Opening a pub sounds like a dream job to many Brits. We picture unlimited beer and spending our afternoons and evenings pouring pints and chatting with the locals. Maybe we’ll even get to catch up on the footy while we work. What could be better?
Unfortunately, it’s time for that dream bubble to burst. The reality is that opening a pub is not for everyone. There’ll be a lot of research to do, piles of paperwork and several legal requirements you’ll have to meet before you can even open your doors.
Here, we outline five things to consider before opening your own pub in the UK.
Creating a business plan
As with any business idea, you will need to put together a comprehensive business plan before you launch your pub. The plan should outline financial information, such as how much money you will invest in the business and your estimated revenue. It should also include information about how the pub will be run. For example, the food and drinks you will offer and how you will market the pub to potential customers.
Finding the perfect place
Before investing in any property, it’s essential to find the perfect location. You need to be sure your pub is in an area where you will get enough footfall to sustain business. Consider how busy the area is and when it’s the busiest. For example, if it’s smack in the middle of a business district which is busiest during the week around office hours, it’s not going to be a suitable location for your pub.
Getting the right equipment
To run a successful pub, you’ll need to invest in the right tools and equipment. What you need will depend on how you choose to run your establishment, what kind of food you plan to serve and what drinks you will offer.
Take some time to think about the equipment your pub will need to supply everything you plan to offer. Obtain quotes from multiple suppliers and compare costs to ensure you’re paying a reasonable price. However, don’t forget that the quality of your equipment should be high to ensure it will last and perform properly.
Legal aspects
There are a number of licences you must have to run a pub in the UK.
A premises licence authorises your pub to serve alcohol or conduct other activities, as set out in the Licencing Act 2003. You will need to apply for a licence and be approved to obtain one.
A personal licence will allow you to sell or authorise the sale of alcohol on behalf of your business, provided you hold a premises licence too. This is to ensure those who sell alcohol do so responsibly. It is UK law for pubs to have at least one personal licence holder.
Insurance
All pub landlords are required by law to obtain adequate insurance. Your specific needs may vary depending on a number of factors, however insurance for a pub should typically cover employer’s liability, public and products liability, your pub’s contents, and business interruption. If you own your property, you will also need to take out building insurance.
Ensure you do your research when looking for an insurance provider. Shop around and compare prices to find the best deal. You may also be able to use quotes from other providers to negotiate a lower rate from your preferred supplier.
