Three Cheers for Buying a Sports Bar/Restaurant
Contact Athan "Tom" Prakas | Visit Website | About The Author
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When considering what type of restaurant to buy, you should always consider one poised for success. One type that is growing in popularity is the sports bar/restaurant. With a casual atmosphere that appeals to a wide range of ages, demographics, and socio-economic categories, customers feel comfortable in this type of establishment. Patrons can come dressed in shorts and a tee shirt to cheer on their favorite team or bring the family to enjoy the food.
What really defines a sports restaurant/bar is the informal environment, the satellite capabilities, the ability to broadcast multiple sports events at one time throughout the room and the comfort food. The pub-style menu pleases a variety of palettes with burgers, wraps, salads, sandwiches, and fried items including wings and chicken fingers.
As far as an investment, sports bars/restaurants potentially have a great life span. This segment builds a loyal customer base, which is less trendy than your average bistros or brassieres. Of course, location is a key factor and it is important to look closely at the demographic of the site. You need a good location in a busy area with good visibility and a place where “rooftops” are numerous. Suburbs and highly populated areas are usually the best fit. It’s the heavy urban, downtown location that is less favorable as it cannot support an evening business which a sports bar concept needs to survive. Lunch traffic is not enough to support the investment needed to fund this type of establishment.
When choosing a broker for finding a sports bar site or buying an existing operation, make sure that the broker is experienced in this field. You need a broker who knows the local market, including liquor licenses, local laws and ordinances. Always interview your broker and ask about his or her experience and what deals he or she brokered in the last 12 months. Get referrals from other restaurateurs on whom the “go to” broker(s) are.
A hands-on operator is always a plus for a casual operation, such as a sports bar. The owner being physically present to offer that personal touch to the restaurant is always a big bonus in this industry. Yet, do not forget an operator needs to make sure the kitchen, food and back of the house are also up to par. People come back for good consistent food and beverage and that is what gives the business longevity.
Owning a sports bar/restaurant isn’t all beer and chips, though. The pitfalls of the business are the long hours that need to be invested to make it a success, the constant education of keeping up-to-date on the industry, and continually offering value to your customers in this ever-changing arena. Today, the competition in this segment is fierce.
On the bright side, the benefits of owning a sports bar/restaurant -- over other types of venues -- are plentiful. The customer is less demanding when paying a lower price point and the lack of trendiness makes it less challenging for the operator.
It looks like a cheerful outlook for the sports bar/restaurant, and that is a forecast worth investing in.
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| Athan "Tom" Prakas is President/Broker of The Prakas Group, Inc. located in Boca Raton and Orlando, FL, the largest restaurant/hospitality brokerage firm in Florida. The Prakas Group, Inc. is responsible for notable restaurant transactions including Taverna Opa, Vic & Angelo's and DeVito's in Miami. Prakas recently opened RPG - Restaurant Placement Group, a recruiting firm for the restaurant/hospitality business. For more information, contact The Prakas Group at (561) 368-0003 in Boca Raton, (407) 855-1221 in Orlando, or visit the company's website at www.prakasgroup.com. |