Illinois is one of the most lucrative states in the country for video gaming, and gaming lounges (often called gaming cafés or parlors) have become one of the most sought-after businesses on the market. If you’re eyeing a gaming lounge business for sale in Illinois, you need to understand one thing above all else: how the money is actually split. This guide explains the revenue model, the real costs, and what to check before you buy.
At BizForSale, we regularly list verified gaming lounges and combo deals across Illinois, so this guide reflects how these businesses truly operate.
How a Gaming Lounge Makes Money in Illinois
In Illinois, licensed establishments can operate Video Gaming Terminals (VGTs) — the slot-style machines you see in cafés, bars, and parlors. The Illinois video gaming terminals profit is shared between several parties under state law:
- The State of Illinois takes a tax share of the net terminal income.
- The terminal operator (who owns and services the machines) splits the remaining revenue with the establishment.
- The establishment (you) keeps your share of the net terminal income — typically split evenly with the operator after the state’s cut.
On top of gaming income, lounges usually earn from food, drinks, and other sales. The more machines and the higher the play volume, the greater your share of the net terminal income.
How Many Machines Can a Gaming Café Have?
Illinois limits the number of video gaming terminals a single licensed establishment can operate, which is why many owners run multiple locations or combo deals. When buying a video gaming business in Illinois, the number of terminals and their average daily play directly determine your revenue, so always confirm both.
What Does a Gaming Lounge Cost in Illinois?
Prices for a gaming lounge for sale vary widely based on the number of machines, play volume, location, and whether food and liquor are included:
- Single small lounge: often $60,000–$150,000.
- Combo deals (bar, kitchen, or multiple locations): $700,000 to well over $1 million.
- Established multi-terminal lounges with strong play history command premium prices.
Because revenue is tied to the machines and license, the play history is the single most important number to verify.
Licenses You Need for a Video Gaming Business
Video gaming is tightly regulated by the Illinois Gaming Board. Confirm these before buying:
- Establishment video gaming license — issued by the Illinois Gaming Board.
- Liquor license — most gaming locations are required to serve alcohol, so the liquor license is essential.
- Local approvals — the municipality must permit video gaming, and some restrict it.
- Terminal operator agreement — review the existing contract and revenue split terms.
What to Check Before You Buy a Gaming Lounge
Complete due diligence on these items before signing:
- Verify net terminal income reports for the past one to two years.
- Confirm the gaming and liquor licenses transfer or can be reissued to you.
- Review the terminal operator contract and revenue split.
- Check the lease terms and rent.
- Confirm municipal approval for video gaming at the location.
Find a Gaming Lounge Business for Sale in Illinois
If a gaming lounge fits your goals, the next step is finding the right one. Browse our current gaming lounge and business listings in Illinois, or let us match you to the right opportunity with our Find Me a Business service.
Ready to own a gaming lounge? Contact our brokers today for confidential help with your purchase.