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How to Start an Strip Club Business? (Online Gentlemen’s Club Business Plan)

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- 11 mins read

Strip clubs are paradise on earth and what better would a man want to hear than, “Hey handsome! Want to buy me a drink?” at the end of the day!

Anyways, let’s get to the point. So, you’re thinking about opening a strip club? Well, we say let’s do it!

Opening a strip club in the modern age is no joke but that’s what we’re here for! In fact, we’ll make starting a strip club as easy as opening a webcam business for you.

Starting a strip club requires a lot of effort, planning, investment and most importantly, patience. In this strip club business guide, we’ve cracked it down all for you. From what you need to open a strip club to how to start a strip club, everything you possibly need is here.

That said, let’s get started with the basics. When you are trying out a new venture, brushing up on the basics can really go a long way.

What is a Strip Club?

A strip club is a special type of club that mostly operates in the evening and night hours where performers remove their clothes and dance in front of the audience using a pole. Strip clubs are also called gentlemen’s club.

Running a strip club includes lots of rules and regulations. Countries like the USA, United Kingdom, Europe and Australia have some of the best strip clubs in the world.

Here’s how a strip club usually works.

People visiting the strip club (mostly men) will be paying a minimum charge initially (entry fee). The performance area will be occupied by female strippers who dance on the stage or with a pole and entertain the audience.

The audience can tip models and even ask them for private services – lap dancing, stripping to nude and more. If things get steamy, they might go and have a private arrangement. All these services are for additional money and it comes out of one’s own pocket.

Apart from this, one can avail of exotic boozes (depending on the strip club) and food. And yes, there are always bouncers to maintain order within the club.💪

As for the earnings, the main sources of income for strip clubs are alcohol, entry fee and food.

So, that’s what a strip club is in a nutshell.

Is It Legal to Start a Strip Club Business?

The answer is yes. It is completely legal to start a strip club business. But it also depends on which geographical area you are from.

For example, Iceland and Edinburgh have banned running strip clubs in the last few years. But in the USA, you can open a strip club without restrictions by checking with the local authority. In fact, the state of West Virginia has one strip club for every 28,456 people.

So, the bottom line here, it is legal to open a gentlemen’s club business but it’s always safe to check with the local authorities and have proper documents, licenses and safety measures in place (we’ll look at what they are in the following sections).

Why You Should Start a Strip Club Business?

Starting a strip club is profitable. That’s the kind of notion you have on your mind. Well, you aren’t wrong but here are more accurate statistics on why you should open a strip club.

  • The strip club is a whopping $7 billion industry.
  • In the United States alone, there are more than 3000+ licensed stripping business clubs.
  • Strip clubs are responsible for employing more than 33,000+ employees.

Though running a strip club requires a lot of effort and stringent measures, if done properly, it can generate a huge amount of revenue.

Now that we’ve covered the basics, let’s get in-depth.

Starting a Strip Club – Everything You Should Know

When it comes to opening a strip club, there are certain things you should know. More appropriately said, you’ve got to plan a lot of things beforehand to make your strip club business a success.

In this section, we have discussed everything you need and should know for opening a strip club business.

1. A Busy Location

Your strip club’s location is one of the key factors that determine success. Starting a strip club in one of the buzzing areas of the city will drive more footfalls. This means that the costs are going to go up but going for a busy location is kind of mandatory if you want to open a strip club.

Or, if you’re probably planning to start a strip club in Vermont, then there’s an exception!😉

2. The Premises of Your Strip Club

We’re talking about the interior structure of your strip club here. Most strip club businesses are buildings in the first place which are then converted according to the requirements.

So, when you’re starting a strip club, plan it out carefully. There needs to be a big stage space for performers and a lot of rooms for private services. A good bar space, seating tables, and lighting are mandatory.

You can also create a separate VIP lounge with top-class performers and a special entry fee.

3. Hire Strip Club Dancers

This is the second most important thing you need to open a gentlemen’s club business.

