Is opening a bar in this economy a bad idea? - Page 2 - GoFuckYourself.com

After Shock Media · 01-17-2009, 11:06 PM

Why does it seem that a lot of people seem to be associating the idea of a bar with a nightclub?

Seems to me that many nightclubs must reinvent themselves all of the time to keep the young clientele in the place. Would be a pain in the ass wanting or needing to stay current with the current crop of 21 to 29 year olds all of the time with emphasis on the 21-25 market.

Whereas a small dive bar or hole in the wall that was not a run down scary place with toxic toilets and stuff, always seem to have massive staying power. Especially if they take care of a small group of patrons typically from nearby businesses. Add in some quality grub and keep it the opposite of a meat market and it seems these things never close.

Hell I would do it myself but there are no liquor licenses available around here, even no lotteries for them any time soon. Hell traderjoes had to pay a fucking arm and a leg to buy one off of someone else here - like an obscene amount.

Axzar · 01-17-2009, 11:08 PM

Burritos, Frozen Margarita Pitchers, free chips and salsa, acoustic music on the patio, good location.You can't lose. Get the soap opera ladies in for lunch (they love free chips and the oh so healthy taco salad).

andy83 · 01-18-2009, 12:44 AM

in a downturn there will be some businesses that make it and some don't. some people rather start their business in a downturn (if they have the cash and resources to keep it going for a few years) because of the low costs and so on.

if you really want to, and you do have the cash to keep it going for a few years and wouldnt mind losing it, then go ahead. just be more creative and not like any tom or dick or harry's pub that can be found in every neighbourhood.

good luck

Your Mothers Secret · 01-18-2009, 12:54 AM

A trendy nightclub is a risk.
A smaller neighborhood bar catering to alcoholics would be a long term business because
unfortunately alcoholism doesn't go out of style.

collegeboobies · 01-18-2009, 01:02 AM

Dont charge too much

sortie · 01-18-2009, 08:35 AM

Quote:

Originally Posted by BV

I would asume it's the same for both. (or close)

Say it's 10%

10% of a 2 dollar shot is 20 cents
10% of a 6 dollar shot is 60 cents

It doesn't work that way.

A $2.00 shot has a cost of $1.00 tops unless it's a "loss leader" just to get
people in the door.

Typically a $1.00 cost turns into a $3.00 shot.

So there is the problem with expensive booze, you are looking at $2.xx cost which
goes to a $5 shot. You don't want to run people away by charging $6, $7 or $8 for
a shot.

So selling one $5 shot instead of two $3 shots is less money taken in and less
profit margin on the intake.

BV · 01-18-2009, 10:36 AM

Quote:

Originally Posted by sortie

It doesn't work that way.

A $2.00 shot has a cost of $1.00 tops unless it's a "loss leader" just to get
people in the door.

Typically a $1.00 cost turns into a $3.00 shot.

So there is the problem with expensive booze, you are looking at $2.xx cost which
goes to a $5 shot. You don't want to run people away by charging $6, $7 or $8 for
a shot.

So selling one $5 shot instead of two $3 shots is less money taken in and less
profit margin on the intake.

Well now you have me curious.

Check this thread and forum out, looks like some good info: http://www.nightclub-business.com/fo...ead.php?t=6092

F-U-Jimmy · 01-18-2009, 10:44 AM

Quote:

Originally Posted by sortie

I'd think a funeral service would be more expensive than a small bar though.

You may be right ? I own a few bars /Restaurants / Cafes, and i've seen profits rise in the last 8 months about 25%. Normally during the winter months ( a freezing 75 F . today here in San Diego) takings are reduced by as much as 40%, so im guessing there are more people drowning their sorrows ?

Last Bar/Restaurant i brought for around $120,000 and spent $325,000 on the remodel. Payback is going to be 5 years on this one.

Violetta · 01-18-2009, 11:18 AM

nah... more problems = more drinking!

Jman · 01-18-2009, 11:20 AM

Quote:

Originally Posted by sortie

I know it would be better to try when things are good but with the money that
some bars make I would be glad to make just half their regular income.

