Today’s generation is into the night life and they like to hang out with their friends in brew pubs, nightclubs and dance clubs. This generation includes young singles, young couples and even the older single generation. Opening a nightclub business in Zimbabwe is very profitable. People spend recklessly in the night and if you are an intelligent entrepreneur you can build a classic nightclub business and make loads of money. The nightclub business can be fun and enjoyable as you will meet people from different backgrounds and with different tendencies when under the influence of alcohol. But you need to carry out market research and have a good nightclub business plan before you start a nightclub business.

What you need

Know your customers

You need to know what appeals to your clients and thus provide the right services they need. Depending on your target market you may provide drinks, live entertainment, DJs and karaoke nights. Knowing taste and preference is imperative because the young generation have unique wild expectations when it comes to the night life. Especially when it comes to entertainment, the preferences are difficult to satisfy, thus you may need to find means of being able to keep everyone happy. That is a very hard job. Usually the style of the club should reflect the lifestyle, status and personality of the individual. Thus it is essential to understand your customers for you to succeed in the nightclub business.

Market research

You can research and try to see what existing nightclub business  owners are doing. Good places to visit are one plus one (1+1) at Longcheng Plaza, Pabloz in Borrowdale, Kebab in Highlands, Motor Action in Eastlea, New Paramount along Seke Road and Paraya in Avondale. Other classy places are Maestro and News café. In Bulawayo, clubs such as Horizon and 263 are popular. Check the club setup, the type of music, the type of people who come, the type of bar men and drinks on sale. This would contribute much and give you ideas of what is expected of your business.  

Capital for Nightclub Business

A nightclub business needs a lot of capital. The nightclub business requires someone very focused and with a sharp business mindset. You will have to invest form the building itself. You need to do massive refurbishments and buy new pieces of furniture such as tables, chairs, lounges and sofas amongst other equipment such as a PA music system. Liquor stocks also need to be purchased. This investment will cost you at least $20 000.

License and Insurance

To kick start your nightclub business, prepare your application and get the necessary licenses. Liquor licenses in Zimbabwe are given by the Liquor Licensing Board. You can apply for the liquor license at various provincial office around the country. In Harare you will apply from Makombe building. Requirements include application letter, Town planning permit, health report, lease agreement, building plan , and advertising in the national newspaper you intention of opening a bottle store.

Now that you know your customers and how to get to them, you can then process your license and Insurance simultaneously to gear up for the nightclub business. A license will help you do your business easily since you have your paperwork ready and all the legal aspects are taken care. An insurance cover is there as security in cases of unforeseen disasters. Indemnity cover will also protect you from theft and fraud.

Location of your Nightclub Business

Location means everything in the nightclub business. Your nightclub must be at a central point where everyone can access it. The nightclubs mentioned above under market research should guide you and give you an idea of where you can possibly locate yours. The location must be accessible in a nice environment. Make sure that once you sure of a location, you enter into a long term lease. The nightclub business is more of a medium to long term operation and refurbishments that you make to the building are costly. You cannot waste capital in moving around and changing locations. An easier option would be finding an operating space that has most qualities you looking for such that you make a few cheap refurbishments.

Select the right type of furniture and equipment

You will need different types of furniture and equipment. It is important that you select the right type. Since you want to tap in on a middle class and high class of income earners, the impression of your night club has to be astounding. Good furniture pieces, sofas and couches can be bought in Meikles furniture shop or even outside the country in South Africa. You will also need a good PA system.

 

Alcoholic drinks and beverages

Select the type of liquor and beverages your Nightclub business will serve. Since you understand your customers you may sell for example different types of Whiskey, Brandy, Scotch, Amarula, Ciders, green and brown bottles, red and white wine. Search for an efficient supplier who can offer you credit terms and good prices for your supplies. This will be a determining factor in the success of your nightclub business. 

Management and employees

The number of employees you require will depend on the scale of your nightclub business.You will need the very best employees with experience as bar men and bar hands. You need barmen, assistants, cleaners, DJs for the nightclub. Finance, accounting, purchasing and supply teams are also required for the back office operations. 

Profitability and Costs

Sales are quite high and can be from at least $ 7500 per month. Monthly operational costs consist of rent, salaries, electricity and rates, stocks, glass replacements, repairs amongst others. Profits are at least $ 2 500 per month.

Tips on how to run a nightclub business

Proper Cash Management

Maintain a separate petty cash box and book to process only petty cash issues and costs. All cash used must be signed for and authorized by a superior. Get a bookkeeper to maintain your accounting books. Employ a cost effective mentality for your nightclub business.

Stock management

Stock count is usually very difficult to carry out especially on items such as brandy, whiskey, wine. These items can be sold by the bottle or as shots or by the glass. You need to set up measurements and understand how many tots each bottle can make and measurements for wine if sold by the bottle. Set up a competitive price. If you working with experienced barmen they should submit their daily opening and closing stock count each day. Any short falls must be paid for by the person on duty.

Service excellence

For a night club you will need speed and quality service. Bar men and hands must be friendly and accommodative and also serve their customers on time. Good service always draws back customers to come back to your night club.

We wish you the best in your nightclub business. Check out more business ideas and our collection of business plans. We also have cash flow projections needed for Zimbabwe farm applications. Register your company today, get the Company Registration In Zimbabwe Manual and Templates. Like us on Facebook, follow us on Twitter, and subscribe to receive notifications of new posts in your email.

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