What costs come with buying a liquor store besides the price?

The agreed price is only the first line of a buyer’s cash plan. A liquor store has its own extra items, and several come due at or just after closing. Listing them early helps you judge how much to borrow, how much to keep in reserve, and whether a lender or the seller will carry part of the load.

Stock and working capital

Ask early whether stock is counted on closing day and paid for separately from the rest of the price, and how that count works and who does it. After closing you still need money to reorder, and suppliers may set their own payment terms for a new owner. Plan for a slow first stretch while you learn the customers. A lender can explain what it will fund.

Premises, security and systems

If the store is leased, expect a deposit and possibly the landlord’s costs for approving a new tenant. Walk the premises and ask what needs replacing. Cameras, alarms and shelving are common candidates, and so are the till and the tools used to check identification. Older equipment may need upgrading sooner than the seller suggests, so get quotes before you commit.

Fees and professional help

Budget for a lawyer, an accountant and possibly an inspector, each of whom charges for their work. The listing broker is usually paid by the seller, so budget for a broker only if you hire one to act for you. Licence-related fees are an item to ask your lawyer about, because the fees may differ by location. Read what to check before buying a liquor store to see where those advisers fit.

• Stock counted and paid for at closing.
• Working capital for restocking and supplier terms.
• Lease deposit and landlord costs.
• Security, cameras and till upgrades.
• Professional and licence-related fees.