# Buying/Rent a bar in Malaga



## sunseekers2012 (Aug 31, 2012)

We have been toying with this idea now for the past 2yrs and now we really want to go out to Malaga and run a small bar at night so we can enjoy the warmer days.

We're not doing this as a get rich quick scheme we know everywhere is struggling we just want to enjoy the warmer climate that the costa's has to offer but also work for ourselves at the same time so if we could achieve that then happy days

Has anyone done this recently and what if any probelms have you come across?

Any input would be greatly appreciated on this topic.


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## XTreme (May 17, 2008)

Not sure if anybody here has done it, but it may be worth you having a chat with Nigel Fitzpatrick at Business Broker Spain.

He knows all the costings, logistics etc of that sort of thing, and is always willing to advise.


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## Hybr!d (Oct 9, 2011)

The most common problem lately seems to be losing all your money. If that doesn't worry you then go for it.


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## sunseekers2012 (Aug 31, 2012)

Hybr!d thanks for that, are you speaking from experience there?
Is it that not enough tourists etc or that there is to many bars? did you rent property as well as lease a business?
Take it you are still in Spain?


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## Leper (May 12, 2010)

If I were going to start a business anywhere on the Costas it would not be a bar. I know several people who run bars in Spain. The lucky ones are the people who bought or set up bars many years ago. The luckier ones again are those who sold their bars during better times thereby cashing in their investment.

If you now want to set up a bar and wish to rent you have a plethora of problems getting registered, set up, etc and this is before you have your first customer. Let's assume you get to the point where you have your first customer . . . 

Your bar is different from the rest. People are attracted to it. Business is good, you're making a few bob; you throw some money into modernizing, advertising etc. Business is getting better; the dream is a reality . . . . not on your nanny.

The person from whom you are renting sees what is happening. Rent goes up, but you can take the hit, only later the rent goes up again and you can see this ain't going to stop. You are forced to move premises and you have to start again. The owner of your previous bar has taken over and is using your experience and is now making a packet from your toil and doing things the way you did. But, you are starting a new bar and soon you see there is a pattern . . . you are making other people rich.

Sorry to bust your bubble. I know of one person who is renting a busy bar. He works part-time in another bar by day (a bar landlord working for another bar landlord!). Something's wrong somewhere.


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## thrax (Nov 13, 2008)

If you are planning to do this in Malaga city then be prepared for some fairly high costs (rent or purchase) as well as high running costs. The few people I've know in Nerja who run bars or restaurants (British) are really struggling. It's not so much a lack of tourists rather than the increasing number of hotels who offer 'all inclusive' services so why would people go out for a drink when they can get it free in the hotel? Malaga is no exception. There are a lot of bars in Malaga and even in the summer a lot of them seem empty in the evenings. Unlike other parts of CDS there doesn't appear to be as many closures but for certain those owned by Spanish seem to far better. As for enjoying the long warmer days and working at night I'm not so sure. It might work, but you'll be up against all those bars that open for breakfast and stay open till the small hours. People who run bars generally work the longest hours of anyone in Spain, 18 - 20 hour days being the norm rather than the exception. But if your heart is set on it and you have a lot of money, go for it. If you don't try, you'll spend the rest of your lives wondering 'what if....'


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## CampoKid (Mar 29, 2012)

You might as well hand all your money to the first Spaniard you see when you get off the plane, that way you will still be going home poor - but without a year of stress and tears.


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## jojo (Sep 20, 2007)

If you have long term bar management experience (have been in the trade), speak Spanish, understand Spains weird and wonderful laws and regulations and have plenty of money as a buffer, then it would be risky but may work.There are plenty empty bars around - which should tell you that things arent all good. 

