“It’s budget-friendly,” they say. But cash bars create more problems than they solve – unless you’re doing them the right way.
The Hidden Dangers
Most venues don’t realize that cash bars actually increase liability. Insurance carriers see them as higher risk, and here’s why:
Amateur Hour
When couples try to save money on bar service, they often skip professional bartenders. Now you’ve got:
- Untrained servers
- No alcohol monitoring
- Zero professional oversight
- Increased liability exposure
- Higher risk of incidents
The Parking Lot Problem
Cash bars encourage guests to:
- Bring their own alcohol
- Drink in parking lots
- Avoid paying altogether
- Over-consume secretly
- Skip professional service
The Legal Trap
Here’s what most couples don’t know: With a cash bar, they become the bartender under dram shop laws. That means:
- Direct liability for incidents
- Personal legal exposure
- Higher insurance requirements
- More complex coverage needs
- Bigger financial risks
The Right Way
Want to make cash bars work? Control them completely:
- Run your own bar service
- Use professional staff
- Maintain proper insurance
- Control all alcohol
- Monitor consumption
Bottom Line
Cash bars can be profitable – but only if you control every aspect of service. Otherwise, they’re just asking for trouble.
Need help creating safe bar service policies? Let’s talk protection that works.
