About Melrose Guest House
Melrose Guest House is situated in the popular seaside town of Whitby in North Yorkshire. The house is a grand Victorian property which has been upgraded to a high standard. It is close to the seafront, just 100 meters away, and is only 600 meters from Whitby town centre, making it an ideal place to stay when visiting Whitby and the surrounding area.
Buying a Guest House
After working within the Guest House sector David and Emma felt they had gained enough experience to enable them to realise their dream of owning and running their own business within their home town. Although both David and Emma had worked in guest houses, they also researched the market with the help of the internet to gain a complete understanding of how a guest house operates and to source a financial broker who specialised in bed and breakfast and guest house finance.
Arranging Guest House Finance
Stewart Hindley and Partners were identified as having the appropriate financial and operational experience of the sector and were duly instructed to source competitive finance to assist with their purchase from a prime lender who specialised in guest house finance and guest house mortgages.
One of the challenges they encountered was that the concern was not being traded to its potential by the current owners, which indicated that the trading accounts didn’t reflect the true potential of the business and the ability to service debt.
In order to meet the lenders requirements our case team assessed the trading accounts and in conjunction with David and Emma, produced a set of projections for the first 3 years of trade under their ownership which proved to the lender that the business could service the debt and importantly provide an income for them.
After the business valuation was completed, with the support of Stewart Hindley’s financial appraisal, the lender offered the loan on excellent terms – a great day for David & Emma! Since completion and taking over the business it has been non-stop for them with great reviews on Trip Advisor and many guests will undoubtedly be returning to the Melrose Guest House.
Quotation from David & Emma
Having approached the high street lenders and our local broker we were firmly met with a brick wall. After a little research online we decided to give Stuart Hindley a call. We spoke with Chris who explained the process and within 24 hours we had a decision in principle. The terms were far better than the deals we had initially applied for with the high street lenders.
From start to finish Carol and Chris were extremely helpful, friendly and a pleasure to deal with. All e-mails were answered promptly, phone calls were usually answered and where messages were left return calls were received without delay (so rare these days).
Thanks to Carol and Chris for allowing us to achieve our dream, we will call you once again when we make our next purchase.
David and Emma
Melrose Guest House
www.melrosewhitby.co.uk