Red Man

Customer Recruitment

Punch Partnerships

0844 848 0954

sandi.bellinger@punchtaverns.com

www.PunchPubs.co.uk

Pub Refurbishment Planned

Click image to enlarge

Red Man
92 Blackwell Street, Kidderminster DY10 2DZ

Please contact our Customer Recruitment team on
0844 848 0954 for more information

Pub Profile

The Red Man is an edge of town landmark site in Kidderminster due to undergo refurbishment works of circa £110,000 funded by Punch Partnerships.
There is the opportunity for an entrepreneur to partner Punch in this investment and return this landmark site to former glory, reintroduce a lunchtime food offer, provide an extensive range of quality cask ales and exploit the favourable premises license by offering live music both indoors and out.

Although the Red Man is a town centre pub some 3,500 adults live within a half mile radius of the pub and it draws its trade from a wide consumer base dependent on the time of day.
The trade is currently drinks led with a growing focus on cask ales and there is opportunity to extend this range of product and introduce a new traditional food offer to compliment.

Having been operated by the same individual for some 20 years who built a reputation for live music, the Red Man had a short period of closure in summer of 2009, hence the variance in the last two years beer volumes quoted below. The FMT volume, rent proposals and turnover figures are all anticipated figures after investment has completed.

The refurbishment will redecorate the property inside and out, provide new signage and outside lighting, extensively refurbish the toilets and undertake associated repairs along the way.
Once completed the ‘new look’ Red Man will have the capability of providing a daytime food offer, will retain the current front ‘locals’ bar and have a fully refurbished ‘back bar’ to offer live music in quality surroundings.

Uniquely, the premises license also allows for live music outside and the extensive rear patio includes a fully covered area large enough to house a band.

We are looking for like minded people to drive this business forward in partnership with us and envisage the success of The Red Man will include the introduction of a new traditional pub menu, including a breakfast offer whilst evenings and weekends should aim to cater for the younger clientele, showing sports events and providing entertainment

Pub Attributes

Trading Back of house External Private

Separate Trading Areas
Public Bar
Pool / Sports Area
Lounge Bar
Kitchen
Smoking Solution (External)
Car Park Spaces (5)
Beer Garden
Private Bedrooms (2)
Private Kitchen

Trade Areas

The outlet benefits from a lounge at the front of the site, public bar to rear with a dedicated games area.

In addition to these rooms there is a conservatory that caters for families and a food operation.

Externally there is a very large trading area with dedicated covered areas and unusually, the Red Man premises license allows for live music to be played outdoors making this a true extension to the trading space

Private Accommodation

The owners accommodation comprises of lounge, domestic kitchen, bathroom, 2 bedrooms and an office which could be utilised as a 3rd bedroom.

Financial Information

The following numbers all come from our assessment of Fair Maintainable Trade (FMT). FMT is the operating profit which reflects what we would reasonably expect a reasonably efficient operator to achieve. This profit is used as a basis for rent setting. These are estimated figures only and you may believe you can do better, or worse, than this. You must satisfy yourself as to the potential of the business by making an independent assessment. Style of operation, trading conditions and personal investment in terms of time and money will affect both turnover and profit.

Estimated Earning Potential Per Annum

£38,430

This figure only shows your anticipated operating profit and excludes the financial benefit of the living accommodation. The value of this accommodation should be considered as part of your overall decision.

Estimated Potential Turnover Per Annum

Drink	Food	Machine	Other
£267,539	£27,658	£18,531	£14,715

Machine turnover shows turnover net of machine rent.

Estimated FMT Beer Barrels Per Annum

300

This is ale, lager & cider. Your sales mix e.g. the amount of Wines, Spirits, and Minerals you sell will also affect your drinks turnover from just beer & lager.

Your Investment Figures

25,000

Approximate Fixtures & Fittings

3,000

Approximate Stock & Glassware

10,000

Estimated Working Capital
(This will vary depending on your personal business plan)

7,425

Deposit (will vary – calculated as 25% of annual rent or £6,000, whichever is greater)

1,195

Foundation For Success Training

825

Approximate legal fees/valuation/licensing/survey.
This will vary and some figures won’t apply for short agreements

579

Stamp Duty - based on rent calculated using average discount of £65 per barrel; this will vary if you choose different pricing and may not apply to short agreements.

