Opening Bar/Nightclub in LA

[nimo05]

Hi

Looking into opening bar/night club in LA I was curious about alotttttttt of things!
ok here I go:

I already have the venue im leasing in mind and am in contact with leasing broker......
Should I get the place inspected before making an offer? what type of inspector/inspection would i need?
there are already tons of equipment from the previous nightclub that closed down....soo that is included in the lease as well

Since the previous owner is an "absentee owner" how can I get previous book keeping numbers from when the club used to be open in 2008 and early 2009?

Looking to bring in someone that already has a liquor license.....
How hard is it to transfer liquor licenses? more beneficial to try and get a new one?

there are going to be 3-5 investors/owners.....what type of contract should we have? LLC, Corp, etc...?
What types of things/permits, etc.... would I need through the City? This was an existing bar/nightclub over 5-6 months ago!

what steps should I go through I was thinking:

Sign lease
start remodel (would I need special permits from city for cosmetic remodeling?)
start hiring employees
open doors

any suggestions?

as you can tell I am new to this.....please any details would be great!

already has all dj, lighting, POS systems, even furniture etc.......

recommendations, thoughts??

I am not focused on Marketing/promoting at this time (already have that in place) more focused on steps from making an offer, getting book keeping docs, to lease, to proper permits/licenses needed, to getting doors open!

thank you!!

-Nimo05

[walawdog]

Well, since you have so many questions, you might want to put "signing lease" at the BOTTOM of your to do list. If you aren't buying the business, I doubt you will get any financial information from the previous owner. You need to do your own analysis and market study to figure out if it's worth it. I would guess that you should have a contractor/plumber and anyone else familiar with bar equipment do an inspection. Perhaps all the stuff left behind is junk....or awesome, you never know. Also you need to talk to a lawyer about the formation of your business entity. These topics have been covered on here before...maybe search LLC to see what you can find. If you are going to have 3-5 people investing, owning and having a say over how the business is run....you might be in for a heck of a hellish ride. I'm not saying it can't be done....it's just hard to have focus and direction if it turns out that all these players have different ideas on how to run the business. That's just sowing the seeds for dissent down the road. If they want to give/loan you money...but have NO say in how the business is run....well then, that's another story.

[nimo05]

Business will be set up with only maybe 2 of us working the actual club with a salary base and head of operations....all others will be "silent partners"

Yes ive heard disaster stories when that many people try and get involved, but it is going to be laid out very clearly in the contract!

All equipment is in "awesome condition" including state of the art DJ, lighting equipment....like I said Club was up and running till early 2009!

I need some help on the logistics part....permits I need, How hard for liquor license? should there already be a liquor license existing on the property? etc.....

[nimo05]

Club was open early 2009 all equipment is "awesome"....so mostly going to focus on cosmetic changes to add a more "modern" look!

More interested in Logisitics....What types of permits/special licenses are needed? Steps to take with city? Procedures for liquor license?

What would starting inventory cost? it has two bars....

Most of the owners are "silent owners" and only maybe two of us are in charge of actual Operations....I made sure to make extra effort to clarify that!! Ive heard horror stories...

thanx

[walawdog]

I'm not familiar with getting a license in L.A., so you should just call the agencies involved...look them up on the internet...I am sure they all have websites that will answer the majority of your questions. It doesn't sound to me as if you have your proposed organization/entity well thought out yet. You said that "maybe" only the two of you would be making decisions. So, is it maybe, or are you sure? Do the other "partners" know that? You don't sound sure of it yourself.

[Ruben]

I posted all the states contact infos on the site its under The document folder. There you will get the number for LA so give them a call and they will answer a lot of your questions regarding a licence. Since the place was already a nightclub previously they can use the old paper work to make your new ones. They will tell you exactly the capacity they will allow your venue to hold.

Since your having investors/owners. To protect your butt incase something does happen in the club and don't want to get sued for your personal belongings do it limited with attached owners under the partnership. It all depends how you want to do it and how the investors want it. If they want 50% of ownership then you'll have to include them but if not then I would register it all under your name but as a Limited liabilty company and do a legal agreement with them. On this you will have the amount they lent, % they get and what other demands they are looking for. Contact a lawyer as they will help you best to determin what you'll need. A Business Lawyer in this case.

I doubt you will be able to look at the previous clubs books because your not buying out the previous club. Your just taking over the lease and nothing else.

I would sign the lease and start renovating right away as time wasted and doors closed its money going out the door. Plan head of time. Do you have plans on what you want to do in the space your opening in. How many sqft is it? Permits you need building permits.

Also is their fire sprinklers already. You need to contact your fire department , have them come in and inspect the place. Make a good relationship with them. Go down to your police station introduceyourself and let them know what your doing this way you keep them in the loop and they don't come bug you on opening night.

Get security/radios if they don't supply their own of course. Aren't there any POS system already?

You'll need inventory.do you have fridges to hold beer. Are you doing draft? Do you have a soda pump, if so you need soda pespi/coke spirt soda lime cranberry etc

Just somethings to think about. If you need anything just email :) ill come open a place for you hehe just fly me down :)

[davlin]

Hello
Create a menu that will include delicious appetizers, entrees and desserts. Keep in consideration any diet or health restrictions, your guests may have. Fresh fruit and vegetable platters are a must for any party. If children will be present at the party, than you may want to get food in smaller sizes. For beverages, provide a variety of drinks for your guests. Juice, water, and coffee are the best options. Be sure to pick up the plates, cups, napkins and any other paper products. Buy in bulk and you will save a lot of money!
While enjoying your food, I would suggest playing some fun music. Make a play list of your favorite songs and let it while you eat. If you have any festive music, play that as well. After you finish eating, end the night off with a few fun games. Start a game of checkers or monopoly. Play domino or a trivia game. Have some games or activities set aside for kids to enjoy. Pick a movie or a favorite television show to watch. Use this as an opportunity to enjoy the company of loved ones.
Have a disposable camera on hand to take pictures of your guests at the party. Towards the end of the party, I like to have a raffle drawing. I pass out raffle tickets and whoever has the winning ticket, gets a prize. The prizes are usually go along with the bar theme, like a wine glasses. At the end of the party, you can give out gift bags to all your guests. Party supply stores have tons of great party favors.