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Are Golf Simulator Businesses Profitable?

20 January 2025 · 10 min read

Yes — but the margin between a profitable simulator venue and one that struggles comes down to a handful of decisions: how you price sessions, how well you fill available hours, and how much you spend on the set-up and ongoing costs.

This article works through the numbers honestly. You will find realistic revenue estimates for single-bay and multi-bay venues, the main costs to account for, and what operators tend to do differently when their venues perform well.

1. How much can a simulator bay earn?

Most UK simulator venues charge between £20 and £50 per hour for a bay. The rate depends on location, the quality of the setup, whether customers are buying drinks or food alongside their session, and the time of day.

Urban venues with good footfall, strong online visibility and a quality setup sit toward the upper end. A single-bay rural operator or a gym add-on is more likely to price at £20–£30 to stay competitive locally.

At £30 per hour, a bay generating eight paid hours a day, seven days a week, produces £1,680 per week — or roughly £87,000 per year. That is at 100% occupancy, which no venue achieves consistently. At 50% occupancy, the same bay brings in around £43,000 per year.

At £40 per hour — achievable in many UK towns if the experience is right — the same bay at 50% occupancy produces around £58,000 per year. The difference an extra £10 per hour makes over a full year is significant, which is why pricing is one of the most important decisions you make when opening.

2. What occupancy rate is realistic?

Occupancy varies a great deal depending on how long the venue has been open, how easy it is to book and whether it has built a regular customer base.

A rough guide for a standalone simulator business in a reasonable UK location:

  • First three months: 25–45%. Many bookings come from curious early visitors. Repeat bookings take time to build.
  • After six months: 40–60% if the venue is actively marketing and easy to book online.
  • Established venues with memberships: 55–75% across available hours. The floor of predictable bookings from members makes overall occupancy much more stable.

Occupancy is rarely even across the week. Evening slots and weekend mornings tend to fill first. Mid-week daytime hours are the hardest to sell and are where memberships, golf leagues, coaching sessions and corporate packages genuinely help.

One thing that consistently hurts occupancy at newer venues is making it difficult to book. If customers cannot see availability and reserve a slot online within a minute, many of them will not bother — or will book a competitor that makes it easy.

3. Revenue scenarios

The table below shows annual bay revenue at different hourly rates and occupancy levels, assuming ten bookable hours per day and 365 operating days per year.

Hourly rate40% occupancy55% occupancy70% occupancy
£25 per hour£36,500£50,188£63,875
£30 per hour£43,800£60,225£76,650
£40 per hour£58,400£80,300£102,200
£50 per hour£73,000£100,188£127,750

These are gross revenue figures before any costs. But they illustrate why occupancy and hourly rate are the two levers that matter most. Moving from 40% to 55% occupancy at £30/hr adds over £16,000 per year per bay. Raising the hourly rate from £30 to £40 at 55% occupancy adds another £20,000 per bay per year.

For a two-bay venue at £35/hr running at 55% occupancy, you are looking at roughly £140,000 in gross annual revenue before costs — a reasonable base from which to build a profitable business if the fixed costs are managed carefully.

4. Running costs to account for

The costs of running a simulator venue depend heavily on your premises arrangement, staffing model and how much debt you are servicing from the initial fit-out. A rough cost breakdown for a small to medium venue:

Cost itemNotes
Premises rentTypically the largest single cost. Budget varies enormously by location.
Business ratesVaries by rateable value. Small business relief may apply below certain thresholds.
UtilitiesSimulators draw a reasonable amount of power, especially if running multiple bays.
StaffingCan be eliminated or significantly reduced with an unmanned venue model and automated access.
Software, booking and payment processingBooking platform fees and payment processing costs. Typically a small percentage of revenue.
InsurancePublic liability and contents cover. Essential and non-negotiable.
Simulator software licencesMany simulator platforms charge annual or monthly subscription fees for their software and course libraries.
Maintenance and repairsScreen repairs, hardware maintenance, general upkeep. Budget something each year.
MarketingLocal advertising, Google ads, social media. More important in the first year.
Loan repaymentsIf you financed the fit-out, this will be a fixed monthly commitment.

The biggest variable most operators underestimate is staffing. A single full-time member of staff adds roughly £22,000–£28,000 per year in salary costs alone, before NI and other employer costs. For a single-bay venue generating £40,000–£60,000 per year, that is a substantial portion of gross revenue. This is one of the strongest practical arguments for running an unmanned simulator venue, at least for part of your operating hours.

5. What most affects profitability

From the cost and revenue structure above, a few things stand out as having the biggest impact on whether a venue makes money:

Rent relative to revenue potential

The biggest financial mistake simulator operators make is signing a lease where the rent eats too much of realistic revenue. If your total fixed costs exceed 50–55% of what you can reasonably earn at realistic occupancy, the numbers will be very tight. Get the projections done before you commit to a location.

