This month Midnight Hour places our 'Boge' Hartman front and center with our lead article - a brief Q&A on what surely is one of the oldest questions in the Night Entertainment game....
Nana Plaza's'Nana Beer Garden' (the semi-official moniker), a "tri-plex" of bar beers, was, once upon a time, Pharaohs, the Roadhouse and the Alibi.
Hi Boge,
A friend of mine owns a bar here in Bangkok, and has asked me if I'm interested in buying in. I have known this bloke (a Brit) for a number of years and trust him, so there's no worries about any 'jiggery pokery'. But I remember reading an old article of yours warning against foreigners buying a bar. Are there any hidden bumps in the road that I should know about? I would like to give my friend an answer this month if possible, before the opportunity evaporates.
Thanks in advance,
"Mike"
Greetings, Mike,
In my now-ancient article on this subject, I warned newbie farangs just setting foot in Thailand of the Three Common Pitfallslooming before them - things they should definitely avoid rushing headlong into. When I first penned that article almost 20 years ago, I noted the unfailing predictability of these newly arriving farang. -It went something like this: First, he shags his brains out with bargirls from everywhere - like he never thought possible - and realizes he wants to stay here longer than a couple of Tourist Visas will allow. He quickly comes around to the realization that if he wants to stay, he has to find some way to stay. And, invariably, he starts running headlong into the "Pitfalls". The First Pitfall I warned of was "buying a bar". The Second Pitfall was "rushing into getting married to a Thai girl". The Third Pitfall was rushing into "starting an import-export company" (this last one is somewhat dated, but the parallel exists today.)
...Invariably, he starts running headlong into the "pitfalls".
Your query involves the First Pitfall directly, and the Second Pitfall indirectly. The 'hidden bumps in the road' you are concerned about regarding investing in a bar are strewn liberally in your path from beginning to end. Therefore, there are not some, but rather many things you need to know up front about owning or investing in a bar. Lets start from the ground up, literally.....
To start off with, foreigners cannot own land. Period. While this does not directly involve bar ownership, indirectly it more than certainly does. If you don't own the land that the bar sits on, how likely is it that you will own the building sitting on it? Short answer, you won't own the building. You will either lease the building, or rent it. And if you want to do it legally and run your bar as a business, then you will have to do so with a Thai company.
...Many farang DO work in bars, and Officialdom will often look the other way, but....
Under most circumstances, you cannot start a company on your own, or with other foreign friends : you would have to start a company with 51% (minimum) Thai ownership. This will be true, even though you most likely will be forking over all the money for the investment - not your Thai partner. Your Thai partner is able to get your liquor, dancing, music, etc, licenses in his / her name, not yours. He is in control. Note - there is an exception to this for American citizens, who can own a business through the so-called Amity Treaty, however, you would quickly find out that the type of company you are trying to open (your bar) is not what the authorities consider beneficial to, or consonant with Thai-American commercial goals.....
Note : in companies where the Thai partner owns 51%, the usual (previous) method was to have the company shares organized so that voting shareholders signed over their votes to the foreigner, so that he effectively had control over "his" company. Nowadays, however, the authorities are cracking down on this - more so as time goes on.
There are also cases where a foreigner does marry a Thai and they open a bar. However it is in the Thai wife's name only, not his. And, technically, he cannot even work in the bar unless he obtains a Work Permit - also exceedingly difficult - bordering on impossible, if you are talking about a getting a Work Permit to run a bar. Note: many farangDO work in bars without Work Permits, and Officialdom will often look the other way, but there is no guarantee there won't be a 'crackdown' at any time. This could result in that person being 'asked' to leave country.
Nightlife history is strewn with bad luck stories regarding the subleasing of bars.
In all likelihood, it is almost certain your English friend does not personally "own a bar" in any real sense of the word. And in many cases, the person calling himself the "bar owner" is holding a sub-lease from the prime lessee, who has leased the premises from the owner. Bangkok nightlife history is strewn with bad luck stories regarding the subleasing of bars. The most calamitous case of this was the demolishing of the entire Sukhumvit Square Night Entertainment Area on Soi 10 back in February of 2003, where 60 bars and several other shops were bulldozed in the middle of the night by the real owner (Chuwit Kamolwisit) who had one of his shell companies lease the land to a second corporation, which in turn leased the parcels out to the "bar owners". Each and every one of the proprietors of those several dozen shops and bars held in their hands what they thought to be valid leases to their plot - and all of them were wrong : a person or legal entity cannot sub lease to you some parcel that exceeds the length of the original, primary lease.
