Let's build a business.

[rutang]

You haven't really talked about how much capital you have to maintain this business. I don't know how much thought you've given to things like your electric bill/heating/AC/water/etc but these things will add up. 8-10 employees are ridiculously expensive, and being in NY, I'd imagine start making you have costs that you haven't even considered (health insurance, etc)

I don't think your 4 story lounge is do-able without a MINIMUM of $500,000 operating capital. I really want to stress minimum, because much less than that would be a huge gamble, and it would probably take incredible budgeting to make half a mil work. The first thing you have to realize is if you succeed at your "break even after 2 years" goal, it will mean that you will have been in the hole that entire time.

If you are actually operating a 4 story bar, we're talking a minimum of 10 employees at a time, not total. People don't work every day. you are probably closer to 20 employees.

I ran a game store that was 1200 sq feet. I worked every day, had an employee who worked everyday for chickenscratch, and an additional employee who worked once a week on saturdays. I was in about your position, having helped my folks run a used bookstore my whole teenage life. Further, I spent years helping friends convert their sports card stores into game stores, and was very very familiar with the operations of game stores when I opened mine. I still made a billion mistakes. The biggest mistake was not having enough liquid cash. It took a ton of work, and luck, to succeed.

I really think you are aiming too high with this 4 story plan. maybe you have more money to sink into this venture than I imagine.

[Jeffmet3]

he also hasn't addressed the comments of the 2 people that fit his target demographic and location

[Chaostracize]

[ QUOTE ]
he also hasn't addressed the comments of the 2 people that fit his target demographic and location

[/ QUOTE ]

I was about to respond a few days ago, but that was taking this thread into a CTown vs Commons trainwreck, which isn't the point. I have spent a lot of time in both places, and your view of the Commons and IC students are very misconstrued.

[Cornell Fiji]

[ QUOTE ]
[ QUOTE ]
he also hasn't addressed the comments of the 2 people that fit his target demographic and location

[/ QUOTE ]

I was about to respond a few days ago, but that was taking this thread into a CTown vs Commons trainwreck, which isn't the point. I have spent a lot of time in both places, and your view of the Commons and IC students are very misconstrued.

[/ QUOTE ]

I agree with this statement.

All I was saying is that not many Cornell students will go down to the commons late at night because there is enough stuff to do up the hill and because nobody is making that walk. However, I do believe that his location is excellent and I think Jeff is way off in thinking that Cornell is the end all and be all of the Ithaca market

I do think that the OP is in way over his head with his 'plans' and I don't see how his current idea could be remotely profitable or even much of an attraction at all.

[AnActualGirl]

[ QUOTE ]

All I was saying is that not many Cornell students will go down to the commons late at night because there is enough stuff to do up the hill and because nobody is making that walk.


[/ QUOTE ]

IMO, this is a misconception about Cornell students; the only stuff to do in ctown are the bars, and if you haven't noticed by now, you see the same 100 people out in ctown every single weekend. There is a huge number of students who aren't into the 'drink your face off' scene or prefer to avoid the trashy, crowded bars in ctown. Especially for those under 21 who aren't involved in the greek system (about 70% of the undergrad population I believe?), I think an alternative hang out spot would be very appealing -and from North campus, everything is a hike and we took cabs everywhere anyways, so I don't think being in the commons is that prohibative to developing a Cornell client base.

What type of place do you think would be an attraction to students as an alternative to going out and getting wasted?

[Chaostracize]

These aren't the best quality, but hopefully everyone should get a feel for the space.

















































So, yeah, it's a fixer upper. The first few pics make the first floor feel a lot smaller than they are.

[Tupacia]

Even apart from the poor condition of the building, the space just doesn't look suited to a 4-story bar (rooms too small, not clearly connected, very narrow staircases, etc.) Absent some major structural renovation, I don't see how the space itself could be transformed into a profitable bar.

[Zeestein]

[ QUOTE ]
Even apart from the poor condition of the building, the space just doesn't look suited to a 4-story bar (rooms too small, not clearly connected, very narrow staircases, etc.) Absent some major structural renovation, I don't see how the space itself could be transformed into a profitable bar.

[/ QUOTE ]

can't disagree more, 4 stories is pretty awesome too if you make the top level super exclusive for ballas and hot chicks ala only Dom/Grey Goose price range drinks, again a critical mass unknown though. Obviously without knowing anything else, location is the most important thing for this type of lounge/bar/club.

I'm gonna be following this pretty closely, its pretty exciting to see this thing take shape.

[AnActualGirl]

[ QUOTE ]
Even apart from the poor condition of the building, the space just doesn't look suited to a 4-story bar (rooms too small, not clearly connected, very narrow staircases, etc.) Absent some major structural renovation, I don't see how the space itself could be transformed into a profitable bar.

[/ QUOTE ]

I'll add that pictures 4 and 5 are both of the ground floor, so the wall between would be knocked out making it one big area rather than two rooms.

Also, there will be major structural renovation, moving staircases, etc. although you can get the feel that it's sort of a long, narrow-ish space.

[Nicholasp27]

wait a minute

u are only paying $3/sf for this space

and u have 6400 square feet?

rent is prolly around 19/sf, or 121,600 in yearly revenue...

let others take the risk and u make money off of rent

121600 yearly revenue
-10% vacancy rate
-10% operating expenses
-19200 yearly note
=78,080/year income for you

however, u need to fix it up still, so that'll add some to your expenses, etc...but you should be able to make around 50kish/year as a landlord for this building