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TOPIC: Thinking About Getting into the business

Thinking About Getting into the business 01 Jan 2012 23:27 #37692

  • Jobaker
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Hi,

I am brand new to this and my wife and I are thinking about getting into the business. We live in a small town outside of a population center of about 225,000 people. We are both former log term restaurant manager/owners and are accustomed to hard work. This would be a 2 or 3 screen business built from the ground up. We are in pretty good shape financially. The goal would be to create long term basic income doing something we both love in our small town, where we are both long term recognizable figures. I am not a novice when it comes to operating a business and turning profit, but this is a new animal. Any thoughts or suggestions? Also, this site has been very a valuable resource.
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Re: Thinking About Getting into the business 17 Mar 2012 11:06 #38066

  • SamCat
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If you want you can email me at This e-mail address is being protected from spambots. You need JavaScript enabled to view it . I do not mind giving you a hand. I come from Australia though but have visited USA many times.

My thoughts are you need on grade parking.

You need one cinema of approximately 180-220 seats for every 10,000 people in your catchment,. You can average this out eg 3 screens approx 600 seats. So you could do one say 280, 150 and 120 etc or you could go four cinemas 200, 140, 130, 120 etc.

You need about 30% in cash or equity.

The more screens you can build for your catchment it costs alot more money but makes the business more secure from competition but also allows you to screen more variety to bring in more people.

If you can afford and you have a budget try not to go under say 1000 seats or 50,000 people. For a growing area with a good disposeable income of say 50,000 people you could do say 6 screens eg 300 seat, 250 seat, 200 seat, 180 and 150. I would not go under say 120 seats unless you really need an extra screen.
Try to be in an area where there are shops around you as this will help you increase your turnover. For some reason in the states alot of cinemas are by themselves in the shopping centers. In Australia the cinemas are more integrated to entertainment and next to other shops.
Anyway hope that helps.
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