Question 1

Is it profitable to own a pub?

Accepted Answer

A bar's average gross profit margin can be between 70 and 80%. Compare that against nearly every other industry, and it's enormous! The net profit margin, after you've accounted for the cost of goods sold (COGS), can be anywhere between 10 to 15%.

Question 2

How much does it cost to own a pub UK?

Accepted Answer

Tenancy costs start at around £20,000 and go up to £50,000. This pays for the fixtures and fittings and a deposit covering you if you can't pay your drinks bill. The rent depends on the pub – its size, what type it is, whether it serves food and so on – but is generally estimated at about 12% of turnover.

Question 3

Is it hard running a pub?

Accepted Answer

To succeed as a pub landlord, you'll need perseverance, time management skills and resolve. Running a pub is not a 9 to 5 job and you'll need to be aware of the types of situations that can arise; covering shifts when a team member phones in sick, early or late deliveries, and a to-do list that's never-ending!

Question 4

Can I run a pub without a licence?

Accepted Answer

You are not required to have a personal licence to be employed in a pub or other business that sells alcohol. Premises licensed to sell alcohol must have a designated premises supervisor, who holds a personal licence.

Question 5

Do I need qualifications to run a pub?

Accepted Answer

You don't have to have run a pub before to be a successful pub license, in fact many of our pub tenants come from very different walks of life. However, there are skills and qualifications you need; some might come from your current job (transferrable skills), others you can get by attending training courses.

Buying Pubs FAQs