Owning A MP - Help Me Out

[hawkeye69]

I have seen a few MPs advertised for sale and I have been kicking around the idea of buying one.

What better place for advice and ideas than right here. I am sure there is something I am missing as it seems pretty good. Buy a 4 room MP for $25,000, invest in advertising, clean up the place to make it more high end, say another, $25,000 or $30,000 and see where it goes.

Say $40 room fee, room gets used 4 times a day for all 4 rooms. Thats $640 a day or $3,800 a week (close Sundays and round down). That's about $15,000 a month, deduct rent and utilities, say $2,000 (guessing here) and a staff person (say $3,500 guessing here again), that leaves $9,500 a month or $114,000 a year, minus $20,000 licence and I have $94,000 for a part time business (not giving up my day job).

Obviously if it was that easy everyone would do it, so what am I missing.

Help me out here (but be kind).

Thanks in advance.

 

[papasmerf]

Don't forget legal fees

 

[hawkeye69]

Impact of bylaws

Sheik,

Do you have a handy link to the bylaws or suggestion on how to easily find the requirements, this part was an added twist I hadn't thought of and obviously need to understand the impact of.

 

[yoniluvrca]

Personally I think that one of the toughest aspects of owning an MP would be staffing. You would, IMO, be best hiring a really good female "den mother" type to handle all the stuff that the girls would no doubt throw at you. I think that you would have to pay her well, make sure that she is trustable & fair and stay out of her way. $2000 before taxes per month is Okay, but it isn't a fortune. This is just the sort of business that you would have to watch for staff skimming off profits if you were not there much.

 

[hawkeye69]

The $2,000 was for rent. I was thinking of $3,500 for her. I agree I would need a top notch person to help run it. Probably need to offer her profit sharing as well so there is an added bonus and it protects me as well.

 

[yoniluvrca]

The $2,000 was for rent. I was thinking of $3,500 for her. I agree I would need a top notch person to help run it. Probably need to offer her profit sharing as well so there is an added bonus and it protects me as well.

Ahh-that's better. Yes $3500 sounds pretty good. Hell. I'd dress in drag and look after the girls for that amount

And the profit sharing thing sounds like a good idea. This would really make it less attractive to skim.

 

[PedroSanchez]

couple of pointers

1-Liability insurance coverage 2million $(Commercial business)
2-License cannot be transfered
3-Body rub application form
4-you dont need zoning approval if the spa already exists
5-Bylaws will come for the next 4 month frquently because your a new owner
(testing the waters)
6-Make sure you have money to invest(better beds/supplies etc..
7-Get a criminal record check from your girls(dont want a problems)
8-Make sure no one is on drugs while working(Body rub license states it too)
9-Reasonable door fee and same in the back
10-No attitude<---zero tolerance,or you will lose $$$
11-try to buy a place with parking or close parking
12-You will need a criminal check too before applying for license
13-Its this or day time job.(So think carefully before entering this mp world)
14-Thats all folks
15-Be picky on who you hire(Attractive girls different kinds is always good)

 

[freshbreath]

tip: don't close on Sundays

 

[nautilus]

I think closing on Sunday is a good idea. Might attract ladies who have responsibilities elsewhere, and are more apt to treat this as a job. Some women are attracted to the spas which provide them with life outside of work.

 

[Dave in Phoenix]

Biggest problem perhaps finding a GOOD MP that is for sale at any reasonable price.

As far as I know there are no new licenses available in any of the GTA area cities. If you can find such a city that isn't surrounded by only cows instead of people that would be great. But I don't think its possible in the GTA, nor Hamilton nor Niagara Falls.

Therefore, existing MP's will probably be very high priced unless they already have a bad reputation, health or building inspection problems or owner is fed up with bad staff.

 

[Mikehorn]

You could end up hiring Leah

 

[kz65]

I'd see staffing as your biggest challenge, if the ladies are moving around from spa to spa, you being the new owner could impact your staffing.
poor staffing from the get go, might be difficult to bounce back from.
if the MP is fairly profitable why is it for sale?
perhaps taking on a good MPA as a small shareholder would help with the potential staffing issues

 

[Edifice]

Here's my recommendation: look at the economics (and other business aspects) of laundromats instead. You'll be pleasantly surprised.

How much do laundromat owners make?

 

[yoniluvrca]

How much do laundromat owners make?

Not that much, but you get to do you laundry for free

I have alway thought that owning a storage facility would be a profitable, if a bit boring, business. I mean people love to store stuff and how much overhead can there be. As long as you have a few staff members to do the office and let people in and out, and a good fire alarm & sprinkler.

When I stored my stuff for a while I remember signing a contract that said, basically, that if the place burned and all my stuff burned, they were in no way responsible.

But it is not as much fun a an MP. And are we not here to have fun?

 

[freshbreath]

I think closing on Sunday is a good idea. Might attract ladies who have responsibilities elsewhere, and are more apt to treat this as a job. Some women are attracted to the spas which provide them with life outside of work.

well, that's what schedules are for
those ladies who don't want to work weekends, well they don't have to
there's plenty of opportunity for part-time ladies who can't work any other time because of school, or whatever

 

[hawkeye69]

Sundays

I agree with freshbreath, don't know what I was thinking. Schedules are great and if you give ladies the choice of when they want to work, hopefully standards will remain high.

 

[nautilus]

It just seems to me that places that close Sundays, or have a limited Sunday schedule have less turn over of staff. JMHO.

 

[great bear]

Here's my recommendation: look at the economics (and other business aspects) of laundromats instead. You'll be pleasantly surprised.

SB, is it true you can really clean up with a laundromat?

 

[LancsLad]

SB, is it true you can really clean up with a laundromat?

I was looking to buy a laundromat but didn't persue it as they wouldn't let me go for a test spin.

 

[Consilio]

You need to demand a higher than average return as a "risk premium".

That and you have to put up with the possibility of certain groups shaking you down for cash...