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soupy
03-03-2004, 10:00 PM
Hey ya'll,

Wondering how the average pool hall will make. Here are some top-of-my-head figures. Do they sound reasonable based on your knowledge?

- 10: Number of tables in the pool hall (to keep calculations simple)
- $5: Average per-hour rental for an entire table over all hours of business (sometimes it's $3.00, sometimes it's $20)
- 5: Number of hours per day that the average table is rented out.

So on the income side we have 50 hours per day of rental income at $5/hour for $250/day or $7,500 per month. Subtract $1,000 of that for table purchase costs, felt, maintenance and insurance.

Are these assumptions and guesses anywhere close to the mark? I know I haven't even tried to calculate the revenues from food, beverages, juke box, t-shirts, services (lessons, re-tipping, etc) nor have I tried to calculate the cost of insurance, space, utilities, wages, stick, ball, chalk replacement, liquor licenses, taxes, etc.

Are there any gotchas?

tgscordv6
03-03-2004, 10:11 PM
You are forgetting rent. /ccboard/images/graemlins/grin.gif

soupy
03-03-2004, 10:20 PM
space = rent. =)

But keep the suggestions coming.

pooljunkie73
03-03-2004, 10:50 PM
The only question i have is location? In a bigger city you could resonably have all ten tables going for that amount, but in the smaller locations you may only get five of those tables going. The reason i say this is because in my city we have too many poolhalls operating, therefore we are happy when we have 7-8 of our 20 tables going.

With summer coming up you will see another drop in business, maybe only getting 2-3 tables during the day.

So if your town/city isn't flooded with poolhalls and you have a good fall/winter business it sounds reasonable. As much as leagues are a pain in the ass sometimes they are good revenue builders, so if you could have one or two league nights that would bring in that extra income needed to take you through summer.

Kent Mc.

soupy
03-03-2004, 11:10 PM
NYC would probably be the location.

SrGoat
03-03-2004, 11:18 PM
<blockquote><font class="small">Quote soupy:</font><hr> NYC would probably be the location. <hr /></blockquote>
where in nyc
rent will be a big issue there

soupy
03-03-2004, 11:22 PM
Way upper west side -- sugar hill / hamilton heights area (between 140th and 150th).

Popcorn
03-04-2004, 12:50 AM
Rent alone may equal all the income you show. Add to that electric, insurance licenses and help, unless you want to work 90 hours a week. Equipment, even if you got it used would set you back about $30,000 start up costs. You will have to have the money because banks don't make small business loans on pool rooms or game rooms. The place will probably need handicapped bathrooms another $5,000 to $10,000 carpet and decorating and miscellaneous costs. The day you open the bills start, and you don't have the first customer. You need a pretty good cash reserve to get things going. In other words a pool room is risky and not a great investment in my opinion. On top of the fact it is like having a giant stone around your neck. People think because they like to play pool it would be fun to own a place. It is not fun but an average paying job with a million headaches. I love it when I go in the pool room and it doesn't matter to me a bit if, someone spills a beer on a table, or runs out on the tab, not my problem, and thank God. I forgot to add, as soon as you tell the building owner what you want the building for, they won't rent to you anyway, and if they will, with deposits and all, it will cost you as much as $20,000 just to get the key to the door and you haven't started working on the place yet.

SrGoat
03-04-2004, 03:43 AM
that will be really sweet
i live around the area.
let me know when you open and i will make it a point to go.

there is a pool hall on 145th bet broadway and amsterdam, its closed for now, but it needs to be developed...rumor has it that all it needs is a fire exit and it will be operational

Doctor_D
03-04-2004, 05:47 AM
<blockquote><font class="small">Quote soupy:</font><hr> NYC would probably be the location. <hr /></blockquote>

Depending on your Manhattan location, rent could run anywhere from $18.00 to $30.00 per square foot on a triple net lease. You pay taxes, maintenance and internal repairs and modifications.

Dr. D.

p.s.:

There are numerous costs, not to mention capital costs, which need to be addressed. If you have never started a business before you might wish to meet with SCORE, Service Corp of Retired executives.

Dr. D.

#### leonard
03-04-2004, 03:09 PM
Soupy with Economics like that you can now run a counntry. Just remember #### Bush in 2004. ####

Eric.
03-04-2004, 04:23 PM
####,

Do I hear a little sarcasm there /ccboard/images/graemlins/laugh.gif


Eric &gt;that's my Bush

stick8
03-04-2004, 10:34 PM
Employees`??? or you to run this alone? good help good room!!!!

tateuts
03-05-2004, 12:29 AM
My gut feeling is that a pool room can be a successful venture if it's set up properly and there is no debt to service. There is only one type of pool room I would consider. One with at least a beer license and a restaurant rating.

I'm afraid the money to be made off of pool is not from the players and table time, but from the blue collar types drinking, eating, and hanging out. Pool tables just attract the crowds.

I would probably have a sports bar, light food, and large screen televisions. I would probably try to have a smaller, separate area for serious players with an observation bar area. I would encourage good players to play in the observation area.

In other words, I'd be trying to sell a lot of beer. This would cost a lot to set up but I can't see any other way to make a profit.

Chris

bigalerickson
03-05-2004, 02:50 AM
Doctor D.

Out of my own personal curiosity, do those prices include the CAM (triple net) part of the lease?

My company has considered and is still setting up a small permanent office space there and I am curious as to the expected rents for an A office space around 900 square feet.

PM me if you prefer.

Thanks,

Alex

Doctor_D
03-05-2004, 06:14 AM
<blockquote><font class="small">Quote bigalerickson:</font><hr> Doctor D.

Out of my own personal curiosity, do those prices include the CAM (triple net) part of the lease?

My company has considered and is still setting up a small permanent office space there and I am curious as to the expected rents for an A office space around 900 square feet.

PM me if you prefer.

Thanks,

Alex <hr /></blockquote>

Good morning Al:

I relpied via a direct E-Mail.

Dr. D.