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Cost Considerations

Running any business involves several costs and this is no different for a pub business. Before taking on a pub it is important you consider these costs, including the entry costs, which we display for every pub available to let on our website.

Entry Costs

Entry costs you will need to consider before taking on your pub include:

  • A deposit
  • Legal fees
  • Stock plus fixtures and fittings you'll need to buy from the outgoing licensee
  • Business advice and professional fees (accountant, solicitor, surveyor, stock-taker, broker etc.)
  • Moving costs
  • Miscellaneous set-up costs, e.g. computer / internet access
  • Working capital
  • Marketing and printing costs
  • Opening food stock
  • Stamp Duty
  • Annual Premises Licence fee
  • PPL and PRS Licence fees
  • Training
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Ongoing Costs

Once you have the keys to your pub business, you need to be mindful of the ongoing costs you’ll need to cover to keep your pub open and trading – otherwise known as operating costs:

  • Rent (this is shown on each pub listing)
  • Annual Premises Licence fees and any licensing variation fees
  • Maintenance and Service Plan (for Tenancy Agreements) or Repairs Fund (for Lease Agreements)
  • Greene King's buildings insurance 
  • Repairs carried out by us on your behalf
  • Items you buy from us (beer, promotions, training, paper copies of invoices etc.)
  • Administration costs (Deed of Variation, duplicate Agreement, failed Direct Debits etc.)
  • Interest charged on overdrawn Trade Account balances

Other Costs

Don’t forget, you’ll also need to factor in the costs that go with the day-to-day running of your business too. This includes everything from staff salaries to gas bills and any food you serve. In addition, you will need to ensure you have appropriate Employers Liability Insurance and Public Liability Insurance.

To help you out, you can take advantage of the offers we have available that we’ve negotiated with key suppliers through our economies of scale. Our business plan template can help you with your budgeting and help you to make sure you have everything covered.

Download our business plan template