'Gain experience' before buying a pub

14 November 2011

Written by Jenny Barrett

People should try to gain experience in the sector before purchasing a pub.

This is according to All Party Parliamentary Beer Group honorary secretary Robert Humphreys, who argued "the first thing" someone new to the industry should do is begin working in one of its establishments.

Eventually, they could become a manager, he continued.

The expert claimed people then ought to take a tenancy or lease from the owner of a pub before acquiring a commercial mortgage or other business funding option and buying a freehold.

Mr Humphreys admitted "there are no universally general or cultural truths", noting that although alcohol consumption in public houses is declining, many businesses find success through "spreading risk and expanding potential markets".

These include gastropubs, which often require "a significant increase in wage costs", he remarked.

However, the expert claimed "the rewards are considerable if you get it right".

The All-Party Parliamentary Beer Group was founded in 1993. It consists of at least 300 MPs and peers and has the support of 50 licensed retailing and brewing firms.