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Punch Tenancy
If you’re looking for a shorter term commitment, then perhaps a Punch Tenancy could work for you. This is a 5 year agreement, with either party being able to give 6-months notice at any time. With a Punch Tenancy you typically have less free of tie options and you agree to pay a lower fixed rent in return for higher prices for your tied goods. You cannot sell-on a Tenancy agreement.
A Punch Tenancy can be a good way to find out if the pub lifestyle really is right for you.
How it works:
A Punch Tenancy is generally more attractive to our risk-conscious partners who calculate that they prefer to pay higher prices for tied products to keep rent low and minimise their property repair liabilities.
If you are new to the pub sector then you should note that by entering into a tied pub agreement you will normally be required to buy your tied beer and cider from the pub owner at higher prices than you could obtain as a ‘free of tie’ operator. The key advantage of the tied pub model is that you pay a lower fixed rent in exchange for a premium on the price you pay for tied products. In effect this allows you to share your trading risk with Punch.
What do our Partners say about a Punch Tenancy?
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