Running A Bar In Thailand – Learn the Rough Costs of Running a Bar in Pattaya Thailand

Running A Bar In Thailand – Learn the Rough Costs of Running a Bar in Pattaya Thailand

let’s talk about the costs of the bar in
soy seminar in Patera that I was running that’s what this video is about
I’ve gone through some books I did have and some figures and roughly work
today’s now different types of beer bars in Thailand when you’re walking around
you see the ones there’s the small little bars in a circle maybe a hexagon
there right out in the middle open-air I think in Phuket in the some of the back
streets there little minut bars open plan then you’ve got the ones in SOI 7
further up where there let’s sort of open plan they’re not a building but
they’re quite good size bar with seating at the front under a cover and it could
be wooden bars but you know the size I mean these sort of open bars there’s
those type then there’s open bars which are concrete made permanent structures
which have got shutters and things are pulled down and then you’ve got the ones
like the one I had in which enjoy sewing which was a building with shutters at
the front now I’ve a quick look around again up 2017 I’m not sure whether
prices but when you get a beer bar in anywhere in Thailand if you’re buying
one now I never bought one so I’m not 100% sure of this guys if you want to
drop some comments and correct me feel free but you might have heard the
expression key money when you’re buying a bar you’re not actually only in the
bar you’re giving money to the owner to have a lease that’s called key money for
them to give you the key to the bar and I believe I believe you get that money
back I’m not sure please correct me let me know if let’s say I am correct and
you get an open bar and you’ve given them say they might be a million baht 20
thousand pound 25 thousand pound to get a key at a bar
in a good area in whichever time and I’m thinking you get that money back
but let’s say you’ve we ever Piper bar you you’re getting and buying you you
give you key money you get a lease that bars then yours to do with what you like
for year two three years whatever but you still want to pay rent every might
be weekly might be monthly yearly whatever you set up with the owner
monthly is the most common I believe so back in my day I so didn’t own the bar
my bosses did I did see the numbers and some of my friends showed me their
numbers so an open bar back in 2000 2002 in Pattaya was about 8,000 about a month
for a small data loading bar in a good area and then the slightly in closed
ones which were concrete structures were about ten twelve thousand bar say in SOI
aids and then you move it up to the litter bar though I had now asked was a
lot more money because we had about five or six rooms upstairs so you could have
made it a guest case but because my boss new young friends and everything she did
all the work so we were paying twenty thousand about a month for the bar which
I think was quite good considering those five rooms and things it was cheap it
could have it might have been it should have been thirty thousand a month
possibly and because they were French Davis discount so I’m basing it on what
we actually paid which was twenty thousand back month for this bar and
that was the rent for the building and I’ve worked some numbers out I’m not
going to write them all on the screen but I just run through the bills we had
and I’ll give you the totals and you can see we had salaries so mamasan was
fourteen thousand a month mine was twenty two thousand a month the
cashier we had was three thousand a month which was cheap but she got a real
upstairs with her fella who also worked for my boss on the money side so three
thousand a month for the cashier two bar girls toy and the other tomboy was
I am Anthes to 12,000 bar where three those about electric and miscellaneous
now we eventually stuck to ten girls full-time and we did find some
freelancers later on and the girls we were paying them three thousand bats a
month salary but they were then getting a kickback on lady drinks I think it was
twenty bar for every lady drink they sold and bar fines with ours was three
hundred but I find them getting a hundred back so we were making two
hundred by each bar fine and each lady drink we were making about sixty bar so
the salary for those ten girls three grand each was was thirty thousand by a
month so our total for that whole bath everything for one month was a hundred
and four thousand bar now sounds a lot but if you break it down into four weeks
of the month sake that was twenty-six thousand bar a week the costs
