Bar management, Business plan Options

[jayi12-15psi]

For the last couple of months I've been working at a local nightclub, it plays mostly hip-hop and it usually entertains a pretty good crowd. The problem is that this club is very poorly run and seems to me like it is about to go out of business, how it stays afloat is beyond me.

I was thinking about starting a new club with a couple of my friends, they are both bar managers at this club. They have the experience in management and we all bar tend. My expertise is usually more book smarts. I have my psychology degree and I'm working on my business degree. The problem is I've taken alot of business law and management courses but I haven't taken my finance requirements yet.

In short, the question is... Is anyone here an entrepreneur/have knowledge of creating business plans for new businesses?

[jayi12-15psi]

anyone know anything about business management? anyone own their own business?

[jgreening]

What do you need to know? I am an attorney and routinely advise small businesses - among other things.

[97lestyousay]

I don't own my own buisness but I think if you do it, you should
do it alone, partners are a pain no matter how close you are to
them.

[jayi12-15psi]

do you know where I can find a good template for a business plan? We have alot of combined knowledge to run the business but we need to work on financing the business. We have a good location in mind, but right now we need a good successful business plan to obtain a loan. Also if anyone has any good advice to give to a small business owner, anything would help. We're also working on the set up of the actual bar, it's shaping up to be an upscale ultralounge composed of two sides, one a lounge and the other a dance floor. We have a few neat ideas, but we're looking for some more imput. If there's something neat you'd like to see in a bar, lemme know.

alone, none of us could afford to start up a bar in the location we're looking at.

[97lestyousay]

do you know where I can find a good template for a business plan? We have alot of combined knowledge to run the business but we need to work on financing the business. We have a good location in mind, but right now we need a good successful business plan to obtain a loan. Also if anyone has any good advice to give to a small business owner, anything would help. We're also working on the set up of the actual bar, it's shaping up to be an upscale ultralounge composed of two sides, one a lounge and the other a dance floor. We have a few neat ideas, but we're looking for some more imput. If there's something neat you'd like to see in a bar, lemme know.

alone, none of us could afford to start up a bar in the location we're looking at.

I started one once, but never finished it. You have to express the way you're
buisness has an aspect that makes it unique. You can offer something no one
else can. Then show why people will choose ur product/ idea/ services over another
of the same nature.

This post has been edited by 97lestyousay: Feb 13, 2006 - 9:06 PM

[lagos]

the only problem i see is that no one has any money to put up and you have multiple partners. having other people going into this with you is a bad idea sometimes, because people tend to flake out of the deal when they get scared, or get too greedy.

you said the bar you work at has a good turn out, yet you wonder how they stay in business. what do you think they make a year? what do you think they are doing wrong, if they manage to get a good turn out?

[jayi12-15psi]

they usually manage a good turn out, the problem is we don't serve people fast enough and people get pissed. THe owner of the bar I'm at right now has a problem keeping the place stocked with simple things. For instance, the other night I had to drive to wal-mart to get t.p. the other night. Another instance, black people like hennessy for the most part and most of our crowd is black and when we run out of hennessy, it's bad news. The bar I'm at now has no payroll, which is illegal and employees are constantly upset because there is no regular pay schedule. The bar I'm at now has a very high turnover rate which is definately bad for business. RIght now we're usually only open friday and saturday and sometimes wed. Problem is we don't have a set schedule. Our promotions crew is also a bunch of worthless freeloaders.

There's a laundry list of problems with this bar, I'm trying to learn from their mistakes and make my own business better.

the turnout is always good on friday night, but they're usually closed. We can't pack in crowds any other night. Thursday is usually a big bar night in town, we're closed on thursday because we can't get anyone to come in.

[Batman722]

I have been in the restaurant business for over 16 years and I have been a Restaurant General Manager for over 10 of those years, I was the Bar Manager at a Ruby Tuesday (like a Chili's) for about a year, and my ex-wife was a bartender. The plan was to open our own pub or bar.

What exactly would you like to know ?

[dlx742]

with your partners... make sure that no more than one person is in charge of a single task, such as money or managing the bar... if two people are in charge of one thing there will be a lot of head butting and your business will fall apart... i have watched my dad succesfully start many businesses with and without partners. and the biggest problem is when a partner thinks that another partner is not doing his job well enough, or there is a lack of trust. make sure you trust your partner and he trusts you or you can just forget about owning this bar

[RocketScott]

I started my own business two years ago with two partners and just about to add a third. I'm in construction so my business is a little different than what you want to do. Before that I managed a climbing gym and guide service for four years (strangely similar to a bar).

The banks basically want a business plan to see if it's viable (make a sure bet so to speak). If you can provide demographics that show that the need exists for what you want to do then you should be in business. Go to other clubs in the area at night and count the number of people that go in. Make maps showing the competition and any holes that may exist in service. Business people like charts, graphs, and maps that make you look like the next Donald Trump. Prepare so much information that they think you know what you're doing (whether you do or not).

Having partners is not a big deal with the proper groundwork. Everyone can have input on various issues but each partner should have clearly defined roles that they are responsible for. The key is for everyone to be a little flexible and adapt to new situations and circumstances. Everyone is accountable to the group but still free to run their area of focus as they see fit. It can be a difficult balance so you have to choose your partners wisely.

Be professional, no matter what you do. In my line of work there are very few people that act professionally. It's easy for me to stand out above the rest since I act professionally. I don't know you so please don't take this to mean that I think you don't act this way already. It sounds like you are looking at this very professionally from your observations about your current place of employment.

I set my company up as an LLC to protect our private assets. I don't know whether this will work in your instance but it would be worth a look.