Back to basics: Sales volume
Book-learning is something rightly scoffed at in the nitty-gritty world of the publican. No book, however well-written, can fully prepare anyone for working in the frontline of a dynamic industry where every day is different and fresh and unexpected challenges are thrown up all the time. There are some things that only raw experience can arm you for.
On the other hand a licensee's job is so complex these days that a volume that sets out clearly and systematically the basics of taking and operating a pub can act as a valuable kind of checklist - especially for newcomers feeling their way across the licensed trade minefield.
Mark S Elliott's How to Run a Successful Pub is not the first book to attempt to do this but it's the best I've seen and it has the added advantage of being up to date - at least for the time being.
It's aimed at people coming into the industry for the first time. But because it so comprehensively ticks off just about everything debutants need to know, existing licensees might also find it useful. It could prove invaluable for filling in those gaps in knowledge or perhaps finding out where they might be going wrong if things aren't quite working out as well as they planned.
Its strength lies in its organisational rigour as well as its simple, lucid style. The author, a business relationship manager for Punch Taverns, is well aware of the problems a licensee can encounter if they don't get the basics right and takes care that nothing slips through the net.
He starts by quizzing the reader about whether they're really the right kind of person to run a pub, whether they have the support and the personality as well as the ambition and the cash.
Then he goes through the many different kinds of pub you might be suited to run, explaining clearly the differences between freeholds, leases and tenancies.
The success of your venture ultimately depends on the decisions you make when choosing a property and Elliott is strong on this, detailing how you assess a pub's potential and ensure it's a viable proposition.
He discusses various sources of funding before he launches into an explanation of licensing law, including how to get a licence and the responsibilities of the designated premises supervisor.
Then it's back to the commercial side of the business, drawing up a business plan for your chosen pub, before a whole chapter is devoted to applying for a tenancy or lease and another on buying a freehouse.
By page 106 you're finally in the pub and it's here that Elliott homes in on the nuts and bolts of the operation, those vital things you need to know but are so often neglected or misunderstood.
No knowledge is assumed as he gives advice on choosing professional services, explains the various ways you can structure the business and talks about bank accounts, insurance, book-keeping and accounts. Boring stuff, maybe. But without a firm grasp of these things you are as good as sunk.
Marketing is a subject that many existing licensees would find Elliott useful on, and there is also a chapter on staff, focusing mainly on the employment laws that you suspect many licensees take a chance on, risking a hefty fine.
If there is a weak part of the book it is the two chapters on drink and food, subjects that really require books in their own right. Still, it's a start and there is guidance on where to go to find out more, as there is for every topic.
A section on amusement machines and another that trips through rules and regulations not already covered, wraps things up. But Elliott isn't quite finished yet. The appendices might prove to be the best thumbed pages including as they do a list of useful websites, calculations such as gross profit, how to do profit and loss forecasts and cash flows, alcohol units and more.
A helpful addition to any pub's bookshelf, I'd say. Although to keep it up to date you'll still need The Publican, of course.
How to Run a Successful Pub by Mark S Elliott is published by Howtobooks