Based on the location and the size of your strip club, decide on the number of strip club dancers you’re going to hire. There should be at least five models performing on the stage. Also, have models behind the stage to replace models if someone gets booked for private services.

The best way to hire strip club dancers is by creating job postings and sending out flyers.

4. Hire Staff for Your Strip Club

Apart from hiring dance models, for running the strip club smoothly, you need to hire support staff.

  • DJ
  • Bouncers
  • Bar Tenders
  • Cleaners
  • Technicians
  • Waiters
  • Managers – Administration, Sales, Marketing and Resources

All these staff are crucial to keeping your strip club functioning efficiently.

5. Supplies for Your Strip Club

Supplies include food, liquor, etc. You definitely cannot purchase raw groceries and liquor at the market price. You need to get them restocked often so you’re definitely going to need wholesale vendors for this.

6. Licenses and Documents to Start a Strip Club Business

Opening a strip club business includes getting a number of licenses and documents. Some of the most common licenses and permits you should be obtaining are,

  • General Business License
  • Health & Safety Permit
  • Liquor Handler License
  • Seller’s Permit and Resale Permits
  • Entertainment License
  • Sales Tax License
  • Business & Liability Insurance
  • Company Bylaws
  • State Permit and Building Approval

There’s a lot more to this. Seems overwhelming, right? 

The best way to go about this is to hire a lawyer for your strip club business who can take care of all this procedure.

Important Tip: It’s best that you register your strip club business as an LLC. This way, you will not be individually responsible for actions within your strip club and can protect yourself from lawsuits.

7. Proper Marketing and a Grand Opening Ceremony

Only when there’s a proper marketing strategy for your strip club, there’s going to be enough traction and footfalls. Have an efficient marketing team in place that can manage your social media handles and your online presence.

But before that, a grand opening ceremony for your strip club is mandatory. This helps gain a lot of attention and in no time you will be the owner of a popular strip club business. Offer free food, free entry fee and anything that you can afford at the opening ceremony.

So, that’s everything you need to know beforehand when it comes to opening a strip club. While each section needs careful planning and execution, that’s the overview. And yes, there’s one more thing you need to know.

How Much Does it Cost to Start a Strip Club?

Getting your finance sorted is quite essential when you are planning to open a strip club. Here’s a quick estimate of how much it will cost to start a strip club.

“Starting a strip club will cost you approximately $300,000 to $350,000.”

Here’s a further breakdown to help you understand this figure better.

  • Strip club business registration – $750
  • Expenses for licensing and permits, office machinery – $3000 – $3300
  • Marketing & promotion – $3000 (average estimate of online ads & physical marketing)
  • Insurance cost (property, worker compensation, general liability) – $2000 – $2400
  • Lease/renting a building cost (with renovation) – $200,000 – $250,000
  • 3-month operational cost (bill payments & salaries) – $40,000+
  • Inventory & accessories (storage, counter area, store equipment) – $20,000
  • Club necessities (flat screen, sound system, furniture, etc) – $50,000
  • Grand opening party – $2000 – $3000

Note: All calculations mentioned above are approximate and based on the US region at the time of drafting this article.

So, that’s how much it costs to start a strip club. With that, we’re moving to the next section.

The Different Types of Strip Club Businesses

For so long, when one hears of the term strip club, all that comes to their mind is the huge club with audience flocking, booze and performers on the stage. 

But there are different types of strip club businesses and we’ve mentioned them here for you.

1. Physical Strip Club

This is what we’ve been talking about all this time. Physical strip clubs have been in existence for a long time. There’s booze, performers and audience.

2. Drive-Thru Strip Clubs

The new kind of strip club that’s been in existence for a while now. Like the name says, drive-thru strip clubs are where you enter with your car, watch strip dancers perform all you want behind a bar, order food to consume and then leave.

Running a drive-thru strip club is cheaper when compared to physical strip clubs. The US already has such types of strip clubs – Lucky Devil Lounge in Portland, Vivid Gentleman’s Club in Houston and more.

