Pubs and Restaurant Leases Solicitors.

Buying a Public House, Restaurant or a Bar

If you are considering buying a pub or a bar, you should obtain specialist legal advice from a pub and restaurant lease solicitor as there are so many issues to consider. Some of the essential points are listed below.

Request a call back

How much are you paying to the seller?

This is a matter for negotiation with the seller. If you are buying a going concern, the amount you pay might usually consist of premiums for the following:

1. The property from where the business is run;
2. The fittings and stock; and
3. The goodwill of the business.

It is obviously important you pay the right price, so you may wish to have your own valuation carried out.

The type of premises:

Whether the property is leasehold or freehold is likely to have a significant impact upon your business.

If the property is freehold, there may be a much larger premium to pay when you purchase, but there will not be any rent payable once you are in occupation. Conversely, if the property is leasehold, the premium payable when you purchase is likely to be smaller, but there will be commercial rent to pay that could be substantial.

Additionally, if the property is leasehold, a buyer will have to consider all the obligations and ramifications of entering into a commercial lease (please see our page about commercial lease negotiation for further information).

Stamp Duty Land Tax may be payable. This is assessed on the price paid for the property and, in the case of newly leased properties, the level of rent. Goodwill may also be subject to Stamp Duty Land Tax if the goodwill is intrinsic to the property from where the business is run.

---

Visit our dedicated Newcastle Commercial Conveyancing page:

For commercial property transactions in Newcastle, please visit our dedicated Newcastle Commercial Conveyancing page. It sets out our Commercial Conveyancing service for buyers and sellers in the Newcastle area, with clear guidance on next steps and how to instruct our team.

---

Visit our dedicated Sunderland Commercial Conveyancing page:

For commercial property transactions in Sunderland, please visit our dedicated Sunderland Conveyancing page. It sets out our Commercial Conveyancing service for buyers and sellers in the Sunderland area, with clear guidance on next steps and how to instruct our team.

---

Tied Pubs:

Often a brewery will lease a pub to a tenant. In addition to the usual obligations of a commercial lease, the tenant will be under an obligation to buy the majority, if not all, the drinks they sell from that brewery at prices set by the brewery. In addition, there may be set minimum quantities of drinks that the tenant must buy.

The terms set by breweries for tied pubs can be very stringent. If you are looking to purchase a tied pub you should contact our pub lease licence solicitors before signing any documentation. You will need full advice on the ramifications of entering into an agreement with a brewery.

Licensing:

A buyer of a pub or bar will need both a premises licence and at least one personal licence for the sale of alcohol. Without these the pub or bar will not be able to function. Additional licences may also be necessary. For example, if you intend to play music.

It is very important that the conditions of the licences match the needs of the business. For example, the hours when alcohol is to be sold should match the hours specified in the licence as permitting the sale of alcohol. Your licence should not require you to comply with conditions which are impossible for you to adhere to.

Where a pub is tied, a brewery may wish to deal with the transfer of the licences into the buyer's name. As a buyer you should be aware that the conditions of the licences must still be checked by a pub lease solicitor. The brewery will seek a licence that may suit their needs more than your own. Emmersons Solicitors Licensing Lawyers can assist you with all aspects of Licensing Law.

Existing employees:

If you are purchasing a pub or a bar as a going concern, it is probable that there will be existing employees. As a buyer you should be aware that these employees retain their existing employment rights on the transfer of the business. The employees' contracts will need to be carefully scrutinised before the business is bought so as to ensure that you can check that the employees' rights and your obligations match the needs of your business.

Fire safety, asbestos and environmental health issues

There should be a current Fire Safety Assessment and Fire Safety Record. An asbestos report will also be necessary and checks made to ensure that any necessary remedial steps have been taken. If there are difficulties with these matters or environmental health issues are discovered, it is possible in perhaps the worst case scenario that the authorities could enforce the closure of the business. Therefore, everything must be in order.

If you are thinking of taking on a Lease then call us now, we will help you Negotiate The Best Lease Terms. You should not try to negotiate the terms of your Lease without speaking to a commercial property solicitor first.

If you would like any further information about our pub and restaurant lease solicitor lease services or you would like a FREE Fixed Fee Conveyancing Quote, then please do not hesitate to contact us on:

Pub and Restaurant Leases - Newcastle:   0191 284 6989

Pub and Restaurant Leases - Sunderland: 0191 567 6667

or email us: enquiries@emmersons-solicitors.co.uk

Or complete our Online Enquiry Form and select conveyancing

We deal with pub and restaurant leasing on a Nationwide basis as well as; Hexham, Durham, Washington, Corbridge, Gateshead, Whitley Bay, South Shields, Tynemouth, North Shields, Alnwick, Gosforth, Seaham, Houghton-le-Spring, Ponteland, Leeds, Bradford, Halifax, Huddersfield, Manchester and other areas in the wider North-East and West.

---

WHAT OUR CLIENTS SAY...

"I was very happy with the service I received, so much so that I have instructed Laura to act for me in my next commercial purchase which has just begun."
Mr B

"We were very pleased with the overall service we received from Emmersons. Laura was reliable, consistent and knowledgeable. Overall the service was fantastic".
Mr W

---

Your Conveyancing and Property Experts, Read our Latest News and Articles To Help You on Your Journey.

Conveyancing -  Pre-School Gets New Lease Of Life.

Conveyancing -  Emmersons Commercial Property Help with New Base for Care Firm.

Conveyancing -  Value Added Advice when Dealing with Commercial Property

Conveyancing -  Mixed Use Property

Conveyancing -  The Demise Of The High Street As We Know It

Conveyancing - Do You Know The Difference Between A First Lease and a SubLease

---