are worth noting. First, size varies widely: the published examples run from about 22,000 sq ft to more than 90,000, and Dave & Buster’s newest stores averaged about 28,000 sq ft against 37,000 for the chain overall. Second, the anchor drives the ceiling height and the floor plan, so choose it before you tour buildings. A go-kart track, a trampoline court and a soft play structure need very different spaces. If one attraction is your whole concept, our guides on starting a trampoline park and the cost of building a go-kart track go deeper.
Step 3: Decide Between a Franchise and an Independent Center
A franchise gives you a tested layout, attraction suppliers and a brand; you pay for it with a fee, royalties and less control. Launch, for example, charges a $75,000 fee plus a 6% royalty and a 2% brand marketing fee on gross sales. Franchisors also set minimum liquidity and net worth, so ask for each Franchise Disclosure Document early.
An independent center keeps every dollar of revenue and every decision, but you build the brand and the playbook yourself. There’s no single right answer; our family entertainment center franchise guide compares the brands, fees and financial requirements line by line.
Step 4: Write Your Family Entertainment Center Business Plan
The U.S. Small Business Administration describes two formats: a lean startup plan and a traditional plan. If you need a loan or investors, use the traditional one; the SBA notes that lenders and investors commonly request it. A good FEC business plan follows that structure, filled with numbers from your own market. Here is what an FEC puts in each of its eight sections:
| SBA Section | What to Put in It for an FEC |
|---|---|
| Executive summary | The concept in two sentences, the site, the total investment and the funding you’re asking for. Write it last. |
| Company description | The gap you found in Step 1, your anchor attraction and why families will choose you over the venues already there. |
| Market analysis | Trade-area population, household incomes and children under 14, compared with a benchmark such as Launch’s; every competitor in your drive time. |
| Organization and management | Legal structure, who runs operations, food service and sales, and the experience each person brings. |
| Service or product line | Attractions, pricing (passes, time-based play, game cards), party packages, group and corporate offers, food and drink. |
| Marketing and sales | Pre-opening plan, birthday party sales, school and group outreach, and how guests book: online, at a kiosk or at the counter. |
| Funding request | How much you need and what for: building work, attractions, food service, technology, pre-opening costs and working capital. The SBA asks for the next five years. |
| Financial projections | Five years of forecasts; the SBA suggests quarterly or even monthly figures for year one. Split revenue between play and food, and model weekdays separately from weekends. |
For the projections, a public company gives you a reality check. In its most recent annual report, Dave & Buster’s earned 62.9% of its revenue from entertainment and 37.1% from food and beverage. The cost of entertainment was just 8.1% of entertainment revenue, against 24.8% for food and beverage, and operating payroll was 25.5% of total revenue. Your mix will differ, and these are cost-of-sales ratios before labor, rent and other costs, so they don’t show total profit. They do suggest checking how much of your plan’s gross margin comes from play rather than food.
Build the funding request from line items
Break the total into building work, attractions and arcade games, food service equipment, technology, furniture and fixtures, pre-opening payroll and marketing, and working capital, and get written quotes for each. A lender can then see exactly what the money is for.
Test the plan with a break-even calculation
List your fixed costs (rent, base payroll, insurance, utilities, loan payments) and your variable costs (food, prizes, card and payment fees), then work out how many guests and parties per month cover the fixed costs. The SBA’s business planning guide includes a free break-even calculator for this. If the break-even number needs a busy Saturday every day of the week, rework the concept or the budget before you sign anything.
Step 5: Secure Funding
FEC projects are usually funded with a mix of owner equity and outside financing. In the U.S., the SBA’s 7(a) program backs loans made through participating lenders, and the SBA lists real estate and buildings, working capital, machinery and equipment, and furniture and fixtures among the allowed uses. The maximum 7(a) loan is $5 million. Other sources to ask about include equipment financing for attractions and arcade games, landlord contributions to the building work, and private investors. Each lender sets its own requirements for your equity contribution, collateral and experience, so ask early; the answer shapes how big your first center can be.
Step 6: Lock the Site, Zoning and Permits
Before you sign a lease, confirm with your planning department that the site’s zoning allows your use, and ask your attorney about making the lease conditional on zoning and permit approval. The SBA warns that zoning ordinances “can restrict or entirely ban specific kinds of businesses” in an area, and the place to check is your city’s planning department. Ask specifically about assembly or entertainment use, parking requirements, occupancy limits and signage.
Permits depend on your activities and location; the SBA notes that requirements and fees vary with your business activities, location and government rules. Ask your city or county which of these apply to your concept: a general business license, a certificate of occupancy for the building, health permits if you serve food, an alcohol license if you serve alcohol, and any inspections required for rides or go-karts. Have your architect check building and fire codes. Build the timelines into your plan, because they can decide your opening date as much as construction does.
Step 7: Choose Your Software Before You Design the Front Desk
This step is easy to leave too late. The software shapes how guests book, pay, sign waivers and load game credits, which affects how many counter stations, kiosks and staff you plan for at the entrance. Choose it after the concept and before the architect finalizes the front-of-house layout.
A new center needs these functions from day one:
- Online booking with live capacity, so the website never sells a session that’s already full.
- Party booking with deposits, rooms and add-ons. Parties are bookings you can sell weeks in advance.
