How to Open an Existing Nightclub
Owning and operating a nightclub business is an exciting endeavor. Opening an existing nightclub is more a re-opening and may require you to redress some of the reasons the prior nightclub business may have failed.
Things You'll Need
- structural contractor
- interior designer
- police and fire inspections
- liquor license
- advertising
Instructions
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Steps to Opening an Existing Nightclub
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Do a thorough walk-through of the facility with a licensed structural contractor to determine what, if any, repairs or updates to the existing facility are necessary. You may want to make the new nightclub look distinctly different from the old club and this might require proposals by design consultants. Have one or more interior design professionals develop plans for creating a new look for the new nightclub.
When looking at the structure of the facility, evaluate the condition of the existing bar, bar stools, table and chairs. The nightclub's restrooms should be carefully evaluated and updated if necessary. Check the condition of the parking lot and determine if any cosmetic repairs are needed.
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Secure a liquor license. All states require that nightclub owners possess a state-issued liquor license in order to sell alcoholic beverages. States have the authority to regulate the sale and distribution of alcohol within their borders, but all liquor sales must also adhere to Federal requirements.
You will need to apply for an on-premise liquor license. This is usually a multi-page questionnaire. Depending on which state the nightclub is located, the liquor license can cost upward of $1 million. New Jersey holds the record for the highest price for a liquor license at $1.5 million. About half the states allow liquor licenses to be resold; since your facility is an existing one, you may be able to buy a license from the current owner with favorable repayment terms.
Evaluate the existing inventory of beer and alcohol. Beer has an expiration date, so you might not want to purchase existing stock of beer from the owner; however, liquor inventories, as well as barware, should be negotiated as part of the purchase price.
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Determine your nightclub's need for security people. In general, nightclubs that cater to younger patrons tend to need more security in terms of bouncers and even metal detectors. You'll also want to ensure adequate lighting exists in your parking lot.
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Contact your local police and fire departments and advise them of your intent to re-open the nightclub. Set up visits for each of these important local authorities. The police will be able to give you invaluable insight into the history of the nightclub from a crime perspective, while the fire department can make sure sprinkler systems and door exits are all up to code.
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Have new outdoor signage created for your nightclub if appropriate. You may also want to contact local radio stations to get them to broadcast your grand opening or to place promotional advertising messages on air prior to opening. Depending on your clientele, print ads in community newspapers and magazines should also be used to get your nightclub the traffic it will need to be successful.
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