Business Service

Club/Lounge Biz

A tavern or club in South Africa is a licensed establishment that serves alcoholic beverages, often combined with food and entertainment. It can range from a small neighborhood tavern to a large nightclub with DJs and live music. To start a successful tavern, shebeen, pub, or club, you need to follow a structured process, including business registration, liquor licensing, health and safety compliance, and tax registration. Before starting, decide on the type of establishment you want to operate:

Type of Business Model

  1. Tavern
  2. Pub
  3. Nightclub
  4. Shebeen
  5. Bar Lounge
  1. Tavern: A casual drinking spot with food and music.
  2. Pub: A sit-down establishment offering alcoholic drinks and meals.
  3. Nightclub: A dance and entertainment venue with DJs and themed events.
  4. Shebeen: A township-based drinking spot, often informal.
  5. Bar Lounge: A stylish bar with a relaxed atmosphere.

Step 2: Register the Business

To operate legally, you must register your business:

  • Register with CIPC
  • Register for Tax (SARS)
  • Apply for a Business Bank Account: Open a separate account for transactions.

Step 3: Obtain a Liquor License

In South Africa, selling alcohol without a valid liquor license is illegal. You must apply through your provincial Liquor Board.

Types of Liquor Licenses

  • Tavern Liquor License: Allows selling alcohol for on-site consumption.
  • Pub/Bar Liquor License: Suitable for serving alcohol and food.
  • Club Liquor License: Needed for nightclubs or members-only establishments.
  • Micro-Manufacturing Liquor License: For brewing and selling beer or spirits.

Liquor License Application Process

  1. Find your provincial liquor board and apply:
  2. Submit Business Documents: Proof of registration, ID, lease agreement.
  3. Health & Safety Inspection: Fire safety and hygiene approval required.
  4. Community Approval: Public notices must be displayed for objections.
  5. Pay Licensing Fees: Costs vary by province (R3,000–R15,000).

2. Compliance & Legal Requirements

1. Business & Tax Compliance

  • Register with SARS.
  • Get a Municipal Business License → Apply at your local municipality
  • Register for UIF & Compensation Fund if hiring employees → Labour Department

2. Health & Safety Compliance

  • Fire Safety Clearance: From the local Fire Department
  • Health Department Inspection: Ensure clean restrooms, kitchen, and storage
  • Noise & Environmental Permit: If playing loud music → Check Environmental Affairs

3. Alcohol & Public Safety Regulations


3. Business Setup & Marketing Strategy

1. Choosing a Location

  • High foot traffic areas work best.
  • Township locations need extra security measures.
  • Close to transportation hubs for convenience.

2. Setting Up the Tavern or Club

  • Buy Equipment & Stock:
  • Bar counters, seating, sound system, fridges, glasses
  • Alcohol stock from registered distributors
  • Hire Staff: Bartenders, security, cashiers, DJs

3. Marketing & Promotion

  • Create a website: Online Biz Makers can build a custom tavern website with the TastyC theme.
  • Click (here) for a live preview of the theme.
  • Social Media Advertising: Facebook, Instagram, and WhatsApp promotions.
  • Events & Happy Hours: Host live music nights, comedy shows, or beer specials.

4. Tavern & Club Tenders in South Africa

Tavern and club owners can apply for government tenders related to alcohol supply, events, and hospitality services.

Where to Find Tenders?

  • National Government Tenders: eTenders Portal
  • Municipal Liquor Supply Tenders: Check your local municipality website.
  • Tourism & Hospitality Grants: DTIC Business Support
  • Small Business Funding for Taverns & Clubs: SEFA Funding
  • Register with CSD (Central Supplier Database)

5. Benefits of Running a Tavern or Club Business

  • High Demand: Alcohol sales remain profitable.
  • Multiple Income Streams: Drinks, food, events, and private bookings.
  • Scalability: Expand to multiple locations or franchises.
  • Networking & Community Influence: Builds strong local business connections.

What will Online Biz Makers do for you?

  • Register Your Tavern/Club Business with CIPC,
  • File Beneficial Ownership & Annual Return.
  • CSD
  • Logo
  • Business Card
  • Share Certificate
  • Guidance
  • Design Your Website using the Tastyc Theme.

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