Why Investing in a Bar Can Be a Smart Move

Deciding to invest in a bar and becoming your own boss can be an exciting time in a person’s life. You’ve worked hard to get to where you are now and spent the time in the trenches developing business acumen and leadership skills.

Identifying the right bar and restaurant investment is a crucial part of the process, though, and it’s where many potential investors discover the benefits of owning a Hotshots Sports Bar & Grill. We’ve been in the sports bar game for decades, and we’re ready to welcome enthusiastic, like-minded future leaders to come with us as we build our brand.

When you invest in a bar franchise you become part of an industry on the rise, and owner of a business with a focus on service, a food and drink menu of customer favorites, and a destination for great times. 

It’s a combination that’s given our guests what they want for as long as we’ve been around, and it positions our franchise for future growth.

How much does it cost to invest in a bar?

The cost of investing in a bar is between $476.000 and $1.006.000 depending on the size and scale of the operation. Learn more here about the the costs of opening a bar

Starting a Hotshots Sports Bar & Grill franchise requires an investment ranging from $654,000 to $1,471,000, with an average cost of approximately $1,062,500. Major expenses include a standard $50,000 Initial Franchise Fee, Leasehold Improvements varying from $250,000 to $800,000, and Kitchen/Bar Equipment expenditures between $90,000 and $140,000.

Expense / Fee	Lows	Highs
Initial Franchise Fee	$50,000	$50,000
Lease Deposit and Rent	$10,000	$40,000
Leasehold Improvements	$250,000	$800,000
Signage	$7,000	$15,000
Furniture and Fixtures	$30,000	$55,000
Kitchen/Bar Equipment	$90,000	$140,000
Audio Visual Equipment	$50,000	$100,000
Small wares	$7,000	$15,000
Office Equipment	$26,000	$35,000
Licenses, Dues, Deposits, etc	$3,000	$5,000
Professional Fees	$15,000	$20,000
Insurance	$10,000	$20,000
Travel and Expenses while Training	$22,000	$35,000
Initial Inventory	$47,000	$65,000
Grand Opening	$10,000	$30,000
Additional Funds – 3 Months	$50,000	$50,000
Total	$654,000	$1,471,000

4 things to learn Why Investing in a bar Can Be a Smart Move

Is a bar a good investment? consider the operational demands of running a bar to make an informed decision.

1. A Hot Market

When looking at a bar investment for the first time, prospective owners should take a “big-picture” approach to their research.

Stepping back, and looking at the industry as a whole before drilling down into franchises that appeal to them, can give a person an idea of the state of the business as a whole, and how much growth it’s expected to see in the years to come.

Hotshots Sports Bar & Grill is part of an industry that’s been building momentum for years, with a record of growth and continued expansion projected for at least the next five years. The industry is big business, too, with a market size of $25 billion.

The bar industry shows no signs of slowing down in the future. That could make a promising moment to invest in a bar franchise with Hotshots Sports Bar & Grill.

2. Investing in a bar means A Focus on Service

Investing in a bar puts owners in an industry with the potential to continue expanding for years, but the brands that go the extra mile with their guests are likely the ones with the tools to grow. 

Today’s customers are used to quick service and rapid needs fulfillment, and they expect it in the bars they visit.

Hotshots Sports Bar & Grill has made exceptional service for all who visit a cornerstone of our business. Our guests get the star treatment from the moment they enter, with a 30-2-10 service policy that ensures each customer is seated and greeted within two minutes, has a drink within two minutes of ordering, and gets their meal within ten minutes of ordering.

Customers love the way we make their needs our number one priority, and it’s part of the reason we’re a go-to place for fun, food, and drinks and have been for over 3 decades. We love our guests, and they love us back.

3. Great Food, Great Beer

Top-notch service is often a key element of customer-favorite brands. And the food and drinks guests enjoy can be just as important to creating a franchise with promise as great service.

Before a potential owner invests in a bar and starts their new life and career, they should take a look at the menu. It’s where Hotshots Sports Bar & Grill focuses, and one of the reasons we’ve got a growing pool of fiercely loyal customers who visit multiple times per week and become regulars at Hotshots

At Hotshots Sports Bar & Grill, we take our menu seriously. We’re committed to giving our guests the dishes they want, from favorites on the grill, to St. Louis style pizza, to craveable, award-winning wings and much more. When served alongside one of our hand-picked beers or cocktails, it can make for an unforgettable night out.

