Selling vs. Liquidating Your Play Cafe: What Every Indoor Playground Business Owner Needs to Know

Why We Need to Talk About Exiting — Without the Stigma

This topic might feel uncomfortable at first, but it’s one of the most important conversations we can have as indoor playground owners — or even if you’re just considering entering this industry.

And my goal here is not just to shed light on this topic, but also to completely remove the stigma around it.

The truth is, almost 100% of people who enter this industry will exit at some point — whether that means selling their business for a profit or closing and selling off their assets.

While it’s possible to keep a play café or indoor playground for generations, that’s definitely the road less traveled. Life happens. We move. Our kids grow up and may not be interested in taking over. And sometimes, a brick-and-mortar business just doesn’t align with our family’s goals anymore.

Even if you have the best, most self-sufficient team, there’s still a lot to manage as the owner. Not all of us want to do that forever. That was certainly my experience.

I absolutely loved owning my play café for five years — but I was also excited to move on, return to my hometown, and start a new chapter for myself. I sold my business to another local family who brought fresh ideas and energy to the community.

So because most of us will exit eventually, why should we be afraid to talk about it openly and honestly?

Why This Conversation Matters

We’ve actually talked about this before on The Profitable Play Podcast — in Episode 68 (“Why Most Indoor Playgrounds Don’t Sell, or Sell for a Loss”) and Episode 234, where I shared Haley Dunkin’s story of selling her indoor playground in Nashville.

I’ve also shared my own selling experience on YouTube and created a detailed video walking through the different ways to sell your playground business, with all my best tips — many learned the hard way.

I’ve even discussed the worst-case scenario — breaking a lease or getting evicted — because those are real experiences many owners have faced.

Honestly, most of my consulting work today is helping owners navigate closing, selling, or liquidating their businesses — or dissolving a partnership or buying out a partner. (That last one is why I don’t recommend going into this industry with a partner, but that’s a topic for another day.)

Having personally sold my business and walked dozens of other owners through this process step by step, I’ve gained a unique behind-the-scenes perspective on what works, what doesn’t, and how to avoid common mistakes.

So today, I want to help you understand two of the most common exit scenarios: selling your play café business versus liquidating it.

Why Owners Choose to Exit

Before we get into definitions, let’s talk about why owners reach this decision.

Sometimes it’s burnout — the long hours, staffing challenges, and constant mental load of being the one everyone depends on.

Other times, it’s logistical — maybe your lease is ending, your family is relocating, or your kids have aged out of your target demographic.

And sometimes, the business is thriving — and that’s actually the best time to sell. You’ve built something valuable that another family or investor can take over and grow.

Whatever the reason, exiting isn’t a sign of failure. It’s simply a sign of evolution. Every business has a life cycle, and you deserve to close that chapter in a way that honors your hard work — financially and emotionally.

What It Really Means to Sell Your Business

When you sell your play café, you’re not just selling your equipment or your physical space.

You’re selling an operating company — a brand that’s functioning, with customers, systems, and reputation already in place.

The buyer isn’t just buying your espresso machine or your climbing structure. They’re buying everything that makes your business run:

• Your branding and logo

• Website and social media accounts

• Equipment and supplies

• Customer email list

• Future party bookings

• Membership contracts

• Vendor relationships

• Lease

• Trained staff

They’re buying certainty — and that’s what people mean by a “turn-key” business. It means the buyer can literally “turn the key” and continue operations without disruption.

In these cases, buyers pay top dollar for something proven — a business model that works and is profitable — instead of starting from scratch.

That’s why selling your business as a “going concern,” meaning one that’s still operating, is often far more lucrative than closing and selling everything separately.

What It Takes to Sell a Turn-Key Business

Selling a turn-key operation takes preparation. You’ll need:

• Clean and accurate financials prepared by a professional

• Two to three years of profit-and-loss statements and tax returns

• A detailed balance sheet showing depreciation of equipment

• Organized systems and standard operating procedures

You’ll also need to involve your landlord, an attorney, an accountant, and sometimes a broker.

But if your business is profitable or even close to it, this is how you recoup not just your initial investment, but also the value of what you’ve built — your brand, your loyal customers, and your community trust.

A successful sale can even give you the financial boost to start your next venture — or take that long-overdue vacation.

Selling a Business That Isn’t Turn-Key or Profitable

But what if your business isn’t turn-key or profitable right now?

Maybe your sales have slowed, your staffing has been inconsistent, or your systems mostly live in your head.

That doesn’t automatically mean you can’t sell — it just means you’re selling something different. And yes, the price point will be lower.

In these cases, buyers are purchasing potential — the foundation and the opportunity to build something stronger.

Maybe you’ve already done the hard work of building out the space, securing permits, investing in quality play structures, and establishing brand recognition in your community. Those things still hold tremendous value.

Many buyers are looking for a jumping-off point — something they can improve and relaunch with fresh ideas or capital.

If your business isn’t producing the profits you hoped for, you can still position it as a ready-to-restart opportunity instead of a “failing” business.

The key is transparency.

