If you’ve found a B&B you want to buy or sell then you’re probably feeling quite impatient to get started. Unfortunately, you really do need to take the time to get some advice from a solicitor. You’re risking too much by simply sign on the dotted line. The good news is we’ll make the process quick and painless. Because we are solicitors who are expert at buying and selling bed and breakfasts, we will stick to the essentials.
Good legal advice on the law relating to bed and breakfasts will save you time and money. To give you a flavour of the challenges, here are some typical important issues that always need to be considered.
B&B buyers often need to sell their home to raise the funds to buy the B&B. If the idea is to live in the B&B then this usually makes sense. We know how to synchronise the sale of your house and the purchase of the B&B so it all goes smoothly and quickly.
Unless you’re buying a fully functional B&B, the chances are that you will need to apply for and secure various permissions and licences before your complete the purchase. A common list of permissions may be: planning permission for works, planning consent for change of use, a licence for a House in Multiple Occupation, a licence for the sale of alcohol, an entertainment licence (eg if renting DVDs) etc. We’ll make sure that these are secured as a condition of purchasing the building. Otherwise you may find you’ve parted with your hard earned for a building you can’t use as a B&B.
Due to the nature of the job, it’s common to offer some staff accommodation as part of the terms of their employment. If so, you’ll need an occupancy agreement that carefully details important matters such as what parts of the Property they can use and stay in, rental payments, termination of the agreement etc.
IT plays an increasingly important role in marketing, securing reservations and generally running the B&B. If you’re buying an existing B&B we’ll make sure that all the relevant IT equipment, website content, hosting addresses, software etc is correctly transferred to you. So, from day one, you’ll be able to use and develop the IT with no hiccups.
Our client was set to purchase a 6 bedroom B&B. Days before we were expecting to exchange contracts, our enquiries revealed that there were significant breaches of planning conditions relating to the refurbishment works the seller had carried out. In the end, we managed to secure a discount of £30,000 from the purchase to compensate for the additional works that would be needed post completion to comply with the planning conditions.
Another client didn’t realise that one of the rooms in the house that he had intended to put paying guests in was still occupied by a member of staff, who claimed she had a secure tenancy agreement and had every right to stay there. We insisted that the Seller sort the problem out. In the end the Seller paid the difficult former member of staff to leave early.