The opening of a bar requires significant investment in design costs, rental of premises, renovation costs, purchase of equipment, inventory funds, legal costs and opportunity costs. First, let's look at design costs, which may vary depending on the designer and the design firm. In general, design costs for internationally renowned designers may be over $500,000, while design costs for nationally renowned designers are around $200,000. Of course, if you choose some professional design companies, such as square space design, their design costs may be more substantial, around $100,000。
Next is the rental of the premises. The location of the bar is crucial to the success of the business. In general, rents are higher in popular circles, where “back street” can reduce rent costs. Assuming we choose a “back street” in a popular commercial circle, the rent for a month is around $40,000, calculated at 10-12 yuan/m2/day. When a lease contract is entered into, the rent is usually paid for x months, assuming three in three, at approximately $240,000。
Then the renovation costs. The renovation costs include both hard and soft. With regard to hard clothing, the renovation of bars usually advocates the design concept of “light improvements, heavy decorations and light dancing”, so that the hard-load budget can be kept at around $1,000/m2, for a total of approximately $120,000. On the soft-clothes side, selection is based on personal taste, which requires approximately $150,000. As a result, the total cost of renovations was approximately $270,000。
Next is the cost of equipment purchases. Bars need to be equipped with a variety of equipment, including soundboxes, dishwashers, ice machines, coffee machines, refrigerator freezers, etc. The cost of these equipment is approximately $160,000。
With regard to the financing of the stock, the bar needs to prepare a certain stock of alcohol and water, at a cost of approximately $50,000。
With regard to legal fees, it is recommended that a professional legal agency be requested to register and provide follow-up services at a cost of approximately $10,000。
In addition, there are opportunity costs. During this three-month preparatory period, entrepreneurs will have to devote a great deal of time and effort to calculating this part of the cost. On the basis of $10,000 per month, the opportunity cost for three months is around $30,000。
Combining the above costs, the total investment in opening a bar was approximately $1. 25 million. Of course, this figure is an approximate estimate and the actual costs may vary depending on the circumstances. In second-line cities, the investment could be around $750,000, while in third-line cities it could be around $500,000。
In short, the opening of a bar will require a great deal of money and effort, but if you can successfully operate and attract enough traffic, the return will be considerable. It is hoped that this information will help you to better understand the cost of opening a bar。
