Preparing your venue for sale

The Essential Guide to preparingyour venue

for sale

The professionals you will brief to advise you on the best way to take your property to market will need some essential information, all of which will ultimately form part of a ‘data room’ of documents that any prospective purchaser will want to view. They will also, in addition to supplementary conversations with you and your team, assist in the development of an information memorandum which will include some specific particulars.

When you’ve decided the time is right to sell your venue, there are a few things to

turn your hand to before getting too caught up in process

Venue descriptors (title details, facilities,

dimensions, building age, photos)

Reasons for sale

History of the hotel and key milestones

Top-line sales and earnings

Sale process and timing

The Particulars

To keep momentum moving when you �rst commence sale discussions with

your key advisers, come armed with the ability to supply 12 items for the data room, so work can begin on the sale

preparations

At least 3 years of P&L statements (Purchasers prefer Accountant Prepared)

Monthly management accounts for the last 12 months

A copy of the draft Agreement for the Sale with essentialterms and conditions

1.

2.

3.

4.

5.

6.

7.

8.9.

10.

11.12.

Current Budget

Current Business Plan

Gaming operator statements for the last 12 months(if applicable)

Key agreements such as the ATM, TAB, supply agreements,property and equipment leases

Key property information such as rates, insurance, utility bills

Statutory approvals and licences : Liquor, gaming, councilDepreciation schedule

Employment contracts for key sta� and a copy of the EBA(if applicable) for all other sta�

A copy of the latest property valuation (if bene�cial)

There are a few items in the previous list that may not be on hand to all venue owners, so use it as a checklist to work through or seek assistance from specialists in the Hospitality industry to determine an e�cient way

to accessing or developing them

12 Data Room Items

For further support during this process, please contact one of Hospitality specialists in Hanrick Curran, Kim Hanrick, Peter Maletz, Jeremy Wicht or Ian Van Der Woude on 3218 3900

Review a detailed account of how to maximise the value of your hotel sale