Buying a recreation or entertainment business in Florida

These are businesses people visit for fun: golf courses and driving ranges, mini golf, family entertainment centers with go-karts, arcades and laser tag, bowling, escape rooms, trampoline parks, fishing and boat charters, paddleboard and kayak rentals, and similar attractions. In Florida, many depend on tourists and seasonal residents as much as on locals.

Revenue is mostly per visit: admissions, rounds, game cards, rentals and charters. Food and drink, birthday parties, group events and memberships (golf, unlimited play passes) add revenue with higher margins and more repeat business. Many of these businesses lean heavily on real estate: a golf course, a family center or a dock-based charter operation depends on land, a building or slip space, and the property may be worth as much as the business. Staff are often seasonal and part time. A typical business has a general manager, shift leads, part-time attendants, maintenance staff and, for golf, a superintendent and grounds crew.

• Several revenue sources: admissions plus parties, events, food and drink, and memberships. Each one gives visitors another reason to spend while they're there.
• Bookings that hold up outside peak tourist season, with a local customer base that returns.
• Rides, equipment, boats or a golf course in good condition, with records to prove it.
• Indoor or shaded options, so afternoon storms and summer heat don't empty the place.
• A secure lease or owned property, with zoning that fits the use.
• A strong group sales business: schools, companies, churches and birthday parties.
• A clean safety record and insurance at reasonable terms.
• A manager who runs the operation without the owner.

The rules depend on the activity, so list every attraction and service.

• Rides. Amusement rides, including go-karts, water park rides and ziplines, need an annual permit for each ride from the Florida Department of Agriculture and Consumer Services (FDACS), a yearly inspection affidavit, and at least $1 million of liability insurance per occurrence. Permits can't be transferred (section 616.242). Arcades, bowling, mini golf, laser tag, trampolines and inflatables are exempt from that law.
• Arcade prizes. Prize games must be games of skill, and they can award only noncash merchandise up to a capped value, never gift cards (section 546.10).
• Charters. Paid saltwater fishing charters need a vessel license from the Fish and Wildlife Conservation Commission (FWC), and captains need a U.S. Coast Guard license to carry paying passengers.
• Alcohol. Licenses come from the DBPR's Division of Alcoholic Beverages and Tobacco and pass to a buyer only if the division approves the buyer's application (section 561.32). A golf club license covers only members and their guests, apart from a short yearly extension.
• Water. Golf courses that irrigate from wells or surface water usually hold a water use permit. The new owner must apply to transfer it within 30 to 45 days of closing, depending on the water management district.

Food service and pools need their own permits.

• Revenue by month for three years, to see swings from the seasons, weather and tourism.
• Revenue and margin by source: admissions, food and drink, parties, memberships.
• Every permit and license, who holds it, and what it takes to move it to you.
• Ride and equipment inspection records, accident reports, claims and lawsuits.
• Insurance cost and availability. Coverage can be hard to find for some attractions.
• For golf: course condition, irrigation system age, the water use permit's terms and transfer deadline, and maintenance equipment.
• For charters: vessel surveys, Coast Guard paperwork, captain arrangements, and any federal charter permits for fishing federal waters (some are limited in number, so ask how they transfer).
• The lease, or if the property is included, its value and condition, judged separately from the business.
• Hurricane damage history and how insurance handled it.

• What are your busiest and slowest months, and how big is the difference?
• Which parts of the business make the most money?
• What permits and licenses does the business run on, and who holds them?
• Have you had any injuries or claims, and how did you handle them?
• How do you find and keep seasonal staff?
• How much of your business is parties, groups and events?
• What major repairs or replacements are coming up in the next few years?