Negotiating a bar lease is one of the key steps in the process of owning your bar and will have consequences that will ripple throughout your ownership of your bar or nightclub affecting everything from bar design and build-outs to how much money you will have to start your career in the bar business. If you don’t secure a favorable bar or nightclub lease, not only will you be paying much more than you should, but you may also get stuck paying it for a prolonged period of time. In fact, one of the reasons why so many first time bar and nightclub owners fail the first time LINK they venture into the business is because they mismanage this stage of the process.
Even before you begin haggling over the lease, you need to do your homework so that you can have a clear sense of the value of the location. This is important because it will determine how far you are willing to go in leasing the bar or nightclub location. One of the big mistakes that first time bar owners make is jumping into what looks like the “perfect location” without doing the proper research.