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    8 Replies Latest reply on Apr 11, 2008 5:41 PM by nolukirish.1

    Need Advise on Starting New Business

    BIG RIFF Newbie
      My brother and I are currently opening up a music venue ( a place for bands to play) in Riverside California, we've found a very good spot available with prime location for the business. I am unemployed and my brother is funding me with money (in hopes to get a loan because he has bad credit) so that we can get this thing started. Im only 20 years old but hope to open something successful; I need help on getting started such as how I should look in to getting a business loan, and what kind of licensing i might need. We've come up with a name already but yet to get it verified; basically i could use as much advise as possible on how to get started.

       

      Thank You
        • Re: Need Advise on Starting New Business
          LUCKIEST Guide
          BIG RIFF, Welcome to this web site. and Good luck.
          The best advice I can give you is FREE. Contact SCORE. SCORE is FREE.
          They can help you succeed in business. They will help you develop a
          Business and Marketing Plan which you will need for lenders
          Again, Good luck, LUCKIEST
          • Re: Need Advise on Starting New Business
            lowdose Wayfarer
            This will be a huge task. First, you'll need a liquor license. You need to find a venue that has a license on it already, which may have closed down. Otherwise, a liquor license is like $50grand. You need check out this site, the CA ABC: http://www.abc.ca.gov/Permits/permits.html
            http://www.abc.ca.gov/Permits/permits.html

            Also a good idea in taking on a pre-existing, closed venue is it's already zoned to have live music. Otherwise, you'll have to go through all kinds of city council BS, and deal with neighbors that don't want the noise, etc. By the time you get that stuff in place, you should be 21 at least!
            • Re: Need Advise on Starting New Business
              Wingman Adventurer
              Hi Big Riff,

              Luckiest is correct in that you MUST put together a business plan. Not that the business plan is an end unto itself but it will force you to think about many of the major considerations you need to evaluate before opening any business.

              You said you have identified a location already. Hopefully you have not signed a lease on the property before you do a lot more planning and due diligence.

              I'm not a music person but I would really think about what other business you can draw into your location when you don't have live music. Can you use it for lunch or private parties during the daytime?

              Good Luck in your venture.
                • Re: Need Advise on Starting New Business
                  BIG RIFF Newbie
                  Well we dont want to get a liquor license because we want the place to be open to all ages, selling liquor would limit our customers. We have found a place that we are interested in but have not signed a lease yet, although we are very eager, we plan on making sure that we can bring in an income other than just live shows. When the stage is not in use we plan on using the building as a recording studio, my brother has already dabbled in the recording industry and has all the equipment necessary to make it happen. For little odds and ends we figure we can set up video cameras and make a decent video recording of the show that the band can purchase if they would like. We would sell bottled and bagged items such as water, gatorade, and chips for snacks and what not just for a little bit more here and there. Also to ensure that we are getting paid our fair share, when bands play we would draw up a contract stating that they have to sell X amount of tickets and what they do not sell have to pay us from their own pockets.
                • Re: Need Advise on Starting New Business
                  Lighthouse24 Ranger

                  Before you draft a business plan (and certainly before you apply for a liquor license!), may I suggest you write a vision statement? Here's how: Imagine that local entertainment editors are sending reporters and photographers to do a feature story about your club the first week it opens. With that in mind, write the story that they'd write and sketch out the photos they'd take.

                  What's the buzz (what have reporters heard about the club before they even arrive)? What are their first impressions when they get there? Is there a line to get in, an ID check, or a cover charge? What does the inside look like? Describe the atmosphere, lighting, and décor. What kinds of people are there? How old are they? How are they dressed and what are they doing? What do they say about the club when interviewed? How did they hear about it and what made them check it out? What kinds of bands are there? What do they tell the reporters about the club, the audience, the acoustics, and you (the owner/management)? How about neighbors, local officials, and the police - what do they have to say? What's reporters' "bottom line" -- what makes this place so unique and special?

                  The more sensory detail you can describe (sights, sounds, feelings, etc.), and the more different perspectives you can incorporate, the more complete your vision will be. You're basically daydreaming about your club, only on paper, and through the eyes of others. Having this detailed vision will allow you to develop an accurate business plan that's actually worth something, as opposed to a bunch of words on a template you downloaded. The technique I'm suggesting will also help you discover what you don't know (or haven't thought about yet) that you need to discover very early on -- before you spend any of your own money or go out searching for someone else's to spend.

                  To be honest, you are going to have a hard time getting a loan for this kind of start-up, but you can find willing investors if you have a good plan. You'll only get one shot at a given investor, however, so you don't want to waste that shot (or their valuable time) presenting an incomplete or poorly conceived plan. My recommended first step would be to get a crystal clear vision of the business you want to create, then develop a business plan around that vision.

                  Hope this helps. Best wishes.
                  • Re: Need Advise on Starting New Business
                    nolukirish.1 Newbie
                    Please call me if you are interested in still opening a venue in Riverside. I am trying to put investors together and I have access to an active liqour liscense. (949)742-2812 Tim.