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Written by: Carolyn Young
Carolyn Young is a business writer who focuses on entrepreneurial concepts and the business formation. She has over 25 years of experience in business roles, and has authored several entrepreneurship textbooks.
Edited by: David Lepeska
David has been writing and learning about business, finance and globalization for a quarter-century, starting with a small New York consulting firm in the 1990s.
Published on May 30, 2022
Updated on July 12, 2024
Investment range
$6,050 - $12,100
Revenue potential
$52,000 - $260,000 p.a.
Time to build
0 – 3 months
Profit potential
$47,000 - $104,000 p.a.
Industry trend
Growing
Commitment
Flexible
These are the key elements to think about when starting your mobile bartending business:
You May Also Wonder:
Can a mobile bartending business be profitable?
Yes, a mobile bartending business can be very profitable. You’ll make about $50 per hour plus tips, and a markup on drinks if you supply the alcohol for a cash bar.
How can I learn bartending skills?
If you need to learn bartending skills, you can find a bartending school in your local area, or you can take courses online on a site like Udemy.
What is the difference between mixology and bartending?
The difference between mixology and bartending lies in their focus and skill sets. Bartending primarily involves serving and mixing drinks efficiently while maintaining customer service standards. Mixology, on the other hand, focuses on the art and science of crafting cocktails, emphasizing creativity, knowledge of ingredients, flavor profiles, and techniques to create unique and well-balanced drinks.
How can I differentiate my mobile bartending business from competitors in the market?
To differentiate your mobile bartending business from competitors, you can consider offering a diverse and curated drink menu, specializing in craft or signature cocktails, providing exceptional customer service and personalized experiences, employing skilled and knowledgeable mixologists, utilizing high-quality ingredients, and creating visually appealing drink presentations.
What types of events and occasions can a mobile bartending business cater to?
A mobile bartending business can cater to various events and occasions, including weddings, private parties, corporate events, fundraisers, festivals, and cocktail parties. Additionally, they can provide services for special themes such as mixology workshops, cocktail pairing dinners, and customized drink menus for specific celebrations like birthdays or anniversaries.
Starting a mobile bartending business has pros and cons to consider before deciding if it’s right for you.
There are no statistics for the mobile bartending industry, but it is closely related to the catering industry since the two services tend to go hand in hand.
Trends in the mobile bartending industry include:
Challenges in the mobile bartending business:
Startup costs for a mobile bartending business range from $6,000 to $12,000. Costs include the mobile bar itself, glassware, and cocktail-making equipment, as well as a vehicle to transport your bar.
You’ll need a handful of items to successfully launch your mobile bartending business, including:
| Start-up Costs | Ballpark Range | Average |
|---|---|---|
| Setting up a business name and corporation | $150 - $200 | $175 |
| Business licenses and permits | $100 - $300 | $200 |
| Insurance | $100-$300 | $200 |
| Business cards and brochures | $200 - $300 | $250 |
| Website setup | $1,000 - $3,000 | $2,000 |
| Mobile bar | $2,000 - $3,000 | $2,500 |
| Equipment and supplies | $1,000 - $2,000 | $1,500 |
| Vehicle to transport bar and equipment | $1,500 - $3,000 | $2,250 |
| Total | $6,050 - $12,100 | $9,075 |
Typically for an event, you’ll make about $50 per hour depending on the number of people attending. If you’re selling the alcohol, you’ll also make a markup on the liquor. If it’s an open bar, the host will pay for the alcohol. You’ll also get tips. These calculations will assume that you’ll make $500 per event. Your profit margin should be about 90%.
In your first year or two, you could do two events per week, bringing in $52,000 in annual revenue. This would mean $47,000 in profit, assuming that 90% margin. As you get repeat business and referrals, sales could climb to 10 events per week. At this stage, you’d hire staff including other bartenders, reducing your profit margin to around 40%. With annual revenue of $260,000, you’d make a handsome profit of $104,000.
There are a few barriers to entry for a mobile bartending business. Your biggest challenges will be:
Now that you know what’s involved in starting a mobile bartending business, it’s a good idea to hone your concept in preparation to enter a competitive market.
Market research will give you the upper hand, even if you’re already positive that you have a perfect product or service. Conducting market research is important, because it can help you understand your customers better, who your competitors are, and your business landscape.
Research mobile bartending businesses in your area to examine their services, price points, and customer reviews. You’re looking for a market gap to fill. For instance, maybe the local market is missing a mobile bartending service that offers signature cocktails or a mobile draft beer system.