- A point of sale for admissions, food and retail, with self-service kiosks if you expect peaks.
- A cashless card or RFID wristband system for games and attractions.
- Digital waivers for any physical activity, signed before arrival.
- Reporting and CRM, so you know which days, parties and attractions make money, and can bring guests back.
Separate systems for each of these can work, but each one adds reconciliation and staff training. A connected platform reduces that. Disclosure: BMI Leisure makes one, our FEC platform; BMI’s software runs in more than 300 locations worldwide. To compare it fairly with the alternatives, see our guide to the best FEC software.
Planning Your Family Entertainment Center?
Tell us about your concept and your building. We’ll show you how booking, parties, POS, cashless play and waivers fit together, and what the front desk should look like for your busiest Saturday.
Talk to Our TeamStep 8: Pre-Sell, Soft Open and Launch
The best openings start selling before construction ends. Put up the website and online booking early, and start selling what books far in advance: birthday parties, school and camp groups, corporate events and opening passes. A soft opening with friends, local families and community groups lets staff practice the full flow, from booking and check-in to the party room and the café, before the public sees it. After opening, the job becomes filling weekdays; our FEC marketing guide covers the channels that work.
Frequently Asked Questions
How much does it cost to start a family entertainment center?
For a full-size center, plan in the millions. The three franchisors that publish totals range from $1,421,000 (Starlite, for a 22,000 to 24,000 sq ft center) to $6,501,900 (Launch Family Entertainment). Starlite says its range includes its $50,000 franchise fee; check the Item 7 table in each Franchise Disclosure Document to see what the others include. An independent center skips the franchise fee and royalties but still pays for the building work, attractions, food service and working capital.
What should a family entertainment center business plan include?
Use the traditional format the U.S. Small Business Administration describes, because lenders and investors commonly ask for it: executive summary, company description, market analysis, organization and management, service or product line, marketing and sales, funding request and financial projections. For an FEC, the market analysis should cover your trade area, the service line should list attractions and party packages, and the projections should split revenue between play and food, with monthly figures for the first year.
How much space do you need for a family entertainment center?
The published examples mostly fall between 20,000 and 40,000 square feet, and large multi-attraction parks go well beyond. Starlite’s typical center is 22,000 to 24,000 sq ft, Launch parks run about 25,000 to 35,000 sq ft, and Galaxy Fun Park ranges from 30,000 to over 90,000 sq ft. Dave & Buster’s stores average 37,000 sq ft, although its newest stores averaged about 28,000.
Are family entertainment centers profitable?
It depends on the center, and there is no verified industry-wide profit figure, so treat these as reference points. At Dave & Buster’s, the cost of entertainment was 8.1% of entertainment revenue, against 24.8% for food and beverage, so play leaves more of each sales dollar after product costs. Galaxy Fun Park advertises a 15.8% average EBITDA, which is the franchisor’s own claim. Model weekday attendance and party bookings separately in your plan.
What software does a family entertainment center need?
At minimum: online booking with live capacity, party booking, a point of sale for admissions, food and retail, a cashless card or wristband system for games and attractions, and digital waivers if you run physical activities. Choose it before you design the front desk, because it affects how many stations, kiosks and staff you plan for. A connected platform reduces the reconciling between separate systems.
Sources
- U.S. Small Business Administration — Write your business plan (traditional and lean startup formats; traditional sections; funding request and financial projections over five years; quarterly or monthly projections for the first year; break-even analysis calculator). sba.gov — verified October 1, 2026.
- U.S. Small Business Administration — Pick your business location and Apply for licenses and permits (local zoning ordinances; requirements vary by activity and location). sba.gov — verified October 1, 2026.
- U.S. Small Business Administration — 7(a) loans (allowed uses; maximum loan amount $5 million). sba.gov — verified October 1, 2026.
- Launch Family Entertainment — franchise page (Item 7 initial investment $3,517,213–$6,501,900; $75,000 fee; 6% royalty and 2% brand marketing fee; ideal trade area; facilities of about 25,000–35,000 sq ft). launchfamilyentertainment.com — verified October 1, 2026.
- Starlite Family Fun Centers — franchise page ($1,421,000–$1,748,500 including a $50,000 fee; about $500,000 liquidity and $3,000,000 net worth; 22,000–24,000 sq ft). starlitefamilyfuncenters.com — verified October 1, 2026.
- Galaxy Fun Park — franchising page ($2,300,500–$5,901,500; $60,000 fee; $750K liquid and $1.5M net worth; 30K to 90K+ sq ft; “15.8% Average EBITDA” as a franchisor claim). galaxyfunpark.com — verified October 1, 2026.
- Dave & Buster’s Entertainment, Inc. — Form 10-K for the fiscal year ended February 3, 2026 (revenue mix, cost of products and payroll ratios, store sizes). sec.gov — verified September 23, 2026.
Franchise figures are each company’s own published numbers and change when FDDs are reissued. Dave & Buster’s figures describe a large public chain and are a reference point, not a forecast for a single center. Permit and zoning requirements vary by state and city; confirm them locally. This guide is general information, not financial or legal advice. BMI Leisure is the publisher and sells venue management software to family entertainment centers, disclosed above. Last updated: October 1, 2026.
