How To Find Investors For A Bar
Here are some ideas on how to find investors for a bar. The business of owning and operating a bar can be tricky. While many bars are well positioned to make money on a daily basis, the concerns over lawsuits are common for bar investors. Before approaching a possible investor about a bar, be certain to have covered the areas of liability, insurance, zoning, and licenses. As with any other sales pitch, being able to confidently address areas of concern will increase the chances of success. Once you are able to deal with concerns an investor may have, it is time to find investors.
- Talk to friends and family about becoming investors. Almost everyone hits up friends and family with their business ideas, but there is no reason not to try. Friends or family with extra money and an entrepreneurial spirit may be interested in becoming an investor in a bar and may be more willing to do so based upon the personal relationship.
- Talk to coworkers about becoming investors. If you are currently working a 40 hour week and want to do something different, chances are you work with other people that feel the same. If you are uncomfortable approaching people at work, simply make it known you are seeking investors for a bar and wait to see if anyone shows interest.
- Talk to other bar owners about becoming investors. If a person already owns all or part of a bar, chances are good that he or she may be interested in investing in another bar. There will always be competition in the bar business and having an ownership interest in competing bars provides security no matter which one succeeds.
- Talk to bar patrons about becoming investors. Approaching people on bar stools about becoming investors in a bar can be problematic. However certain individuals that enjoy spending time in bars might make great investors. Look for small business owners, professionals, and others that might have disposable income and be willing to take a chance.
- Talk to property owners about becoming investors. Especially in areas where the commercial real estate market is struggling, talking with local property owners might be a good source to find investors for a bar. Real estate owners might not become investors but they may have property to rent for a low price or perhaps for free for a cut of the business. Those owning real estate have shown the ability to take risks and might be potential investors for a bar.