Leasing a Pub/Restaurant

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Pablo74

Registered User
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Hi all,
I am looking for information on taking the lease out on a pub and restaurant. Whether it's via a website that someone has heard off or if someone has some good knowledge about the subject.
Information about the licience, rates, costs, leasing, hidden extra's etc.
All help would be greatful.
Regards
Pablo
 
 
The pub trade is a very difficult lifestyle. Very hard work. Only works for certain types of people.
 
Thanks for the info but let me make things more cleary.
I am currently working in the pub for 8 years now and know the trade very well. The lease is up soon and there is a good trade (which can also be improved).
Just looking for info on the above question.
 
Pablo74 said:
Whether it's via a website that someone has heard off or if someone has some good knowledge about the subject.
Information about the licience, rates, costs, leasing, hidden extra's etc.
Click to expand...

You will need a licence transferred to you. If memory serves me right you have to have no criminal convictions or the gardai in the area might object. You'll need a solicitor to do the transfer. Rates, you can find this out from the corporation/co council. The cost of a lease, look up auctionneers to get an idea, generally you pay an upfront cost for buying the lease and then a yearly rent, as to whether that's payable quarterly or whatever will depend on the particular lease. Costs are staff, heating, electricity and the alcohol itself. With Guiness/Diago you nowadays have to pay upfront for deliveries. Don't you know a lot of the costs from your own experience. It's hard to make money in the pub trade currently so you'd want to be very sure of what you are at. If you're doing food you need a licence from the HSE or whoever does those inspections. A chef is expensive. Before taking a lease, ask yourself why is the previous person giving up. Presumable you intend to borrow to do what you are proposing to do and talking to a bank manager will give you more info. If they're not keen then the figures may not stack up. Most important is that the figures stack up. If you're buying into an existing premises ask to see the accounts.
 
Pablo74 said:
Thanks for the info but let me make things more cleary.
I am currently working in the pub for 8 years now and know the trade very well. The lease is up soon and there is a good trade (which can also be improved).
Just looking for info on the above question.
Click to expand...

Best of luck but..... I have advised/acted for a lot of tenants in this industry. The classic mistakes made are:

Not seeing accounts of the previous enterprise.
Decision made on a hunch - no proper business plan or projections done.
Tenants always assume that they can improve the trade but rarely do.
Good employees often make poor bosses.
Tenants mistake being busy with making profit.
Tenants often pay too much for wages, stock, or other expenses.
Tenants lose interest after a year.
Sorry but when becoming boss many tenants drink too much - entertaining customers or staff after hours.
Tenants pay too high rent.
Books are not properly kept and the tax man is owed a lot of money.

Speak to an experienced accountant before committing to anything. I have often been asked to act for tenants after they have committed to the lease. Often too late and its just damage limitation.
 
Bronte said:
You will need a licence transferred to you. If memory serves me right you have to have no criminal convictions or the gardai in the area might object. You'll need a solicitor to do the transfer. Rates, you can find this out from the corporation/co council. The cost of a lease, look up auctionneers to get an idea, generally you pay an upfront cost for buying the lease and then a yearly rent, as to whether that's payable quarterly or whatever will depend on the particular lease. Costs are staff, heating, electricity and the alcohol itself. With Guiness/Diago you nowadays have to pay upfront for deliveries. Don't you know a lot of the costs from your own experience. It's hard to make money in the pub trade currently so you'd want to be very sure of what you are at. If you're doing food you need a licence from the HSE or whoever does those inspections. A chef is expensive. Before taking a lease, ask yourself why is the previous person giving up. Presumable you intend to borrow to do what you are proposing to do and talking to a bank manager will give you more info. If they're not keen then the figures may not stack up. Most important is that the figures stack up. If you're buying into an existing premises ask to see the accounts.
Click to expand...

Thank you very much for your information Bronte, It is and will be very helpful.
 
simplyjoe said:
Best of luck but..... I have advised/acted for a lot of tenants in this industry. The classic mistakes made are:

Not seeing accounts of the previous enterprise.
Decision made on a hunch - no proper business plan or projections done.
Tenants always assume that they can improve the trade but rarely do.
Good employees often make poor bosses.
Tenants mistake being busy with making profit.
Tenants often pay too much for wages, stock, or other expenses.
Tenants lose interest after a year.
Sorry but when becoming boss many tenants drink too much - entertaining customers or staff after hours.
Tenants pay too high rent.
Books are not properly kept and the tax man is owed a lot of money.

Speak to an experienced accountant before committing to anything. I have often been asked to act for tenants after they have committed to the lease. Often too late and its just damage limitation.
Click to expand...

Your information is priceless, thank you very much !
I will keep you posted.
Pablo74
 
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