Starting a tiny Brewpub/Craft Beer Bar

Discussion in 'Beer Talk' started by OldWade, Sep 25, 2013.

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  1. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    I'm going to see what they say first. I agree 100% with you but really think having seating would be beneficial as well.
     
  2. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    I don't have full budget yet because I haven't met with designer. I do that tomorrow. But you are correct. It will be over 5k. 1k for licensing. 2k for cooling and taps. I can build most of bar and back shelving for little to nothing because I have sources for wood etc. $600 for sinks. Glassware will only be around $200. Inventory will be about $750. Tables(see above). Stoors $300 worst case. POS system will be square and I have to dig into that a little more.

    Other costs. Logo for front window $200.

    Possible mural for wall $500.

    Most of my items that will involve screen printing, etc. I have a friend who will "at cost" me and hold the bill til I draw income.

    I know I'm missing stuff but I am tired.
     
  3. mckay9

    mckay9 Initiate (0) Feb 26, 2013 West Virginia

    Don't take this the wrong way, but why on earth would you go with Square when you're making this kind of investment? Get something that is efficient and will maximize your profit. Take that $500 for a mural and invest it into a decent POS system with better processing rates.
     
  4. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    Ok guys and gals(though I haven't seen much response from the ladies). I have to sign my lease Sunday. The big things I can think of are getting a clearly defined statement of the exterior space and how it pertains as a "shared space". I have made it clear that space is very important to the bar and he agreed that I could have full use. Other people accessing it include a few residential tenants. 3 apartments at most. I would need a delay on full payment for the "other" space but use of it for the second "must have" bathroom and mop sink. We are haggling over a heating source. It costs him $600 to install. Others using the space have utilized 1500 watt heaters. I cannot do that with patrons so we need that installed. He has an office on site which fronts the street. I want access to the sidewalk space in front of his building to compliment my space and the "other space". I could add seating for a minimum of 6 more people with this space. Albeit during good weather and not during launch. I want some sort of opt out clause if this is a bust. Maybe pay 1 months rent or forfeit deposit. Any other ideas?

    I'm trying to draw off the experience of running a retail greenhouse/landscape nursery and the lesson I learned during that lease. Specifically that I didn't get certain items in writing and it was "verbally agreed"(man I love these quotes). Those verbal agreements cost me a ton of problems with the landlord. (Old SOB!)
     
  5. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    Could you assist me and point me in the right direction for which you are referring?
     
  6. mckay9

    mckay9 Initiate (0) Feb 26, 2013 West Virginia

    If you want to keep costs down and stay efficient, I would go with an iPad POS system. They're usually significantly cheaper than standard POS systems. I personally use POS Lavu, but it really depends on your personal preference and what you're looking for in a system. All in all, this will be a larger investment up front (I spent roughly $1,500 for the license and one terminal), but your processing fees will be significantly cheaper.
     
  7. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    I remember all the processing fees and such when I had the retail garden center. Can you freshen my mind on what your fees are? And thanks again.
     
  8. mckay9

    mckay9 Initiate (0) Feb 26, 2013 West Virginia

    I'm at 11 cents a swipe with a 0.15% rate with Visa, Discover, and Mastercard. That's not the best rate in the world, but it sure beats the 2.75% a swipe for Square. American Express sets their own rates so you'll be stuck at 10 cents a swipe and a rate of 3.5%.
     
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  9. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    Yeah, I remember not accepting those bastards for that reason back in the day. Thanks.
     
