Bookkeeping for pubs

lorraine

Hi All

I have a friend who owns a pub, please could you tell me if there is anything complicated or different about doing bookkeeping for pubs. Or if there is anything i should know as I am new to this.

Jan

I used to do bookkepping for pubs when I worked for a practice, can't remember there being anything too complicated. Split into wet and dry sales/purchaes if they do food. They will need to split sales on the tills.

One of "my" pubs used to buy things from the local supermarket, so look out for private purchases - like shampoo and makeup - bought at the same time!

A-Vic

agrees with jan - also make sure you get fruit machines sales too

shaxxa

Be careful of machine income and vat.
You will need to know on what terms the machine supplier has with the landlord as sometimes the landlord will pay the vat on income and sometimes that supplier will take the hit.
You also need to be aware of licensing issues with machine income and also public entertainment licenses.

Peter W

If the owner lives above the pub, and the utilities are separately metered and invoiced, you will need to ensure that the private and the business invoices are treated correctly.

A-Vic

you will more than likely recieve an invoice for hire of the fruit and music machines that vat will show but from the income total cal net (vat inclusive)

T.C.

If the owner lives at the property make sure you get the correct split on bills, ie mortgage interest, electricity etc. Also food if he/she eats at the property.

lorraine

thanks 4 the help I will bear all that has been said in mind I'm sure I will have more questions later! lol.

Timmne

I would encourage your friend to do a stocktake once a month if poss - a massive hassle each time but stock levels can easily decrease disproportionately to sales - you might need to consider the wastage (there's a HMRC term for this I think) and adjust for it in the accounts. This will also lead to personal usage. I have seen in the past, an owner keeping a private usage book where he wrote down all the stuff he hasn't charged for.

lgarside

Just out of interest why do you have to split the wet/dry sales and purchases out, are there different VAT rules for each?