There is no doubt that this sector is suffering in the current economic climate with cashflow issues and business failures at a high.
-Nutshell have over 30 years’ experience in the brewery and hospitality trade and are proud of the fact we have helped many existing clients through this downturn and ultimately help fund and grow their businesses.
An increasing number of leasehold and freehold properties are becoming available and many at knockdown prices.
We are also helping new clients to realise their dream of business ownership and enter the pub, restaurant and leisure sector.
We also assist ‘tied’ leaseholders acquire the freehold of their current property and there are some special arrangements available in the finance market for well-established and profitable businesses.
Key underwriting requirements for pub, bar, hotel & restaurant finance include:
Demonstrable business experience in the sector
- Deposit funds available at around 30 per cent of the freehold business purchase price
- Additional security may be acceptable in lieu of full deposit funds
- Stock funding and working capital to be available (VAT bridging loans available)
- Special arrangements provided for established sitting tenants in a profitable business
- Trading accounts with proof of mortgage affordability from net profits
- Pubs ideally need a balanced ‘wet/dry’ revenue mix
- Solid, demonstrable business plan and cashflow forecast.
Our advice is given freely and in confidence.
Nutshell provide indicative pricing for all potential clients with no obligation and leave it to the client to enquire further if interested.