Starting my own Tobacco Lounge

[wolfspirittt]

I'm planning on starting my own Tobacco Lounge in the Ohio area. I was wondering if there are any tobacconists on these forums, if they could give me some advice on starting out. You can PM me if you don't want it on this thread. I'm particularly interested in:

How long have you been in business?
What made you start?
Did you have capital when you started or do you have a loan?
How many cigars do you usually sell on a weekly/bi-weekly basis?
How long did it take you to start earning a profit from your sales?
Any other advice you can give outside of my questions?

It would be greatly appreciated if anyone could lend a hand. I'm still forming a business plan right now. Thanks!

 

[Reeve11]

Great news. Always nice to see more Tobacco Lounges starting up. Ohio has a statewide smoking ban, I'd start with knowing all the rules.

I am not a tobacconist, this is just my 2 cents

Dan

 

[wolfspirittt]

Yeah I've started reading up on that. In order to allow smoking in the building you have to have 80% of all sales be tobacco or tobacco related, it has to be a stand alone building (no strip mall), and you can't have a liquor license.

 

[criollo]

I am not a tobacconist, but I have seen all too many businesses (of various kinds) fail because the owner/manager makes the mistake of only concentrating on the products/services and the revenue , but fails to take the human element under consideration.

There are two cigar lounges in my area that I have been to. I have to drive a ways to get to either of them. Lounge A is closer to my home than Lounge B, and Lounge A has a larger humidor room and thus a greater selection than Lounge B. Nevertheless, I have a strong preference for Lounge B. Why? Because Lounge B has a layout that facilitates an enjoyable relaxing experience.

At Lounge A, the seating area is broken up with display cases filled with humidors, cutters, lighters, pipes, etc in such a way that the lounge just looks cluttered. In Lounge B, the same displays are either near the cash register away from where people sit or along the walls of portions of the seating area.

Lounge B has a larger seating area which is divided into 3 sub-areas. These are not closed off from each other, but each has its own character. If I want to watch TV I sit in one area;if I want to chat with other folks I sit somewhere else. If I want to sit quietly and read, do some work, or be alone with my thoughts while I smoke, I sit somewhere else. In Lounge A, I am pretty much forced to sit next to a television and be on top of other people in one of two pretty cramped seating areas.

The staff in Lounge B has more diversity of personality: there's the amiable old guy, the crazy young guy, etc. This makes it easier for a diversity of customers to feel at home there. Lounge A seems to be staffed by high-powered young go-getters. I get along with them fine, but sometimes I find the constant "energy" to be a bit overwhelming. In Lounge B I feel as if I have found a "cigar community", whereas in Lounge A I feel I am just helping a business make money. And I feel this way even though nobody in Lounge A is doing anything "wrong" or unfriendly. It's the intangibles that make the difference.

 

[cvm4]

Criollo you are exactly right and the atmosphere makes or breaks the cigar lounge. I don't like to sit around and smoke in a "stuffy" atmosphere.

Posted via Mobile Device

 

[dpricenator]

ventilation!!!!!! I hate going to this one lounge because all they do is open the dooors, and once there are 5 plus smokes going, it looks like a college dorm room.

 

[elderboy02]

Awesome! Will this be in the Cincinnati area? We desperately need one.

 

[hank_612]

I opened a cigar shop with lounge in missouri last sep. I can send you the business plan I used to get my SBA. Let me be clear. Making money takes time. At least a couple of years. I have 30k+ in ventelation and believe me you can never have to much. A stand alone building will be pricey. You will need to do 50k in sales per month probably if your rent is around 50k per year. That is hard to do. Also if you have a liquor license in most states it limits your ability to be open sundays. If you are serious about wanting more info PM me and I will be glad to set a time when we can talk on the phone. BTW stay away from Franchises they just complicate things and cost you money. IMHO

 

[Psojka RP,601]

Good luck bro! I heard that it takes 1-2 years before ur in the plus section of the budget. but good luck and godspeed!

