If you are planning to borrow funds to buy a pub, there are many points you need to consider. If you choose to buy freehold, you will be buying not only the property, but also the benefit of the licence, the fixtures and fittings, and the goodwill. You will need to borrow enough for all of this. If you are buying leasehold, you will need to take into account the fact that lenders will not consider your lease as security for any loan you wish to take out. Therefore, you may need to provide a residential property as loan security.
In our article, you will read about:
- Considering lenders that take account of the business as a whole
- How much of the purchase price you may need to inject
- Lending procedures for leasehold purchases
- Collateral security
- Additional security
- Advance of discount loans
The full text is available to our paying subscribers.
To subscribe, please click here. Alternatively, you can telephone us on 020 8875 0200.