You might consider targeting a niche market by specializing in a certain aspect of your industry, such as corporate events or weddings.
You’ll need to determine if you want to provide the alcohol for your events, or have the hosts provide the alcohol. You could also offer snacks and develop a list of specialty cocktails.
Typically, a mobile bartender makes about $50 per hour. If it’s a cash bar and you provide the alcohol, you can charge a markup on the alcoholic beverages. You’ll also make tips. Your profit margin should be about 90%.
Once you know your costs, you can use this Step By Step profit margin calculator to determine your mark-up and final price points. Remember, the prices you use at launch should be subject to change if warranted by the market.
Your target market will tend to be more established people and businesses for corporate events. You should market to those people on Facebook and LinkedIn. You could also try to partner with catering businesses to handle bartending for the events they cater. You can find them on Google or Yelp and call them directly.
When operating a mobile bartending service, there are two primary scenarios to consider: being hired for a specific event at a predetermined location, or selecting a spot to set up and attract clientele. If you’re hired for an event, the location is provided, allowing you to focus on delivering top-notch service. However, when selecting a location on your own, several factors come into play.
The first step is to identify your primary clientele, such as young adults or corporate events, and focus on areas with a high concentration of this audience. It’s beneficial to be near popular event venues or gathering spots, especially those known for large-scale events like weddings and conventions.
Accessibility is crucial; ensure there’s easy access for your vehicle and equipment, and ample parking if clients need to visit. High foot and vehicle traffic areas offer increased visibility, especially if they’re well-lit for evening functions.
Before settling on a location, it’s essential to investigate local liquor laws, permits, and ensure that your operations comply with local zoning laws. Collaborating with nearby businesses, like food trucks or event planners, can be mutually beneficial and allow you to establish symbiotic relationships.
Here are some ideas for brainstorming your business name:
Once you’ve got a list of potential names, visit the website of the US Patent and Trademark Office to make sure they are available for registration and check the availability of related domain names using our Domain Name Search tool. Using “.com” or “.org” sharply increases credibility, so it’s best to focus on these.
Finally, make your choice among the names that pass this screening and go ahead with domain registration and social media account creation. Your business name is one of the key differentiators that sets your business apart. Once you pick your company name, and start with the branding, it is hard to change the business name. Therefore, it’s important to carefully consider your choice before you start a business entity.
Here are the key components of a business plan:
If you’ve never created a business plan, it can be an intimidating task. You might consider hiring a business plan specialist to create a top-notch business plan for you.
Registering your business is an absolutely crucial step — it’s the prerequisite to paying taxes, raising capital, opening a bank account, and other guideposts on the road to getting a business up and running.
Plus, registration is exciting because it makes the entire process official. Once it’s complete, you’ll have your own business!
Your business location is important because it can affect taxes, legal requirements, and revenue. Most people will register their business in the state where they live, but if you’re planning to expand, you might consider looking elsewhere, as some states could offer real advantages when it comes to mobile bartending businesses.
If you’re willing to move, you could really maximize your business! Keep in mind, it’s relatively easy to transfer your business to another state.
Business entities come in several varieties, each with its pros and cons. The legal structure you choose for your mobile bartending business will shape your taxes, personal liability, and business registration requirements, so choose wisely.
Here are the main options:
We recommend that new business owners choose LLC as it offers liability protection and pass-through taxation while being simpler to form than a corporation. You can form an LLC in as little as five minutes using an online LLC formation service. They will check that your business name is available before filing, submit your articles of organization, and answer any questions you might have.
Choose Your State
The final step before you’re able to pay taxes is getting an Employer Identification Number, or EIN. You can file for your EIN online or by mail or fax: visit the IRS website to learn more. Keep in mind, if you’ve chosen to be a sole proprietorship you can simply use your social security number as your EIN.
Once you have your EIN, you’ll need to choose your tax year. Financially speaking, your business will operate in a calendar year (January–December) or a fiscal year, a 12-month period that can start in any month. This will determine your tax cycle, while your business structure will determine which taxes you’ll pay.
The IRS website also offers a tax-payers checklist, and taxes can be filed online.
It is important to consult an accountant or other professional to help you with your taxes to ensure you’re completing them correctly.
Securing financing is your next step and there are plenty of ways to raise capital:
Bank and SBA loans are probably the best option, other than friends and family, for funding a mobile bartending business. You might also try crowdfunding if you have an innovative concept.
Starting a mobile bartending business requires obtaining a number of licenses and permits from local, state, and federal governments. If you’re providing the alcohol, you’ll need a liquor license.