3. Online Strip Clubs

Here, you can do everything that you do in a strip club. But the only difference is, it’s all digital. Of course, there’s no booze or physical intimacy, but you can engage with the performers, talk to them and make them strip for you all in the comfort of your home.

Let’s make it even simpler for you. Do you know what Chaturbate is?

Well, it is an online adult cam site that allows webcam models make money by performing sexual and erotic acts for the audience – includes strip teasing, erotic talks, usage of sex toys and even masturbation.

Simply said, everything that can happen in a physical strip club can happen here ONLINE. There are also other webcam sites for models to work that allow strip teasing and other adult activities. CamSoda and BongaCams are a few to mention.

Running an online strip club is way cheaper when compared to running physical and drive-thru strip clubs. Because all you need is a website and a couple of models.

The models will continuously engage with the audience and make money out of which you’ll take a commission percentage in autopilot. The earnings can mount up quickly leading to great revenue in a short period of time.

Speaking of the same, here’s a quick comparison between physical and online strip clubs.

Physical vs Online Strip Club – Which One Should You Choose?

By now, you’d have confusion about which type of strip club should you choose to go ahead with. This quick comparison table can help you make a decision.

Physical Strip Club

Online Strip Club

1. Requires a physical location to run.The entire setup is completely online.
2. Needs at least 30+ working staff to manage the day-to-day functions of the strip club.Since everything is online, you don’t need to hire staff apart from models. The site admin can manage web settings and monitor performance.
3. Requires at least 10+ licenses to be obtained.No such documentation is needed. All website models and users should be aged above 18 and proper adult discretion messages should be present.
4. Models need to be present in real-time to work for physical strip clubs.Models can work from the comfort of their homes for online strip clubs.
5. Need to constantly re-stock liquor, pantry and other essentials.No food and liquor are needed.
6. High physical marketing and promotional activities are needed.Promotions are purely online and cheaper compared to physical marketing.
7. The business setup cost is around $250,000.The total online strip club business setup cost is $3000.
8. Earning potential of physical strip clubs per week is $5000 – $7000 provided everything works out well.The earning potential for online strip clubs can easily surpass $3000 per week in the early stages. The earning potential of webcam models is way higher when compared to strip club dancers.
9. Setup requires at least 3-4 months to complete the process.Setup only takes less than a month using a white-label adult cam website software.

Now, that’s what we are talking about! To sum it up for you, here are five quick reasons why you should open an online strip club and not a physical strip club.

  1. Setup costs are 10X cheaper than a physical strip club.
  2. Earning potential is more or less the same.
  3. Models can work from the comfort of home. Safe & secure.
  4. No need to hire multiple staff and restock food or liquor.
  5. Operational cost is very miscellaneous and eliminates the need for multiple licenses.

In all ways, choosing to open an online strip club is the best option here. It’s easy, cost-effective, safe and has high earning potential. If you don’t trust us, the revenue of Chaturbate in 2021 was $30+ million. That’s how good Chaturbate is!

Speaking of opening an online strip club, we are going to use xCams here.

xCams is an adult webcam script that lets you create your own cam sites like Chaturbate, MyFreeCams and LiveJasmin. We’ll talk more about xCams but first, let’s see how to start a strip club using xCams.

How to Start an Online Strip Club Business Using xCams?

We’ve mentioned the process step-by-step method for a better understanding.

Step 1: Name, Branding & Logo for Your Online Strip Club

Strip clubs are known by their name, branding and logo. Whether it be online or offline, you have to nail this.

The name of your adult cam site should be easy to remember, be attractive and make the audience immediately recognize what the website is about. The same goes with the branding and logo – make it visually appealing and attractive.

If you have trouble choosing a name, this read, how to select the domain name for adult websites should help you out.

Step 2: Choosing the Best Porn Niches

There’s a lot of opportunity beyond just strip teasing. While stripping can be the major theme for your online club, exploring the best porn niches is something you should do.

Building an online strip club with the best niches will definitely drive more footfall, leading to better revenue. Some of the popular porn niches apart from striptease are cosplay, roommate, big tits, etc.

