Running a Bar For Dummies (For Dummies (Business & Personal Finance))

Have you ever thought of owning your own bar? Did you ever stumble into an overpriced watering hole and think how much better it could be if you ran the place? Or maybe you walked into your dream bar and realized that running one was the dream job you've always wanted? With Running a Bar for Dummies, you can live your dream of operating your own establishment. This hands-on guide shows you how to maintain a successful bar, manage the business aspect of it, and stake your place in your town's nightlife. It provides informative tips on: Understanding the business and laws of owning a bar Developing a business plan Creating a menu, choosing décor, and establishing a theme Stocking up on equipment Choosing and dealing with employees Handling tough customers Controlling expenses, managing inventory, and controlling cash flow Getting the word out about your place Preparing for your grand opening, step-by-step This guide cues you in on how to keep your bar safe and clean, making sure everyone is having fun. It warns you about the pitfalls and no-nos that every owner should avoid. There are also helpful resources, such as contact information for State Alcohol Control Boards and Web sites with valuable information. Running a Bar for DUMmIES 1 About the Authors 3 Dedication 5 Authors’ Acknowledgments 5 Contents at a Glance 7 Table of Contents 9 Introduction 19 About This Book 19 Conventions Used in This Book 20 Foolish Assumptions 20 How This Book Is Organized 21 Icons Used in This Book 23 Where to Go from Here 23 Part I: Cheers! Getting Started in the Bar Industry 25 Chapter 1: Bar Business Basics 27 Deciding Whether the Bar Business Is Right for You 27 Starting Fresh or Taking Over an Existing Bar? 29 Staying on Top of the Latest Bar Trends 31 Figuring Out Your Financial and Legal Obligations 32 Bringing In the Crowds and Keeping Them Coming Back 34 Chapter 2: Understanding What It Takes to Own and Operate a Bar 35 Social Skills 101: Do You Really Like People (And Their Problems)? 35 Staying on the Positive Side of the Success–Failure Rate 39 Understanding the Financial Ramifications 41 Balancing Your Bar Life with Your Personal Life 43 Chapter 3: Minding the Money and the Law 49 Figuring Out Your Start-up Costs 49 Financing Your New Business 51 Familiarizing Yourself with Liquor and Zoning Laws, and Other Legalities 54 Getting to Know the Health Inspector 60 Bringing In the Big Three: Accountants, Insurance Agents, and Attorneys 63 Taking Over an Existing Bar: Some Things to Watch For 66 Looking Closely at Contractor Paperwork 66 Chapter 4: Deciding What Type of Bar to Have 69 Determining Your Bar’s Potential Market 69 Exploring Your Options: What Kind of Bar Do You Want? 73 Remembering to Choose One Theme and Be Good at It 78 Part II: Gearing Up to Open the Doors 79 Chapter 5: Putting Your Business Plan Together 81 What’s a Business Plan and Why Should You Create One? 82 Considering the Benefits of Having a Business Plan 83 Looking at the Parts of Your Plan 84 Putting Your Financial Forecasts on Paper 87 Chapter 6: Selecting Your Bar’s Site, Décor, and Name 99 Finding Your Bar’s Ideal Location 99 Choosing and Establishing Your Bar’s Name 106 Picking Out Your Bar’s Décor 110 Fun and Games: TVs, Video Games, Pool Tables, and More 116 Music, Professor! Jukeboxes, DJs, and Live Tunes 120 Chapter 7: Stocking Up on Smallwares and Equipment 123 Picking Out Your Bar Equipment 123 Acquiring Bar Appliances 136 Selecting Kitchen Appliances 137 Leasing versus Buying, New versus Used 138 Chapter 8: Setting Up Your Bar’s Inventory 143 Creating Your Storerooms 143 Keeping Your Inventory Well Stocked 145 Items for the Back of the House (Like Restrooms!) 160 Chapter 9: Planning and Creating Your Menus 161 Planning Your Food Menu 101 161 Planning Your Drink Menu 101 169 Pricing Your Menus Right 171 Designing and Printing Your Menus 175 Making Changes to Your Menu 179 Part III: Employees, Customers, and Products: Managing the “Right Stuff” 181 Chapter 10: Hiring, Training, and Keeping Your Employees 183 Identifying the Players on Your Team 183 Finding the Right Employees 190 Training New Employees 197 Improving Employee Performance 200 When It Doesn’t Work Out: Dismissing Employees 203 Chapter 11: Rule #1: Practicing Good Customer Service 207 Why Customer Service Is So Important 207 Training Your Team in the Art of Customer Service 211 Dealing With Difficult Customer Situations 213 Chapter 12: Boning Up on Bar Beverages 219 Knowing the Bar Basics and Then Some 219 Mixing and Pouring the Best Drinks inTown 228 Prettifying Drinks with Garnishes 232 Chapter 13: Getting Ready for Your Grand Opening, Step by Step 237 Figuring Out How Much Time You Need to Prepare 238 One Year Out: Planning! 239 Nine Months Out: Finding Funds, a Location, and POS Systems 240 Seven Months Out: Signing the Lease and Setting Up Finances 240 Six Months Out: Getting Organized! 241 Five Months Out: Building and Buying 243 Four Months Out: Manuals and Menus 244 Three Months Out: Supervisors, Suppliers, and Vendors 244 Two Months Out: Preparing to Hire, Attending to Details 245 Six Weeks Out: Finalizing All Paperwork 247 Thirty Days Out: Navigating the Final Month 247 Ten Days Out: Fine-Tuning 248 Three Days Out: Dress Rehearsal! 249 The Day Before: Relaxing before the Big Opening 249 Part IV: Managing Your Inventory, Revenue, and Future 251 Chapter 14: Controlling Expenses and Operating Efficiently 253 Perusing the Power of Purchasing 253 Maintaining Your Bar’s Inventory 261 Paying Attention to What Goes On in Your Bar 267 Chapter 15: Keeping Your Bar’s Bottom Line from Hitting Bottom 275 Reading Your Income Statement 275 Deciphering Your Balance Sheet 276 Analyzing Reports in the Bar Business 277 Setting Up Your Payroll System 282 Keeping and Protecting Your Records 285 Chapter 16: Building and Keeping Your Bar Crowd 289 Generating Word of Mouth 289 Getting New Customers in the Door 294 Giving Your Customers a Reason to Come Back 299 Maintaining Your Success 304 Part V: The Part of Tens 307 Chapter 17: Ten Ways to Run a Safe Bar 309 Hiring Safely 309 Practicing Fire Safety 309 Using Video Cameras 310 Using Locks and Alarms 310 Preventing Slips and Falls 311 Installing Lighting 311 Checking IDs 311 Serving Hot Food 312 Keeping a First-Aid Kit 312 Following Handicapped and Discrimination Laws 312 Chapter 18: Ten Myths about Running a Bar 313 The Hours and Days Are Short 313 Free Drinks All Day, Every Day 313 There’s Not Too Much Paperwork 314 Your Family Will Want to Work for You 314 You Can Hire Good Help in a Snap 314 You Know Everything about Everything 315 Nobody Would Steal from You 315 Everyone Is Trustworthy 316 Everyone Loves the Boss 316 Anyone Can Run a Bar or Tavern 316 Chapter 19: Ten Bar Owner Sins Not to Make, Ever 317 Depending on Your Friends and Family 317 Extending Lines of Credit to Customers 317 Allowing Gambling or Betting 318 Not Taking the Keys from an Intoxicated Patron 318 Believing the Customer Needs “Just One More” 318 Lending Money to Anyone 319 Becoming Romantically Involved with an Employee 319 Drinking and Working 319 Drinking and Working (Did We Say This Twice?) 319 Last Call Is Last Call. The End. No More! 320 Chapter 20: Ten (Okay, More Than Ten) Bar Jokes You Can Tell Your Customers 321 Bounce This! 321 Generous to a Fault 321 Sign of the Times 322 If You Haven’t Got Your Health... 322 When Do You Open? 322 Which Are You? 323 Your Wife’s Not Looking for You 323 Nurse or Bartender? 323 Bartender (bärtndr) 323 A Horse 323 A Duck 324 A Pony 324 A Snake 324 A Giraffe 324 The Famous Quasimodo Bar Joke 325 Part VI: Appendixes 327 Appendix A: State Alcohol Beverage Control Boards 329 Appendix B: Useful Web Sites for Every Bar Owner 337 Index 345

