David Bottomley of private lease the New Inn, Ystradfellte, Powys, has struggled since taking it on last April, as the village has few residents.
Rhondda Cynon Taf Council, which owns the road, banned him from using flyers, on the grounds that he was “fly-posting”.
In September, he began placing an A-board advertising “good food” on the main road three miles away. This month he received warning letters and two £75 fines from Rhondda Cynon Taf Council, forbidding the signs.
Bottomley, who has worked as a Whitbread troubleshooter, applied for the pub to be added to a tourist information sign nearby but “did not qualify” because it was for Ystradfellte, operated by Powys Council.
“The pub was closed for seven years,” said Bottomley. “We are trying to rebuild the business but now we can go four days without customers.”
A Rhondda Cynon Taf Council spokesman said: “Officers became aware of posters that were installed illegally and were considered to be flyposting.
“Despite clear guidance and warnings, the signs re-appeared, leading to the a fixed penalty notice.”
The council is looking into including the pub on the brown tourism signs.