Industry sector: Leisure

Pool hall: Wages

Money that you take from the business to cover your own personal living expenses is known as 'Drawings'. This should not be included here, but will be dealt with elsewhere in the cash flow.

Before you can make an estimate of the wages you will pay each month to your employees you will need to identify the work that must be done and how many people will be needed to do it.

Staff duties

You may need staff to:

  • take entry money. If you run a members-only club, it is likely that you will not charge your regular members an entry fee at the door. However, if you accept guests you may decide to charge them an entry fee. Alternatively, you may run a temporary membership scheme where non-members can join for the day in exchange for a small fee. If your club will be open to anyone, you may decide to charge everybody - or nobody! - an entry fee
  • show new members and guests around the club
  • issue or renew memberships
  • check membership cards on entry
  • receive payment for snooker games. This will depend on the system used, so if you use coin-operated light shades, you may not need someone collecting money
  • give out cues and balls
  • give out the necessary change to operate the tables. (Or you may decide to install a change machine instead)
  • make sure the tables are in excellent condition. If you or your staff do not have the necessary skills or time to service the tables, you may consider setting up a maintenance contract with a specialist business
  • give coaching
  • run competitions
  • work behind the bar
  • work on the door. As you will be open until late and possibly 24 hours, you may decide to employ properly licensed doormen
  • monitor, choose and buy the stock of food and drink
  • cook and serve food
  • receive deliveries
  • answer telephone queries and take bookings. If you offer corporate facilities, you will need to keep a diary of the date and time of each booking
  • keep the business records

The wages you pay your staff will depend to some extent on what is the going rate in your area. The Annual Survey of Hours and Earnings (ASHE), which is carried out by the government, gives average weekly wages (national and regional) for a wide range of different types of job. The Survey is available online on the Office for National Statistics (ONS) website.

Don't forget:

  • you could use a combination of full and part-time staff. Part-time work is often attractive to parents with children at school
  • the National Minimum Wage Act sets a minimum amount that you must pay your staff. Workers aged 25 and over receive a Living Wage premium on top of the standard National Minimum Wage
  • there is employment legislation that you should be aware of
  • you will have to pay employer's National Insurance Contributions (NICs) and you will have to operate PAYE in 'real time'. You may have to make employers' minimum contributions to an auto-enrolment pension scheme too

In the cash flow, just put the amounts you will actually pay to staff after you have deducted NICs and PAYE - you will show these separately. You should also include here the cost of staff pensions.