Anyone here own a Cigar bar ever?

[htown]

If you actually drew that many customers who wanted a place where they could drink and smoke, wouldn't your alcohol sales overtake your tobacco sales and then your primary business would no longer be tobacco.

[markem]

I know several people who have succeeded in small business solely on dedication - no deep pockets or experience to rely on. The main thing that you will need to consider is that, like most small businesses, your profits will likely not be high, so expect to do most of the work yourself. A good friend of mine is in to her third year and although her coffee shop is quite busy and doing well, she still works 80-100 hours per week because not only can she really not afford more help, but good help is almost impossible to find.

If you have a community college nearby that has a course in starting your own business, take it. They will help with all the paperwork, business plan, how to find space and a loan, regulations, etc.

In the end, you start a small business because it is what you are passionate about and for almost no other reason.

[jluck]

Originally Posted by markem

I know several people who have succeeded in small business solely on dedication - no deep pockets or experience to rely on. The main thing that you will need to consider is that, like most small businesses, your profits will likely not be high, so expect to do most of the work yourself. A good friend of mine is in to her third year and although her coffee shop is quite busy and doing well, she still works 80-100 hours per week because not only can she really not afford more help, but good help is almost impossible to find.

If you have a community college nearby that has a course in starting your own business, take it. They will help with all the paperwork, business plan, how to find space and a loan, regulations, etc.

In the end, you start a small business because it is what you are passionate about and for almost no other reason.

I agree with most of this only if you have enough population density to support a desired venture. A small town (2,500ish) just wont produce enough warm bodies to cover overhead, If your selling gasoline....yes. specialty items in the "luxury" field, I just don't see it.
I have a co worker who has owned/operated the only real humidor (with tobacco shop) in the nearest "large" town around me (12k people est.), I have talked with him in-depth about the cigar side of his business and he says it was the funnest part of it but also the most hassle, most expense to start and by far the lowest return. Just not enough people willing to drop the cash in our economically stunted area.
My and worth every bit.

[Gophernut]

Originally Posted by htown

If you actually drew that many customers who wanted a place where they could drink and smoke, wouldn't your alcohol sales overtake your tobacco sales and then your primary business would no longer be tobacco.

My thoughts exactly. I live in a small town with a number of bars, and just don't see enough people outside smoking to see it as a huge plus. You will, in short order, sell more booze than cigars, etc. At least my

Meet with your attorney and accountant.

[chippewastud79]

Depending on the laws in the state/county, you could spend upwards of $100K for a liquor license alone. That is to say, if there is a limited number of liquor licenses in the area you are looking and they are all owned, the private market for a liquor license can be brutal.


Also remember, maintaining a walk-in humidor for a location that doesn't already have one is a lot more labor intensive than your home desktop. Your initial stock also will cost you a pretty penny, because most (if not all) retailers will not sell on credit. Don't forget to factor in the cost of updating the HVAC to be able to handle multiple cigar smokers at the same time.

Sounds like you will have to have a free-standing building, but why buy an entire restaurant with a kitchen and all the equipment in it?

[smitty81]

Originally Posted by htown

If you actually drew that many customers who wanted a place where they could drink and smoke, wouldn't your alcohol sales overtake your tobacco sales and then your primary business would no longer be tobacco.

I am not 100% sure how this works out, it would have to be something that I look into. I am wondering if there is a loop hole or if they make it work by selling their alcohol at such high prices, people limit themselves to an extent.
With high booze prices, you will have people buy just maybe 1-2 drinks while others won't care about the price.

Originally Posted by Gophernut

My thoughts exactly. I live in a small town with a number of bars, and just don't see enough people outside smoking to see it as a huge plus. You will, in short order, sell more booze than cigars, etc. At least my

Thats because people that go to a bar DON'T want to smoke outside. Unless it's nice outside and there is a beer garden. People don't want to leave their buddies,the atmosphere nor their drink to go outside and have a smoke. It's much more convenient to just sit where you are and light up.

It's all about convenience.

Originally Posted by chippewastud79

Depending on the laws in the state/county, you could spend up wards of $100K for a liquor license alone. That is to say, if there is a limited number of liquor licenses in the area you are looking and they are all owned, the private market for a liquor license can be brutal.


Also remember, maintaining a walk-in humidor for a location that doesn't already have one is a lot more labor intensive than your home desktop. Your initial stock also will cost you a pretty penny, because most (if not all) retailers will not sell on credit. Don't forget to factor in the cost of updating the HVAC to be able to handle multiple cigar smokers at the same time.

Sounds like you will have to have a free-standing building, but why buy an entire restaurant with a kitchen and all the equipment in it?

First off, it's a really nice place in a really nice location. It's right uptown by everything else.

2nd, it already has a bar.

3rd, it's a good size place with lots of seating and enough room to have a band.

4th, it has a perfect place to build a walk in humidor.

It wouldn't take much to strip the kitchen and sell the stuff for a profit really.

Just the reasons I have targeted this place.


I have thought about having a partner or two. I am friends with a guy that has ran/owned a bar. I think he may be interested if I talk to him.

Money wise, it's really a bit scary how much money would be wrapped up in this. I realize it would practically be where I live. The money and the unknown is what holds me back.

I think I can get the funds or at least a good chunk of them. It would involve a 3rd partner but thats ok.

[chippewastud79]

Originally Posted by smitty81

First off, it's a really nice place in a really nice location. It's right uptown by everything else.

2nd, it already has a bar.

3rd, it's a good size place with lots of seating and enough room to have a band.

4th, it has a perfect place to build a walk in humidor.

It wouldn't take much to strip the kitchen and sell the stuff for a profit really.

Just the reasons I have targeted this place.

If it is a really nice place in a really nice location and is always dead, I would consider that a huge red flag.

Making a profit on the equipment isn't realistic, because they guy isn't going to give you the equipment for free, but you could sell it to recoup some of the initial investment.

Any idea how much money the guy would want for the building and FF&E? I know some commercial restuarant buildings in the greater Cincinnati Area without working equipment and no current business can run upwards of $1-2 million.

[smitty81]

Originally Posted by chippewastud79

If it is a really nice place in a really nice location and is always dead, I would consider that a huge red flag.

Making a profit on the equipment isn't realistic, because they guy isn't going to give you the equipment for free, but you could sell it to recoup some of the initial investment.

Any idea how much money the guy would want for the building and FF&E? I know some commercial restuarant buildings in the greater Cincinnati Area without working equipment and no current business can run upwards of $1-2 million.

No, a lot of things can attribute to making the place dead.

Don't you watch ramsey's kitchen nightmares?

They are all nice places with no customers.

Frankly, her prices for food are sky high.
Her food is old and never fresh.
She out of a lot of things to make dishes they offer a lot of times.
The staff sucks.

I could go on. Her RESTURANT is failing.