My barber took $120,000 from Amex and opened a barbershop where nobody cuts hair
The chairs are real. The mirrors are real. The lease is real. But the revenue has nothing to do with haircuts
He converted the back half into a private poker room 🎰
The front looks like a barbershop because the city permit says barbershop. He keeps two chairs active with a part-time barber who actually cuts hair during the day. Revenue from haircuts: maybe $3,200/month
The poker room runs Thursday through Sunday nights. 8 seats. $500 buy-in minimum. The house takes a 5% rake on every pot, capped at $25
Average pot per hand: $300. Hands per hour: roughly 30. House rake per hour: roughly $200-$400 depending on action
Thursday to Sunday. 6 hours per night. 4 nights per week
$300 average rake/hour x 6 hours x 4 nights = $7,200/week
$28,800/month from a back room with 8 chairs, a felt table and a locked door
Plus food and drink markup. He charges $15 for a beer and $40 for a steak plate his cousin cooks in the back. Nobody complains because the alternative is leaving to eat and losing their seat
His setup cost on 0% credit:
Lease deposit and first 3 months: $18,000
Barbershop buildout and equipment: $24,000
Poker room (tables, chairs, lighting, ventilation, cameras): $31,000
Inventory, insurance, branding: $12,000
Operating runway: $35,000
Total: $120,000 across Chase Ink, Amex Blue Business Plus and US Bank. All during introductory promotional periods
Cards paid off by month 5 from the rake alone. The barbershop revenue covers rent
"Isn't an unlicensed poker room illegal?"
Private poker games where the house takes no rake from the pot are legal in many states. Games where the house takes a rake can require a gambling license depending on jurisdiction. His state allows private card rooms with specific licensing. He has the license. It cost $2,400
He told me "the barbershop is worth $3K a month. The room behind the barbershop is worth $28K a month. Amex funded both and has no idea which one prints"
The bank bought a barbershop. Human vice pays the mortgage lmfaooo
(700+ score. link in bio. we fund the whole thing)