Legal Question in Business Law in California

The best source of advice for starting "unusual" businesses of any kind is to make friends with owners of similar businesses that are far enough away from your proposed location so you don't look to them like a potential competitor. People running successful small businesses are often (but not always) willing to give free advice to someone who's not likely to become a competitor.

As to where you go to obtain "these things," what do you mean? Hookahs? Liquor and tobacco? A suitable lounge premises with a willing landlord? The five or six licenses of various kinds your business will need? Again, I think making friends with someone who's already in the business is your best bet, but at some point you'll also need the conventional team of business advice professionals -- a lawyer and an accountant.

Finally, the amount of capital required to get started will be highly variable depending upon the size and fanciness of the location you select, the amount you decide to spend to equip, advertise and redecorate, how many employees you need to hire and train, whether you need to pay a premium to purchase an existing license, etc. I'd say one might feel comfortable trying to start a modest establishment with $100,000 - 150,000 in cash equity and a line of credit for about the same amount. Don't take my word for it, however -- ask the guys who've already done it.