Advice for starting and running a bar

[Andrew Doughty]

Hi,

My partner and I are thinking of opening a bar in West London, we have thought of a USP and are currently conducting market research in our chosen location to see how viable it would be.
My girlfriend has 3 years experience in front of house hospitality where as I have none and neither of us any management experience in this sector.

What advice can you give us for:

Pros and cons with regards to renting or buying a property?

How easy is it to change business usage from a1/2/3 to a4?

How do you work out business rates?

If there are already pubs around will it be a easy obtauning our own liscence?

Any other general advice you could give us that you think would be useful?

We would be very grateful for any/all help and advice we receive.

Thank you

Andy

 

[Scalloway]

Are you planning to do it as a partnership or limited company? In either case I would get a solicitor to draw up a partnership or shareholder agreement. If you read this forum you will see plenty posts about partners who have disagreed and fallen out with no means to sort things out.

As for yourself I would get a job serving in a bar. This sector has many pitfalls and working in the area will undoubtedly help you.

 

[ethical PR]

Hi,

My partner and I are thinking of opening a bar in West London, we have thought of a USP and are currently conducting market research in our chosen location to see how viable it would be.
My girlfriend has 3 years experience in front of house hospitality where as I have none and neither of us any management experience in this sector.

What advice can you give us for:

Pros and cons with regards to renting or buying a property? Do you have the budget to buy a property in West London? (you will need minimum 30% down plus demonstrate the ability to afford the mortgage repayments. The obvious benefit of buying is it provides you with an asset.

How easy is it to change business usage from a1/2/3 to a4? Depends on the development plan for the area. Many areas in London have restrictions on how many drinking establishments they will grant a license to.

How do you work out business rates? Ask the Council, or the estate agents you are buying or renting the property through

If there are already pubs around will it be a easy obtauning our own liscence? Not necessarily.

Any other general advice you could give us that you think would be useful?

We would be very grateful for any/all help and advice we receive.

Thank you

Andy

Many people dream about running a bar but far fewer succeed.

As you will know from the research you have carried out bars and restaurants have a high failure rate. If you don't have experience of running a bar yourselves you would be best employing someone with relevant experience who also has an alcohol license.

 

[The Byre]

Please answer the following questions -

Have you two got experience in the trade?

Can you spot a phantom till-roll?

Why would a barkeep count straws (or other objects on the bar)?

Why would a waitress or barkeep put too much ice in soft drinks?

Why do the staff sometimes fail to close the till drawer?

Why would some staff drive a van, instead of a car?

Why do some wait-staff seem to be fiddling with their ePOS machines more than usual?

If you can answer the first question with a resounding YES and all the other questions make you smile a knowing smile, you are in with a chance!

 

[Vincent79]

I work as a consultant to Hospitality businesses. I am seeing new people in the trade getting into a complete financial mess very quickly. Would strongly recommend getting some experience in this trade before investing and seeing if it is right for you. I am finding now that only the experienced operators are surviving.

 

[Deleted member 283937]

I agree with the above points get some experience. But working behind a bar serving drinks is the easy bit. You need business acumen.
Answering one of your questions I would have thought if you have the money to buy a freehold premises in West London then that would be a fine investment as opposed to signing a lease. You would have the security of a property. And if your bar didn't work or you didn't like the job you could rent out your premises. And earn money that way.