Jargon Buster

We know that there’s a lot to take in when considering whether to take on a pub business and if you’re new to the trade then there’s probably lots of “jargon” that you’re not used to.  To help you we have defined the most popular terminology for you below:

AssignabilityThe ability to sell on (assign) your business at the end of an agreed qualifying period. This means you can benefit from the good will you have built up in your business.
AWPAmusements With Prizes ie games machines.
BDLBusiness Development Lease – Trust Inns has a 3 year and 10 year BDL
BDMBusiness Development Manager
BIIBritish Institute of Innkeeping. The professional body for the licensed sector
BondThis is similar to a bond you would pay when renting a private property. Just like leaving a private property, upon leaving the pub, if everything is in good repair and there is no outstanding debt you will receive your bond back in full and with interest.
Community localA traditional pub but with more emphasis on wet lead sales. Usually an emphasis on darts, dominoes and pool with only a small food offering.
Destination localThese outlets are known for their food. Customers are generally middle aged and like to portray the right impression amongst friends, family and colleagues. Occasions tend to be relaxed
F&FFixtures & Fittings – you will purchase and subsequently own the F&F within the pub such as furniture, fridges, cellar coolers etc. This cost is calculated by an Independent Valuer before you take over the pub. This is an investment costs as you are able to sell on the F&F should you choose to leave the pub.
FMTFair Maintainable Trade
Food leadA pub whose sales are predominantly driven by food sales.
Free of tieAny products that are Free of Tie means that you are able to purchase them from any supplier and to negotiate your own terms.
Initial rentThis is so you don’t have to worry about your rent in the first 3 months as you take over the pub. We ask for 3 months payment in advance.
Pub DiningTraditional pub feel. Tables set up for dining. No nonsense, quality pub grub. Some may cater for kids and families with specific menu.
Style barA place to see and be seen with the right crowd; where new drinks are discovered and tried before anyone else. People tend to be younger but not exclusively so.
TenancyThe tenant takes full responsibility for the running of the day to day business of the pub, but the bricks and mortar continue to be the property of the pub company, in this case Trust Inns.
Traditional localA traditional pub with a home from home feel. May have function room and/or beer garden and is a regular destination for middle to older aged people, mainly to relax and unwind with close family or friends.
Wet leadA pub whose sales are predominantly driven by sales of products such as lager, beer, wine and spirits.
Working capitalWe always advise you to keep a set sum aside to cover the costs you will probably incur in your first few months of trading such as your till float or staff wages.
Young Persons VenueThe pub is shaped by the fact that it caters largely for young people. Occasions tend to be higher energy and social. There will be evidence of everyday drinking too such as weekday lunchtime or socializing.