What does a barcade build involve?
A barcade combines a full bar with a room built for games. That means bar construction and equipment, plus a floor plan with enough space around each cabinet, electrical capacity for many machines running at once, cooling for the heat they produce, sound management and durable flooring. Some barcades also add food, which brings kitchen requirements of its own.
- Bar: bar build, draft system, coolers, ice machine, glass washer, point of sale.
- Games: arcade cabinets, pinball machines, skee-ball or other novelty games, a card or token system if not free play.
- Room: electrical circuits, HVAC capacity, lighting, flooring, acoustic treatment.
- Opening: inventory, staff training, marketing, a tech who can repair games.
How are arcade cabinets and pinball machines financed?
Arcade cabinets and pinball machines with a clear seller quote are usually financeable as equipment. New machines are straightforward. Used and classic machines are common in barcades, and many funders will finance refurbished equipment from established sellers, though terms may be shorter. Condition, restoration work and service support matter, because a machine that is down all weekend earns nothing.
Bundle games into one request where possible, and include delivery and setup. Keep a budget for spare parts and repairs, which are operating costs. Classic machines can be hard to value, so a dealer's written quote describing each machine's condition helps funders. See equipment financing and entertainment bars.
| Budget part | Examples | Usual funding |
|---|---|---|
| Games | Cabinets, pinball, card system | Equipment financing |
| Bar equipment | Draft, coolers, ice, glass washer | Equipment financing |
| Build-out | Electrical, HVAC, bar construction, flooring | Term loan |
| Opening costs | Inventory, staff, marketing | Working capital or savings |
What electrical and building upgrades does a barcade need?
Many barcades need more electrical capacity than the space was built for. Dozens of machines on a few circuits can trip breakers the night a new row of cabinets goes in. An electrician should calculate the load before you buy games. Extra HVAC may be needed for the heat, and occupancy, egress and fire requirements apply to the finished room.
Before signing a lease, ask an electrician and contractor to review the space. Adding electrical service can be one of the largest and slowest build-out costs, and utility company timelines are outside your control. Confirm permit and inspection requirements with your local building department. Fund this construction work with a term loan.
Free play or pay per game: how does it change the business?
Pay-per-game barcades earn from both games and the bar, but need coin, token or card systems and regular collection. Free-play barcades, often with a cover charge, rely mostly on drinks and food, which makes bar sales and length of stay the whole business. Your model affects equipment choices, revenue records and how you explain deposits to a funder.
Card systems add hardware and software costs but provide useful data on which games earn. Free play simplifies operations but increases wear on machines. Whichever you choose, keep game revenue and bar revenue records separate where possible, since that history strengthens future requests.
Can a new barcade get funding before opening?
It is possible but usually narrower than for an operating bar. Equipment financing for games and bar equipment is often the most accessible start, because the equipment helps secure the deal. Build-out and working capital typically depend on sales history or strong documentation. Requirements vary by product and funder; many look at time in business, monthly revenue and credit. Bar management experience and a detailed plan help.
A strong plan includes the lease, an electrician's load review, contractor quotes, a game list with quotes, licensing status and conservative projections. Licensing for serving alcohol in an entertainment venue follows state and local rules, so confirm them early; read how liquor license costs work.
How often should the game lineup be refreshed?
Regulars notice when nothing changes. Many barcades rotate a portion of their games periodically, keep a core of reliable favorites, and add a standout machine now and then to give people a reason to return. Rotating purchased games, trading with other operators or selling older machines can keep the lineup fresh without a full expansion.
Match financing terms to how long you plan to keep each machine. A classic cabinet you will own for years suits a longer term; a new release you may rotate out suits a shorter term or cash. For cash timing around events and slow seasons, see a line of credit.
What you’ll typically need
- Game and equipment quotes with condition details
- Electrician load review and contractor quotes
- Lease or letter of intent
- Bank statements, owner details and a business plan for new venues
Frequently asked questions
Can used or classic arcade machines be financed?
Many funders finance used or refurbished machines from established sellers, often on shorter terms. A written quote describing each machine, its restoration and any warranty helps. Machines from private sellers with unknown history can be harder to finance and riskier to own.
What electrical upgrades does a barcade need?
It depends on the building and the number of machines. Many need added circuits or increased electrical service. Have an electrician calculate the load before buying games or signing a lease, and confirm permits with your local building department. Utility service upgrades can take time, so start early.
Do card or token systems count as equipment?
The hardware, such as readers, kiosks and card dispensers, is usually financeable as equipment. Software subscriptions and processing fees are ongoing operating costs to budget separately. Ask the vendor to separate hardware from software on the quote, so the financing request covers only the equipment.
How do funders view a barcade's revenue?
Funders look at total deposits, which for a barcade mix bar sales, game revenue, cover charges and private events. Explaining that mix and how game revenue settles into your account helps them read the pattern. A full year of statements also shows holiday and summer patterns.
Is a barcade a good fit for a line of credit?
Once a barcade has several months of steady deposits, a line of credit can cover repairs, game swaps and slow months. Before opening, lines are harder to arrange because limits are based on sales history. Opening the line during a strong month usually helps.
Plug in the next row of games
Share your game list and build-out plan, and we will look for options.
Updated September 14, 2026 · OpenTab Capital Funding Team