How to Open a Bar

How to open your own bar

What does a bar business plan look like

  1. Introduction that briefly describes your business
  2. Company analysis: more detail description of your future business
  3. Industry analysis: information about general industry trends
  4. Customer analysis: define your ideal client or buyer
  5. Competitors analysis: state how different you are from your competitors
  6. Marketing plan: design and describe your marketing strategy
  7. Operations plan: explain and show how you will run your business
  8. Management: describe who are your managers or staff members
  9. Financial plan: design a financial forecast for your business
  10. Additional information: any extra information that is relevant to your business

How to find the right location to open a bar

  • Renting an existing bar might seem the easiest option at the beginning, but it needs a previous thorough investigation in order to understand what do you need to open your own bar in this place.
  • You might have to visit it several times at different times of a day, talk to the service, analyse the clients and pay attention to the cleanness of the establishment and other important characteristics.
  • Building your own place from zero is usually the most laborious, but also comforting way to start your own bar.
  • It is advisable that you first consult possible architecture and construction companies to obtain information on how much does it cost to build a new bar, including the construction or rebuilding plan, permits, and mind additional costs, they always arise on a construction site.
  • An intermediate option is to remodel an existing bar, so you can adapt it to your bar conception and consider how much does it cost to build a new brand and attract new customers for an existing bar.
  • In this case the most important thing is to take care of the transition, whether you want to make a smooth transition or close and reopen under a totally different name.

Create a brand for your bar

How to decide which bar you want to open

  • A speciality bar is an establishment that focuses on a specific topic such as a cigar or wine, or a martini bar. The downside of such establishments is that it is difficult to predict how much it will cost to run a bar that has such a specific target audience, because it depends on your ability to market the place, for which you should run a previous consumer research, or handle your clients, including the choice of drinks you can offer.

Legal concerns when opening your Bar

  • Sole proprietorship seems to be the most common structure when it comes to small bar or speciality bar industry, because it requires the least amount of paperwork and has the lowest start up cost You just need to realize some basic procedures in the local tax agency and register your business according to the state and local regulations, in order to obtain a business identity number and start getting profits asap. The negative side of such a business entity is that all the legal responsibility lies on your shoulders as an owner of the bar.
  • A partnership is second most appealing business structure among bar owners, as it seems less risky to share the investment or loss costs of a starting up a bar with someone. But you have to understand that in this case you will be legally responsible for any actions that the other person might take perjuring themselves and you at the same time. Many mistakes and surprises can be avoided if you take time to elaborate and review your partnership agreement.

How to keep your bar finances up to date



500+ Financial Model Templates—

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