If you owned a bar??

[Guest]

Like most people I have thought about it - even did some "back of the envelope" calculations a few years back for a Beer Bar in Samuii (Lamaii).

 

I figured that bearing in mind that I would be buying booze wholesale, that even if I never had a customer that I would pretty much break even - taking into account what I would otherwise (and did) spend.

 

Then again, at the time I was on a six month holiday and drinking 24/7 (usually literally) and of course my calucations were done when "slightly" drunk and even then I had too much sense than to actually do it / could never be bothered to actually get off my butt (delete as appropriate ).

 

Now I am "retired" on the booze front (at the moment anyway) - perhaps buying a bar would not be the brightest of ideas for me (actually being "retired" is a large part of the reason why I have not been back to the LOS for just over a year (Most unusually for me).

 

"Ho Hum" said Pooh, "and why not" said Piglet.

[BelgianBoy]

Own a bar ???

 

IMO from what I have seen over the years is that most barowners are their best customers.

Thanks, but no

 

Anyone have some good addresses in Nigeria ???

 

BB

[khwaimaisabai]

samak said:

and i could never own a bar as i would get an alcoholic within few months

Hi samak,

I know what you mean. GF became a part owner and full time manager of a bar a while ago. I might write a story about it because it has been interesting, but I represent 5% - 10% of turnover - and I drink too much as I am there several hours just about every night. :beer:

I filled in the poll based on her set up.

Khwai

[Pescator]

Hi BB,

 

You beat me to it.

 

And it could be interesting to know the succes rate of bar owners. Dunno what critierias I should use, but for instance, how many are still operating after say 2 years.

And how many are actually generating a profit. And does the profit allow them to live on it.

 

Mayby terranova could offer some insight into this, without going into personal details of course.

 

cheers

Hua Nguu

[torrenova]

The success of a bar in Pattaya is based, in my opinion, on one of two things. Either you have such an enormous throughput of customers that their retention or repeat business in not required or you build a business on the back of repeat trade, both from locals, returning punters and perhaps most importantly, from punters within their holiday timeframe. This last set of customers tend to become repeat guests and thus spread the word of your bar when they return home.

 

To a degree, this holds in the UK. A local bar will rely upon repeat business whereas a bar in say, a tourist trap or at a railway station, can be impersonal and offer poor customer relations and yet still make a profit.

 

As to profitability in Pattaya, I'd say location is the key. Buy a bar way north on the wrong side of 2nd Road and you are going to struggle whatever you do. However, you have to consider the fixed costs of such a bar (low) with the fixed costs (high) of a bar in say, Walking Street. Rent and key money (if applicable) are the killers as they have to be paid come what may.

 

Many bars are empty, some struggle and many change hands regularly. Some owners also forget that when drinking in your own bar, you drink at cost but when you drink elsewhere, you are giving profits to others. This can work on a bilateral or multilateral basis where owners frequent each others' bars on a roughly equal basis, sometimes bringing customers with them. Some owners don't understand this and blow all their profits having what is basically an extended or permanent holiday.

 

Having multiple bars or diversified businesses can be profitable and provide a good income but I think the main benefit to the owner is not financial but the ability to live in a country which they like and not be faced with the pressures of a 9 to 5 (or longer) job. Unfortunately, too many seem to think they can spend like a tourist and have to give it up.

 

An interesting side point here is female company. Forgetting beer and anciliary costs, just barfining a girl (perhaps different) each day and tipping her a minimum Bt1k LT is going to cost somewhere in the region of Bt40k per month. Add on personal spending and items such as rent and you'll find that this makes a reasonable hole in your profits. I doubt that some bars even make this per month and therefore, such an owner would be dipping into reserves from day one, with nothing put aside for when times are bad.

[spirit_of_town_hall]

What you've said echos what the owner of a bar opposite the Flipper Lodge has told me " Flintstones" , when in Pattaya I usually start off the evening there for some reason. He said it takes about 2 years to see a reasonable return on a bar, the reason there are many good bars in Pattaya and people go to a bar where they build up a rapport with the bar owner. Location is given .

 

STH

[MadStockBroker]

whosyourdaddy said:

" I wouldn't let any teachers in !!!!"

 

Too high class for ya?

 

 

Yeah I wouldn't want them out bidding all the girls from poor stock brokers.

 

 

 

MSB

[sayjann]

i have a friend who is married to a Thai and owns a Bar in Patong Beach.

he has been there for at least 5 Years and seems to be doing well.

he pays no salary to his Girls,but houses and feeds them out of his own pocket.

i don't know anything about money issues but i know he seems to have another business partner everytime i see him.

perhaps he does well because of regular money injections?.

[shygye]

Selling 25% ownership in the bar 20 times over can ease the low season blues.