Vital Factors To Consider Before Renting A Pub

When you are considering renting a pub and doing a job you have always loved, there are many factors you must consider carefully before signing the rental agreement. You must research potential pubs you are thinking of renting and weigh the options carefully before making your decision. You may also need some professional help from a solicitor or an accountant to help ensure you make the best decision. Below are some of the most important factors to consider when renting a pub, which can help you determine whether it is the best option for you.

The Location

When looking at pubs to let, the location is vital to consider, as it could make or break the success of your venture. You want to select a pub that is in a good location with excellent transport links, a lot of passing trade, and a large local community that can utilise the premises. If the pub is in an isolated area, you may struggle to attract customers, and it could prove to be a non-profitable option. Consider options in well-populated locations that can help attract a lot of local people to the pub and ensure you make a profit.

Energy Costs

One of the largest running expenses for a pub is its energy usage, including gas and electricity. You will want to carefully examine the energy usage of any potential pubs and determine their average annual bills. The cost of electricity over the past couple of years has increased significantly, and this has had a substantial impact on the hospitality industry. When considering renting a pub, you should request to see the energy bills from the last 18 months to 2 years, so you understand the pub’s running costs.

Staffing Costs

Another significant expense for a pub landlord is the cost of staffing the establishment, and you will want to look at this before deciding whether a pub is suitable for you. There is a wide range of staffing positions in a pub, including:

• Bar Staff

• Waiting Staff

• Glass Collectors

• Kitchen Staff

• Cleaners

• Supervisors/Managers

Carefully examine the staffing costs of each pub and visit the establishment at various times of the day to see if it has too many staff or not enough. The staffing costs of the pub can be a significant expense and altering how many staff you have can make your pub more successful.

The Size Of The Pub

The size of the establishment is another vital factor to consider, as the larger the premises, the higher the cost of operation. Larger pubs will require more staff, necessitating the employment of additional personnel. They will also consume more electricity and gas, particularly during winter. During busier times, the size of the pub may not be a problem, but when it is quieter, having a large pub with all the expense of the running costs and very few customers will eat into your profits. Look at pubs to rent that are a suitable size for you, and that are neither too big nor too expensive to run.

The Rental Contract

The rental contract is another factor that can significantly impact the profitability of the pub you are renting, and you will want to review it carefully. It is worth hiring a solicitor to review the agreement for you and highlight any potential pitfalls. They can help you determine whether the contract is fair and if it is a good option for you to rent the pub.

Running pubs can be a fantastic and rewarding career, although it is hard work, and you will want to ensure you do everything possible to help you choose the best pub for rent to suit you and your circumstances. Ensure you do your homework and leave no stone unturned, and you can find the perfect pub to meet your needs that will be profitable for you.