Specialty Indoor Playground For Babies, Toddlers And School-Aged Kids (8 Years And Running)

Owner Retiring

Founded in late 2017, our business is a pioneer toy-centric indoor playground in Singapore. Our mission is to provide a fun and relaxing recreational area where families can enjoy toys with high play value. Located in a shopping mall in Central, it is easily accessible to the rest of Singapore via public transportation (MRT, bus). The mall also houses a number of reputable brands in F&B, retail and service, making the location ideal for families with children looking for cost-effective entertainment under one roof. The current tenancy with the mall has around 22 months remaining. The owner is planning to retire and looking for someone to buy and continue the business. The remaining months of tenancy gives the new owner generous time to transition and run the business in their own way without worrying about rental increase. In the absence of a suitable buyer, the owner is happy to end at 10 years when the lease expires.

The business has been profitable since Year 1. The main revenue source is guest admission fees. The simple operational model can be run by 1 to 3 trained personnel depending on the expected walk-in crowd level for the day. The guest mix includes babies, toddlers and lower primary school-aged children, visiting with their accompanying adults. The Customer Lifetime Value is high due to the various playrooms offered for different age groups, allowing families to keep visiting as their child grows and have younger siblings over the years. The reasonable pricing model and value-for-money also results in a high return rate for new customers. Majority of guests are repeats and regulars. Customer loyalty also produces a lot of word-of-mouth referrals and organic recommendations, thereby removing the need for a large marketing cost.

If you are an individual who wants to go into the children's recreation business, or an existing indoor playground operator who is planning to diversify your portfolio and increase your market share in the industry, this might be an opportunity for you. In these times of intense competition and ever-changing consumer patterns, it is highly risky to start a new brand from scratch. It takes years to build trust and be recognised as a good brand. Acquiring an existing reputable business reduces your initial investment while increasing your chance for success. For existing playground operators, adding a new concept to your portfolio also introduces synergy and staff-cost efficiency across your different businesses.

What's next if you become the new owner? There is stability in maintaining the tried-and-tested parts of the operations while potentially introducing new revenue streams to evolve with the consumer market. Expand the services to accept bookings, parties or school visits. Explore opportunities in pseudo-enrichment activities and classes. Maybe offering drop-off services and childcare arrangements can work with your new model? There is also a huge potential in updating the pricing model to boost profitability, as the current one is considered lower-priced compared to the playground industry standards. All these changes depend on your appetite as the new owner and how you want to meet the consumer demands of the young families in Singapore.

(Please note that we are selling the indoor playground business only, not the company. If you are a serious buyer, kindly let us know your budget range when you enquire.)