Article by: Bars in Spain S.L. contactus@barsinspain.com Published: 14/12/2007

Bars in Spain Buyers Guide

This Guide is provided for you in 5 easy to read sections

1. The first section provides an insight into the different commerical purchasing options available here in Spain, i.e. Freehold, Leasehold or Rentals.

2. The second is our Bars in Spain Guide to Buying a Bar in Spain which gives you the low-down on all the issues you need to think about before making the decision to buy your bar!

3.The third section is our Bars in Spain Guide to buying a Residential Property in Spain which gives an idea as to what to expect with regards to cost and time scale when buying your dream home.

4.The fourth section is our Guide to Leasing. If you are considering buying a lease for a bar then this section explains the procedure in terms of how it all works here!

5.The fifth and final section is our Guide to Prices, and explains the different fee's and expenses you will be expected to pay on top of the purchase price.

We hope you enjoy browsing our buyers guide and find the information enclosed of use

The BIS guide to Buying a Business in Spain

Buying a Bar or Business in Spain.....Your Main Buying Options.

Firstly, you need to decide on what type of business you would like to run, i.e. a pub or bar, a cafe bar, restaurant etc. However before you do this please check out our Tips on Before you Buy a Bar within our BIS Magazine.

Once you have decided what type of business you would like to own, we can provide you with a choice of suitable businesses. The vast majority of purchaser's will opt for a bar or catering business of some kind. These are tried and tested, and British bar owners have been successfully operating these businesses on the Costa del Sol for many years.

The Different types of purchase options relating to the property are as follows:

LEASEHOLD BUSINESSES (Please see our Bars in Spain Lease Guide)

By far the most popular choice, especially for somebody who is new to the business. Leases are easy to buy and easy to sell on later if required. Most leases are for 5 or 10 years with the possibility of renewing after this term. The monthly rent once agreed can only be increased by inflation which is set by the Spanish government each year. In most cases the lease includes goodwill and all fixtures and fittings. The rent is payable 1 month in advance and generally you will need to pay a 2 month returnable deposit, as this is required by law.

FREEHOLD BUSINESSES

Not as popular as leasehold, mainly because of the additional cost of buying a freehold, but the benefits of a freehold business are very good. You can then lease the business yourself invariably receiving a premium up front and receive a monthly rent, or simply run the business yourself with no rent to pay. We can advise you of all the issues of purchasing a freehold property for investment or other purposes.

RENTALS

It is very unusual for bar owners or landlords to want to rent their business as opposed to selling the lease, however as far as shops (locals) are concerned many of the Spanish owners are happy to rent out their properties without selling a lease, so it can be possible to to start a business with only a deposit (usually two to three months) in advance and one months rent in advance.

LICENCES AND LEGAL PAPERWORK

Bars in Spain can provide a complete package for our clients whereby in conjunction with independent solicitors, we will manage all the legal work for you, leaving you to concentrate on building a successfull new business. You can rest assured that everything will be done correctly and legally in accordance with the Laws of Spain.

Although it takes time for all the paperwork to be completed, you are allowed to open the business with certain documents in place which takes about 5 days. The price depends greatly on the business venture and if the business is freehold or leasehold, this can be discussed in more detail at the appropriate stage.

STOCK

All bars and catering businesses in Spain are freehouses so you can choose what breweries and suppliers you wish to deal with. Beer coolers and fonts are supplied by the brewery and usually glasses, umbrellas, drip trays, mats and promotional products can be negotiated free of charge on a new order. Deliveries are often daily and therefore less space is required, but more importantly cash layout for your stock is very little hence enhancing positive cash flow.

OVERHEADS

Overheads compared to the UK are much lower, with profits running very high on drinks and food. This is why many British buyers opt for this type of business. The majority of our clients have never worked in this industry before but it's much easier and like nearly everything in Spain is much less stressful than running a catering business back in the UK.

SUMMARY

Does this sound good to you? Do you think that this is just a dream? To most people it is. For all our clients it is hard work, but great fun and if run successfully can be very profitable. If you can afford 10,000 pounds or more, then we can help you achieve your dream. Email us or telephone us today for a no obligation chat for professional advice and information.

External Article Link: http://www.property-partnership.com/overseas-property-guides/overseas-property-guide.cfm?id=103

Article Link: http://www.property-partnership.com/overseas-property-guides/overseas-property-guide.cfm?id=103

Please contact the author at contactus@barsinspain.com for more information.