How to Open a Dance Club

Opening a dance club can seem to be a daunting task, and it isn't hard to see why. Many fail, and making a profit can be difficult. Getting a solid start can make all the difference, though. Here are the basics on how to open a dance club.

Things You'll Need

  • Capital backing
  • An LLC or equivalent (to protect your assets)
  • Permits (an attorney can help with these)
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Instructions

    • 1

      Assess your target market and formulate a solid business plan. Plan for contingencies and pick out several possible locations. Consider forming a limited liability company (LLC) in order to separate your personal assets from your business assets and protect you from excess liability from debts incurred during the operation of the dance club, as well protection from personal liability arising from litigation against the club.

    • 2

      Commit to a location and begin acquiring permits such as a liquor license and general permits necessary to operate a business in your locality. Depending on your location, the number and cost of these permits can vary greatly, and it is very helpful to consult a local business attorney. If your dance club will serve alcohol, you'd be well advised to purchase liability insurance in excess of that required to secure a liquor license, and it is even more imperative to set up an LLC or other corporate structure to protect you personally from the increased risk involved in operating a business that serves alcohol.

    • 3

      Once you have a place and the permission, begin shaping it to suit your needs and your vision. Put time into the little things that your patrons will see and interact with. Consult with several designers. Begin spreading buzz around and consider advertising on local radio stations.

    • 4

      Search for staff and start at the top, staying active in the process. Find people you can trust, and look for references. Take particular care in selecting bartenders and bouncers. Audition your bartenders and look for flair and the ability to converse with patrons. With bouncers, look for people who can identify problems, but look out for ego and overenthusiasm, as your club needs paying customers. A capable bouncer with tact can save you bad word of mouth.

    • 5

      Set an opening date and make it an event. Getting a notable DJ and notable performers can gather a crowd. First impressions are critical,and you want yours to be unforgettable.

    • 6

      Have a "soft" opening, where you invite family, friends and industry people. On opening night, watch out for potential disaster, and have the people around you looking for and extinguishing potential disasters.

    • 7

      Assess your soft opening and get ready for the grand opening. Revisit your staff roster and work to retain your stars while filling holes. Start preparing for a grand opening when you feel you have the rhythm down.

Tips & Warnings

  • A few nights of soft openings before the actual opening can help to assess your staff and the capacities of your club.

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