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Bar Management Agreement Template for New Zealand

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Key Requirements PROMPT example:

Bar Management Agreement

"I need a Bar Management Agreement for my upscale cocktail bar in Wellington, where the management company will have full operational control and receive a base fee plus 5% of monthly revenue, with the agreement starting March 1, 2025."

What is a Bar Management Agreement?

The Bar Management Agreement is essential for establishments in New Zealand seeking to delegate operational control of their bar to professional managers or management companies. This document is particularly relevant when bar owners want to maintain ownership while engaging experienced professionals to handle day-to-day operations. The agreement must comply with New Zealand's regulatory framework, particularly the Sale and Supply of Alcohol Act 2012, and includes comprehensive provisions for licensing, operational standards, financial arrangements, and risk management. It's commonly used in situations involving new bar ventures, ownership transitions, or when owners seek to professionalize their establishment's management structure while retaining ultimate control of the asset.

What sections should be included in a Bar Management Agreement?

1. Parties: Identifies and provides full details of the bar owner and the management company/manager

2. Background: Sets out the context of the agreement, including brief description of the premises and the parties' intention to enter into a management arrangement

3. Definitions and Interpretation: Defines key terms used throughout the agreement and establishes interpretation rules

4. Appointment and Term: Specifies the appointment of the manager, term length, and any renewal provisions

5. Manager's Responsibilities: Details the manager's duties, including staff management, inventory control, compliance with laws, and maintaining licenses

6. Owner's Responsibilities: Outlines the owner's obligations, including maintaining the premises and providing necessary resources

7. Licensing and Compliance: Addresses alcohol licensing requirements and regulatory compliance obligations

8. Financial Terms: Details management fees, payment terms, revenue sharing, and financial reporting requirements

9. Staff and Employment: Covers employment responsibilities, including hiring, training, and compliance with employment laws

10. Insurance and Liability: Specifies required insurance coverage and allocation of liability between parties

11. Termination: Sets out grounds for termination, notice requirements, and consequences of termination

12. Handover Provisions: Describes the process for transitioning management at the end of the agreement

13. Confidentiality: Protects confidential information of both parties

14. Dispute Resolution: Establishes procedures for resolving disputes between parties

15. General Provisions: Includes standard clauses like notices, amendments, governing law, and entire agreement

What sections are optional to include in a Bar Management Agreement?

1. Food Service Operations: Include when the bar offers food service, detailing kitchen management and food safety compliance

2. Equipment Lease: Include when specific equipment is being leased as part of the management agreement

3. Intellectual Property: Include when the bar has significant branding or proprietary systems

4. Marketing and Promotion: Include when the manager has specific marketing responsibilities or budget

5. Performance Targets: Include when specific performance metrics are tied to compensation or contract renewal

6. Exclusivity: Include when the manager is restricted from operating competing establishments

7. Force Majeure: Include when parties want specific provisions for handling unforeseen circumstances

What schedules should be included in a Bar Management Agreement?

1. Schedule 1: Premises Details: Detailed description of the premises, including floor plans and facilities

2. Schedule 2: Inventory List: Comprehensive list of equipment, furnishings, and initial stock

3. Schedule 3: Financial Terms: Detailed breakdown of management fees, revenue sharing, and payment structures

4. Schedule 4: Performance Metrics: Specific KPIs and performance targets if applicable

5. Schedule 5: Required Insurance: Detailed insurance requirements and minimum coverage levels

6. Schedule 6: Operating Procedures: Standard operating procedures and compliance requirements

7. Appendix A: Licenses and Permits: Copies of all relevant licenses and permits

8. Appendix B: Staff Positions: List of required staff positions and qualifications

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions








































Clauses










































Relevant Industries

Hospitality

Food & Beverage

Entertainment

Leisure

Tourism

Property Management

Retail

Relevant Teams

Legal

Operations

Finance

Compliance

Risk Management

Commercial

Property Management

Business Development

Senior Management

Relevant Roles

Bar Owner

Operations Manager

General Manager

Compliance Officer

Legal Counsel

Finance Director

Property Manager

Business Development Manager

Hospitality Manager

Risk Manager

Commercial Director

CEO

Managing Director

Contracts Manager

Industries










Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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