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The Nightclub is a part of Sim Town, found on the right hand side. It can be bought for 15 SP.You can get your Sim to become a DJ (7 Minutes), this is required to do for your Sims to use the dance floor. All Sims who are dancing will get friendship boosts. Field example, if the Sims are strangers when they start dancing, they will be friends by the time they finish.
You can also tend the bar (20 Minutes) and other Sims can buy drinks for $2500.
There are booths that your sims can sit in (2 minutes) but only two sims can sit in a booth at one time and there are two booths.
And last, you can use 1 of 2 bathrooms to use the toilet (30 seconds).