We connect buyers, sellers and brokers of restaurants and food related businesses.

Key Points To Sell Your Restaurant

• Selling a business is not something to rush!

• Assess the financial situation of your business properly and create reports detailing potential growth and revenue.

• Evaluate the need of modernizing any outdated systems that might deter buyers once the restaurant hits the market.

• Bring deferred maintenance up-to-date. When potential Buyers see items that need fixing - they often wonder about the condition of things they can't see!

• Prepare a Business Information Package that includes:

  • - Copy of lease(s)
  • - 2 yrs Financial Statements [P&L]
  • - Seating capacity
  • - Code requirements
  • - List of furnishings fixtures and equipment with acquisition cost and current market value
  • - List of strengths and weaknesses

• Evaluate the need to use a Business Broker

• Price your business accurately.

  The price your restaurant will sell for depends in large part on both its revenues and the restaurant's record of profitability. Sales data shows the price-to-revenues multiple for restaurants averaging 0.46 and the price-to-cash-flow multiple average to be 2.23 To keep the restaurant running smoothly during the selling process, confidentiality is a significant factor for business sellers.

• Be honest, people will tend to be less skeptical, and you will probably sell your business faster.

• Prepare a Buyer Profile/Disclosure form to qualify potential buyers. You need to know about their financial strength and business skills before you give out the confidential information on your restaurant in the Business Information Package. Be ready for inquiries from people who are not serious about buying. Sellers often encounter people who have the dream, but no realistic intention of going through with a deal.