Doing it for the kids
Member
RV is getting kinder from the spring, size of building exempt is increasing
Turnover, all the income and expenses from the small units on the farm go through the business accounts whereas the two houses have a totally seperate one. As far as IHT reliefs I have been told (by a big ag tax advisory firm) as long as I run the business as I have described then I will get relief, of course rules can change and I am looking at ways of passing on some assets in the next few years while maintaining a decent income but protecting the assets from any matromonial issues fromthe next generation@rob1 is the 30% a % of tunover or net profit?
Also you are hoping to get either BPR or APR on the rental properties that you only receive a rent on and don't actually run any of your own businesses from?
Your location lends you to storage storage storage. We look after some units on a family members farm for them and its easy. Once you have converted it so that it is secure, relatively warm and has room for racking and possibly a basic wooden or steel container office in a corner, it will look after itself. Let the tenant do the office though so you are letting a bare space for them to make their own.
For anything over 2000 sqft I would use an agent because you will want a lease in place for the simple fact emptying anything more than 2000 sqft if rent isn't received can be very costly, where as smaller spaces are not so bad. Do not underestimate wear and tear to the access into the property from the public road because whilst somebodies business may start off a storage only, it may alter and become distribution so traffic levels could escalate. Detail it on the paper work. For anything under 2000 sqft just let it without the cost of the agent. Be clear with the tenant its rent in advance. Failure to pay means you will confiscate the contents. No lease means no contract. Price wise if you want to fill it then £4.50/sqft and they pay the business rate, elec, water and insure the contents. You insure the shed. Then set a reasonable but variable small service charge for the access and traffic.
Interesting thought. We took our 2 to a play barn at the weekend, 30 min drive to a location more rural than ours in a barn half the size. Reckon turnover £12 per adult and there would have been over 100 there. Wife reckons its busier during the week and lots of adding eg people paying to use it for classes etc. Not much overheads: 3 kitchen staff were only employees.Kids play barn if there are not loads of competition locally ?
Money trees !
Not sure where in Essex you are? Are the environs attractive enough to be a wedding venue? I ask because there is a dearth of places for 200+ sized weddings and with that number of ft2 you may be able to make that work.
I have a good friend in Essex who organises weddings and also has a group of suppliers who work together and have a co-showroom. I'd be happy to put you in touch with her if this helps
Interesting thought. We took our 2 to a play barn at the weekend, 30 min drive to a location more rural than ours in a barn half the size. Reckon turnover £12 per adult and there would have been over 100 there. Wife reckons its busier during the week and lots of adding eg people paying to use it for classes etc. Not much overheads: 3 kitchen staff were only employees.
No way I would run that myself though, would have a nervous breakdown in a week, all those kids! Would have to be with a 3rd party!
Ian,Interesting thought. We took our 2 to a play barn at the weekend, 30 min drive to a location more rural than ours in a barn half the size. Reckon turnover £12 per adult and there would have been over 100 there. Wife reckons its busier during the week and lots of adding eg people paying to use it for classes etc. Not much overheads: 3 kitchen staff were only employees.
No way I would run that myself though, would have a nervous breakdown in a week, all those kids! Would have to be with a 3rd party!
Ian,
would say your storage rates are on the low side for Essex, we dont go below £5 per sq ft here.