 

[SkinsFanLarry]

Good luck bro! I heard that it takes 1-2 years before ur in the plus section of the budget. but good luck and godspeed!

In some cases it could be as long as the first "5" years!

 

[smokemifugotem]

Very nice! from michigan and will have to stop by some time oince she is open! I have to say the biggest turn on/turn off for me is an easy one...cigar selection. if all they have is altadis brands...I don't go ever go back. the shop that is closest to my house is like this...walk in once a year to see if it changed...but don't buy anything. good luck and hopefully all our advice help you out!

 

[Poblack]

There is a spot I go to in Atlanta. I actually hate their humidor but I love the atmosphere and the people. I bring my own cigars but I buy alcohol at the bar.

 

[TulsaSmoke]

I opened a cigar shop with lounge in missouri last sep. I can send you the business plan I used to get my SBA. Let me be clear. Making money takes time. At least a couple of years. I have 30k+ in ventelation and believe me you can never have to much. A stand alone building will be pricey. You will need to do 50k in sales per month probably if your rent is around 50k per year. That is hard to do. Also if you have a liquor license in most states it limits your ability to be open sundays. If you are serious about wanting more info PM me and I will be glad to set a time when we can talk on the phone. BTW stay away from Franchises they just complicate things and cost you money. IMHO

A friend and I are looking into opening our own Cigar Lounge as well... only in Tulsa Ok....it would be the only one in Tulsa and only the 2nd one in the whole state.. we have several "hook ups" in the cigar vender biz.. but want something to call our own.. and the way we want it....I know we need to look at many things and get a buisness plan together (not sure where to start with that one).. we just returned from New Orleans and the Cigar trade show there came back with a ton of idea's....you siad you had a biz plan from a shop you opened... would you mind if I took a look at it?

 

[Private Yesman]

A friend and I are looking into opening our own Cigar Lounge as well... only in Tulsa Ok....it would be the only one in Tulsa and only the 2nd one in the whole state.. we have several "hook ups" in the cigar vender biz.. but want something to call our own.. and the way we want it....I know we need to look at many things and get a buisness plan together (not sure where to start with that one).. we just returned from New Orleans and the Cigar trade show there came back with a ton of idea's....you siad you had a biz plan from a shop you opened... would you mind if I took a look at it?

Tulsa and OKC as well as their vicinities have multiple lounges.

where in Tulsa to you have in mind?

 

[Wink]

Sounds good my friend! I don't have any advice, since I don't know where to start just wish you the best of luck!

 

[AnthonyP]

I don't have any advice, but congrats bro and good luck! I'm sure you're in for a great experience.

 

[TulsaSmoke]

well yeah I guess there are a few small places in Tulsa.. I'm thinking way big here...something along the lines of Makers in OKC...maybe I am wrong but I dont recall anything like that in Tulsa...most of the places are humidors with a bar...I want a bar area (of course) that features the Humidor, a meeting area (seprate from the bar area) and an out door area... big outdoor area!...a deck with a pond/water fall, seating, stage area with its own bar as well.... Idea to start with anyway...LOL..and then reduce as I start the process.

 

[CO Smokes]

A lot of these guys have great advice. Another thing that is very important in any business is location. Not just the city or state but where is it in proximity to a 'downtown' area or what other attractions are near by. Once you have your 'regulars' it doesn't matter if they are 2 minutes away or 30 minutes away, they will make the trip because they will consider it 'their shop'. But other than regulars you will need a good amount of walk-ins. That's why a good location is important.

Try to get in touch with a successful store near you that has been there a while and see if the owner will take some time to sit down and talk with you. As long as you aren't planning on putting a store right on top of him or her, they will most likely take some time out of their day to talk with you. Good luck!

 

[mwlabel]

Thread is two years old, think we can let it die or lock.

 

[CO Smokes]

I'm sorry it popped up in my section of new items for some reason. Didn't realize the date on it.