Tourism isnt what it was and quite frankly there were too many bars, so this recession has thinned them out. Its supply and demand. But if you have what it takes to join a cut throat and struggling market and can cope with what is probably now hostile competition and national chains, then at least go and take a look. It wont be easy or relaxing tho

Jo xxx


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## mrypg9 (Apr 26, 2008)

I once read somewhere that if you were coming to Spain with £20k to open a bar you should book into the most luxurious hotel, dine at the best restaurants, spend your days in an elite beach club with chilled champagne and your nights in exclusive clubs with hot women -or men, whatever takes your fancy.

In that way your money would have been spent but unlike investing in a bar you would have had a great time and some happy memories of spending it.


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## baldilocks (Mar 7, 2010)

mrypg9 said:


> I once read somewhere that if you were coming to Spain with £20k to open a bar you should book into the most luxurious hotel, dine at the best restaurants, spend your days in an elite beach club with chilled champagne and your nights in exclusive clubs with hot women -or men, whatever takes your fancy.
> 
> In that way your money would have been spent but unlike investing in a bar you would have had a great time and some happy memories of spending it.


Alternatively, you colud donate that £20k to the ADANA dogs' rehoming centre (run by mrypg9) and go away knowing that you have done something worthwhile and helped a lot of dogs as well.


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## thrax (Nov 13, 2008)

I met a Spaniard yesterday who is opening a restaurant near a marina where our friend's boat is moored. There used to be a restaurant on the site but it closed 3 years ago even though it was nearly always packed - we don't know why. We often wondered why nobody had bothered to open a restaurant or bar there as it is sitting next to a marina with around 500 boats and is a regular walking place for tourists. There are no other bars or restaurants nearby so it seems like a prime place. The reason? The Spaniard told us. He bought the place over two years ago and until last month he was waiting for the Junta to approve his building licence application. Now he can build his restaurant. He won't be able to open it though as the Junta still haven't approved his restaurant licence application and that might be another two years away. He is Spanish and knows the system. His comment went along the lines of, 'effing stupid Spanish beaurocracy, what do they know? effing nothing, all they try to do is put obsticles in the way of progresws. It's the same for everyone these days. The Junta exist to stop people working. They should be shot. Spain can't survive with people like this in charge. But I won't stop, I won't be beaten. I will win and then I'll open my restaurant and I'll stick a finger up at them. I won't have any money left but I won't be beaten. Please come to my restaurant when it is open and I'll give you a free meal for taking the time to stop and listen to me.'

Nuff said....


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## bob_bob (Jan 5, 2011)

sunseekers2012 said:


> We have been toying with this idea now for the past 2yrs and now we really want to go out to Malaga and run a small bar at night so we can enjoy the warmer days.
> 
> We're not doing this as a get rich quick scheme we know everywhere is struggling we just want to enjoy the warmer climate that the costa's has to offer but also work for ourselves at the same time so if we could achieve that then happy days
> 
> ...


Practise this first. 

Go to Gatwick with your suitcase and no money, no credit cards and pretend you no longer have a home in Spain or the UK because in all likelihood this scenario is where you will be in real life in a year or two after starting a bar in Spain.


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## mrypg9 (Apr 26, 2008)

baldilocks said:


> Alternatively, you colud donate that £20k to the ADANA dogs' rehoming centre (run by mrypg9) and go away knowing that you have done something worthwhile and helped a lot of dogs as well.


I wish, Baldy....


But anyone wishing to can sponsor our Marathon runner....details on the ADANA website adana.es. http://www.adana.es/


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## sunseekers2012 (Aug 31, 2012)

Thanks Guys for all your replies looks like we're just gonna have to be tourist for now and see what happens in a few years time 😏😏


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## jimenato (Nov 21, 2009)

thrax said:


