Viability of an Indoor Padel Club in Sa Pobla, Balearic Islands

Abstract

[eng] Padel was invented in the eighties, and since its inception it has been gaining popularity among more and more people. Padel has experienced unprecedented growth in recent years, especially in 2020 and it will continue growing. The business opportunity emerges in Sa Pobla, one of the largest population centers in the northeast of the island of Mallorca, which, unlike its neighboring towns, does not have facilities for practicing this sport. Therefore, the financial viability of a padel club with covered courts in this locality will be analyzed, estimating the potential income and expenses in addition to the investment cost. All in all, its viability will be calculated by calculating its net present value and its internal rate of return.