have You Ever Thought Of Owning Your Own Bar? Did You Ever Stumble Into An Overpriced Watering Hole And Think How Much Better It Could Be If You Ran The Place? Or Maybe You Walked Into Your Dream Bar And Realized That Running One Was The Dream Job You’ve Always Wanted?

With running A Bar For Dummies, You Can Live Your Dream Of Operating Your Own Establishment. This Hands-on Guide Shows You How To Maintain A Successful Bar, Manage The Business Aspect Of It, And Stake Your Place In Your Town’s Nightlife. It Provides Informative Tips On:

• Understanding The Business And Laws Of Owning A Bar

• developing A Business Plan

• creating A Menu, Choosing Décor, And Establishing A Theme

• stocking Up On Equipment

• choosing And Dealing With Employees

• handling Tough Customers

• controlling Expenses, Managing Inventory, And Controlling Cash Flow

• getting The Word Out About Your Place

• preparing For Your Grand Opening, Step-by-step

This Guide Cues You In On How To Keep Your Bar Safe And Clean, Making Sure Everyone Is Having Fun. It Warns You About The Pitfalls And No-nos That Every Owner Should Avoid. There Are Also Helpful Resources, Such As Contact Information For State Alcohol Control Boards And Web Sites With Valuable Information.

Have you ever thought of owning your own bar? Did you ever stumble into an overpriced watering hole and think how much better it could be if you ran the place? Or maybe you walked into your dream bar and realized that running one was the dream job you've always wanted? With Running a Bar for Dummies, you can live your dream of operating your own establishment. This hands-on guide shows you how to maintain a successful bar, manage the business aspect of it, and stake your place in your town's nightlife. It provides informative tips on: Understanding the business and laws of owning a bar Developing a business plan Creating a menu, choosing decor, and establishing a theme Stocking up on equipment Choosing and dealing with employees Handling tough customers Controlling expenses, managing inventory, and controlling cash flow Getting the word out about your place Preparing for your grand opening, step-by-step This guide cues you in on how to keep your bar safe and clean, making sure everyone is having fun. It warns you about the pitfalls and no-nos that every owner should avoid. There are also helpful resources, such as contact information for State Alcohol Control Boards and Web sites with valuable information. This guide shows would-be bar owners how to avoid the pitfalls and turn their dream business into a profitable enterprise. Full of checklists, timelines and sample financials, it shows how to find a winning concept, define the target market and choose a location, then deal successfully with practical matters such as staffing A bar or tavern can be an extremely profitable business, running in the black after only six months and recouping the initial investment within three to five years. But it can also be risky. This guide shows would--be bar owners how to avoid the pitfalls and turn their dream business into profitable enterprise.