Opening a profitable bar takes careful planning and research. This comprehensive guide provides a bar business plan template alongside real examples, financial projections, and expert tips to launch your successful bar.
Creating a thorough business plan is crucial because it forces you to validate assumptions like:
Proper planning provides the blueprint for bar success. Our template simplifies the process.
Use this bar business plan outline as a guide when writing your plan:
Executive Summary
Company Description
Products & Branding
Target Customer
Market Analysis
Marketing Plan
Operations Plan
Startup Expenses & Capitalization
Financial Plan
Now let’s explore real examples for each section using successful bar launches as illustrations.
Lone Star Saloon will be a Western-themed neighborhood bar in the rising warehouse district of Austin. With a whiskey and tequila focused bar menu, live country music, and robust happy hour specials, Lone Star caters to young professionals seeking an authentic Texas bar experience without touristy frills.
E. Smith LLC is a new bar opening in 2021 founded by Evan Smith and backed by three silent investors. Evan has 10 years experience managing nightlife venues in Dallas and Austin. The company is structured as an LLC with Evan maintaining 60% ownership and investors comprising 40% ownership.
As a gastropub, The Willow will offer 30 draft beers including popular domestics like Budweiser alongside local craft IPAs, stouts, and seasonal offerings. Our beer menu is priced from $3 happy hour pints up to $9 for limited small batch options.
Our full kitchen will serve a range of handcrafted sandwiches, flatbreads, shared appetizers, and classic bar snacks. With exposed brick walls, vintage lighting, and a U-shaped bar, The Willow embodies a cozy, refined neighborhood vibe.
The Stumbling Bear Pub targets two distinct yet equally profitable customer profiles:
College Students - Males and females aged 18-22 attending nearby UC Boulder. Seeking a lively pre-gaming and events venue with cheap drink specials.
Young Professionals - Demographic of 22-35. Recent grads and young couples moving to Boulder's hip neighborhoods. Looking for an affordable but upscale craft beer and wine hangout spot.
We intimately understand both segments and will become their neighborhood go-to bar.
We are evaluating two locations based on proximity to core customers:
Site 1 - Pearl St, Downtown Boulder
Site 2 - Junction Ave, South Boulder
Though Site 1 provides visibility, Site 2 offers 70% more space for events and music. Saving $1,300 in rent better positions us for profitability. We will proceed with Junction Ave.
Total estimated startup costs are $232,000:
To fund these costs, the LLC members will each contribute $50,000 for $150,000 total. The remaining $82,000 will be debt financed through a Small Business Administration loan.
Year 1
Number of Customers Per Month - 900
Average Spend Per Customer - $22
Monthly Revenue - $19,800
Annual Revenue - $237,600
Cost of Goods Sold - $47,520
Labor - $60,000Rent - $42,000
Marketing - $8,000
Utilities - $9,600
Total Expenses - $167,120
Net Profit - $70,480
Year 2
Number of Customers Per Month - 1,100
Annual Revenue - $288,600
Net Profit - $126,000
Year 3
Number of Customers Per Month - 1,500
Annual Revenue - $396,000
Net Profit - $245,000
Monthly Fixed Costs - $14,000
Average Per Person Margin - $7
Monthly Break-Even Customers = 140 visits
Reaching 140 visits daily enables profitability within months after opening.
Use this template to create income statements forecasting the financial outlook for your own bar using real market data. Refine projections as you start operations.
Opening a successful bar requires thorough planning and research upfront. Our template guides you through key assumptions.
Take time to validate market demand, identify the ideal location, define your brand and target customers clearly, model cash flows realistically, and analyze competitors.
The effort will pay dividends through satisfied customers and lasting profitability. Now move forward equipped with a strategic blueprint to turn your bar into a neighborhood staple!