Top golf: How much is Topgolf? Is it a Franchise? (2022)

Top golf is a technology-enabled golf company that operates at the intersection between socializing and sports. The Top golf experience revolves around their climate-controlled bays where you tee off and aim for outfield targets, and there is also music, food, and drink. They also offer event catering packages perfect for birthday parties, company events, and fundraisers.

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00:00 Introduction
00:58 Growth
01:39 Locations
01:58 Callaway Golf Company
02:20 Costs and Revenue
03:02 Franchise Locations
03:44 Time To Recoup The Investment
06:06 Conclusion


Top golf competes in the off-course golf space within the sports and entertainment industry. Of course golf has grown rapidly over the last several years. Increasing from 9.9 million participants in the U.S. in 2019 to 12.4 million in 2021 (25% growth). Total golf participation is on the rise as well. They compete most directly with other off-course golf brands such as X-Golf.

Top golf was created in 2001 out of the classic “Who was closer?” question. They opened their first location in Watford, U.K., which featured radio-frequency identification (RFID) technology and dartboard-style targets. In 2005, they opened their first U.S. location in Alexandria, VA. And in 2006, the Callaway Golf Company became an investor. In 2012, they opened their first 102-bay entertainment-focused venue in Katy, Texas. Which resonated with customers and paved the way for their growth over the next several years.

In March of 2021, Topgolf was acquired by the Callaway Golf Company, a golf equipment and active lifestyle company with a portfolio of golf brands. Callaway CEO Chip Brewer is optimistic about the merger. Explaining that “Callaway’s leadership in the global golf equipment market and geographic diversity, combined with Topgolf’s revolutionary technology platform and access to golfers of all abilities, will allow both companies to accelerate growth and create competitive advantages.”

Since Topgolf’s U.S. venues are company-owned, key insights can be gleaned from Callaway’s financial statements.

In their 2021 fourth quarter earnings release, Callaway reports that Topgolf brought in $1,087,671,000 in revenue. Notably, it is a profitable segment of Callaway’s business, earning $58,225,000 in operating income.

Callaway’s 2021 fourth quarter earnings presentation offers some insights into the costs associated with opening a Topgolf venue. Construction of a Topgolf venue typically costs from $10 to $40 million, and each venue typically collects about $17 million in revenue annually. Topgolf is profitable at the venue level as well, with EBITDAR typically amounting to about $5 million for each venue. v

In 2022, there are 68 Topgolf venues in the U.S. and seven international locations. This is up from one U.S. venue in 2005 and 24 venues in 2015. Nine of these U.S. venues opened in 2021, including one new location in Ft. Myers, FL during the fourth quarter of 2021.

Currently, Topgolf owns and operates their U.S. and U.K. venues. However, there are franchised venues in Australia, Mexico, and the U.A.E. and there are franchise expansion plans in central Europe and Asia.

To open a Topgolf international franchise, you need to complete Topgolf’s international franchisee inquiry form. And the Topgolf international team will review it and determine whether you meet their business requirements. If you meet the requirements, the business development team will contact you. Topgolf supports international franchisees in the areas of development, operations, business intelligence, marketing, training, construction, culinary, and technology.


Venues with higher construction costs can cost up to $40 million. And if you are only making $5 million in profit each year, it could take eight years just to recoup your construction costs. However, with construction costs at the low end of the range, it could take just two years to recoup your construction costs. There is also the possibility in this growing industry that profits increase.

While this may be the business for you, make sure to also check out other businesses offered on Vetted Biz.

Read here to learn more:

Want to speak with a franchise specialist about Top golf or another franchise? Click here: