The steps to open a bar can be quite difficult if this is the first that you are going to open a business like this. Although this is a commercial business, the ins and outs of a start-up bar are different compared to other established service companies. Deciding on the cocktail tables is just one step of the whole bar business. How should you do it? Here are the steps.
How to Build a Bar Business
Create a business plan for your business.
A bar business entails a lot of planning. You cannot go into this business without thinking about the location, the amount to spend, the products to sell, the furniture to buy, and the niche to serve. A business plan contains all of the information that you need in order to have a calculated timeline on when to actually open the business to receive people.
Build the capital money.
For large business owners, it is quite easy to build the capital money for the business. They can just open an account for the bar and fund it with their own money. But for start-up bar business owners, you should think of ways to build your capital.
A bar business has a return-of-investment of two to three ways depending on the size of the bar that you opened. Keep this in mind when building the capital. You can borrow money from friends and family to keep the interest to a minimum. You can partner with other people so that they can also infuse the business with funding.
Loaning money from a bank or financial institution is also an option. Talk to a lot of banks and agents to see the best option for your business.
Get the necessary business permits.
You can now go through the necessary permits for your business. Go to your local government department to ask for the requirements when opening a bar business in the community. Make sure to comply with all the needed documents to avoid any problems.
Apply for a liquor license.
One license that you need to get from the local government is a liquor license. You need to have a liquor license to sell liquor in the community.
The license depends on the state or country that you are in. The requirements also vary. Some local areas only provide liquor licenses to wholesalers but not bars that sell retail.
Once all the permits and licenses are approved, you can proceed with construction. The amount of money that you spend on construction will depend on whether you are renting out a place or creating the building from the bottom up. Make sure that you have planned the construction well enough to determine your soft launch and grand opening.
You should also consider buying the furniture in preparation for the launch. You should get cocktail tables, couches, shelves, toilet items, consumables, and others.
Buy the liquor.
Do not forget to allot money for the liquor. You cannot be a bar business without liquor. It is best practice to buy different kinds of liquor at the start of the business. Then, you can determine, in a few months, the liquor that is sold in the bar. This can help you put a budget on the liquor that sells the most.
Just like any other business, opening a bar can be a challenging task for those who do not know the steps on how to do it. It is more than buying cocktail tables and chairs. It is more than getting liquor and drinks. You have to strategize and create a plan that will usher you to success from your humble beginnings. Make sure to follow the steps listed above and cover any loopholes and blindspots that you have along the way,