How much would someone need to start a Nightclub/Restaurant in Los Angeles?
Author: admin // Category: start restaurantHow much would someone need to start a Nightclub/Restaurant in Los Angeles?
Lets say the goal was to start a luxury restaurant aimed at mid-level casual dining that opens up into a Nightclub and bar which is seperated from the Restaurant by a indoor lobby behind the Restaurant but also accessable through a side entrance outside the building next to the Parking lot?
My biz partner used to be a CPA for bars and restaurants in Chicago. He holds these following truths to be beyond question:
1. 90% of all restaurants and bars go broke.
2. 70% of all new restaurants and bars go broke in their first year.
3. 50% of all restaurants and bars that go broke fail because they were under-capitalized from the start.
4. Unless you have a family run restaurants/bars, you must expect to suffer huge losses caused by employee theft; the only way to stop employee theft at a restaurant/bar is to have somebody there watching everything every minute the place is open.
You describe a restaurant/bar that would need over a million dollars to start (plus you would need excellent food).
July 18th, 2009 at 11:02 am
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References :
July 18th, 2009 at 11:35 am
Interesting question. I thought about the same thing a long time ago. I decided against the project because I knew I would need capital for a minimum of 5 years. I also knew my partner to be wouldn’ t conform to the restraints of a true, working budget. In your area, I would suggest hooking up with the local small business association. They will guide you through the foibles of virgin entrepreneurship. They’ve been there and have nothing to gain by steering you away from the pitfalls. Except to pay it forward.
I hope someday you will do the same.
References :
July 18th, 2009 at 11:53 am
My biz partner used to be a CPA for bars and restaurants in Chicago. He holds these following truths to be beyond question:
1. 90% of all restaurants and bars go broke.
2. 70% of all new restaurants and bars go broke in their first year.
3. 50% of all restaurants and bars that go broke fail because they were under-capitalized from the start.
4. Unless you have a family run restaurants/bars, you must expect to suffer huge losses caused by employee theft; the only way to stop employee theft at a restaurant/bar is to have somebody there watching everything every minute the place is open.
You describe a restaurant/bar that would need over a million dollars to start (plus you would need excellent food).
References :