How to Open a Great Lounge
Posted on: August 17, 2022 by RMS Hospitality
The best way to open a great lounge involves plenty of planning and an idea of how to attract new customers. What makes a great lounge? There is no single secret ingredient, but great food, fun drinks, and a welcoming vibe all play a vital role. If you’re starting a lounge business, you know that a successful business demands more than just these elements. Attaining longevity and turning a profit will require a savvy business plan and an eye for risk management, too — especially if you’re entering a market with a crowded bar scene. Stand out from other establishments by following these four tips.
Get the Right Permits
It can be discouraging to deal with a world of red tape when you want to start a lounge and welcome customers. Unfortunately, business permits and liquor licenses are a necessary part of the hospitality industry. Failure to comply with your area’s mandates can lead to fines, legal action, and in the worst-case scenario, a shuttered business. You will also likely violate your lounge program insurance terms if you operate without the correct permits. It is essential you check what requirements you must comply with.
Budget for Startup Expenses
Failure to budget appropriately is another major mistake to avoid — especially in the startup phase of your lounge, when expenses are likely to be even higher than usual. According to research, costs can range from $100,000 to $850,000. If you need help from investors or take out a small business loan, it’s important to be realistic about your budget. You might find the temptation to cut corners when you’re running out of funds. However, it might harm your business, costing you more.
Create a Catchy Theme
A catchy theme is one of the most significant factors attracting patrons to your lounge. Nobody wants to spend time at a generic bar with sparse decorations. When entering your lounge, people want to feel immersed in a new environment. You can offer this experience by cultivating a different theme from other bars. Tried-and-true classics include a tropical tiki theme, replicating a vintage speakeasy, or an ambiance inspired by cinematic classics.
Market it Effectively
Once you have your permits, budget, and theme, it’s time to start marketing your lounge’s grand opening. Social media can help you do this, but thinking outside the box can offer greater rewards. Consider ways to cultivate a word-of-mouth market, for example, or invest in print ads to attract a different audience to the lounge. No matter what method you choose, your marketing should emphasize the elements that make your lounge unique.
About RMS Hospitality Group
At RMS Hospitality Group, our expertly crafted policies are written specifically for the hospitality industry. We offer custom tailored solutions to meet any venue’s specific needs. For more information, contact our knowledgeable experts today at (888) 359-8390.