I wish equate down again so about three and a half thousand about a day was the
running cost to break even now we were open ten in the morning will
close in two in the morning that seems to be quite average on a lot of bars
most of your traffic football is going to be late afternoon and through the
evening and night I’ve averaged again beers shorts as a young of odd cook coke
we used to make about sixty Bart on a beer roughly forty bar a beer you make
money on the bar fine say 200 bar so if all ten girls have gone out the door
that’s two thousand bucks profit for the bar you haven’t got to sell many beers
name but they didn’t they’d only get bar find each girl apart from the top ones
some of the menu once a week some twice a week so you didn’t get huge amount
with bar finds the the way I work today is we had to sell about 90 beers a day including shorts vodka and gin and
everything else but if you got bar fines then that come off that figure and lady
drinks there’s more profit as well but just as a ballpark let’s say let’s say
80 drinks a day so you need to get 80 drinks of a sold to cover that bigger
bar now if you’ve got one of the smaller bars that the costs would be and you
didn’t have girls because quite a few bars don’t have girls then you get
freelancers come in you can get your costs probably down to about forty fifty
thousand bar a month in which case you’ve only got to sell twenty 30 beers
a day so you can see from those numbers that you can make a living but you need
to make those are just to break even all these numbers to give yourself a salary
for food in you your room you’ve got to rent your food to live that your visas
you go in AG money you really meet need to double your costs so you’ve got a
salary and a living but I know one guy who’s in for he and he’s got a very
small bar and his total cost no girls anything is only twenty-two thousand bar
a month for his bar and he takes about 12 13 thousand profit a month that’s all
on top of the costs but is enough for him to live there and he’s been there
for maybe 10 years and he’s happy with that lifestyle so you can live in
Thailand on a small bar if you do it right but it’s all about keeping costs
down as soon as you start employing girls like we did and staff that’s where
the cost goes through the roof and then you’ve really got to get the people in
the door and as I said in other ones you do that with a Paul conversations the
dartboard anything you can now in my day again 2000 2002 we have the Internet but
it was only it was pretty new still back then you didn’t have the explosion of
Facebook and social media if I have had social media now back in those days
I could have easily doubled the bar takings I think with events and links
and coordinating the other bars doing things together so that that makes you
life a little bit easier because a lot of downsides remember the bars there is
quite a few pitfalls you go be careful you’re always setting those bars all the
time keep an eye on everything could you trust all that sort of stuff anyway
that’s another videos altogether so there we go that’s the costs of the bar
I had in SOI sound that I managed we had to sell 90 beers a day 8090 beers
a day that’s a lot of beer or coffins or GNO vodka but still a lot but if you’ve
got one customer come in start ringing the bell you can go the sky’s the limit
couple of you asked me ringing the bell what’s the bell what’s all that about
I will do a video on the Bell and there’s even some new guys coming on
what’s bar fines and all the basics if you want me to do some basic videos give
me a shout on the comments below I will but yeah it was interesting going
through those numbers again from from my past for the year and nine months I was
in that bar before I left we the owner said to me as long as we break even I
don’t care not fussed about profit we broke even every month for that year and
nine months I was in that bar but we didn’t make a lot of profit we didn’t
make a loss bits and pieces but nothing special so the owner didn’t really lose
but she did put a lot of money in the renovation of beginning I was opening
she had got that back so mmm yeah if it had been a bar ready to go she just got
it we could have made a bit of a profit but we employed quite a few people for a
year in nine months I went on after I left someone else took over the
manager’s job and it went on for another couple of years before it started
changing hands every month they get costs of running my bar in so I said
catch you soon please all the comments below again any questions stuff after an
answer them and loving you guys interaction is brilliant really good
catch on my next one bye for now

