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Construction Question

 
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Big Mike
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Joined: 07 Oct 2006
Posts: 863
Location: Dayton, Ohio

PostPosted: Sat Dec 09 06 7:16 am    Post subject: Construction Question Reply with quote

I have been looking into opening a small BBQ place for a while now. I stopped to look at a place in a little strip center the other day thinking they had 3 spaces available. When I looked inside, it was actually one big open space that had not been built out yet.

I found how much they want for the space, it is $10 sq ft. My question is this.

If the place is not built out, do I have to pay to build it out or does the building owner build it out to what you need?
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Big Tom
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Joined: 20 Jun 2006
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PostPosted: Sat Dec 09 06 8:48 am    Post subject: Reply with quote

That would be negotiable in the terms of the lease, I would think.
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BBQMAN
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Joined: 13 Jun 2005
Posts: 15474
Location: Florida

PostPosted: Sat Dec 16 06 7:28 pm    Post subject: Reply with quote

They may build out to your specifications as part of the lease agreement. You will be responsible for purchasing all of the equipment, which don't come cheap! Shocked
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Big Mike
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Location: Dayton, Ohio

PostPosted: Sat Dec 16 06 8:28 pm    Post subject: Reply with quote

I have started putting my equipment list together. So far I am sitting at about $50K.
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BBQMAN
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Joined: 13 Jun 2005
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PostPosted: Sat Dec 16 06 8:49 pm    Post subject: Reply with quote

Last time I looked into this, I was closer to $100,000. That included a used walk in cooler, which you may not need. Also, look into a beer and wine liscense, and the liability insurance to go with. High profit margin on alcohol, and it will greatly help your bottom line! Very Happy
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Big Mike
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Location: Dayton, Ohio

PostPosted: Sat Dec 16 06 10:27 pm    Post subject: Reply with quote

I haven't decided on the beer and wine yet. I know it would be good for sales, but it also has its liabilities.
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Mike

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BBQMAN
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PostPosted: Sun Dec 17 06 4:34 am    Post subject: Reply with quote

The only downside is the liabilty involved if they go out and injure themselves or others after getting liqoured up at your place!

The upside is that a beer and wine liscense is relatively easy to get (at least here in Florida- hard stuff is a whole different story though!), and will help keep you afloat while the business developes. Beer and BBQ go real well toghether, or so I'm told! Wink
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BBQMAN
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PostPosted: Mon Jan 08 07 8:28 pm    Post subject: Reply with quote

One month later- how's it going Big mike? Very Happy
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Big Mike
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Joined: 07 Oct 2006
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Location: Dayton, Ohio

PostPosted: Tue Jan 09 07 12:49 am    Post subject: Reply with quote

Actually, I am still looking at other options. I found a stand alone building for sale Friday. It is already set up as a restaurant. I am going to drive by and take a look at it tonight. The price is not too bad $150,000, it is right on the highway and has plenty of parking. The equipment is offered separately, but I might be able to swing a deal on that. A loan on this place would be about $1,000 a month cheaper than the lease on the other place.

Has anyone done a business plan for a small (40 seat) restaurant? I know there are several software programs out there. Is any one better than the other?

I am also trying to decide on a smoker. Ole Hickory, Southern Pride, FEC500. I like the thought of the all wood with the FEC.
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Mike

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adolpho
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Joined: 03 Aug 2005
Posts: 1067
Location: Austin, TX

PostPosted: Thu Jan 11 07 10:17 am    Post subject: Reply with quote

Out of the 3 you mentioned, I've had experience with a Southern Pride. It was awsome! We cooked a fundraisor (bandboosters) and a catering company lent us their Southern Pride unit. It did 30 briskets in 8 hours with propane and around 3 logs. Perfect smokering and flavor, would have never figured it was cooked predominantly with propane.

Good luck.
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