Be honest about your numbers and challenges, but also highlight growth opportunities. Maybe your party bookings are strong, but memberships lagged. Maybe your café wasn’t fully optimized.

A motivated buyer might see those gaps as potential — not red flags.

Don’t assume a lack of profit means you have to liquidate. With honest communication and clear documentation, you can still find a buyer who’s excited to take what you’ve built and bring it to the next level.

Still, turn-key is the goal. Even if you’re years away from selling, start cleaning up your systems and financials now. There’s no downside to building a stronger business — whether you sell or not.

For a deep dive into creating standard operating procedures that benefit both staff and future owners, check out Episode 11 of The Profitable Play Podcast.

Liquidation: When Closing Makes Sense

Liquidating means closing your business and selling off your assets individually — things like play structures, furniture, coffee equipment, POS systems, signage, and décor.

You’re not transferring ownership of your brand or your customer list — you’re simply selling what you own to recover as much cash as possible.

And there’s nothing wrong with that.

Sometimes, liquidation is the most logical choice. Maybe your lease can’t be transferred, your landlord won’t allow subletting, or you need to move quickly for personal reasons.

Liquidation provides a clean break and quick cash, but usually yields a lower overall return.

When you liquidate, you’re only getting paid for what your assets are worth secondhand, not for your brand, systems, or reputation.

And those intangible assets — your SEO, your reviews, your relationships, your memberships — are often worth far more than the furniture and play structures themselves.

A $25,000 soft play setup might sell used for $7,000 or $8,000. A $10,000 espresso machine might fetch $3,000 or $4,000.

Those numbers rarely capture the true value of your business’s community impact or customer base.

So while liquidation can absolutely be the right move if you need to exit quickly, selling a going business is almost always more beneficial financially and emotionally.

How to Decide What’s Right for You

Neither option is right or wrong — it depends entirely on your unique circumstances.

Ask yourself:

• Is your business currently profitable or close to breaking even?

• Are your systems documented enough for someone else to step in?

• Do you have a functioning website with strong SEO?

• Do you have positive reviews and a solid local reputation?

• Have you trademarked your brand?

• Do you have recurring revenue, like memberships or parties booked in advance?

• How much time do you have before you need to make a change?

If your business is stable, with strong branding and at least six to twelve months of runway, selling is likely the best option.

If you’re burned out or facing a lease deadline, liquidation might make more sense.

And there’s also a middle ground — what’s called an asset sale with goodwill.

What an “Asset Sale with Goodwill” Really Means: A Potential "Middle-Ground" Option

An asset sale with goodwill is a simplified version of selling your business — perfect for those who don’t have the time or runway for a full sale.

In a traditional business sale, you transfer the entire legal entity — assets, contracts, and brand — which involves attorneys, valuations, and months of due diligence.

In an asset sale with goodwill, you sell the physical assets (equipment, furniture, signage, etc.) plus the intangible value you’ve built:

• Your brand name

• Social media accounts

• Email list

• Customer database

• Reputation and reviews

• Community relationships

Let’s say your business is closing, but you have 4,000 Instagram followers, a few thousand email subscribers, and glowing reviews from happy families.

Instead of listing every chair and toy on Facebook Marketplace, you can sell your asset package plus goodwill to a new owner who wants your space, your audience, and your concept — even if they plan to rebrand later.

You’re not transferring the legal entity or debt, but you’re passing along a foundation of value.

Why buyers love this option:

• It saves them months of permitting and buildout time.

• They can buy equipment and a warm audience in one deal.

• It’s easier to rebrand if they wish to.

Why sellers love it:

• You recoup more than you would through liquidation.

• You avoid the complexity of a full business sale.

• You can close faster and with fewer legal hurdles.

You’ll still need documentation — itemize the assets, clarify what’s included, and draft a written agreement reviewed by an attorney.

This “in-between” approach allows you to honor what you’ve built, pass it on to someone who will continue serving your community, and walk away with a fair financial return — even if your business isn’t in perfect shape.

Preparing for Any Exit

No matter which route you take, preparation is everything.

Start gathering your financials now. Keep your bookkeeping clean and your systems documented.

Create a detailed asset list — from furniture to sensory toys to espresso cups.

Talk to your landlord early about whether your lease can be transferred. You don’t want surprises down the road.

And consult a small-business accountant or attorney to help you understand your business’s value and how to structure a sale or closure properly.

Exiting your business — in any form — doesn’t erase your impact.

You’ve brought joy, community, and connection to families in your area. You’ve created something that likely didn’t exist before you. That legacy stays.

Your business has value — and so does your next chapter.

Whether you sell, liquidate, or pivot entirely, the key is to do it intentionally, with clarity and confidence.

And if you want help making your business more sellable or simply more sustainable, that’s exactly what I teach inside Play Cafe Academy and Play Maker Society.

These programs will help you create systems, recurring revenue, and structure — so you can step away when you’re ready, whether that’s for a week or forever.

You can find all the details in the links below, along with free resources to help you start preparing for whatever’s next.

Thank you so much for reading — and for being part of the Profitable Play community.