Working with Buyers
Having vacationed in Maine for 10 years before making it my home in 2004, I’ve developed a deep appreciation for the state and its communities. As an advocate for Maine commerce and tourism, I understand what drives the lodging and hospitality industry here. I know coastal Maine from the Schoodic Peninsula to York, as well as inland destinations such as Moosehead Lake, Sebago, Rangeley, and other western lakes and mountain towns.
When working with buyers, I focus not only on the business of innkeeping itself, but also on how regional tourism directly impacts success. Marketing the property is only part of the equation—marketing the area is just as critical.
Financials are at the heart of every transaction, and I’m highly skilled in analyzing them. The value of cash flow is consistent, whether in York, Lubec, or Moosehead Lake. The difference lies in location, which influences demand, marketability, and ultimately, salability. My blog posts provide in-depth guidance on these topics, especially the financing side of the business.
From property searches to working with attorneys, accountants, and lenders, I assist buyers through the entire process. I review business plans, operational procedures, and all the moving parts that help ensure a smooth transition and long-term success.
And I bring more than just expertise—I bring passion. I love working with buyers, sharing both my enthusiasm and my firsthand experience in hospitality and innkeeping.
The Business Value
One of the most important aspects to understand when considering an inn, B&B, or lodging property is financing. You’re not just purchasing a piece of real estate—you’re acquiring a business. And like any business, that business has a value you’ll need to understand.
Over the years, I’ve written extensively on topics every educated buyer should know, including:
How banks determine the value of a lodging property
Typical down payment requirements
Pricing structures and what they mean
SBA loans and other financing options
Becoming an informed, confident buyer
👉 Read the 12 most important topics on financing and preparing for purchase here.
Additionally, if you have at least $50K in an IRA or 401K, you may be able to use those funds to buy a business through Guidant Financial. This can be an excellent tool for some buyers.
Points to Ponder…
*Love the area first, there are beautiful homes and buildings all over Maine!
*Do you enjoy people?
*Understand this is more than entertaining guests, it is a business!
- Are you looking for a lifestyle or a business? Or a bit of both?
- What areas of Maine or characteristics (mountains, water front, village, urban, etc.) are you looking for? Why?
- How many rooms would be ideal for you? (or do you think would be ideal)
- Do you intend to live on the property? If so, what do you need/want in the way of owner’s quarters?
- Are you looking to live offsite and hire an onsite manager?
- Are you looking for year round or seasonal?
- Do you expect the business to pay the mortgage and provide you with an income?
- How much can you raise for a down payment? (this, combined with cash flow from the business, will determine maximum price point and/or which particular inns are viable for you)
- Are you familiar with a 401k rollover to fund the purchase of your own business if you have one?
- Do you need to sell a house to raise that capital? If not, where does the capital come from (retirement, other investments, etc.)? You’ll need 20-25% (depends on many things) plus closing costs and working capital.
- If you do have a house to sell, what is the real estate market like in your area? Average days on market?
- Do you have other secure sources of income?
- Do you have any hospitality experience?
- Are you familiar with Maine?
- Are you looking for an inn with food service other than breakfast? Or one that can host events and weddings?
- What is your ideal time frame to make the move to Maine and purchase an inn?
- Have you ever created a business plan?