No doubt, a bar or a night club can be a very profitable business idea considering that almost everyone needs a drink and an occasional place to unwind. However, you need to be aware that running a successful nightclub is just like running any other business venture and requires plenty of hard work coupled with a genius strategy.
Below are the steps you need to follow on how to open a bar/ Night Club:
Step 1: Write down your business plan
In the very simple terms, a business plan is a document detailing your plan of action and the upfront expenses required to start and run the bar. Further, it should contain expected profits or losses expected over the short starting period. The general rule of business which every entrepreneur should know is that you need to set up sufficient funds enough to keep the business running for at least three months. It is presumed that after three months, the business is able to sustain itself. Remember to write all your ideas here so that you do not forget any of them during the implementation stage.
Step 2: Apply for permits to open a Bar/ Night Club
Depending on where you will be operating your business, you will require different permits (i.e. that of a bar and night club separately). Further, since various places have their own rules that govern issuance of liquor permits, it may require waiting for longer periods for your request to be processed. It is a wise idea to look for someone proficient in how such procedures are undertaken so that you are aware of what is required at every step of the way. In most cases, it usually involves paying a certain fee to your local authority.
Step 3: Secure your location
You need to be intelligent so that you identify a location that is not only ideal to capture your target audience, but also a place that is secure. Remember, a nightclub/bar is usually open for long hours and may extend into the morning. If the building does not suit the business, you will definitely be required to remodel the structure accordingly. Where possible, look for the services of a designer to do the décor for you.
Step 4: Hire staff and get insurance
Begin by hiring the staff your bar cannot do without. From here, you can add on others as time progresses. Such staffs include the security, wait staff, cleaners and the management. Keep in mind that this is only the beginning, so it only makes sense to get a sized staff that is easy to manage and maintain. Hiring staff and getting insurance goes hand in hand as you want to secure yourself from any unforeseen losses before you go too far into the business.
Step 5: Purchase bar supplies
The supplies required numerous and are varied. Ranging from the liquors, beers up to the entertainment tools, you need to ensure everything is in place. You can order sufficient stock that is enough to keep you going until the next date of purchase. You will soon discover that the initial cost is higher but as time progresses consecutive purchases will cost slightly less. Develop good working relationships with your distributors and suppliers for it is only through them that you get to secure good deals.
Step 6: Fine-tune your entertainment
Entertainment is the primary component of any night club. People need to feel that they are sailing away in paradise of comfort away from their hectic day stresses. One great way is to schedule club activities such that there is something unique to look forward to each and every day of the week. More so, in order to attract more patrons, let each day have an offer like a day for free shots of tequila for all the ladies in the club.
Step 7: Market and promote your venture
Whereas you may not necessarily seek the services of a promoter, you must make some effort to promote your nightclub/bar. Begin this as early as the first day of opening the club. Use all the available mediums such as social media, banners newspapers and other forms of advertising to get your message through to as many people as possible.
Be very flexible and tactful. If you notice people like something, make that facility available to them. Also ensure that you operate fully under the confines of the law. Where possible, display copies or originals of your license(s) where it is open for the public to see.