Step 3: Purchase xCams Adult Cam Site Script

Now that you’ve decided on the name and what niches your online strip club is going to have, go ahead and purchase xCams cam site script by Adent.io.

Screenshot of xCams Price

You can choose between xCams and xCams Pro for your online strip club. With xCams Pro, you can easily list cam videos from other top sites like BongaCams, Chaturbate, etc and earn affiliate commission.

xCams also offers a demo to help you get a better understanding of the product.

Step 4: Adult Web Hosting and Domain Name

When you are opening a strip club online, it is important that you go forward with adult web hosting services. Because hosting with a normal server will get your website banned.

With xCams, you get web hosting services from M3Server, a dedicated adult hosting platform. That’s not all. You also get a free domain for one year. It’s like a complete package with xCams – you don’t have to go elsewhere for domain and hosting.

Step 5: Customizing Your Online Strip Club

All customizations will be taken care of by Adent’s support team at an extra cost. Right from the installation of xCams to customizing it based on your requirements, the team does it.

Screenshot of xCams addons

Speaking of customization, there are exclusive Adent addons for xCams.

There are more than 15+ add-ons. You can choose what’s suitable for your online strip club and integrate it.

Step 6: Hiring Models for Your Online Strip Club

The next step is to hire webcam models.

You can generally find webcam models for your online strip club by posting digital ads on job platforms. But if you want a quicker way, you can purchase Adent’s dedicated model base.

The database contains more than 200+ active models. This makes starting an online strip club much easier.

Step 7: Setting up the Basics

With step 6, everything that’s needed for your online strip club will be in place. What’s left is for you to

  • Set up payment gateways
  • Add essential content for the privacy page, terms of use, and about us page
  • Add different categories on your website and optimize the same

Once this is all done, your online strip club will officially be live and functioning.

Yes. We didn’t see the monetization options. We’ll be looking at it now.

Why Should You Choose xCams for Your Online Strip Club?

xCams comes from one of the leading adult web solutions in the industry Adent.io which has a wide range of solutions to create adult websites.

Without further ado, here are some of the reasons why you should choose xCams,

  • Multiple monetization options for models – private 1-1 shows and group chat on a pay-per-minute basis, customer tipping, and premium content sales.
  • Built-in eCommerce store setup.
  • Option to create custom tokens for the platform.
  • Additional monetization methods like subscription tiers and paid DMs can be added.
  • Comes with built-in adult payment gateways like CCBill.
  • Completely mobile responsive and SEO optimization for cam site is done.
  • Admin control includes setting commission percentage, analytics overview, user payment history and more.
  • Different dashboards for models, users and admins.

Those are enough reasons why you should choose xCams for your online strip club. Also, here’s something you’d love to know.

That’s how much you can earn with your online strip club using xCams. With the models doing all the work, you constantly get a set commission out of their earnings.

You don’t have to go with xCams because of these reasons. Listen to what our customers have to say.

xCams Customer Testimonials

We’ve pulled out a couple of customer testimonials about xCams and Adent.io for you here.

#1 Customer Testimonial

xcams review from trustpilot

The client has been using xCams for more than 2 years now and talks about the high customizability of xCams and ownership of the source code. There’s a special thanks to our teammates as well!😃

#2 Customer Testimonial

The client has been using the xCams script for more than a year now and is pretty happy with our support team and how easy it was to install and customize the script (and yes, the testimonials talks about the safety of the script too).

#3 Customer Testimonial

Here’s another client super happy with our services and the support we offer.

xcams review of client from trustpilot

So, that’s xCams for you! And yes, those are enough reasons why you should choose xCams for opening a stripping business online.

Conclusion

So, yes. We’re wrapping up our how to start a strip club article.

Opening a strip club is a profitable business today because the desire is one thing that never runs out. Online strip clubs have become a thing, especially during the pandemic and are still in the nascent stage of growth.

The time for starting an online strip club couldn’t be anymore better. Now that you know and have everything to open a strip club online, what’s stopping you now?

Go ahead and make xCams yours now! And make some models shake their booties!🍑