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Some Pro Tips On How To Properly Run A Strip Club

Gallagher's 2000 in Long Island City has been under the microscope in federal court by prosecutors who think the club has been sketchy with paying their taxes. But as "pistol-packing" owner Robert Potenza testified, "They didn't seem like they knew much about my business." And thus, some trade secrets of the strip club game were revealed in court as Potenza defended his legitimate business.

Government lawyers argued that Potenza, who has an NYPD permit to carry a gun, was "structuring," making four-figure deposits of money just below the $10,000 amount required for federal reporting, a red flag for tax evasion. But Potenza explained that his club is just making too much money! So much in fact, that he has taken to stashing it in a broken refrigerator, a fishing tackle box, and atop a metal beam.

He explained that the club rakes in about $9,000 in cash a day Sunday through Wednesday, and much more that that from Thursday through Saturday, which explains why he was making so many deposits. Here's the really interesting part: he said that the "house moms" collect singles dancers receive as tips and give back "tattered" $20 bills. Then the "good" $20s are stocked in the ATM machine, which has a $5 transaction fee...of which Gallagher's takes a $4.50 cut.

In case you were thinking of getting into the strip club business, let's sum up what we've learned: always stash your cash on-hand in fishing tackle boxes and broken refrigerators. Separate your tattered $20s from your clean ones. Charge exorbitant fees on the ATM machine. And always renew your gun license.

Contact the author of this article or email tips@gothamist.com with further questions, comments or tips.

Comments [rss]

  • Guest

    WTF does the gun have to do with any of this?  

  • xXxMExXx

    Most strip clubs ATMs charge a $10 fee, with a maximum withdrawal per transaction of $100.

  • spiracles

    I don't suppose they disinfect those $20's before putting them back into circulation.

  • How to run a strip club the right way: only hire full-flavor dancers.  The more luxuriant, the better.  Customers in search of the Hideous Pedophilic Bald Eagle can take their perversions elsewhere.  

  • zombiebob

    huh? You mean hairy bush or die?

  • Guest

    He means that he likes accusing people who enjoy labia without hair in the way as being pedophiles.  It's a very harsh charge and he really needs to get over it.  His preference for hair pie is fine, but calling others pedophiles is not.  He's lucky he has the Internet firewall to protect him.

  • Yep.  There's nothing finer than a thick, rich, luxuriant bush, overflowing with magnificent concentrated aromas and flavors.

  • Guest

    The only thing I understand in this article is that it takes place in a strip club.

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