Author: Atte Suominen, Founder & CEO at PADEL1969
In recent years, padel took countries like Sweden and Finland by storm. Courts popped up seemingly overnight, operators expanded aggressively, and the sector became the darling of local investors. It was an exciting time – until it wasn’t.
Today, up to 90% of padel operators in these markets have either collapsed, filed for bankruptcy, or entered restructuring processes. What was once a booming sector turned, almost as quickly, into a harsh lesson about the dangers of uncontrolled growth.
For investors looking at padel today – whether in Europe, the U.S., Africa, or beyond – there is a clear opportunity to learn from the past and invest responsibly. The question is not whether padel has a future – it absolutely does. The question is how to build and back projects that are sustainable, profitable, and resilient for years to come.
The Boom: A Cautionary Tale
The early boom in Sweden and Finland was driven by pure enthusiasm. Demand was surging, players were eager, and the race to build new courts was on. Many operators expanded without:
- Solid business planning
- Careful location selection
- Sustainable financial models
- Long-term player community strategies
For a while, the market rewarded even mediocre projects – but as player numbers stabilized and competition intensified, poorly run clubs quickly faced financial stress. High rents, low court utilization rates, price wars, and unrealistic investor expectations triggered a wave of bankruptcies.
The lesson?
In fast-growing sectors, early success can hide deep flaws. When the easy growth slows down, only well-planned and well-executed businesses survive.
Responsible Growth: The Smarter Way Forward
At PADEL1969, we believe padel is still at the beginning of a long and healthy growth journey – but only for those who approach it differently.
Responsible growth means:
- Smart Site Selection: Location is everything. Choosing the wrong location can doom even the best-designed club.
- Efficient Design: Clubs must be built for profitability – optimizing the number of courts, player flow, amenities, and operating costs.
- Sustainable Financial Models: Realistic revenue expectations, tight cost control, and strong cash flow management are essential.
- Player Community Building: Long-term success depends on strong, loyal player bases, not one-time bookings.
- Operational Excellence: Clubs need professional management, digitalization, and clear KPIs from day one.
Wake Up Call for Investors: Learn Before You Leap
The padel boom in Sweden and Finland wasn’t a sign that the sport is a bad investment. It was a sign that bad investments are bad investments, no matter how popular the underlying sport is.
If you are considering investing in padel – whether through building new clubs, acquiring distressed assets, or expanding existing ones – now is the time to wake up.
Ask yourself:
- Are you partnering with people who have real experience navigating the full business cycle?
- Are you basing your investment on data, benchmarks, and operational best practices – not just hope?
- Are you building something that can thrive 5, 10, or 20 years from now – not just next season?
PADEL1969: Your Partner for Sustainable Success
At PADEL1969, we’ve studied the market cycles, learned from the mistakes, and developed a proven model for building benchmark padel clubs with higher, more sustainable returns.
We combine:
- World-class court manufacturing
- Advisory services
- Design and concept development
- Operational support
Whether you’re a private investor, a real estate developer, or an entrepreneur, we help you avoid the common pitfalls and build a club that lasts.
The boom is over.
Now it’s time to build responsibly.
Ready to invest smarter in padel?
Talk to the PADEL1969 team — your experienced partner in the future of the sport.
Contact us if you want to build a Padel club and want to avoid most common mistakes, save your money and time. You can contact us at [email protected] for more on our advisory services.
PADEL1969 | from Acapulco since 1969.