Depends... If you have money to launder I'd say go for it.

If you have 1 million to burn then give it a try.

If you are opening a bar to make money... Make sure you have a profitable day job...

TyroneGoldberg · 01-18-2009, 11:30 AM

Quote:

Originally Posted by Your Mothers Secret

A trendy nightclub is a risk.
A smaller neighborhood bar catering to alcoholics would be a long term business because
unfortunately alcoholism doesn't go out of style.

yep, cheap beer and whiskey. and have sirloin specials on wedendays...

edit- are you near any colleges?

TTiger · 01-18-2009, 11:40 AM

small niche bar is winner

Ice · 01-20-2009, 12:47 PM

Quote:

Originally Posted by Fungus

Too bad we don't have Euthanasia for humans, I would sure vote for you!

You are very close to crossing the line and getting banned for a death threat.

Consider this a warning

Strike 1

01-17-2009, 11:06 PM	#51
After Shock Media It's coming look busy Join Date: Mar 2001 Location: "Ph'nglui mglw'nafh Cthulhu R'lyeh wgah'nagl fhtagn". Posts: 35,299	Why does it seem that a lot of people seem to be associating the idea of a bar with a nightclub? Seems to me that many nightclubs must reinvent themselves all of the time to keep the young clientele in the place. Would be a pain in the ass wanting or needing to stay current with the current crop of 21 to 29 year olds all of the time with emphasis on the 21-25 market. Whereas a small dive bar or hole in the wall that was not a run down scary place with toxic toilets and stuff, always seem to have massive staying power. Especially if they take care of a small group of patrons typically from nearby businesses. Add in some quality grub and keep it the opposite of a meat market and it seems these things never close. Hell I would do it myself but there are no liquor licenses available around here, even no lotteries for them any time soon. Hell traderjoes had to pay a fucking arm and a leg to buy one off of someone else here - like an obscene amount. __________________ [email protected] ICQ:135982156 AIM: Aftershockmed1a MSN: [email protected]

01-18-2009, 12:44 AM	#53
andy83 Confirmed User Join Date: Jun 2005 Posts: 1,605	in a downturn there will be some businesses that make it and some don't. some people rather start their business in a downturn (if they have the cash and resources to keep it going for a few years) because of the low costs and so on. if you really want to, and you do have the cash to keep it going for a few years and wouldnt mind losing it, then go ahead. just be more creative and not like any tom or dick or harry's pub that can be found in every neighbourhood. good luck __________________ Available Skimmed Traffic Available Ad Spots BUY NICHE BANNER CLICKS OR IMPRESSIONS, SELL YOUR SPOTS FOR A FLAT RATE, SELL YOUR AD SPOTS WITH PROTRAFFIC.COM

01-18-2009, 12:54 AM	#54
Your Mothers Secret Confirmed User Join Date: Jul 2005 Posts: 240	A trendy nightclub is a risk. A smaller neighborhood bar catering to alcoholics would be a long term business because unfortunately alcoholism doesn't go out of style. __________________ #1 Marketplace for Adult Traffic

01-18-2009, 11:18 AM	#59
Violetta Affiliate Join Date: Jul 2004 Posts: 28,735	nah... more problems = more drinking! __________________ M&A Queen

01-18-2009, 11:40 AM	#62
TTiger Confirmed User Join Date: Mar 2002 Location: quebec, canada Posts: 3,030	small niche bar is winner __________________

01-17-2009, 11:08 PM	#52
Axzar Random Jackass Industry Role: Join Date: Feb 2003 Posts: 1,837	Burritos, Frozen Margarita Pitchers, free chips and salsa, acoustic music on the patio, good location.You can't lose. Get the soap opera ladies in for lunch (they love free chips and the oh so healthy taco salad).

01-18-2009, 01:02 AM	#55
collegeboobies So Fucking Banned Join Date: Jul 2004 Posts: 3,644	Dont charge too much