How to get a loan to open a bar?

Question

Im 23 yrs old, and i have about 20,000 saved. I would like to buy a bar outside of Austin Texas, for 159,000 staff and everything stays like previous owner never left.owners take home a yr is around 80,000. business's is around 310,000 a yr. how would i go about getting a mission statement and or cosigners,investors, etc? I want to know everything you know!!!

Answer 1

No bank or conventional lender will lend you money to buy a bar.  

You will have to find partners and investors.  Once you find people willing find yourself a good accountant and attorney to walk you through the transaction.  The account can tell you if the numbers being presented to you are realistic.  You state the business is making 310K, is that gross or net?  Doesn't help if your revenue is 310K but your expenses are 320K.  Then get a property inspection and appraisal.  Do a search for any tax liens or code violations.  Find out what it takes to get a liquor license in your state.  The business can be transfered to you but I doubt if the license can be transfered.

If the current owner is hesitant to turn over the books of the business or make any necessary corrections to the property walk away.

Answer 2

why is your age important?  

i'll loan you the money

i'm 28 years old

how soon can you pay me back?

Answer 3

open up a bar and make a lot of money. then use that money to build your bar

Answer 4

At minimum, you will need a business plan, in which you will show (with adequate documentation) reasonably expectable revenues and expenses.  Lenders will typically want to see 25% equity; you have half that.  Inquire of the present owner if he is willing to take back paper for some or all of the rest of the purchase price.  Be sure to ask the seller for copies of tax returns; if he reports income to the IRS, it is fairly believable.

Answer 5

well sounds good u have a business plan ? try a bank for the rest good luck