PGA Level 1 Business Planning Practice Test 2026 - Free Business Planning Practice Questions and Study Guide

Memberships and initiation fees usually generate more income at a private facility because they provide a steady and predictable revenue stream. Members commit to paying these fees for access to the facility, which helps establish a stable financial foundation for the organization. Initiation fees, which are typically one-time charges when a new member joins, can also contribute significantly to upfront income.

In contrast, while guest tournament rounds and daily fees for non-members can generate income, they often vary significantly based on seasonality and demand. Catering services can also provide revenue, but their income potential may depend on the frequency and scale of events held at the facility. Membership income generally outweighs these fluctuations, as it establishes a consistent financial base, ensuring that operational costs can be met more reliably.