Arkansas purchase conditions & opening worksheet

1. Resolve permission before closing

Parcel, city/county, zoning and proposed resident model:

License category, current cap/availability and dated staff confirmation:

Seller certificate, permitted occupancy, conditions, violations and expiry:

Written buyer transfer/new-license decision (Fayetteville requires a new license on ownership change); closing condition and responsible issuer:

2. Budget an uncertain opening

Earliest lawful opening supported by issued approvals, not a promised duration:

Lawful nights available after owner use, work and restrictions:

Conservative booked-night assumption; contribution after variable costs:

Annual fixed cash costs; chosen debt treatment; reserve for delay:

3. Keep the operation current

Insurance, safety inspection and emergency/representative requirements:

License renewal, expiry and any changed-occupancy review:

State sales/tourism tax and local HMR/A&P: base, rate, collector and returns:

Platform agreement evidence versus direct-booking responsibility:

4. Worked example and your assumptions

Hypothetical cash test, not market data: $12,000 annual fixed cash costs; $120 contribution per lawful booked night, excluding collected taxes. At 120 nights: +$2,400; 90 nights: −$1,200; 60 nights: −$4,800. Break-even: 100 nights. Losing 30 nights reduces cash by $3,600. No approval duration, demand forecast or right to operate is assumed. Replace costs and availability for the property.

Your verified inputs, result and unresolved assumptions: