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I'll save Luckiest the trouble and point you towards SCORE. They are always a good start. They'll help you get a business plan started. Before you even think about going to a lender, you need to know how every aspect of the business will run, and be able to articulate why you believe it will succeed.
As far a qualifying for a loan, you'll need to have the following
- Good personal credit
- Prior experience in running/owning a bar
- Money of your own to put into the project (at least 20% of the costs)
- Possibly come collateral
In this economy and lending market, finding a loan for this type of startup venture will be very difficult. Your best bet would be to look into finding an existing bar or a recently defunct bar that is all set up for the purpose you want. The closer it is to being ready to run the better.
Am intrested in investing for your project, my name is Rajan from singapore
coming to Texas Houston on first week of May to look for good investments
there am based at singapore and into business consulting and running three
companies here. Now focusing towards usa its a right time to start up small
business to grow fast into big. all the big businesses dont have opp now total
business climate is different now. can you send me more details about the
project to email@example.com or how to keep in touch with you? I have
my business partner from Texas also. We can meet up if the proposal is solid.
Beware of "foreign" investors. Not that a bar won't work, but I'm skeptical of investors are so eager to partner up having very few details. If they have so much cash, why not just do it on their own?
Just food for thought....its a jungle out there. For every real investor who has money to give, there are 100 looking to clean you out.
If like bullfunding people suspect for the proposals nothing going to change.
have to sit in the same starting place only. We have to move on and take
risk in business there we can grow together with society. If no trust no business.
As stated, finding funding for any business - especially start-ups - is difficult. Do you have experience running a bar? If not, you might want to see if you can work for or volunteer a few nights a week at a local bar to gain some expereince.
In determining what it will take (capital) to get this off the ground, you would have to understand the daily, weekly, and monthly costs of running this business as well as how long it will take you to get to profitability.
Will you lease a space? What is it's monthly cost? Will you have to do renovations? What will they cost?
How much will the utilities costs (electricity, gas, water, trash)?
Can you get a license? What will that cost and how long will it take?
If you plan to sell drinks and the like - what will the equipment costs (dispensors, coolers, etc)? What about the products you plan to sell? Who will you get them from? How much will they cost? Will you have to pay up front?
Insurance - big expense but very needed. What types of coverage do you need to protect you and your business? How much will that cost?
Taking payments - how will complete sales? Cash only? Checks? Credit Cards? If credit cards, what processor will you use and what are the costs?
Staff - usually these can not be ran alone - how many people do you need to bar back or serve? What are going wage rates? What about other employment costs like FICA, Medicare, Unemployment insurance? Health insurance?
Marketing? What channels will you use? How much will it cost?
If you could develop a business plan that outlines these costs to include a break even analysis - then you will understand how much is needed in terms of capital.
As stated, find a local SCORE office or use their website. You could also find a local SBDC office and approach them. These are free services.
Also, to get a better idea of the costs and what is involved, search the web for free business plans. Here, you might find a business plan that is already created - thus, they have already done much of the reasearch on costs and expenses and what it will take to reach profitability.
When you have a better idea of what you need, then come back here and ask for help in finding funding - don't put the cart before the horse!
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I want to open a small BAR with the hopes of expanding to more high end bars in future years. The Bar will be located close to a local college, and will be aimed at early 20s to mid 20s college students. I am not sure where I should start in this process. I live in Texas, own my home, work a full time job, and have a very small savings. Is it difficult to get an approval for a small business loan to open a bar? Is there anything out there that can help me determine how much I will need to start this venture? Anyone have suggestions?