And your troubles are still not over. Your friend, the Englishman, is someone you trust, and that's fine and dandy, but what's trust got to do with it? At some point, you have to sit down and talk nuts and bolts and dollars. (Tina Turner singing, What's Love Got To Do With It? comes to mind.) And, there is a great likelihood your friend does not understand Thai law himself. He may not even be intending to screw you, and you both might end up sitting on the curb. On the other hand, he may be politely screwing you - how many other partners does he have besides you? How many other, additional partners can he get after you sign on the dotted line? There are infamous cases where bars have been "over-sold" - take the example of the Titty Twister disaster in Nana Plaza - where the so-called "owner" sold several 50% shares to unknowing "partners" - and then left town, suddenly, quietly.
...What's trust got to do with it?
Has your prospective partner gone over the written conditions of your partnership with you? Do you have sufficient experience in reading and evaluating legal documents? Is what he's showing you (if anything at all) a 'legal document'? Are you sure you are getting involved in a profitable business? Has he shown you legitimate earnings statements as to what the bar grosses and profits every month? Think about it - if your friend were making a fortune running "his bar", would he be looking for partners?
While we are at it, all the monies you put into a bar for renovations should be considered 'spent', and unrecoverable. Many leases stipulate that any modifications you make to a structure become property of the owner - and while this is often not pressed, in your business plan (you have one, right?) you should consider this money down the rabbit hole - this needs to be considered an up-front 'cost of doing business'.
- If your friend were making a fortune... would he be looking for partners?
A last item of interest, as you will certainly be expected to fork over money for your share of the partnership, so will you be expected to contribute your share of the money from time to time for renovations and repairs - and not surprisingly, some of this is expected of you up-front, especially in the 'renovations' category. And when the bar comes up short at the end of the month in the off season, get ready with your share of the A Go-Go dancers' salaries.
If, in fact you have a firm grip on all the above, and you and your future partner are in full understanding and agreement, in writing, then I will suggest that you do one last thing: Print this article out and take it, along with a draft copy of your written agreement, to a farang lawyer who has been working in Thailand for many years. Discuss all these points with your lawyer before you do anything else - it will be money well spent.
And the next time you hear someone say the words, "my bar" in a sentence, make sure a red warning light goes off in your head. If ever there was a case for caveat emptor, this is it.
A friend of mine from Army days says he remembers wild scenes at the Grace Hotel Coffee Shop on R&R from Vietnam. I was a regular at the Nana Hotel in those days, so I pretty much stuck with the action in the Nana Coffee Shop, but if my memory holds up, I think that the Grace Coffee Shop didn't get started until after that - what say you?
Thanking you in advance,
"Mike"
Greetings, Mike,
Human memory is a strange animal, telescoping, magnifying, relocating, forgetting. Ours included. That's why we (try to) live by The Rule - "A two inch pencil is longer than the best memory". In other words, we keep records. The Nana Coffee Shop was already a going concern as a freelancer pick-up spot since the mid-sixties. When we first visited there, in 1967, the place was a hive of Nighscene activity, just as was the now-long-extinct Thai Yonoke across from the old Gaysorn warren of sois. The Nana Coffee Shop has had 4 major revitalizations and internal relocations since then, and the current Coffee Shop configuration is approximately that of the original. However in recent years, since the hotel opened the Golden bar beer in the front, the actual Coffee Shop has ceased to be a haven for freelancers.
The Grace Hotel Coffee Shop, on the other hand, did exist in the early seventies, but it wasn't until the end of 1973, or early 1974, that it started to become an alternative to the Nana Coffee Shop as far as the freelancer scene was concerned - this was no doubt accelerated by the temporary closures of the Nana Coffee Shop for it's periodic renovations. By 1975, the 'Grace' had surpassed the 'Nana', in the freelancer arena (both being 24-hour), and the wild goings-on that were earlier to be found in the Nana Hotel Coffee Shop had shifted - at least to a greater extent - to the Grace. As noted, by that time, the Nana Coffee Shop had started to decline in that regard. (There was a brief period of overlap, however, and we nightcrawlers would make the obligatory swings through 'The Triangle' - the Nana Coffee Shop, the Grace Coffee Shop and the Thermae - as did a number of the freelancers, by the way.)
The above is the background, and now to your specific inquiry. The R&R program of the US military ceased in January 1973, on the signing of the Paris Peace Accord, and the US armed forces departed Viet Nam several days after that. Therefore your friend could have possibly visited the Grace Coffee Shop on R&R to Bangkok before that time in late 1972 but he would not have found much of anything there, except perhaps coffee.
There was, however, a US military presence here under JUSMAGTHAI until June of 1976. If your friend was assigned here in Thailand up to that time, it is not only possible, but likely he did visit the Grace Coffee Shop in it's wilder days. And while it may have had the look-and-feel of R&R, technically it was not.
We can answer virtually any (reasonable) question on the Expat Night Entertainment Scene in
Bangkok - be it Historical or very recent. Send us an e-mail and
we will do our best to answer you soonest.