  10. CRJMellor

    CRJMellor Initiate (0) Nov 12, 2003 Arkansas

    on the food thing, another option I didn't see was soliciting every restaurant that can reasonably deliver food to your establishment and get menus and make a few 3-ring binders with them in them and offer that as a food option. works really well at Dragonmea in MI. Food trucks are raging now and a new place in Indy, Triton rotates food trucks on Thurs, Fri, Sat and gets a cut of their sales. You need to hire 1 great employee who can run in your absence. hire some young motivated go-getter and pay them well and will keep you going thru thck and thin. Be selective on your opening hours. reduces overhead and will create some exclusitivity and buzz.
    250 sq. ft is awfully tight but well constructed you'll be able to get some folks in the door. A buddy who has owned and operated restaurants and bars forever, once told me "remember for every Friday and Saturday there is Mon, Tues., Wed." my answer to him was then don't open on Mon., Tues., Wed. !
    One thing you need to consider is what do you do when you have 15-20 people in there and another 10 folks wanting to get in. Good problem to have but look at how many business have failed because they cannot support the demand for services or products over time. heck look at the animosity unleashed on some of these craft breweries who won't distribute to this town or that market.
    Sincerely wish you the best of luck. cool idea, relatively low risk and your expectations are modest. good start and serve some good brew and you'll be alright.
    PS - invest in something like Quickbooks or something to keep your finances in order. that will be the most painful part of your venture.
     
  11. BBThunderbolt

    BBThunderbolt Grand High Pooh-Bah (7,846) Sep 24, 2007 Kiribati
    Pooh-Bah Trader

    On the topic of POS, I say go no plastic, cash only. In a city the size you seem to be in, there'll be an ATM nearby, and you save yourself all those costs. Save plastic and an actual POS until you outgrow this space and move into a bigger one. This place in PDX gets crap here in the NW forum for not taking plastic, but they don't have any trouble filling the joint: http://apexbar.com/
     
  12. southdenverhoo

    southdenverhoo Pooh-Bah (1,567) Aug 13, 2004 Colorado
    Pooh-Bah

    The last post reminds me of the Mountain Sun/Southern Sun/Vine Street Pub mini chain in Co and a number of small places in Bushwick & Williamsburg in Brooklyn, who have their own ATMs but take nothing but cash. That way customers who didn't bring cash can still pay with their credit/debit card (but they, not you, pay the service charge.)

    This pisses off some people but way more people than you might think accept & adapt to it. The ATM is either free to you or you might negotiate a slice of the service charges from the vendor, as rent.
     
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  13. Hop_juice

    Hop_juice Initiate (0) Mar 27, 2013 Wyoming

    I would personally love to see the layout. Fitting everything you need in 250sq feet, with 15-25 people sitting comfortably boggles my mind.
     
  14. hopfenunmaltz

    hopfenunmaltz Pooh-Bah (2,647) Jun 8, 2005 Michigan
    Pooh-Bah

    OldWade likes this.
  15. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    Thought about that but It erks the hell out of me when I go somewhere and it is cash only. I never carry cash.
     
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  16. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    I don't think I ever said sitting comfortable. But with my most recent layout sketch we could have 20 sitting, in seats, and they would have plenty of space. The question is going to be whether we get limited to 15 sq ft per person.
     
    jmw likes this.
  17. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    That explains why these things are in cash only joints. Would be interested in doing a cost benefit analysis on this option.
     
  18. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    Great ideas to ponder.
     
  19. OldWade

    OldWade Initiate (0) Sep 24, 2013 Kentucky

    A designer is working on a new layout that we can submit to zoning and the fire marshall. We are gonna shoot high and hope we land between 15-21.

    Appears the wooden floor will need to be replaced as her stilletto went through it.

    She absolutely is adamant about the patio area and being covered if possible.

    She likes the name(hidden for now) and is working on logo assistance.

    She wants me to sign the other space up immediately.

    In general, she loves the space with the only concern being whether the area is safe.
     
  20. smitherz22

    smitherz22 Initiate (0) May 8, 2012 California

    I haven't read all the previous comments so forgive me if I am redundant. Here are some of my thoughts
    -keep lots of pretzels around. Also maybe an eclectic mix of local pickled goods. That would be fun and interesting, and also a way to keep it local
    -once a week see if you can team up with a local barbecue or meat smoker or taco truck or something
    -don't sell beers bigger than 12 oz. you want people buying lots of beers, not nursing one giant one all night. 9 and 12 oz pours.
    -beer flights are a great way to make more $$ per ounce
    -Have a couple tv's for Monday Night Football
    -keep one tap for a local home brewer
    -have lots of beer events like "stout tasting night"
    -be prepared to work your ass off!
     
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