68 thoughts on “Running A Bar In Thailand – Learn the Rough Costs of Running a Bar in Pattaya Thailand

  1. thanks for the video

  2. How much did you have to pay the police per month?

  3. Thanks Simon. Great videos very informative. Can you do a video about the pitfalls of running a bar.

  4. my understanding of key money is that you do not get it is a rental lump sum which has the effect of reducing your monthly rent.

  5. Hi Simon loving the vlogs👍🏽what part of England are you from ??

  6. i have a friend his bar is in a complex on 2nd road his key money is 250000 bh a year
    As for the bell ringing you said about i would say to people dont ever ring a bell unless you are happy getting drinks for people you dont know, i have never rung a bell but i have many times got drinks for all the girls in the bars i use

  7. police charity fund,,,,,,I laughed out loud at that one..(I understand about youtube ) but that was a good one….thanks

  8. No refunds in Thailand. I have never known key money to be refunded. By the way Phuket is Pooket, not Fooket.

  9. Hi Simon, great vlog, I am very experienced with Pattaya I always thought there may be a hidden cost IE protection money ,,, Police, can you confirm or dispel this please? Much appreciated. GT

  10. Very interesting!

  11. Though it is possible to make money having talked to numerous bar owners all over Thailand virtually to a man they've said that they can live a basic life in Thailand and there happy with that , making any significant amount of money isn't really on . Some do but not many . Over the last decade or so big groups seem to be taking over in a lot of places making it even harder . Breaking even during your time there was no mean feat when you see how often bars go down and change hands . Bet you wonder what would've happened if you'd been able to stay in soi BJ .

  12. A friend of mine runs a very popular and large open air beer bar in Phuket just off Bangla which is quite different to those you discuss as it features a twice nightly Cabaret show. The "girls" who feature in the Cabaret shows are on salary but they have to earn it through obtaining so many bar fines per month. His costs per month are much higher than you quote but the Cabaret show attracts big numbers as it's free and the customers only have to buy drinks. The real money for him is in lady drinks. Big margins there apparently. A lot of the customers just buy one or two drinks and move on once the show finishes but there are also the customers who come for the "girls" and they are where the real money is made in terms of ladydrinks and bar fines. Some nights he is struggling to run the second show because the performers have all been bar fined!

    In terms of ringing the bell which has been mentioned by a few subscribers here, he has a fixed price on that 1000 baht which seems to make the bell ringing a more attractive option for customers.

    In terms of key money one of the biggest risks faced by bar owners that many don't think of is that should they turn the bar into a success there is a real risk that when the lease is up for renewal the Thai owners may substantially increase the rent knowing that the bar owner will be reluctant to move. So it's a risky business.

  13. key money is pade every 3 or so years you dont get this back

  14. Really enjoyable Vlog, my first trip was 2002 shame I never popped into to the bar or did I and I had too many beers to remember…..:)

  15. My understanding of key money is the additional rent that is not declared for tax.

  16. interesting informative video , I've a mate who runs a bar on soi 13/2 pattaya only a small bar no girls virtually no customers in the day but hosts darts games in the evening and also rents boxing machines in the night clubs on walking Street but he has said that sometimes he has to keep the pub afloat with his savings,he's well known in pattaya amongst other bar owners in pattaya! I'll add that he's been running the same bar for the past 16 years so it must be a success

  17. 80 or 90 beer a night. man you would have liked my friends and I when we were in our 20s. four or five of us Canucks would have drank that much and then some. lol. oh those were the days.

  18. Simon what about the cost of the many bits of paper and various licences? I believe very few bars can produce all the right bits of paper to be fully legal. i.e. Alcohol sales, music, Performing Rights Society (or Thai equivalent) etc.?

  19. Thank you Simon. Fabulous job. Finally some info from an insider 🙂

  20. Hi simon,, had a bar years ago in patong phuket,, it was in Otop across from now hard rock,, in those days you could buy a bar for 200,000 to 300,000 Baht depends where it was,, this is 2011,, and the key money was 100,000 baht that went to the land owner,, you never got that back,, then you well we pay'd 10,000 baht rent each month , 500 baht to play music to so called music people,, then 1000 to police then your staff for 5000 to 10,000 so if you have 5 girls then it adds up,,, just 2 years ago when the world had money,, now not,, the same bars were going for 1 million to 1 point 3 million,, and 200,000 baht a year key money and 25,000 baht rent, and all the others on top,,, Now that is a lot of beer that you need to sell to even think you are going to make some money,, now i see and have a friend who has just brought one in the same place he pay'd 500,000 baht for the bar,, i don't know the key money but i will fined out and let you know,, but the bars have dropped in price because no one is going there any more,,because no one has the spare money as they did years ago,, well the chinese might be going but they do not drink,,

  21. Very informative. Great videos.
    AL from US.

  22. Basic videos would be good. Could a man get the less attractive bar maid?

  23. Loving your vlogs Simon, keep up the good work

  24. Not an easy life or very profitable but a bit exciting for awhile. Ultimately that many hours in a bar would wear thin. Who would have guessed?