In spite of King's Group's current woes with personnel (khon serbs & dancers) abandoning their Patpong 1 bars for Cowboy and the NEP, they are continuing to update their stable of A Go-Go bars. This month the King's Corner is renovating, and will be closed for 15 days (or until the renovations are actually completed.) They obviously have the long-term in mind....
- File photo
PATPONG I
Closed temporarily (for one month), the King's Castle II has reopened. Welcome back to the same old same old.....
After a wait of several months, the Lighthouse has just recently put up some heavy-duty neon - definitely the best of the new neon this month. Let the good times roll....
The K & S Bar has just opened in the old Zen Bar / The Lounge digs. It looks like they have extended their square footage / front verandah seating just a tad. Welcome to the machine.
NANA PLAZA - (Sukhumvit SOI 4)
While the Monster Ink does have extensive tattooing facilities at the rear of the shop, they also have a very popular bar beer out front near the spirit house. May they keep on keeping on....
The OK Massage, located in the Rajah Hotel compound near Hillary 1, have put up some supplemental signage. Hard to miss. May they continue to slip and slide.
SOI NANA
The Mai Peng Disco is lights-out for the short-term, while they reconsider their business plan. The group also has the Insanity on Soi 12 and The Australian on Soi 11, among other assets. Should business pick up soon, they are likely to reopen the disco. May the nightgods smile....
The Honey Bee Massage has taken over the reins from the previous O'Dee Massage on Soi Lemongrass. Welcome them to the nightgames.
SOI 22 - (Sukhumvit)
'Cellfie' IT'S A DIGITAL, DIGITAL, DIGITAL WORLD
Take a wild guess as to how Asia Massage masseuses while-away the time between customers.....
SOI 22 - (Sukhumvit)
Gone, but not gone, after almost two months, the Overground has popped back up out of it's crypt, and is back up to full-speed-ahead. Welcome them back to the trenches - located in the Honey Plaza.
- File photo
SOI 22 - (Sukhumvit)
The Moderation Bar has fallen on hard times, it seems. Their roller-shutters padlocked to the floor, and nary a note of sayonara.... We'll keep an eyeball peeled, and should they reopen, we shall so trumpet... Located in Soi Titanium.
- File photo
SOI 22 - (Sukhumvit)
The Easy Pub was closed again when we passed by the other night. Unconfirmed street-chatter says that this bar and the three listed below, Lavender Massg, the Happy Bar and Square One, have closed as a part of the final push by the owners of the larger land parcel (which included Washington Square, the Soi 22 entrance and several adjacent buildings). It's business as usual, at least for the time being, for two others (Denny's Corner and Sidewalk Cafe). As we have seen Easy Pub close temporarily before, we will of course keep a watch out, and any change in status will be reported.
- File photo
SOI 22 - (Sukhumvit)
The Lavender Massage, a somewhat ambiguous massage parlor, has closed as part of the reported larger land redevelopment project inclusive of Washington Square. The masseuses have moved to other massage parlors deeper into the Soi, so you will still be able to find your favorites....
SOI 22 - (Sukhumvit)
Taffy's New Square One has closed, and it is rumored that this closure was also as part of the reported larger land redevelopment project inclusive of Washington Square. Should this not be just a temporary closure, this would be an 'end-of-an-era' closing - the 'Square One' story goes back to the founding days of Washington Square. We'll be keeping an ear to the ground on this and get back atcha if there is any change.
- File photo
SOI 22 - (Sukhumvit)
The single-shophouse Happy Bar, adjacent to the Lavender, has closed, again as part of the rumored larger land redevelopment project inclusive of Washington Square.
The New Yasurangi Japanese club never had an English language sign, so there was not one to take down. Nevertheless, it has closed, and in it's place the 33 Snack Bar lounge has opened up. Welcome them to the neon jungle.... Our expert on all things Japanese notes that "Snack" or "Snack Bar", or even "Bar" will likely include eats and drinks, with emphasis on drinks and hostesses....
SOI DEAD ARTISTS - SOI 33
The Joy. opening and closing as it chooses, is now either open or closed.... No wait a minute, this time around, it is open.... How long can this go on?
- File photo
SOI DEAD ARTISTS - SOI 33
The The Club has opened in the old Naree Massage premises. It is reported to be a 'Boy Bar'.... you may want to ask what kind of a boy bar before you go in. Let 'er rip, then, gentlemen.....
SOI DEAD ARTISTS - SOI 33
The Omotenashi Club Mitu has opened newly on the 2nd floor of the S 33 Hotel. Note the Thai (legal) name is simply "Mitsue", and is a close relative of Massage Club Mitu (Mitsue) located next door to the Moulin Rouge. We originally thought the new Omotenashi Club Mitu was occupying the upstairs portion of the now defunct New Club Fushicho, but on closer inspection, the old Fushicho, upstairs and downstairs, is still under renovation - new name not yet available.
