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Need HELP starting a bar!!!

crbbjrjpcrbbjrjp subscriber Posts: 5
edited January 2007 in Business Planning
I recently decided to look into purchasing a sports bar/night club that has been vacant on the west side of Columbus, Ohio and would like to here any advice that can be given.  There is tons of information out there and I am not sure what way to turn.  I have seen the site www.startabar.com</A> but am not sure how legite this site is.  I am waiting to here from the realtor exactly what is included and other info on the building.  It is 10,800 sq. ft. and I was told $7.00/sq. ft. and $2.70 CAM.  What is CAM?  I want to purchase this bar because it always seemed to be crowded and very enjoyable when I used to go to it.
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Comments

  • MNGrillGuyMNGrillGuy subscriber Posts: 2 Member
    Mgmt. it key.  You`ll need somebody to run the biz that has a lot of experience doing this type of thing.  Maybe go to some of the other bars you like and talk to some of the managers there and see if they have an interest in running the whole show.  Investors will demand a proven mgmt. team. 
    CAM is Common Area Maintenance.  Recurring charge for common maintenance.  Lights, parking lot, etc.   
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  • crbbjrjpcrbbjrjp subscriber Posts: 5
    I have some retail management under my belt and plan on doing most of the managing myself.  I am currently trying to finish up my BS in BA with a concentration in finance and feel that I can handle most of the financial aspects of the business once I get it going.  Is there a way to get this type of business off the ground without throwing any real money into it to start?  How hard is it to get approved, how long does it take, and who do you go to get money to start a business like this?
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  • MNGrillGuyMNGrillGuy subscriber Posts: 2 Member
    My guess is that you`ll need a lot of cash.  Start-up costs would be very high.  50K, 100K, 200K, more??  Inventory and construction need cash and you wont be able to get that from a bank.  You`ll need a partner with experience and cash that is willing to go in with you.  Any rich uncles??  If you bring to the table nothing but your passion then you need to come up with the money yourself.  Try find out why the place went under.  There could be a good reason for it.  Or it might be a fantastic opportunity.  Due your proper due dillegence.     
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  • crbbjrjpcrbbjrjp subscriber Posts: 5
    I`m working on it.  No rich uncles.  The place I am looking at has almost everything that I will need in it, except the alcohol.  Unfortunately I think the only way I`ll be coming up with start up cash is through a bank or something.  What about SBA?  Guess it`s one step at a time.
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  • MNGrillGuyMNGrillGuy subscriber Posts: 2 Member
    Banks that use SBA programs will still need collateral.  I guess if you only need inventory then they might consider collateralizing a % of that.  Probably only 30-50% of the value however.  You`d need to come up with the other 50% as well as all other start-up costs.  But, certainly it can be done.  Where there is a will there is a way.  
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  • crbbjrjpcrbbjrjp subscriber Posts: 5
    What all is involved with Start-up costs?  I don`t think I`ll be doing any renovating of the property right off, as I like the way it is set up now.  I beleive it will have around 8 pool tables, a few dart board machines, and everything else included in the lease.  It has two large bars, a VIP bar, VIP area, dance floor, and stage already built in.  The owner(s) who purchased it in 2004 did a very good job of renovating and keeping everything up-to-date.  I am wondering why they closed in late 2005, but have a sneaky suspicion that there were multiple owners and their differences in what should happen with the bar eventually closed it.  I appreciate your information MNGrillGuy.  If anyone else has any information that can share I would truely appreciate it.  I am thirsting for information right now and need as much as I can get.  I`m going at this nearly blindfolded right now and would like to atleast be able to get a better picture before making any moves.
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  • MNGrillGuyMNGrillGuy subscriber Posts: 2 Member
    Liquor liscense, tills, inv mgmt systems, training, washing equipment, insurance, decor....  There are many things you`d need to purchase if not already there.  Make a list of everyting you`d need that isn`t part of the lease.  I think that would be a good start to get your arms around start-up costs.  A detailed list can probably be found on the web.
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  • bostonspark343bostonspark343 subscriber Posts: 0
    Good Day...
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