  25. You don't get the key money back, great video btw

  26. nice vid simon !

  27. Ring The Bell Lads And Find Out Thats The Easy Thing To Do

  28. Simon, can you talk about the customers that drank there?Which nationality ,spent the most ?Was there many fights?Did you get any really strange customers?

  29. How much did it cost to be ignored by the local authorities?

  30. Thanks for info. Very interesting.

  31. Who holds the liquor license?   No problem with licensing authorities in Thailand renting the license out?

  32. Tell us morre of the basics , love the video!!

  33. No way do you get your money back, I would not have a bar give me.

  34. Very interesting video.

    These days almost all beer bars as described would run at a loss. Some losses are substantial. Too many costs involved and way too much supply.

    Let's face it,these bars aren't really businesses, they are more like hobbies if you are a foreign owner. Hobbies cost money but they are there to enjoy.

    Would be interesting to know per 10,000 beer bars, how many finish in the profit after say 5 years.

    Times have changed since 2002. These days you would have to have rocks in your head to pay key money when you know your chance of making any profit is very slim.It is just weak business thinking to pay key money.

    My view is that most of the owners of these bars are not really business people, they are hobbyists.This is confirmed in this video with the words' My owners told me they just wanted to break even, they didn't care that much about making a profit"

    ummm- why go through the drama then?

    In closing- for interest the presenter said his salary was 22000 bt a month.He said the bar was open 10am till 2am x 7 days. Lets say he had a day off. That is approx 100 hours a week responsibility.Say 430 hours a month,about 50 baht an hour.

    About $1.50 USD an hour- for a manager.

    Interesting numbers.

  35. Hi Simon another great vlog. I have never owned or had any desire to own a bar in Thailand. You reminded me of two friends of mine, both were miners who worked together and were made redundant in the early to mid 90s. They both had their first trip to Pattaya and both fell in love with Thailand. One took over an established bar in Soi Post Office with his girlfriend, the other found long term accommodation and remained a tourist. As things worked out both had to return to the UK when the money had run out. The guy with the bar after about 9 months and the other lasted well over a year. That was proof enough for me that bar ownership was not for me.

  36. great informative videos done really well thanks for that great information 🙂

  37. just got back never seen the bars so empty and the girls so lazy too obsessed with their phones

  38. I only ever go in bars that don't have girls working in them.

  39. Well…not a good money for all hell and stress !
    But I have seen top of the line cars coming in walking street after 3 am. They are certainly the owners.
    I had a impression of they make loads of money..but may be they have been there many years..or may have many bars..or itself the walking street is the high end street !
    Any ways..thanks for your informative video.

  40. On the other hand..I have been to the Tony Club.
    It is loaded with Indians..( many hundreds) and free lancers.
    Alcohol sales to my mins must be atleast 150000B.+they charge the entry fee (50000B). They must be making money.
    few men..that is all.
    Now there are many clubs like that.

  41. Hi Simon,,,irish dave ,,again,,as i said im going for first time after divorce,,,,i got pissed off and sold up,,i went to florida,,but hugely expensive,,,if i bought bar which i understand you cant really own,,,i still thinking about investing,,i got 400,00 euro,,is it worth it ,,and maybe get u to run the place

  42. Key Money is a goodwill payment to the landlord, who then distributes it up the line to the various land owners etc. Key money is 'under the counter' un-official, and paid in cash. You dont get it back. As most bars come fitted, it can be considered you contribution to the fitout.
    Key money is negotiable, and varies depending on the previous occupants success, the quality of the fittings and fixtures, and how much the landlord thinks you will make him. The amount follows the seasonal highs and lows. Rent is rent, paid as agreed. Sometimes they ask for a bond, but rare. Electricity is extra, so is outgoings for shared things like security, DJ, cool rooms. You will need a Whisky license, the landlord will sort that with the local police. Officially the are 2000BAHT, but expect to pay a lot more to grease the wheels of commerce.

