From bum (“tramp, vagrant”) + factory, the idea being that the existence of such establishments supposedly encourages people to become vagrants.
bum factory (plural bum factories)
- (US, informal, dated) An establishment that sells alcoholic drinks, such as a saloon or liquor store.
- (US, informal, dated) A cheap place for lodging, such as a hostel or a charitable mission house; flophouse.