Clubbing, anyone? And we don't mean baby fur seals.... The Wax Late really means "late" - they don't open at 8:00 p.m. like the A Go-Go bars. This month Wax has added some new - and attractive signage. May they continue to bop the night away....
SOI AMBASSADOR - SOI 11
The Night Friends Bar is a new indoor-outdoor bar beer at the top of Soi Ambassador. May the nightwinds blow kindly.
SOI AMBASSADOR - SOI 11
Dining late? Trying to think of a place that's still open - and has good food - and has a relaxing indoor-outdoor bar ambiance? Check out the Zanzibar - they serve 'till 01:00 a.m.
The Platinum has taken down their shiny sign and put up this one - not quite as spectacular, but certainly easier to see at a glance. Business as usual.
The Before After started out a couple of months back as a great little French Restaurant. And they still are a sort-of best-kept-secret as far as the French cuisine is concerned, however, we have noted the recent addition of black lights and attractive hostesses - at least in the evenings. And that can't be all bad....
Bangkok Eyes goes back in time to see
Who was new - And who was through
in the Expat Night Entertainment world.
How many of these old 'oases'
do you remember ?
Patpong I
*A's Bar opened newly upstairs next to the Takara II Bar Ber. No Nitespot is currently in the old A's Bar premises. Currently the Club 66 occupies the premises of the Takara II Bar Ber.
*Bar Play Boy opened for the first time upstairs in the just-then closed Takara Bar. No Nitespot exists at that location presently, but it was located next door to the Takara Turkish Bath & Massage (now called just Takara Massage).
*New Castle Bar opened newly upstairs in what was the Lucky Bar up to that time. There are no bars at that location presently, however it was located just to the side of Mizu's on the Suriwong Rd side.
Patpong 2
* The Elixer closed - currently the Glamour Girls occupies those digs.
* The E.C. Pub closed - those premises now home to Cosmos.
* The Chin Juku returned to the 2nd floor of the Cosmos stairwell. It was briefly taken over by one of the Torino bars. There is currently no Nitespot at that location.
* The New Center Pub & Restaurant, 4th floor of the Cosmos stairwell, opened in what was, until then, the New Perfect Club & Rest. There is currently no Night Entertainment Venue on the 4th floor.
* The Montana Pub, up on The Ramp closed down. Although there were successive Nitespots at that location, currently there is none.
* The Mr Natural, also up on The Ramp,
also closed down. Today those premises are occupied by the 501 Studio Bar.
Soi Cowboy
* The Quiet Spot moved next door into what was the Apache digs. Note: this was not the end of the Apache, just the beginning of some 'musical chairs' for those few bars.....
Nana Plaza * No changes that month / year.
Soi Katoey(Silom Soi 4) * No changes that month / year.
Banksy goes Animated ...IN AN APPEAL FOR PEACE IN SYRIA
The With Syria website is currently making an appeal for Syria. Scheduled on the 3rd anniversary of the civil war in Syria, they are inviting one and all to participate in a collective act of solidarity in hopes of ending the conflict. The core theme, their symbol of hope, is the Banksy graffiti "Girl With Balloon", which has been made into a short animated cartoon video. In what they anticipate will be a popular, viral movement, children will release red balloons, simultaneously, from vigils being held at many points around the globe.
A sampling of screen shots from the "With Syria" video. Check out their website and view the video at withsyria.com <LINK>
- Copyright : WithSyria.com
A pat on the back is certainly due such high minded support for the suffering of many thousands of persons victimized by the Syrian conflict. And we certainly wish the With Syria folks well in their quest, however it must be pointed out that awareness, while essential, cannot contribute directly to solving the problem. As they say, ' Awareness and sixty baht will get you a cup of coffee at the Thermae.' Further, everyone who at least potentially could have a direct effect on cessation of hostilities, from the leaders of nations to the U.N. - and on down to the several relief agencies, is already very much aware of the tragedy - of the deaths, of the injured, of the displaced persons, of the fractured families. Unfortunately, awareness has not stemmed the mayhem. Once again proving that the pen is mightier than the sword - except in an actual sword-fight....
The below is extracted from the With Syria webpage. For more information, please visit their site.
"The #WithSyria campaign will launch in thirty five countries as we approach the anniversary of the Syria conflict on the 15th of April, amassing an unprecedented popular movement in solidarity with those caught in the conflict. A collective appeal will be launched by global organisations and key individuals calling on political leaders to sign up to a pledge to do everything they can to make this the last anniversary marked by bloodshed.
A series of actions will highlight the call built around the global release of “With Syria” balloons by children from around the world, the lighting up of iconic buildings, messages of solidarity from high profile individuals, and a campaign video taking inspiration from Banksy’s image of hope.
April's Nightlife News 
TOP
PATPONG I 
MAP
PATPONG I 
2002 - 2014,
BANGKOK EYES / bangkokeyes.com