  43. Thank you for once, it's a man who says the truth

  44. can you break the latest price now as on 08th of OCT,2017

  45. Can u gv me little smile i am very sad,sir what u do there??

  46. Great lot of information mate thanks

  47. I'm looking to come out there in Feb of 2018. I'm going to be looking at buisnesses because I'm thinking of moving out there. Any info you put on you tube is appreciatewd. Thanks

  48. Well first thing if you wanna make it really profitable is to put yourself in leading bartender/manager position, and hire the right ppl let's say dedicated female barternders. Correct me if I'm wrong.

  49. Can't mama-san also be the cashier? I mean they are just watching over to make sure the rules are followed right?

  50. my mate owns a bunch of bars in Thailand he offered me a great deal but did explain that there is lower traffic as its situated in the back of a complex, would it be worth the buy, it is a huge tourist hotspot just not much traffic where my bar will be

  51. Interesting video. I spent 2 months in Thailand earlier this year, and I certainly hit up every type of bar you mentioned, haha. So intriguing to hear the numbers and stories of these places that you otherwise pass through and idly muse about while traveling.

  52. Hey friend,. I've been commenting on just about every video… there a networking group who can help me with theses things… ownership. Maybe a little training? These videos are helpful….

  53. Never known any foreign run bar in Thailand make money. It never happens.

  54. Key money is quite common in much of area. The point is for you to give a big lump sum up front, which the owner then invests, and you pay a small rent. The principle being the more key money = lower rent. It can be for retail or accommodation and you should get your key money back at the end of the contract.

  55. Hello
    Help me plz open a new business in Thailand ..I wana invest some money in hotel industry

  56. Hi, do you still live in Thailand?
    I would really appreciate an opportunity to chat if you have an email address or other way to communicate. Thanks for the videos.

  57. Just go and injoy your self running a bar is hard graft worry all the time you win some or full broke

  58. Hello Sir,
    I am going to open bar in soi bokhao pattaya.
    I am new to this busy but I run bar in India.
    Kindly suggest me about smooth running of bar in pattaya as you running bar couple of year. I would like to meet you also in January.
    Kindly reply me

  59. In Seattle WA only a few strip clubs restriction on contact. Had limo downcast service 10% kickback from clubs. Drove girls home evasion no guys follow them home

    Portland Oregon 100 strip clubs. Membership makes private club. Police not allowed access. Booze and paid lapdances. Of course they did escort on the side. Would not drive for escort cops can take your vehicle.
    Food is cheap to get guys in.
    Limo got lot airport biz bars lesbian and fetish clubs. Commissions hotels to airport.

  60. Sorry to sound like a hater (as I was called by numerous bar owners on soi 6) but how much do you think the average bar on soi 6 makes these days? I got criticism for my skepticism on the figures they were quoting…. some owners claim to make 1 million baht a month profit, which is about £25,000 a month, I find it really hard to believe!

    So my question to you is, is it possible to earn 1 million baht a month in a bar? Once staff are paid and police etc…

  61. they lagalized the weed in thailand! keep us posted want to open a coffe shop like amsterdam

  62. I want to know more please, I am considering doing just that,which you talked about. Tell me more. Thanks

  63. Love your videos m8. 3 questions if I may.

    1) What was the best part about running a bar in Thailand?
    2 ) What was the worst part about it?
    3) Would you ever run another bar in Thailand again?

  64. Great Video, Thank You…

  65. Great video and very truthful

  66. Do you have an instagram or Snapchat so I can talk to you

  67. Hi Simon…thnx for heads up. You one of the few guys who actualy took the trouble to put it out on yt in public…good job!!! I appreciate it highly…since most bar owners wont tell anything about this..Greetings from the Netherlands.

  68. If I have money I will like to open gogo bar in Thailand thanks for your tips mate cheers

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