48,024

Your Estimated Initial Investment You may still be able to pursue this opportunity with part funding.

Rateable Value

£ 37,500

You can check rates liability for this property by using the government website www.businesslink.gov.uk/businessrates or by contacting the commercial rates department of the Council

You may still be able to pursue this opportunity even if you do not have the full funding. Example, in some circumstances we can assist with funding of Fixtures and Fittings.

Rent Guide

Punch Partnerships offers you flexibility to choose what level of fixed rent best suits your Business Plan. Using the table below you can decide whether to pay a higher fixed rent in return for higher discounts on your tied drink products or whether to minimise your fixed rent by opting for lower discounts on your tied drink products. By opting for higher discounts you will pay lower prices for your tied drink products but you will be committing yourself to paying a higher fixed rent. Opting for the lowest fixed rent commits you to paying higher prices for your tied drinks products.


	Average discount per barrel*
Discount per Barrel	£18	£65	£120
Rent Guide	N/A	£29,698	£46,198
* The average discount per barrel compared to Brewers’ Wholesale prices. This is based on weighted average, by volume, of discounts on Punch’s top 20 selling products. Copies of our price lists are available on request. Discount relates to a 36 gallon barrel or its equivalent.

Your dedicated BRM can offer help, support & guidance in all aspects of your decision to enter into an agreement with Punch Partnerships.

Trade History

Total Ale, Lager and Cider deliveries (inc. free gifts)
Last 12 months		186 brls
1 - 2 years ago		312 brls
1 barrel = 36 gallons = 288 pints
Approximate Partner & Punch Combined Machine Income
Last 12 months		£0

Agreement Offered

Tenancy – 5 year agreement (short agreement).

Suitable Applicants We are looking for a community led operator, who is keen to promote the already great cask ale offer at this site. A food offer is very important to the business for daily trade. Pub teams and live music are also a fundamental part that needs to be offered. _____________________________ As the most innovative and progressive Pub Company in the UK, Punch Partnerships can offer Choice, Flexibility and Clarity through an Agreement individually negotiated to reflect your specific business needs. _____________________________ What Do Punch Partnerships Offer Punch partnerships offers everything you might need to make a success of your pub business. Full training covering all aspects of running a pub. Dedicated management support from one of our team of Business Relationship Managers. Specialist professional advice on all your pub needs including advice on pub design, repair and refurbishment. A full drinks delivery service offering a wide range of all the top selling brands. Access to all the newest and best leisure machines through our profit sharing managed supply scheme. An agreement that offers flexibility and choice. You negotiate the type and length of agreement. You choose what combination of fixed rent and price discount structure best suits your business plan. . . . . . . . . . . . . . . . . Application procedure Applicants must complete a Punch Partnerships application form either on-line or by contacting Sandi Bellinger on 0844 848 0954 at our Burton Office. Interested parties should view discreetly as customers in the first instance. Please do not take copies of these particulars into the premises during opening hours nor attempt to discuss the property with the current licensee, staff or customers. Misrepresentation Act- These particulars shall not form part of any offer or contract and no guarantee is given as to the condition of this property or the accuracy of its description. An intending lessee or tenant is not to rely on any representation made in these particulars and must satisfy themselves as to their own investigations before entering into contract. THE PROPERTY MISDESCRIPTIONS ACT 1991 The mention of any appliances and/or services within these sales particulars does not imply they are in full and efficient working order. All measurements, areas and distances are approximate only. *Please note that Punch Partnerships give no assurances or warranty, either expressed or implied, so far as the previous trade is concerned and any prospective tenants must rely on their own advice and opinion as to the trading potential of this property.

See our website www.PunchPubs.co.uk for further information.


Recruitment@PunchTaverns.com	0844 848 0954	www.PunchPubs.co.uk