Pricing confidence

Many new simulator operators underprice their sessions out of caution. The data usually shows that customer demand is less price-sensitive than operators expect — particularly for evening and weekend slots, which people book for leisure and are willing to pay for. Setting a price that reflects the quality of your experience and testing it for a few months before adjusting is usually the right approach.

Filling weekday daytime hours

Most simulator venues have the same problem: evenings and weekends fill up; Monday to Friday daytime is quiet. This is where your overall occupancy either reaches 50–60% or stays stuck at 35–40%. Strategies that help include golf coaching packages, corporate hire, golf leagues, and membership packages that give retired golfers and flexible workers a reason to come during the week.

No-shows and last-minute cancellations

A booking that does not show up costs you the revenue for that slot, which you cannot recover. Taking payment at the time of booking rather than on arrival significantly reduces no-show rates — customers who have already paid are much more likely to attend or to reschedule rather than simply not appear. A clear cancellation policy also helps.

Ease of booking

Venues that make booking awkward — phone only, or through a third-party marketplace that takes a high commission — consistently have lower occupancy than venues where customers can book a specific slot online in under a minute, pay immediately and receive an automatic confirmation. This is not just a convenience feature; it directly affects how many bookings you convert from people who find you online.

6. Memberships and other revenue streams

Hourly session hire is the core revenue stream for most simulator venues, but operators who build profitable businesses tend to layer in at least one or two other income sources:

Monthly memberships

A membership that gives customers a set number of hours per month at a discount creates predictable recurring revenue and fills quieter time slots. If you can sell 20 memberships at £60 per month, that is £1,200 per month in guaranteed income before a single casual booking comes in. Members also tend to become your most regular advocates and refer others.

Golf leagues and competitions

A weekly or monthly simulator league — where players compete on a set course and scores are tracked — fills specific time slots reliably and builds community. Entry fees can work out at £10–£20 per person per session, and groups tend to book the same slot every week once a league is established.

Corporate bookings

Companies booking simulator bays for team events, client entertainment and Christmas parties will typically pay full price and often book several hours or the entire venue for a single event. Corporate customers also book during times that would otherwise be quiet — Thursday or Friday afternoons, for example.

Golf coaching

If you have a PGA professional available — either as an employee or as a self-employed instructor who hires the bay — coaching sessions can generate reliable weekday daytime bookings at a premium rate. Many coaching clients then also become regular practice session customers.

Gift vouchers

Gift vouchers are often overlooked but can be a meaningful revenue source — particularly at Christmas, Father's Day and birthdays. They are pure upfront revenue and, because a proportion of vouchers are never redeemed, some of that revenue has no associated cost.

7. Single bay vs multi-bay profitability

A single-bay venue is a simpler and lower-risk starting point — less capital required, easier to manage, and quicker to reach break-even. The trade-off is that the ceiling on revenue is lower. A single bay running well might generate £45,000–£70,000 per year in gross revenue. After costs, a well-run single bay can produce a reasonable profit for an owner-operator who is managing it directly, but it is unlikely to support significant staff headcount.

Multi-bay venues have higher startup costs but benefit from fixed costs being spread across more revenue-generating bays. Rent, utilities, insurance and any staffing costs do not double when you add a second bay — they increase by much less. This means the margin per bay tends to improve as you add more bays, provided you can fill them.

A two-bay venue generating £120,000 per year in gross revenue with fixed costs of £60,000 leaves £60,000 before the owner draws a salary. A three-bay venue at similar revenue per bay with costs of £75,000 leaves £105,000. The economics scale reasonably well once the base costs are covered.

The most common trap with multi-bay venues is building capacity before building demand. Launching with three bays when you can only fill one means carrying the costs of two empty bays while you build occupancy. Starting smaller and expanding when demand justifies it is usually a better approach.

8. How bookings and payments affect your bottom line

The operational side of a simulator business — how customers find and book a session, how they pay, and what happens when they need to cancel or reschedule — has a direct and measurable impact on profitability.

A venue that takes bookings by phone, manually confirms them and takes payment on arrival will have higher no-show rates, spend more time on admin, and convert fewer of the people who look them up online into actual bookings.

Venues that allow customers to book online, pay at the time of booking and receive an automatic confirmation consistently perform better on all three of those measures. Payment at booking time alone — rather than on arrival — typically reduces no-shows significantly, because customers who have already paid are far more likely to show up or to reschedule rather than simply not appear.

For unmanned venues, a joined-up booking and access system means a customer can choose a slot, pay online, and receive a unique door code before their session — without any manual involvement from you. That removes the need for someone to be at the venue to let customers in, which is one of the most effective ways to reduce the staffing costs that make single-bay profitability difficult.

Golf Sim Pro is built around exactly this model — online bookings, upfront payments, automatic confirmations and access code management for unmanned venues. If you are assessing whether your simulator business will be profitable, take a look at how Golf Sim Pro works or get started for free.

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