Is this possible

redpete

What is your expected income & expenditure over the next (say) 5 years.  What is the basis for this forecast, if it heavily relies on the last 4 years accounts then what might be different for the next 5 years, what external events might make a significant difference to the forecasts, what are your plans to deal with these events should they occur...  

Major.clanger

The plan would be to continue to build on the success of the business and over the next 5 years turn it from a three star site to a four or five star site by way of improvements and services and to be a family run business 

Ebe_Scrooge

Major.clanger said:

The plan would be to continue to build on the success of the business and over the next 5 years turn it from a three star site to a four or five star site by way of improvements and services and to be a family run business 

OK, so for starters you're going to have to cost out the improvements.

Not wishing to put a damper on things, and I applaud your enthusiasm.  But starting or running a business takes a lot of preparation and number-crunching.  Yes, of course there are lenders who offer business loans, and there's no saying you couldn't get one.  But you need to go and see the lender armed with reams of concrete facts.  So to begin with, if you've got accounts from previous years, that's a great start.  Of course, the last 18 months or so have been somewhat unusual, so that'll skew figures.  But if you've got a set of historical profit and loss figures, that's a good starting point.

Improvements - well, it's no good saying you'll "make some improvements".  You need to draw up precise plans as to what those improvements will be (build a new shower block, landscape the grounds, refurbish the pub, whatever it may be).  You should be able to get costings for any structural work like that with a reasonable degree of accuracy.

Then comes the hard part - projected earnings.  How much income can you realistically expect each month - with the emphasis on "realistically".  What are similar operations in the locality earning?  Have you accounted for seasonal variations?  Will you, for instance, make enough over the summer to see you through the winter when occupancy rates may only be 50% or whatever.  Will the improvements you plan lead to an increased revenue - if so, how much?

Like I say, there's an awful lot of preparatory work to be done.  But, if you do it thoroughly, if you can justify the figures you've arrived at, if the figures are based on evidence rather than here-say, and if the figures show that you can realistically expect to turn enough of a profit, then you'll be in a good position to approach a lender with a reasonable expectation of being accepted.

Major.clanger

Thankyou all for your words of wisdom… I shall take your advice and prepare a proper business plan and consult an independent finance advisor… hopefully I can get this all done before the property is sold… but I guess there are plenty of fish in the sea

Major.clanger

Failing that I could by the local pub in the near by village and make a good profit from the RAF base next door and have £100k change 

Major.clanger

Ive been talking with you on this forum today.. this evening I received a scam email.. using Martin Lewis name .. I have taken screen shots for you.. I’m sure this not in right place but thought it best I pass this on… 

JCS1

Major.clanger said:

Accounts for the business for the year 2019 show a turn over of £378000 and a profit of £101000

Is that gross profit or net profit?

JCS1

You would also need to consider running the business. VAT, payroll, h&s and all the allergans which goes with food,  accounts,tax.....

Sncjw

So you have no income but you are wanting to get a business loan for least 570k. How will you finance the initial running costs of the business if you have no money aside. I tjink you have a alot learning ahead of yourself. You will need to the rules and regs of a pub and also the campsite.

I think your jumping with both feet without thinking it through. Do you have any experience in the pub trade or running a campsite 

MalMonroe

I'm sorry for your loss.

I am another person advising caution. How are you planning on paying back any borrowing with no income and having not worked for the last few years? 

As I understand your post you'll have to pay £900k for the campsite and pub. It made me feel quite queasy! Is there any planning for any contingency? 

Don't forget that from March last year, pubs, restaurants and associated businesses have had a very tough time and some of them have closed permanently because of Covid. People haven't been able to go out and about to socialise as they did in 2019. Such businesses are now starting to re-open but it will probably be a while before they recover fully. 

Have you had any valuations for the house you've been left? Do you know for sure that you will get £330,000 for it?

You really could do with seeking advice, not just about finances but about taking over and running a business too. There is a link here -

https://www.bgateway.com/resources/buy-an-existing-business

But also if you do google searches, you can find lots of good information. You will need some good quality help and advice, especially if you have never run any kind of business single-handedly before.