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Folk in the Restaurant Industry


Duchess Jack
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I am kicking around starting a pub. I am using business plan pro and am currently having a hard time trying to figure out starting costs.

 

Firstly - is there a good resource online as to what all I need.

 

I am currently looking for an approximate cost for starting inventory. I kind of have what all I might need down - but I cannot find a real wholesale cost for the liquor - or a good rule of thumb as to how many bottles to have of each.

 

I am also looking into the cost of fridges/freezers, glasses, dishwashers and all that other stuff – but that is a little easier to figure out.

 

We'd be looking about someplace at its smallest - your typical back street Irish pub and at its largest, a place around the size of Cheers (best I can offer you right now).

 

also - what things would somebody just beginning to look into this stuff naturally overlook?

Edited by Duchess Jack
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what kind of pub? stocking the bar could be from $5000-10000..... talk to the local reps.

 

try to figure out your labor needs (hours open, etc). depending on what you are doing with food, should be pretty inexpensive. how many people do you anticipate serving?

 

Do youhave a space picked out? try to get estimates on how much renovations will cost.

 

 

for equiptment.... talk to other local bars to find out where to go... often a lot of decent used ept out there.... also.... look for auctions, places going out of business....

 

 

i think billay will be able to help you much more.

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I am kicking around starting a pub.  I am using business plan pro and am currently having a hard time trying to figure out starting costs.

 

Firstly - is there a good resource online as to what all I need.

 

I am currently looking for an approximate cost for starting inventory.  I kind of have what all I might need down - but I cannot find a real wholesale cost for the liquor - or a good rule of thumb as to how many bottles to have of each. 

 

I am also looking into the cost of fridges/freezers, glasses, dishwashers and all that other stuff – but that is a little easier to figure out. 

 

We'd be looking about someplace around the size of Cheers (best I can offer you right now). 

 

also - what things would somebody just beginning to look into this stuff naturally overlook?

 

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Couple thoughts came to mind while reading this.

 

While I am not in the industry, my best friend's Dad had a bar in Wisconsin. We cleaned the bar every morning. Not an easy job. One thing you may forget about is the cleaning expense. Additionally, depending on the geographic location you will need a "rug service", particularly in the wet winter months.

 

As for stock. Sure you need to know what you need to open, but you are talking consumables (sp?). Information on how quickly you need to restock and quantities is almost as important as initial supplies. You may be able to get that info from local beer distributors and liquor suppliers.

 

Another major expense you may or may not have thought of is insurance.

 

Also, depending on where you are, there may be a hefty outlay for your liquor license. For sure you will have legal expenses related to that.

 

Lastly, off the top of my head, signage and quality/targeted advertising are not cheap.

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location location location. this being said a good many rest/bars/grills go out of bus and sell there used wares at low cost, usually at auctions. Get a good liq. rep and find the best wholesale provider for the rest. I know a lot of owners that shop Costco for some goods. Talk to reps and other owners in and around your location of choice. Ask questions, especially to those that have been around awhile.

 

Good luck, and oh yeah many good quality screens set in the right places are key, along with top notch customer service and high quality grub and grog.

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Thanks everyone. Good info. I will be compiling a lot of info over the next couple months - and this gives me a lot to do.

 

Quick answer to a couple questions.

 

Food: Light food. Bar food.

 

No. of People: Its a hard question - I'd be happy as a pig in poo with an average of 10-20 people at any given time.

 

 

I will have to drop Billay a PM.

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Gimme a holler, cheesdik.

 

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Yeah....cuz his reply would be so long and boring and cut and pasted that it would bog the thread down. Keep it private.

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Thanks everyone.  Good info.  I will be compiling a lot of info over the next couple months - and this gives me a lot to do. 

 

Quick answer to a couple questions.

 

Food:  Light food.  Bar food.

 

there are a lot of pre-fab items that are inexpensive..... get in touch with a sysco or shammerock rep and get into a food show.

 

No. of People: Its a hard question - I'd be happy as a pig in poo with an average of 10-20 people at any given time. 

so your labor costs should be farily low.  what type of pub?  ie: what are you pushing?  bass type bier, sports pub.... what will you crowd want... higher end bier and spirits, etc?

I will have to drop Billay a PM.

 

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I am kicking around starting a pub.  I am using business plan pro and am currently having a hard time trying to figure out starting costs.

 

Firstly - is there a good resource online as to what all I need.

 

I am currently looking for an approximate cost for starting inventory.  I kind of have what all I might need down - but I cannot find a real wholesale cost for the liquor - or a good rule of thumb as to how many bottles to have of each. 

 

I am also looking into the cost of fridges/freezers, glasses, dishwashers and all that other stuff – but that is a little easier to figure out. 

