Offer Letter & Heads of Terms Generator for Buying a Hospitality Business
Buying a hotel, B&B, guest house, pub or restaurant? Enter your price, deposit, funding, conditions and timetable and get a clear, professional offer letter or heads of terms marked “subject to contract”, ready to download as a PDF or send straight to the seller of a listing on Stay4Hospitality. Free, and no sign-up required.
What goes into a hospitality business offer
A strong written offer sets out the price and exactly what it buys — goodwill, trading name, website and booking accounts, and the trade fixtures, fittings, furniture and equipment on an agreed inventory — with stock bought separately at valuation on completion. It explains how the purchase is funded, the deposit payable on exchange, and the conditions the buyer is relying on: finance, a building survey and valuation, a review of trading accounts, the transfer of the premises licence, staff transferring under TUPE, the handling of advance bookings and guest deposits and, for leaseholds, the landlord’s consent to assignment.
Offer letter or heads of terms?
An offer letter is the buyer’s written proposal to the seller or their agent. Heads of terms set out the agreed commercial points in a structured list that the solicitors use to draft the contract. The generator produces either format from the same answers, so you can send an offer letter first and switch to heads of terms once the price is agreed.
Subject to contract, exclusivity and timetable
Both documents are marked “subject to contract” and state how long the offer remains open. You can add a target exchange period, a completion date and a request for exclusivity while due diligence is carried out. In Scotland, binding offers are made through solicitors’ missives, so Scottish buyers should use the document to set out their terms informally. Before you offer, test the price with the Deal Analyser and plan your checks with the Due Diligence Analyser.
What should an offer letter for a hotel or B&B include?
The price, what it includes (goodwill, fixtures, fittings and equipment, and stock at valuation), how you will fund it, the deposit, the conditions you are relying on — finance, survey, accounts, licence transfer and staff transfer — a timetable to exchange and completion, how long the offer stays open and whether you want exclusivity. The letter should be marked 'subject to contract'.
What is the difference between an offer letter and heads of terms?
An offer letter is a buyer's written proposal to the seller. Heads of terms set out the main commercial points both sides have agreed, in a structured list that the solicitors use to draft the contract. Many buyers send an offer letter first and move to heads of terms once the price is agreed.
Is an offer letter legally binding?
Not when it is marked 'subject to contract' — in England, Wales and Northern Ireland the deal only becomes binding on exchange of contracts. In Scotland, offers are made through solicitors' formal missives, which become binding once concluded, so a Scottish buyer should use this letter only to set out their terms informally and have a solicitor make the formal offer.
Should stock be included in the price?
Usually not. Food, drink and retail stock is normally valued on the day of completion by a stocktaker and paid for on top of the agreed price, so the buyer pays only for what is actually there.
What is TUPE and why does it appear in the offer?
The Transfer of Undertakings (Protection of Employment) Regulations mean that staff employed in a business usually transfer to the buyer on their existing terms. Buyers should make the offer conditional on receiving full employee information so they know the wage bill and any liabilities they are taking on.
Should I ask for exclusivity?
If you are about to spend money on surveys, solicitors and accountants, asking the seller to take the property off the market for a set period — often four to eight weeks — protects you from being outbid part-way through due diligence.
Does the tool use AI to write my letter?
No. The letter is built only from the details you enter, using standard wording for each term you select, so nothing is invented. You can edit every line before downloading or sending it.
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