Why Should I Buy a Pub?
As the New Year approaches you have made a decision. You want to buy a public house. But you don’t know where to start, don’t worry here is a few pointers to get you started.
Firstly it is a very good idea to have had some experience of running a bar or pub or at least having worked in the hospitality sector before. This is because to run your own pub there are skills needed that are essential. You need to be sociable, resilient and willing to work long hours.
But if you check those boxes, what next? Well, there are a number of options to owning your own pub. The first option is a tenancy. This is a good option as a way to try something new as you will have support provided by the landlord.
You will also have no responsibility for the upkeep and maintenance of premises and perhaps most importantly of all this is the short term option. Usually a commitment of 1-3 years so there is the option of a swift exit if things don’t work out.
But it does not come without its more challenging aspects, which include a monthly rent, you will need to provide a deposit upfront and perhaps most importantly there are limited opportunities to make a return on your investment.
But if you have a decent amount of experience of running a public house then perhaps buying a pub lease is the best option. You will get support from the brewery with a longer lease than a tenancy which gives you more time to work on turning a profit, and of course there is also the potential to sell the business when the time comes.
That’s the positives, but there are greater startup costs than a tenancy and you will have to buy your wet and dry products from the landlord often at quite a substantial mark up. There is also the fact to consider you will have responsibility for any repairs and maintenance.
The final option is potentially the most lucrative, that is of course buying the freehold of a public house. This would mean you would own the premises, which are likely to increase in value over time. You will also have complete control over the stock which means you can shop around for the best discount which with the savings you make can be turned into profit for your business.
But it’s not all good news, there will be high startup costs for this option and you will have minimal help and support so ideally you really need to know what you are doing. You will also be solely responsible for the costs and any repairs of the maintenance of the premises, which could be potentially expensive over time. A good head for business is also important and you will have to deal with the brewers and suppliers yourself.
And well that’s about it, still interested? Then check out our website and see what public house and bars we have for sale on the market. Or maybe you’ve got a public house you want to put on the market then give us a call on 0161 486 1958 and let our expert team guide you through the process.
But it’s not all good news, there will be high startup costs for this option and you will have minimal help and support so ideally you really need to know what you are doing. You will also be solely responsible for the costs and any repairs of the maintenance of the premises, which could be potentially expensive over time. A good head for business is also important and you will have to deal with the brewers and suppliers yourself.
And well that’s about it, still interested? Then check out our website and see what public house and bars we have for sale on the market. Or maybe you’ve got a public house you want to put on the market then give us a call on 0161 486 1958 and let our expert team guide you through the process.
