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Leasehold business premises advertised for sale - why do they rarely quote the actual rent?

1 reply

StaplesCorner · 24/01/2022 13:54

I'm trying to research buying a business, lets say a cafe or shop with accommodation. I can't afford freehold, so I'm looking at adverts for leasehold. They might quote, say, £50k for the business with fittings etc, they might even quote the turnover or profit, but why is the leasehold fee charge usually withheld? Surely if the profit is, say, £40k PA and the leasehold is £30k PA then you know its not viable?

Think I need to go on some sort of training course as I am feeling a bit thick. Am I missing something obvious?

OP posts:
prh47bridge · 24/01/2022 14:28

Yes, you are Smile.

If the business makes £40k profit, that is what is left after paying the lease and all other expenses (insurance, rates, gas, electricity, etc.).

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