Our customers love our menu, and we’ve got the right beers to go along with it. Each visit to Hotshots Sports Bar & Grill can be a special one for our guests, and can make investing in a bar  with us a smart move.

4. Great Times

Our nation has always treasured the time we spend gathering with friends to enjoy great food and drinks together. In today’s fast-paced, modern world, having that sort of reliable destination for stress relief and camaraderie that can be counted on can be more important than ever. 

That’s why investing in a bar franchise that makes the guest experience a key aspect of their business can be the right option for many potential owners. It gives Hotshots Sports Bar & Grill a focus on the things that matter, and sets us up as a brand to watch.

“All the games, all the time,” is the way we do business. Every guest seat is the best in the house, with big-screen TVs on every wall, tuned to the big game. 

We’ve got pastimes for folks who prefer to play while they get together, too. Pool tables, darts, and other games are available for customers. We want our customers to get out of their seats while visiting us and play a game, enter a contest or be a part of a spontaneous promotion. It’s what makes Hotshots different from our competition.

Hotshots Sports Bar & Grill aims to entertain. It’s an attitude that drives us, and keeps our customers coming back.

 

5 Location Considerations for Your Bar Investment

The perfect spot can make or break your bar, so it’s essential to carefully consider several factors:

1. Foot Traffic: Look for areas with high pedestrian activity, especially during your target operating hours. Busy downtown areas, entertainment districts, or locations near other popular venues.
2. Demographics: Research the local population to ensure it aligns with your target market. Consider factors such as age, income levels, and lifestyle preferences. Look for residential areas with a high concentration of young professionals or sports enthusiasts.
3. Competition: Assess the existing bar scene in the area. While some competition can be healthy, oversaturation might make it difficult to establish your presence. Also, an area with complementary businesses but no direct competitors could be ideal.
4. Accessibility: Ensure your location is easily accessible by various means of transportation. Consider proximity to public transit, availability of parking, and walkability from nearby residential or commercial areas.
5. Visibility: A location with good visibility from the street can act as free advertising and attract spontaneous visits. Look for corner locations or spots with large storefront windows. advantageous.

 

Franchise vs. Independent Bar Ownership: Pros and Cons

 

Franchise Bar Pros:

• Established Brand Recognition: Customer awareness and loyalty.
• Proven Business Model: tested and refined over time.
• Training and Support: Comprehensive training programs and ongoing support.
• Marketing Assistance: Benefit from national or regional marketing campaigns and materials.
• Purchasing Power: Bulk purchasing discounts for supplies and equipment.
• Lower Risk: Established business model and support system.

Independent Bar Pros:

• Creative Freedom: Control over your bar’s concept, menu, and atmosphere.
• Potential for Higher Profits: No franchise fees or royalties to pay.
• Flexibility: Ability to quickly adapt to local trends or customer preferences.
• Building Equity: Your brand from the ground up.
• Personal Satisfaction: The success is your own.

Franchise Bar cons:

• Initial Investment: Franchise fees and startup costs can be higher than independent ventures.
• Ongoing Fees: Royalties and marketing fees to the franchisor.
• Limited Creativity: Less freedom to make changes to the menu, decor, or overall concept.
• Territory Restrictions: You may be limited in where you can open your bar.
• Contract Obligations: You’re bound by the terms of the franchise agreement.

Independent Bar cons:

• Higher Risk: No proven business model to rely on.
• Lack of Support: You’re on your own for training, marketing, and problem-solving.
• Brand Building: It takes time and effort to establish your bar’s reputation.
• Supply Chain Challenges: May face higher costs without the buying power of a franchise.
• Steeper Learning Curve: You’ll need to figure out many aspects of the business on your own.

Learn What Investing in a Bar Franchise with Hotshots Sports Bar & Grill Can Do For You

A franchise with potential should be in a growing industry, and centers its business on providing top-level service, food, drinks, and entertainment to its guests. When you invest in a Hotshots Bar & Grill franchise, you join a brand that delivers on all those key points and more.

We’re a sports bar franchise that focuses on what counts. We work to stay on top of our field by offering a team of experienced professionals to help you get started, as well as ongoing support. We’ve got our owners’ backs, and give them the tools they need to build their business.

Want to find out more? Contact us today, and learn how customer-focused care and a belief in the power of great times and great meals can build a franchise for the future.