Jim wrote:Gus wrote:When I was in town recently I am sure that Pappilon(sp) bar was for sale, if I am correct this is about the 5th time it has changed hands in the past 5 years or so.
A small bar similar to this, how much would it cost to open up, with purchase of equipment, rents, key money etc etc.? TIA
Clearly more than you will ever make in return!!!!
Yeah, I would take a wild stab at around 50% of the bars being successful and turning enough of a profit for their owners, and half failing. Just base that on the established owners staying the course, renewing their leases etc. I wouldn't have a clue how to run one but I think I can safely say it's not at all easy what with Hua Hin being a family orientated tourist resort, staff tantrums, the OB, and now the recession to deal with.
As to the price, over the years I've heard figures for this size of bar, with equipment, furniture and some stock, ranging from 800k-1.5M, with rent of 10-20k/month. Obviously that's a lot more expensive if it's only a 3 year lease than those offered on 5 or 6 year leases.
Someone more ITK can correct this probably, and I'd have thought in today's market you could walk around and find someone willing to cut their losses (or pass them on to the new owner
)
SJ