> I met a Spaniard yesterday who is opening a restaurant near a marina where our friend's boat is moored. There used to be a restaurant on the site but it closed 3 years ago even though it was nearly always packed - we don't know why. We often wondered why nobody had bothered to open a restaurant or bar there as it is sitting next to a marina with around 500 boats and is a regular walking place for tourists. There are no other bars or restaurants nearby so it seems like a prime place. The reason? The Spaniard told us. He bought the place over two years ago and until last month he was waiting for the Junta to approve his building licence application. Now he can build his restaurant. He won't be able to open it though as the Junta still haven't approved his restaurant licence application and that might be another two years away. He is Spanish and knows the system. His comment went along the lines of, 'effing stupid Spanish beaurocracy, what do they know? effing nothing, all they try to do is put obsticles in the way of progresws. It's the same for everyone these days. The Junta exist to stop people working. They should be shot. Spain can't survive with people like this in charge. But I won't stop, I won't be beaten. I will win and then I'll open my restaurant and I'll stick a finger up at them. I won't have any money left but I won't be beaten. Please come to my restaurant when it is open and I'll give you a free meal for taking the time to stop and listen to me.'
> 
> Nuff said....


Can you repeat this post in the 'Why do Brits complain thread'? Apparently only Spaniards are allowed this kind of talk - while we are supposed to pretend everything's perfect.


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## NickZ (Jun 26, 2009)

There are bars and there are bars. Somebody mentioned 20K. Even buying used equipment I bet this wouldn't be enough to outfit a reasonable bar. 

A kitchen with commercial grade equipment. Everything from the fridge to the dishwasher will likely cost you more then 20K. Used.

You still don't have the front end of the bar. 

I doubt you'll get credit from the suppliers when you start so all food and drink will need to be paid for cash. 

OTOH if the OP is talking about a one table bar with no food. Nothing much more then maybe .


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## baldilocks (Mar 7, 2010)

jimenato said:


> Can you repeat this post in the 'Why do Brits complain thread'? Apparently only Spaniards are allowed this kind of talk - while we are supposed to pretend everything's perfect.


Why? This post was about Spaniards complaining in Spain and nothing to do with foreigners complaining in Spain.


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## mrypg9 (Apr 26, 2008)

NickZ said:


> There are bars and there are bars. Somebody mentioned 20K. Even buying used equipment I bet this wouldn't be enough to outfit a reasonable bar.
> 
> A kitchen with commercial grade equipment. Everything from the fridge to the dishwasher will likely cost you more then 20K. Used.
> 
> ...


I mentioned £20k in my post because that's the sum the poster in the forum I quoted said he had to invest.

Yes, I agree with you. It's not enough to equip a 'proper' bar, buy in stock and so on and on top of that you need a 'survival' piggybank as the odds are against you making a decent profit for a long time if ever.

I often wonder how many people who want to open a bar or any business in Spain have either adequate capital or previous business experience of any kind.

About three years ago UK ITV did a programme, 'Paradise Lost', about Brits in Spain. They showed a hapless couple in Benidorm who had mortgaged their former council house to buy a bar -a bar which had been on the market for three years....
Neither had any business experience...I think he drove a truck and she was a carer. They had no idea of how to run a bar - didn't even know how to change the beer kegs.

Of course they failed and went back to the UK with huge debts there and in Spain.

And they complained.....


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## jimenato (Nov 21, 2009)

baldilocks said:


> Why? This post was about Spaniards complaining in Spain and nothing to do with foreigners complaining in Spain.


The point is that this post demonstrates that there are things worthy of complaint in Spain. 

If Spaniards complain about things like this, why shouldn't foreigners?


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## Lawrence brown (May 24, 2009)

I am sorry if all these comments seem negative, but it is a tough business you want to get into.
One thing is certain, your rent will go up, just like the pub co's in the UK it will be, "Oh are you still in business?" We had better put the rent up then!
So as I understand it, you pay 10's of thousands for a lease, and when eventually you cannot afford the rent you find yourself in breach of the lease which they cancel with no compensation.
Then they find another victim and do it all over again.
In my opinion, the only way to have a chance is if you can buy the freehold, one of the reasons the Spanish bars survive is they have no rent! And the Mortgage was probably paid off by the Grandparents.
Please don't rush into things, everyone on here knows how hard it is in Spain at the moment and nobody wants to see you lose everything like so many others in the past.
I would love to see you succeed in your plans, so consider your options carefully.


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