How to Open a Bar – A Full Guide
If you’re thinking about opening a bar, this guide on ‘how to open a bar’ may help if you plan to go for it.
Bar businesses can be tricky, but once you’ve got everything set up there’s no reason why it can’t be incredibly successful, a profitable.
Whether it’s a tough day at work or a happy occasion, people love to hit the bar to refresh themselves and celebrate.
There will always be demand for bars.
If you’ve been looking for a business idea to start off with, opening a bar would be a great choice.
With a bar business, you can blend both flexible working hours and your passion for lip-smacking, memorable drinks.
But the important question is – how do you open a bar?
What goes into establishing a successful bar?
Here’s our top tips on how to open a bar:
1. Jot down your ideas
2. Choose your business structure
3. Work out the finances
4. Pick a popular location
5. Secure the important licenses
6. Come up with a name and logo
7. Design your bar
8. Purchase your inventory
9. Hire great staff
10. Market your brand-new bar
1. Jot down your ideas
The best way to get started is to note down all the ideas off the top of your head for your new bar.
Once the ideas are on paper, you’ll be in a position to chart out the elaborate details of your business plan too.
Remember, little details matter – as they can help identify possible issues that may crop up later.
You will have ample time to work on them before you begin your business.
Based on the ideas and details you’ve come up with, create a checklist, as it will help you keep track of the items that are done and the ones that require attention.
A great bar starts with a great idea for the concept.
You need to look for a gap in the market that a certain location is missing in terms of the type of bar.
Does the location lack a high-end cocktail bar?
Or is the area heavily populated with students who are looking for something that’s cheap and fun?
Find out what the gaps are in the market, what the likely demand is going to be like and go from there.
2. Choose your business structure
Do you want to go all solo in this new business venture?
Or would you want to go ahead with it in partnership with a couple of friends?
This is a big decision and needs to be addressed at the beginning.
Furthermore, the business structure you choose will influence many aspects of your business, such as investments, profit sharing, and more.
Hence, it’s advisable to get this sorted in the beginning.
3. Work out the finances
Starting a bar is unlikely to be cheap.
You need to work out how you’re going to finance the creation of the bar and all the running costs you’ll need to pay.
If you have savings that you want to put towards the bar it may not be smart to put too much in incase it fails.
It may be smarter to bring investors onboard so your own money isn’t at risk.
The problem with investors however is that you’ll need to part with equity which may not be ideal for your situation.
Analyse your financial situation and choose an option that will pay dividends in the long-run without risking your own money.
4. Pick a popular location
Location, location, location.
When it comes to a bar, the location importance can’t be stressed enough.
The location of your bar matters a lot.
After all, the location is one of the aspects of the bar that determine its footfall.
You can select the location depending on the type of customers you intend to cater to.
However, consider factors such as zoning restrictions, accessibility, parking and rent before selecting the location for your bar business.
5. Secure the important licenses
Depending on the laws in your country, you need to get all the essential licenses before you start your business.
This would help you avoid any legal trouble in future.
Bar businesses typically require licenses to serve alcohol and food as well as to play music in the bar.
The licensing process can get a bit tedious, so get started with it immediately, so there are no delays to opening a bar business.
6. Come up with a name and logo
This is an important task to get off your list because once you decide on the name of your bar business, you will also have to register it.
Look for a cool, fun name that encapsulates the vibe of your bar.
You also need to get the logo of the bar designed and registered.
The process of getting the name or logo of your business registered can be very tedious.
There may be possible trademark infringements you need to be careful, so it’s always best to check and possibly hire a trademark attorney to check.
7. Design your bar
Now that you have the whole idea of your bar pictured in your mind, it’s time to bring all those ideas into reality.
You need to nail the ambience and vibe of your bar and ensure it resonates with the type of crowd you’re catering to.
Add fun elements such as indoor games, photo booths, and space for a live music band – there are many creative aspects that you can include in your bar to ensure it’s a space where people love to spend their time.
Depending on your budget, you can always hire an interior designer to help you make the most of the space you choose for your bar business.
8. Purchase your inventory
Inventory includes everything you require to run your bar – food, alcohol, and other essential products.
Before starting your business, you must not just purchase the inventory but also look for a system to keep track of it all.
Maintaining inventory records can help you keep track of the cost of sales, set prices and know which items are profitable in the long run.
9. Hire great staff
A bartender is a must at every bar – choose one who not just knows drinks but also has the skill to create magic with them!
Apart from this, you would require a bar manager, waiters and waitresses, cooks, and administration staff to look after the accounts and inventory.
Willingness to learn and get better at their job every day is what you need to look for in people when you hire them.
The rest of the skills can always be learned on the job.
10. Market your brand-new bar
Marketing is about letting people know what makes your bar different from many others out there.
Digital marketing is key, as it will help you gain widespread visibility.
You can advertise your venue via platforms like Bloc, a free social events app that pays people to attend venues and connect people before events.
All you have to do is create your advertisement on Bloc, and the app will boost the visibility of your venue.
Bloc Nearby is another platform of ours that lets people know about happening places in the city.
Sign up on our app as a business, and you’re sure to witness a rise in the footfall of your bar.
Summing up
The whole process of setting up a bar business may not be easy, but that’s just how starting off with a new business is.
You need to be ready to put in the effort required to make your bar successful.
Also, as an entrepreneur, every day comes up with a set of new challenges which you need to be ready to tackle.
Apart from this, thinking out of the box is important – there’s no point in having a bar with the same ambience, food and drinks as many others.
Good luck.
We hope our tips on how to open a bar help you out!
