Tying the knot with a wedding venue… what to know when the estate you are buying includes a wedding venue
There was a time when the only commercial component of buying a country estate would have been farming. But as estates have sought to build financial stability through diversification, the spectrum of business activities that come with them has grown. Due to the picturesque, romantic nature of stately homes, a rising number are converting their historic houses into wedding venues.
So, what do you need to know when your dream stately home includes a wedding venue?
Extent of property used for the wedding business
First, you will need to know how much of the property is used for the wedding business. Weddings inevitably mean opening the gates of your estate to tens, if not hundreds of strangers. You will want to be sure that your personal area is sufficiently separated from the areas open to guests to offer you the privacy you would expect of a home.
Planning permission
A crucial matter your solicitor will need to confirm is that the property has the necessary planning consents to be used as a commercial event space. Given the age of the property in question, the permitted use for the estate will likely have been established through long use as residential and agricultural.
When the decision was made to run a venue from the property, the sellers ought to have obtained planning permission to change its use. You will want to know that the planning permission for the change of use was granted and that it covers the full extent of the property used to host the weddings.
Licences and risk assessments
Weddings (often) mean providing alcohol and live music or entertainment. As such, there needs to be a premises licence in place for the provision of these services. If the wedding venue offers ceremonies as well as receptions, it will also need to hold an approved premises wedding licence. You will also want confirmation that the obligations of said licences have been complied with.
Existing bookings and contracts
If the sellers are already running a thriving wedding business, they likely already have future bookings in place. You will need to know what bookings are already in place for any dates following completion and the terms of said bookings. The same goes for any suppliers the sellers have relationships with.
Structure of the acquisition
Much will depend on the structure of the purchase; are you buying the business as whole or just the assets of the business? This will determine how you address the question of employees, existing bookings and contracts with third party suppliers.
Neighbourly disputes
Be wary of the disgruntled neighbour. Weddings mean unusual levels of people and noise in the otherwise peaceful countryside. There is a risk this could lead to noise complaints and disputes with neighbours, which could complicate the running of the wedding business. Be sure to enquire into whether there is a history of such issues at the property.
In short, purchasing an estate with a wedding venue business attached to it offers a valuable opportunity. However, it will require a solicitor who understands the complicated nature of the transaction and can establish that it has everything you need before you say ‘I do’ to your new home.