Federal regulations, licenses, and permits associated with starting your business include doing business as (DBA), health licenses and permits from the Occupational Safety and Health Administration (OSHA), trademarks, copyrights, patents, and other intellectual properties, as well as industry-specific licenses and permits.
You may also need state-level and local county or city-based licenses and permits. The license requirements and how to obtain them vary, so check the websites of your state, city, and county governments or contact the appropriate person to learn more.
You could also check this SBA guide for your state’s requirements, but we recommend using MyCorporation’s Business License Compliance Package. They will research the exact forms you need for your business and state and provide them to ensure you’re fully compliant.
This is not a step to be taken lightly, as failing to comply with legal requirements can result in hefty penalties.
If you feel overwhelmed by this step or don’t know how to begin, it might be a good idea to hire a professional to help you check all the legal boxes.
Before you start making money, you’ll need a place to keep it, and that requires opening a bank account.
Keeping your business finances separate from your personal account makes it easy to file taxes and track your company’s income, so it’s worth doing even if you’re running your mobile bartending business as a sole proprietorship. Opening a business bank account is quite simple, and similar to opening a personal one. Most major banks offer accounts tailored for businesses — just inquire at your preferred bank to learn about their rates and features.
Banks vary in terms of offerings, so it’s a good idea to examine your options and select the best plan for you. Once you choose your bank, bring in your EIN (or Social Security Number if you decide on a sole proprietorship), articles of incorporation, and other legal documents and open your new account.
Business insurance is an area that often gets overlooked yet it can be vital to your success as an entrepreneur. Insurance protects you from unexpected events that can have a devastating impact on your business.
Here are some types of insurance to consider:
As opening day nears, prepare for launch by reviewing and improving some key elements of your business.
Being an entrepreneur often means wearing many hats, from marketing to sales to accounting, which can be overwhelming. Fortunately, many websites and digital tools are available to help simplify many business tasks.
You may want to use industry-specific software, such as HoneyBook, tripleseat, or Planning Pod, to manage your leads, bookings, and invoicing.
Website development is crucial because your site is your online presence and needs to convince prospective clients of your expertise and professionalism.
You can create your own website using services like WordPress, Wix, or Squarespace. This route is very affordable, but figuring out how to build a website can be time-consuming. If you lack tech-savvy, you can hire a web designer or developer to create a custom website for your business.
They are unlikely to find your website, however, unless you follow Search Engine Optimization (SEO) practices. These are steps that help pages rank higher in the results of top search engines like Google.
Starting a mobile bartending business is an exciting venture, and effective marketing strategies can make all the difference. Beyond creating a website and networking, here are practical tips to boost your mobile bartending business.
Unique selling propositions, or USPs, are the characteristics of a product or service that sets it apart from the competition. Customers today are inundated with buying options, so you’ll have a real advantage if they are able to quickly grasp how your mobile bartending business meets their needs or wishes. It’s wise to do all you can to ensure your USPs stand out on your website and in your marketing and promotional materials, stimulating buyer desire.
Global pizza chain Domino’s is renowned for its USP: “Hot pizza in 30 minutes or less, guaranteed.” Signature USPs for your mobile bartending business could be:
You may not like to network or use personal connections for business gain. But your personal and professional networks likely offer considerable untapped business potential. Maybe that Facebook friend you met in college is now running a mobile bartending business, or a LinkedIn contact of yours is connected to dozens of potential clients. Maybe your cousin or neighbor has been working in mobile bartending for years and can offer invaluable insight and industry connections.
The possibilities are endless, so it’s a good idea to review your personal and professional networks and reach out to those with possible links to or interest in mobile bartending. You’ll probably generate new customers or find companies with which you could establish a partnership.
If you’re starting out small from a home office, you may not need any employees. But as your business grows, you will likely need workers to fill various roles. Potential positions for a mobile bartending business include:
At some point, you may need to hire all of these positions or simply a few, depending on the size and needs of your business. You might also hire multiple workers for a single role or a single worker for multiple roles, again depending on need.
Free-of-charge methods to recruit employees include posting ads on popular platforms such as LinkedIn, Facebook, or Jobs.com. You might also consider a premium recruitment option, such as advertising on Indeed, Glassdoor, or ZipRecruiter. Further, if you have the resources, you could consider hiring a recruitment agency to help you find talent.
Events are back on after the pandemic, and people love cocktails. Mobile bartending is becoming increasingly popular and potentially very lucrative. If you have bartending skills, you could build a seriously successful mobile bartending operation.
You’ve learned the business side of things now, so it’s time to shake it up and launch your mobile bartending business.
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