 

We'd be looking about someplace at its smallest - your typical back street Irish pub and at its largest, a place around the size of Cheers (best I can offer you right now). 

 

also - what things would somebody just beginning to look into this stuff naturally overlook?

 

1313251[/snapback]

 

 

 

 

Obviously, there is alot to consider when getting a place up and running.

 

Getting up to health code and getting inspected are right up front. Also any permits and licences which are required by state and local governments; both of these things can stop you in your tracks before you even open your doors.

 

What do you want to serve? How many beers on tap? How much space are you going to have to keep things cold?

 

As you said, the costs for the hardware is fairly concrete, but the expense is generally much higher than it will be for goods. Up front, you can keep your costs in line by not purchasing too many high end liquors. Sure, it's noce to have Louis XIV on the bar, but it costs a fortune and you're goning to sit on it for a long time.

 

Something else to consider: POS tecnology. How are you going to ring in your items? Track your inventory? The software and hardware for such technology is not cheap, unless you want to run an old fashion cash register and keep the books by pencil and paper. It's possible, but its a shuckseload of work.

 

The main thing to remember is every penny counts! Hire people you trust, not some bum who's going to pour free drinks for his buddies all night.

Edited by billay
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A few other things to remember:

 

Payroll taxes. If you're going to have employees, these become a large expense. Employers wind up matching any social security taxes that employees have withheld as well as paying into federal unemployment and state unemployment funds.

 

Insurance - general liability, workers' compensation.

 

Liquor license - I know in Michigan they pretty much don't issue new ones. You usually have to buy an existing one.

 

Small business - You can hire people who are trustworthy. But no one treats a business like his own business. Be prepared to spend a lot of time working your investment (usually without drawing your own salary) for a number of years to get it started.

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more for the restaurant folk....

 

Is there any 'rule of thumb' to figure out profits for drinks?

 

bottles seem like they would be easy enough...

folk in the industry....

how much do you get your cases of guiness for example vs your cases of coors light... I am just looking for wholesale prices...

 

Kegs seem to be a little more complicated? How much profit would one make - with average prices - from a keg of domestic beer? how about a keg of imported beer?

 

What is killing me is the hard stuff. Any ideas here?

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The main thing to remember is every penny counts!  Hire people you trust, not some bum who's going to pour free drinks for his buddies all night.

 

 

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Definitely hire people you trust, but I think a free drink for customers who are spending a lot goes a long way. Customers will remember good service and good bartenders.

 

DJ... what town are you looking to open the bar? I'll definitely stop by for a :D or two.

 

Other things to consider... will you have space for a pool table, shuffle board, etc.

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Kegs seem to be a little more complicated?  How much profit would one make - with average prices - from a keg of domestic beer?  how about a keg of imported beer?

 

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You're going with too much of a traditional model. You should do nickel drafts all the time, but charge $5 to use the bathroom.

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Definitely hire people you trust, but I think a free drink for customers who are spending a lot goes a long way.  Customers will remember good service and good bartenders.

 

DJ... what town are you looking to open the bar?  I'll definitely stop by for a :D or two.

 

Other things to consider...  will you have space for a pool table, shuffle board, etc.

 

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Right now - I am looking into Bucks County PA... but we've yet to get that far into this.

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And, try to hire waitresses with huge boobs who aren't afraid to wear tight shirts.  That'll get some repeat business, for sure.

 

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Great info here. :D

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Obviously, there is alot to consider when getting a place up and running. 

 

Getting up to health code and getting inspected are right up front.  Also any permits and licences which are required by state and local governments;  both of these things can stop you in your tracks before you even open your doors.

 

What do you want to serve?  How many beers on tap?  How much space are you going to have to keep things cold?

 

As you said, the costs for the hardware is fairly concrete, but the expense is generally much higher than it will be for goods.  Up front, you can keep your costs in line by not purchasing too many high end liquors.  Sure, it's noce to have Louis XIV on the bar, but it costs a fortune and you're goning to sit on it for a long time. 

 

Something else to consider:  POS tecnology.  How are you going to ring in your items? Track your inventory? The software and hardware for such technology is not cheap, unless you want to run an old fashion cash register and keep the books by pencil and paper.  It's possible, but its a shuckseload of work.

 

The main thing to remember is every penny counts!  Hire people you trust, not some bum who's going to pour free drinks for his buddies all night.

 

1314269[/snapback]

 

 

 

Good info here, and DJ, feel free to PM me if you have specific code/permit questions.

 

Keggerz will have good info on POS systems.

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Gotzville a friend of mine from the Dugout FBL has his own restaurant up in the NYC area (Long Island, I believe) and I am sure he could help you out with any questions / suggestions for you.

 

You could try sending him a PM. Check the Dugout FBL board and you will find him there. :D

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