Assigning a pub lease

We are currently running a pub with seven years to go on a 10 year lease. We have had the business valued at c.£70-75K, based on recent years accounts. We are hoping to assign our pub lease in the near future, to two employees, who although keen to take the business over, have insufficient funds to pay the asking price outright. We thought we could get round this problem by settling for an initial payment (say 10k) when we sell, and then receiving deferred payments of the balance over the next few years.

My question is - how will the Inland Revenue view these payments? Are they income or capital gains? How will the Revenue treat deferred payment?
sylvia burdon

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Selling a pub

KenKLM |
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Capital Gains on sale

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Privity of Contract

neileg |

Security

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Sale of a business

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Assignment of a lease

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